The arras contract in Spain is a legal figure capable of providing interesting advantages to home buyers and sellers on the Costa del Sol. All you need to squeeze the most out of their benefits is contact with our team of polyglot lawyers in Marbella.
What is the arras contract in Spain?
The arras contract is a private agreement in which one party gives another an amount of money as an advance on the future acquisition of a movable or immovable property.
What are the parties who sign this contract obliged to do?
- The future buyer agrees to acquire the property before the date indicated in the contract.
- The owner of the property is obliged to reserve it to the future buyer until that date. Therefore, during that period of time you will not be able to try to sell it to third parties.
What amount of money is paid in an arras contract in Spain?
The amount of money that the future buyer must deliver to the owner of the property is freely stipulated between the signing parties. However, as a general rule, this amount usually ranges between 10 and 20% of the total sale price. In the case of acquiring a new home, this percentage must include 10% VAT.
What happens to the arras contract if the contract date is changed?
It may happen that, for any circumstance, the public deed of sale is not signed on the date set by the arras contract.
- If it is the fault of the buyer, he will lose the amount of money that he gave as a down payment.
- If the fault is the seller, he must deliver double the economic amount that he received as deposit.
How to cancel an arras contract?
If you have already paid the signal in accordance with the arras contract and decide that you do not want to go ahead with the sale, you can still recover the money delivered. The only reason you can argue for this is that the immovable had hidden defects.
Now that you know what the arras contract in Spain consists of, do not hesitate to contact GM Lawyers Marbella to make or cancel this agreement safely and satisfactorily
