GIPE Newsletter (Nº 24.140) January, 24th 2025
SALE OF PROPERTY:
SALE OF PROPERTY WITH A SUSPENSIVE CONDITION
If you want to buy a property but you detect possible urban or registry limitations, you can close the transaction under a suspensive condition. This ensures that the sale is formalized only if certain key conditions are verified, such as that the property is not affected by rights of first refusal or withdrawal from the Public Administration, or by regulations that limit urban planning licenses.
To ensure that these situations do not affect the operation, it is recommended that the seller request the necessary consultations with the Administration and confirm that the transfer can be carried out without problems.
HOUSING LEASES:
CAN THE TACIT LEGAL EXTENSION BE EXCLUDED BY CONTRACT?
– Initial duration and minimum legal extension:
Lease contracts have the duration agreed by the parties, generally one year, automatically renewable.
In residential leases, the law requires the contract to be extended for a minimum of 5 years if the landlord is a natural person or 7 years if it is a legal person.
– Tacit legal extension:
Once the minimum legal term has been met, the contract is automatically extended for annual periods up to a maximum of 3 years, unless:
- The landlord notifies the tenant at least 4 months in advance that he does not wish to renew it.
- The tenant notifies this 2 months in advance.
– Extraordinary extensions:
If the tenant is a vulnerable person and the landlord is a large holder, he can request an additional one-year extension.
In areas with a “tense residential market”, the contract can be extended for 3 more years after the legal extensions if requested by the tenant, unless:
- Better conditions are agreed for the tenant.
- A new contract is signed with a limited price.
- The landlord (natural person) needs to recover the property for himself or family members and notifies this.
GIPE: Together we will be stronger