rent to buy issues

[snikpoh]

We are trying to move into a property in Spain with a rent-to-buy contract. The agent is asking for lots of money by way of her fee - what is the norm?

Also, the agent refuses to register the contract with the land registry or have it signed in front of a notary - is this legal?

The agent also states that NONE of the rent paid will be deducted from the purchase price - is this legal?

Can any one please assist.

[Patricia]

Hello Snikpoh,

I recommend you not to liaise with a Estate Agent but with a solicitor regarding legal formalities in connection with a rent to buy contract as they are not very familiar with the procedures and you may be in trouble in the long run.

The process depends a great deal on whatever has been agreed between the landlord/owner and yourself. The agent should not charge you for this as he is not a Law professional; it is not a service he/she is qualified to offer. The usual procedure is that the Estate agent receives a one month´s rent commission from the transaction, from the property owner.

The fact of registering the rental contract at the Land Registry office depends on the parties but it is not necessary. A Notary is not required either.

Regarding the rent being deducted from the purchase Price, they are normally taken into account but a percentage is applied depending on the amount of years passed between rent and purchase; the best thing is to get a solicitor involved. An extra payment for the option to buy is also required and applied to the final purchase price.

Regards,