Category: Real Estate Law

Letter from the Court: What to do?

Receiving a letter from the court can cause anxiety, especially when the person doesn't know if it's a simple notification, a summons, a seizure order, a summons for a hearing, or a court decision. Often, the…

Land in RAN/REN: what to confirm before signing the preliminary purchase agreement?

Land in RAN REN

Buying land may seem like a simple decision when the location, price, and size seem adequate. However, when the land is located within a National Agricultural Reserve (RAN), National Ecological Reserve (REN), or other territorial constraints, the preliminary purchase and sale agreement (CPCV) must be prepared with special care. The National Agricultural Reserve and the National Ecological Reserve can limit construction, changes in land use, the execution of works, the installation of infrastructure, or the future appreciation of the land. Therefore, before signing, it is essential to confirm whether the intended use is legally possible. In a preliminary purchase and sale agreement, failure to verify these constraints may expose the buyer to the loss of the deposit, the impossibility of building, or the acquisition of land that does not serve the intended purpose. The analysis should be done before signing, not just before the deed is executed.

Foreigners buying a house in Portugal: CPCV

Foreigners buying houses in Portugal

When buying a house in Portugal, the CPCV (Preliminary Purchase and Sale Agreement) is the moment when the main conditions of the transaction are defined before the deed is signed, including price, deposit, deadlines, financing, property documentation, and consequences in case of default. In Portugal, the purchase of real estate by foreigners is permitted, but this does not mean that the process is simple or that a generic template adequately protects the buyer. Those living outside the country may face additional difficulties: obtaining a tax identification number (NIF), opening a bank account, validating documents, signing remotely, understanding taxes, confirming the legal status of the property, and keeping track of deadlines. Therefore, the preliminary purchase and sale agreement must be adapted to the specific situation of the foreign buyer. The goal is not only to reserve the property but to ensure that the purchase can reach the deed signing stage with legal security and without avoidable surprises.

Preliminary purchase agreement with power of attorney: requirements, risks, and how to validate powers.

CPCV with power of attorney

Celebrating a preliminary purchase and sale agreement (CPCV) with a power of attorney allows another person to sign the contract on behalf of the buyer or seller. This solution is common when one of the parties lives abroad, is unable to attend in person, wishes to delegate the process to a family member or professional, or needs to ensure the signature within a short timeframe. However, it is not enough to present a document titled "power of attorney." It is necessary to confirm the identity of the represented party and the attorney, the form of the document, the powers actually granted, its validity, and any limitations, revocation, or sub-delegation. In a preliminary purchase and sale agreement, an insufficient power of attorney can create doubts about the binding nature of the represented party, compromise the deposit, and prevent the execution of the deed. Therefore, the powers must be verified before signing and before the delivery of any amount.

Buying property in co-ownership: how to structure the preliminary purchase agreement.

purchase of property in co-ownership

Buying property in co-ownership allows two or more people to jointly acquire a house, land, a shop, or other real estate. It's a common solution among unmarried couples, family members, friends, investors, or partners who wish to share the price and costs of the acquisition. However, buying jointly does not automatically mean that each buyer becomes the owner of a specific division or physical part of the property. As a rule, each co-owner acquires an ideal share of the entire property, such as half, a third, or another defined proportion. Therefore, the preliminary purchase and sale agreement must clearly indicate who is buying, what each person's share is, who pays the deposit, how financing will be obtained, and what happens if one of the buyers no longer wants to or is unable to complete the deal. An unclear contractual structure can create problems with the deed, bank loans, the use of the property, and a future sale. The preliminary purchase and sale agreement should be adapted to the actual agreement between the buyers and not simply identify several names in a generic template.

Preliminary purchase agreement in the name of a married couple: property regime, spousal consent.

CPCV in the name of a couple

Entering into a preliminary purchase and sale agreement (CPCV) on behalf of a married couple requires more than simply identifying two people as buyers or sellers. The marital property regime, property ownership, the origin of the funds, the existence of a mortgage, and the need for spousal consent can all alter who must sign and what the effects of the transaction will be. An error in identifying the parties can create difficulties in financing, deed registration, or property acquisition. If the couple is selling, the lack of a signature or necessary consent can also jeopardize the fulfillment of the contract and lead to a dispute over the deposit. Therefore, the preliminary purchase and sale agreement must indicate the marital status of each party, the applicable property regime, and the capacity in which each person signs. It is not enough to use a generic template or assume that marriage automatically makes both spouses owners of all assets.