Can you sell a flat with outstanding community fees?
If you are thinking about selling your flat and have unpaid community fees, it is natural to wonder whether this could prevent the sale. You may be worried that the buyer will pull out when they find out, or that the debt will come to light just as you are about to complete the sale.
Yes, you can sell a flat even if you owe money to the community of owners. What matters is knowing how much you owe, telling the buyer and agreeing on how it will be paid. If you arrange everything in advance, it does not have to become an obstacle to the sale.
At Galgo Real Estate, we help you value your property and prepare for the sale so you know how to deal with the debt before finding a buyer.
Do you want to sell your flat but have outstanding community fees?
Knowing what your property is worth is the first step towards planning the sale with the outstanding debt in mind.
Does a debt to the community of owners prevent you from selling your flat?
No. You can put your flat on the market even if your community fees are not up to date. The debt itself does not prevent you from signing the sale deed before a notary.
In the deed, you will need to declare whether your payments are up to date or state how much you owe. You must provide a certificate from the community of owners confirming this information, unless the buyer expressly waives this requirement.
A known debt with an agreed payment arrangement is much easier to manage than an unpaid bill that comes to light after the completion date has already been set.
How can you find out exactly how much you owe?
You may remember two unpaid monthly fees, but another one may have fallen due since then. You might also have made a recent payment that has not yet been recorded in the community’s accounts.
Request a certificate showing the status of the property’s debts to the community of owners. You can usually request it from the property administrator. The document is issued by the community’s secretary, with the president’s approval, and the law sets a maximum period of seven calendar days from the request.
Check the amount as soon as you receive it. If it does not match your payment records or you do not understand a charge, you will have time to clarify it before discussing payment with the buyer.
Do you have to pay the debt before selling?
Not necessarily. If you can settle it before completing the sale, you will hand over the flat with the community fees up to date and will not need to negotiate that debt with the buyer.
You may need to use the proceeds of the sale to pay what you owe. Imagine you owe €1,500 to the community of owners. You can agree with the buyer that this amount will be used to settle the debt on completion.
The agreement must specify who will make the payment, when it will be made and how it will be documented. Deducting €1,500 from the money you receive does not, by itself, guarantee that the community will be paid. It is best to agree on the details with the buyer and the notary’s office before the day of completion.
At Galgo Real Estate, we help you take this debt into account when preparing the sale, so you know how much money you will actually receive and can explain to the buyer how it will be settled.
Do you want to sell your flat but have outstanding community fees?
We help you understand what your flat is worth and take unpaid community fees into account when considering offers.
Can the community of owners claim unpaid fees from the buyer?
The property remains liable for certain debts to the community of owners even after ownership changes. The law limits this liability to amounts corresponding to the elapsed portion of the year of purchase and the three preceding calendar years.
This does not mean that the buyer becomes personally responsible for all your debts. It does mean they have a reason to request the certificate and want any unpaid fees to be settled when the sale deed is signed before the notary.
It is also in your interest to have a written record of what has been agreed. After signing, it will be much harder to resolve a disagreement about who was supposed to pay an amount that both parties already knew about.
If you are gathering the paperwork for the sale, you can read our guide to the documents you need to sell your home.
What to do if you want to sell and have unpaid community fees
A debt to the community of owners is easier to resolve when you still have time to organise the sale. If you wait until you have an offer on the table, you may have to make rushed decisions or change the terms you had planned.
- Request an up-to-date debt figure. Ask for the certificate and check that it correctly reflects the payments you have made and the fees that remain unpaid.
- Calculate how much you will have left after the sale. If you plan to pay the debt using part of the sale price, take it into account when considering offers. You will not keep the full amount stated in the contract.
- Speak to the buyer before setting the completion date. Explain how much is owed and how you propose to pay it. A clear solution will be easier to accept than finding out about the debt at the notary’s office.
- Clearly define the payment arrangements. If the debt will be paid using the proceeds of the sale, both parties should know who will handle the payment and what evidence will confirm that it has been settled.
What can complicate the sale?
A debt to the community of owners can create mistrust if the buyer only finds out about it when the sale is already well advanced. Even if the amount is small, they may want to review the terms or delay completion until they know how it will be paid.
At Galgo Real Estate, we help you value your flat in Valencia and plan the sale taking your outstanding community fees into account, so you know how much money you will have left and can negotiate with the buyer from the outset.
