Re: Re: Issues with a new property purchase.

Fuengi (Andrew)

@TT-Phil wrote:

Hello all,

I’m new to these forums, so please forgive me for any mistakes…

Prior to appointing the solicitor, I’d asked them to confirm all of the charges that I would occur, so as I could budget accordingly for them and not come across any nasty surprises etc.

Question, was the lawyer supplied with IBI receipts, nota simple, etc….?

@TT-Phil wrote:

So, after we’d deposited a large amount of cash into a Spanish bank account, we eventually signed for the property (end of October 2012). Within the first week after the contracts were exchanged, the solicitor informed us that there was a chance of an extra charge from the tax office – as the price we’d paid for the apartment was below the ‘Cadastral value’ of the property – he estimated this to be €1,000.

Ok, this is strange (IMO). Prior to exchanging contracts, your lawyer should have done a range of legal checks on the property to confirm whether there are any debts on the property, and confirm catastral values, etc… Also, there would have been no need for ‘estimates’ as the figures tend to be VERY clear.

@TT-Phil wrote:

It was explained to us that this money may not even be asked for, but the tax office had up to 4 years to request this money from us. Needless to say, as we were at point of no return for the purchase, we were less than impressed with the Solicitor and Estate Agent for not informing us of this at a much earlier stage.

We then received a ‘final statement’ from the solicitor. Within this statement there were charges for transferring money from one account to another – these charges were never detailed on the initial quote that we received from the solicitor and came as a total shock to us, they total over €500.

? What transfers exactly?

@TT-Phil wrote:

I’ve also just received an email from the solicitor stating that ‘the Tax Office requires from you the payment of’ approx €1,800.00 – the tax difference between the purchase price and the Cadastral value of the property!

So you bought the property for 22.500€ below the supposed minimum?

@TT-Phil wrote:

Can someone please let me know:
Is what’s happening to me legal i.e. can extra bank charges be applied, without any prior notification. And, do I have any options with the extra tax that is being requested – especially as the first I knew about it was after the contracts had been signed and the purchase money etc. had been paid.

Please clarify, did you transfer the monies already and they the bank has already charged you? so that there is a shortfall to pay all purchase taxes, etc…. Or was the money in the lawyers account, and they are saying they need to ‘extra’ amount?