Now that the extraordinary lottery draw for ChristmasMany people go back to the idea of what to do with the prize money if they are lucky. Buy a house in tocateca it is one of the dreams most recurrent among the holders of some tenth. It is important not to get carried away by the first impulse, since a real estate operation of these characteristics requires some planning. In pisos.com we tell you the steps you must take if you want to buy a house in cash:
1. No charges. We must ensure that the property is free of registration charges, from outstanding mortgages to seizure notices, as well as limitations on the sale price of protected homes. You must go to the Land Registry and request a simple informative note. There is also a request to the seller for the last receipt of the Property Tax and to verify that it is paid, as well as to ask the community of owners for a document certifying that the house is up to date with the payments.
2. Deposit contract. This document is not obligatory, but it fulfills a relevant function, since it ensures the operation in the agreed terms, such as the price and the maximum term of writing. The agreement is materialized with the delivery of an economic amount as a signal that usually ranges between 5% and 15% of the total price of the home. This contract is very useful because it serves to demand the sale of the property and, in case the seller refuses, force him to pay the corresponding compensation for the damages caused.
3. Secure payment. Any buyer must value the payment methods with more guarantees to execute the purchase. In this sense, experts admit that the bank check nominative is the safest way because the beneficiary will be only the person whose name appears on the check. In addition, it must be barred or crossed so that it can only be charged through a specific bank, never in cash. Another option is that it be conformed, that is to say, that the bank assures the person who is going to charge it that the one who issues the check has funds.
4. Mortgage expenses. The purchase of a house in cash entails a series of savings. When there is no loan, there are no mortgage expenses, although with the new Mortgage Law, the bank runs with the majority of them. The cash payment eliminates other costs that continue to be applied to the customer, such as the appraisal, the opening commission, the interest on the mortgage and all linked products. However, this type of purchase is not exempt from expenses. The costs of writing and registering the mortgage do not apply, but the costs of the sale.
5. Liquidate taxes. The buyer must assume the corresponding taxes. If the house is newly built, you must pay the VAT, and if it is second hand, the Transfer Tax Patrimonial. When dealing with cash purchases, you are free of the payment of taxes linked to mortgages, as is the case of the Tax on Documented Legal Acts. However, this tax is also borne by banks when buying through a mortgage since the approval of Royal Decree Law 17/2018.