Any Info ?

Is it normal procedure to lodge your holding deposit with your estate agent as we have not found a solicitor yet

Apparently yes .... well I hope so because i have!!

But seriously this seems to be the norm ... an initial holding deposit of approx 3000e followed by 10% within a couple of weeks (all paid to the Estate Agent to be held in their Customer Account? I think).

The 3000e is no refundable unless there is something wrong with the property i.e. An illegal extension or something.  

Once the 10% is paid neither party can pull out without incurring costs ... the buyer if they change their mind lose the 10% to the seller.  Whereas the seller has to pay 20% to the buyer if they change their mind.

Hope this helps.

thanks for that information, hard to know what is the norm when buying in a different country.

Yes I know ... it is a very worrying time.

My Estate agent was desparate for me to complete this week ... I was panicking and now I find the vendors will not be ready until mid January ... lucky I did not book up for Christmas as we had planned!!!

I think the main thing is to make sure there are no outstanding finance on the property  (i.e. The utility bills have been paid up to date, the local taxes have been paid and any mortgage cleared) before you sign at the Notary.  Also if you are purchasing off a non Spanish person that 5% (I think) is held back to cover the Capital Gains Tax liabilities of the vendor.  Hopefully your lawyer should do all this but be careful as I have heared the Spanish Lawyers may  not be as thorough as we assume UK lawyers to be.

Good luck.

Ps. Anything I have missed anyone??

This message was last edited by TP1 on 12/16/2008.

Gorth1,

Please make sure you go to a solicitor.  I hope it is not to late to say that to you.  I say this as someone who didn't and who is busy falling fast into a deep hole.