In Spain, the role of the notary is relatively limited in real estate transactions. In this practical guide, we explain their functions and their supplementary role with a lawyer when purchasing real estate. Our real estate experts have contributed to this exercise to inform you as thoroughly as possible and help you understand why our all-in-one offers, including administrative and legal guidance, may be of interest.
What to expect from a notary in Spain?
Unlike the Netherlands or Belgium, the notary in Spain is not an independent practitioner; they represent the state. In fact, the notary is a legal professional performing a public function. Therefore, the Spanish notary is obliged to provide free and impartial legal advice to any Spanish citizen who requests it.
Nevertheless, the Spanish notary also offers paid services, such as:
- Personal and family relations (marital property regimes, inheritances, and wills)
- Housing and real estate (sale/purchase of real estate, new construction)
- Mortgages and loans
- Companies and corporations (company formation)
- Powers of attorney
- Notarial deeds
- Mediation
- Procedures (application for an NIE, etc.)
What is the role of the notary in real estate purchases?
Unlike the Dutch notary, the Spanish notary remains impartial in a real estate purchase; they do not take sides for the buyer or seller and are there to ensure compliance with local laws. Their role and obligations are limited.
Therefore, it is highly recommended that the buyer engages a lawyer (these costs are included in our rates) or, even better, avails the services of a real estate agent, such as the ones we offer. The lawyer conducts all legal checks and provides legal advice (free of debts, free of charges, free of all encumbrances, free of hidden defects, presence of an energy diagnosis, verification of the registration certificate with the municipality: no liens or mortgages, no official protection of real estate whose selling price has been accepted).
In summary, in Spain, the notary handles the identification of the parties and witnesses signing the deed, registers the new owner in the Property Register (Registro de Propiedad), and collects all costs and taxes involved in the sale. Read here about the costs of the notary in Spain.
To assist you, here is the list of notaries sworn in by the Spanish state in function:
The notary and the establishment of a company in Spain
Setting up a company in Spain can be a lengthy process. The procedures differ from those in France, and after applying for your NIE and registering your company name with the Chamber of Commerce, the next mandatory step is an appointment with a Spanish notary.
In this regard, the notary’s role is to validate or reject the company’s articles of association, which you have prepared in advance with the assistance of a legal advisory firm. The articles of association include:
- The purpose of the company (type of activity)
- Legal status (SA, SL, Autonomo, etc.)
- Appointment of shareholders (distribution of the company’s shares)
- Appointment of directors (Director(s))
- Distribution of participations (redistribution of profits)
- Fiscal and social domicile (administrative address, registered office)
- Amount and nature of the capital*