What documents do I need to sell a house?
Selling a house is an operation that requires a series of legal and documentary procedures. It is essential to know and gather all the necessary documents to sell a house to ensure that the operation is carried out correctly and smoothly.
And precisely in this article, we are going to give you all the details about what documents you need to sell a house, what data each one includes and what role powers of attorney play in this type of transaction.
Documents to sell a house
Next, we give you a list with the necessary documents to sell a house that you have to gather if you are going to close the operation. And it is that, to sell a house, as it happens with the sale of any other good, it is necessary to have prepared a series of documents that accredit, among other things, the identity of the seller and of the buyer, the state of the property and the existence or not of loads on this good that, in case of existing, will be transferred to the new owner once the transaction is finished.
Title Deed
The title deed is one of the most important documents when selling a house. This document proves that you are the rightful owner of the property and that you have the right to sell it. The title deed must be free of liens and encumbrances. If there are mortgages or liens, these must be cancelled before the sale or agreed upon with the buyer.
Public Deed
The public deed is the document that formalizes the transfer of ownership of the property. This document must be signed in front of a public notary by both the seller and the buyer. The public deed guarantees the legality of the transaction and is registered in the Land Registry to make it official and enforceable against third parties.
Certificate of freedom of encumbrances
The certificate of freedom of encumbrances is a document issued by the Land Registry that indicates if the property is free of debts or encumbrances. This certificate is essential to demonstrate to the buyer that the property has no mortgages, liens, or any other encumbrances that could affect the sale.
Energy Efficiency Certificate
In many countries, it is mandatory to provide the buyer with a certificate of energy efficiency of the property. This document evaluates the energy consumption of the property and its environmental impact, classifying it on a scale ranging from A (most efficient) to G (least efficient). This certificate must be issued by an authorized technician.
Last proof of payment of the Real Estate Tax
It is essential to present the last receipts for payment of property-related taxes, such as the Real Estate Tax (IBI). These receipts prove that you are up to date with your tax obligations regarding the property and help to avoid unpleasant surprises for the buyer.
Certificate of debts of the community of owners
If the house you are selling is part of a community of owners, you will need a certificate that certifies that you are up to date in the payments of the community fees. This document, issued by the administrator of the community, is crucial to ensure that you have no outstanding debts that the buyer must assume.
Certificate of Occupancy
This is a document that certifies that the property complies with the minimum conditions of habitability required by current regulations. This document is especially important in some regions and for certain types of properties.
Plans and other technical documentation, only in certain cases
In some cases, it is necessary to provide house plans and other documentation to sell a more technical house, such as certificates of electrical and gas installations. These documents help the buyer to know in detail the characteristics of the property and ensure that the installations comply with current regulations.
Original DNI or NIE
The National Identity Document (DNI) or the Foreigner's Identification Number (NIE) are essential for any legal procedure in the sale of a house. These documents prove your identity as the seller and are necessary for the signing of the public deed.
Earnest money contract
The earnest money contract is a preliminary agreement between the buyer and the seller in which the buyer gives an amount of money as a deposit to reserve the property. This contract specifies the conditions of the sale and the penalties in case either party does not comply with the agreement.
Can I sell a house with a power of attorney?
The answer is yes, you can sell a house using a power of attorney, but there are certain conditions and limitations that you must take into account.
A power of attorney is a legal document by which one person (the principal) grants another (the attorney-in-fact) the power to act on his or her behalf in certain legal acts and transactions. In the context of the sale of a house, a power of attorney can authorize the attorney-in-fact to carry out all the procedures necessary to sell the property.
First of all, let us recapitulate a little. There are two types of powers of attorney: special and general. The first is used only for specific actions and has a limited duration. The second covers all types of actions, giving full powers to the attorney-in-fact.
In order to sell a house with a power of attorney and to be able to validate the transaction, a series of requirements must be met:
· It has to be drafted in a clear and precise manner, specifying the powers granted to the attorney-in-fact and the details of the property to be sold.
· It must be signed before a notary. The power of attorney must be signed before a notary public in order to be legally valid. The notary certifies the identity of the principal and the authenticity of the power of attorney.
· It must be registered in the Property Registry. In some cases, especially if it is a general power of attorney, it may be necessary to register the power of attorney in the Land Registry to ensure its publicity and enforceability against third parties.
· Additional documentation must be prepared. As in a direct sale, the attorney-in-fact must present all the necessary documents for the sale of the property, such as the title deed, the certificate of freedom from encumbrances, and the other documents mentioned above.
The sale of an apartment through a proxy with a valid power of attorney is a convenient alternative that allows to close real estate transactions with fewer impediments and in a more direct way, especially in those cases in which the owner is impeded, his residence is far from the location of the property or there is no possibility of his presence on site.
However, it must be taken into account that powers of attorney, especially general powers of attorney, require maximum confidence in the attorney-in-fact, since it is a legal document that enables the attorney-in-fact to carry out all kinds of legal actions on behalf of the principal, purchase and sale operations and various transactions on his behalf, which leaves the principal in a clearly vulnerable situation if there is bad faith on the part of the attorney-in-fact.
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