Can you imagine buying a house and discovering that you have debts? For this reason, in the Gilmar legal department one of the first things we do is check the charges of a home . Because one of the worst things that can happen in a sale is that the buyers have to pay the debts left by the previous owners.
Therefore, if you are about to buy a home, in this article our consultants are going to analyze what are the most common charges that you can find in a home, what you should do to find out if they exist and how to act in each case.
What are the loads of a house?
A burden is a restriction that weighs on a property in the form of limitation to dispose of or right in favor of a third person, natural or legal.
These charges are usually, in general, economic obligations. Debts or pending payments, more or less large, that pass from one owner to another when a transfer occurs because they are linked to the home.
Most common types of loads in a home
There are many types of loads, but in general, these are the most common:
- Charges inherent to housing such as:
- The mortgages . Normally, when a property is mortgaged, the debt is canceled during the signing of the public deed of sale. The bank issues a certificate of outstanding debt and a proxy goes to the notary’s office, along with sellers and buyers, to collect a check to settle it. This amount is deducted from the price to be received by the selling party, which is the debtor. All this is reflected in the deed of sale and later, a mortgage cancellation deed is signed, which will also be presented to the registry to cancel the registration of the cargo. In the event that the buyers are going to request a mortgage, they can talk to the bank to subrogate, that is, take charge of it, or request a new one, which will be registered in place of the previous one.
- Records of embargo or judicial executions . These annotations mean that the property is immersed in a judicial procedure such as: a foreclosure, a creditor’s contest or an amount claim, among others. Sometimes canceling these debts is as easy as reaching a payment agreement with the creditor’s lawyers, who make a calculation of the total amount owed to date and commit in writing to cancel the procedure and request the lifting of the embargo. Of course, this amount must be paid by the seller or deducted from the price, but in some cases reaching an agreement can be complicated, so the buyer should reconsider his decision.
- Easements and usufructs . Both are rights constituted in favor of third parties that the owner of the home is obliged to respect. They do not imply payments, but they do imply limitations in the disposition or in the right to use the property. Above all, in the case of usufructs, it will be necessary to request additional information from the selling party to agree on the way to cancel this charge before or during the signing of the deed.
- Leases . _ It is not very common for this charge to be registered in the property registry, but, in any case, if the house is rented, a copy of the contract must be requested from the seller to verify what the agreed conditions are and when possession of the property can be recovered. the farm.
- Tax affections and tax burdens related to:
- The annual payment of the Real Estate Tax (IBI) , which if pending from previous years will become the responsibility of the new owner.
- The municipal Capital Gains (IIVTNU) and the Property Transfer Tax (ITP) . If the house was bought in the previous two years and they were not paid at the time, the new owner must take care of them.
- Debts with the Community of Owners . These are not from the owner, but from the home, therefore, no matter what its date is, the total is transmitted together with the property to the new owner.
- Likewise, the debts with the electricity, water, gas, etc. supply companies , the person responsible for paying this will be the new owner who, in addition, will not be able to change the ownership of the contracts if he does not do so.
How to know if a home has outstanding charges ?
Now that you know what the charges and debts that you can find in a home are, let’s see how to find out if you have them.
1. Request a simple note at the Land Registry
Many of the loads that we have mentioned can be known by simply asking for a simple informative note of the property. Through it you can know:
- The identification data of the home.
- Its characteristics, typology, nature, extension, etc.
- The data of its holders.
- The state of the loads. If there is a mortgage, notations of embargo or judicial executions, easements, usufructs or fiscal affections.
You can easily request it in person at the Land Registry or through the website of the College of Registrars, upon payment of a fee.
2. Request proof of payment of taxes
The only way to check if the Plusvalía, the Transfer Tax or the IBI are pending payment is by requesting a copy of the payment receipts from the selling party.
Although in the case of the IBI, we recommend that in addition to asking the seller for the last receipt paid, you also ask the Town Hall of the municipality in which the home is located, which is the body in charge of collecting this tax.
In case you find any debt in this regard, request a certificate. The seller must pay before the signing of the sale or during the signing at the notary, the buying party will withhold the price for that amount to pay on behalf of the debtor. All this will be reflected in writing.
3. Order a debt certificate from the Community of Owners
The seller is obliged to provide the contact information of the person or company that is in charge of the administration of the Community of Owners.
The president or the property manager will tell you if there is any outstanding amount and will issue a debt certificate on the date of signing the deed of sale. If there are debts, it will be done the same as with the IBI, the amount will be withheld from the price.
4. Do not forget to request invoices for supplies
In this case, it is advisable to check with the companies that the supply is registered and that the payments are up to date, but if you ask, they may not give you the information due to data protection.
For this reason, on many occasions a retention is made in the deed of sale, the amount of which is determined by the parties, so that the buyer can pay the possible amounts that are pending. Subsequently, once the ownership of the contracts has changed, this amount is settled and if there is any surplus, it is returned to the selling party.