Home repossessions up 10% in 2013

Spanish lenders repossessed 49,694 homes from defaulting borrowers in 2013, a 10% rise from a year earlier, figures released on Monday by the Bank of Spain show.
Of these, 38,961 were first residences, according to statistics provided by the banks.
The vast majority of properties were empty at the time of repossession.
Meanwhile, the proportion of cases involving dation in payment, in which borrowers in arrears hand over the keys of the property to the lender that approved the mortgage to cancel debt obligations, reached 32.5% of all repossessed homes.

38,961 of the properties were primary residences, according to statistics provided by the banks

This represents a rise from 2012, reflecting the introduction of new legislation to make this option easier. Borrowers have mostly opted for key return in the case of holiday homes, not primary residences.
The number of forced evictions was 147, less than half that registered in 2012. For primary residences, the figure was significantly lower, 93 in 2013 compared with 267 in 2012.
The Bank of Spain also noted that 70% of foreclosed mortgages were signed in 2007 or earlier, before the real estate bubble burst and the country’s economy took a nosedive

David Lorenzo-Spanish Lawyer UK                                       
Spanish Law | Birchall Blackburn
dxlorenzo@birchallblackburn.co.uk
 www.spanishlawintheuk.co.uk

Buying Property in Spain

Buying Property in Spain

Many people think that buying a property in Spain is a nightmare, but if you follow some essential advice, you will see that it can be as an smooth and safe procedure, but first and before you get to the stage of making an offer seriously, there are a three important tasks to do:

• Find an independent English speaking solicitor.  Only for advice and to be ready to engage him in case you find a property.
• Obtain a foreigner identity number (NIE), it is required for any dealings which involve the Spanish tax authorities, like a purchasing.
• Open a Spanish bank account (NIE is needed).
   

Once you find a property in which you are seriously interested, make an offer and arrange a verbal agreement on the price, ask the owner (through their solicitor) to agree it and any other conditions in writing.

Completing the purchase

Once you have verbally agreed on the price and any conditions of the sale, the next thing to do is contact your solicitor, who will request:

• Confirmation of the sale price and terms of the sale
• Copy of the Title Deeds,  payment of council tax(IBI) and utility bills
• Land Registry extract (nota simple)
• Also the Solicitor will check:
• There are no debts or charges, such as a mortgage, on the property
• There are no legal proceedings initiated against the property for contravention of land planning law
• Certificate signed by the President of the Community of Property Owners stating that there are no outstanding debts
• If the property is new, the license of first occupancy or habitation certificate issued by the town hall.
• Energy efficiency certificate if applicable.
• A draft contract of sale

If everything is right, he will arrange a date with the Notary and the seller to complete the purchase.

If you are not able to attend to the completion it can be made through a Power of Attorney, your solicitor can assist you in this matter too.

And so we are at the end of the purchasing, and as you can see it can be done safely and quick if you go step by step.

If you need further assistance please do not hesitate to contact us.

 David Lorenzo 
Foreign Law | Birchall Blackburn
dxlorenzo@birchallblackburn.co.uk
www.birchallblackburn.co.uk                                                                                       www.spanishpropertiesintheuk.co.uk