PROPERTY BUYING PROCESS\STEP-BY-STEP INSTRUCTION
I. Choosing a suitable property
When choosing a suitable property among properties located in the same or different areas, a potential buyer can compare certain characteristics of properties and thus find the most advantageous solution. Important criteria for comparison are:
a) the actual area of the property, as well as the area indicated in the contract, in the tax declaration, as well as in the electricity bill, since taxes and fees levied on the property are determined on the basis of the latter.
b) the technical condition of the property.
c) the buildability of the land plot, as well as the buildability of neighboring plots.
d) the possibility of renting out the property and the possible cost of rent.
II. Legal audit of the property
Buying real estate is fraught with certain pitfalls and requires caution on the part of the buyer. The verification procedure allows you to objectively evaluate the investment object, reduce financial risks or avoid them. After a full check in the Cadastral and Land Registry, the lawyer provides comprehensive legal information about the object for the last 20 years (the presence of ownership, legitimacy of ownership, whether the property is free from encumbrances, debts, mortgages, arrests, pledges, inheritance rights of third parties, claims of third parties , legal disputes, litigation or extrajudicial litigation)
III. Technical verification of the property
In fact, this is a check that needs to be carried out at the facility, since non-compliance with the norms established by the permit for the construction of a particular property can certainly create serious problems in the future. Significant urban planning violations can lead to a ban on the sale/donation/inheritance of a property, as well as a ban on issuing a permit to put the facility into operation.
IV. Signing a private or notarized preliminary contract
As a rule, the reason for drawing up and signing a private or notarial preliminary contract is the payment of the advance payment. However, it is worth considering that signing one of the above documents will not prevent the seller from eventually selling the property to a third party. If this happens, the only thing that a potential buyer can do is to return the prepayment amount. Therefore, signing a private or notarized preliminary agreement does not provide full protection to a potential buyer.
V. Preparation of the contract by a notary
The notary will inform both parties of the transaction about the documents required, according to the latest laws, for drawing up a contract of sale, and subsequently proceed to draw up the contract.
VI. Payment of property transfer tax
Before signing a notarized contract of sale, a declaration is submitted to the tax office indicating the amount of property transfer tax. This declaration is drawn up by a notary and signed by the buyer and seller. The declaration is submitted by the buyer or a person authorized by him to the tax office at the location of the property. The transfer tax is paid by the buyer once, and is calculated from the cadastral value of the property, officially determined by the annual tables of the tax office for each region.
VII. Signing the contract at the notary
The final contract is signed in front of a notary between the buyer and the seller in the presence of their lawyers and a broker (if he acted as an intermediary in the selection of real estate). Then the notary will provide the buyer with a copy of the contract and other necessary documents for registration of the contract in the Cadastral and Land Registry.
VIII. Registration of the contract in the Cadastral and Land Registry
With the entry of the notarial contract into the books of the Cadastral and Land Registry, the process of buying real estate is completed.
IX. Declaration of immovable property to the State Tax Service
An important obligation of the buyer and seller after the conclusion of the contract of sale is to declare the transaction to the tax office within one month after signing the contract.