Costs of Lawyer in Valencia and Malaga when buying a property
The general 1-2 % of the transaction
The cost of a lawyer’s fees to represent you in the purchase of property in Spain can vary depending on a number of factors, including:- The experience and qualifications of the lawyer.
- The complexity of the transaction.
- The location of the property.
Why are lawyers’ fees calculated based on a percentage of the value of the property?
Don’t they charge by the hour? The reason may be historically determined by the calculation of fees based on the official “Fee Scales” of the Spanish Bar Associations. As we have seen in this article, the Bar Associations in Spain are distributed in judicial districts or by provinces. Historically, these institutions determined “minimum” fees that the lawyer had to charge for each service. In the past, these scales were mandatory, but today their monitoring is completely voluntary, meaning that the lawyer is free to use the criteria established in these standards for his offer to the client. The only exception to this “freedom of fee agreement” is established in the calculation of legal costs in the event of a judicial dispute. In these cases, these scales are usually used as references in the event of a judicial dispute. the exclusive effects of valuing that item (the fees) in the incidents of cost assessments or sworn accounts of lawyers. Let’s see how a lawyer involved in a real estate transaction in different parts of Spain would quote, following the scales of each association or district:Málaga
How much does it cost a Lawyer in Malaga for a property purchase assistance?
The Malaga Bar Association approved its own scales on September 18, 2006. According to this scale, the different actions carried out by the lawyer are valued with a series of “points”, which accumulate as the process progresses. Finally, the total number of points generated is multiplied by an amount that is updated each year, and which is approved by the Malaga Bar Association. For the year 2023 the value of the officially approved point is 71,50 EUR (plus VAT 21%).How it works in a purchase and sale transaction in Malaga:
- Simple consultations of less than one hour: 2 points = 143 EUR + VAT / hour
- Complicated consultations or consultations lasting more than an hour: 4 points = 286 EUR + VAT
- Telephone consultations: 1-2 points = 71,50 – 143 EUR / telephone call
- Written communications (emails): 3-6 points = 214,5 – 429 EUR + VAT/email
- Opinions, reports and reports: 10 points = 715 EUR + VAT / report
- Meetings with other lawyers: 3-5 points = 214,5 – 357,5 EUR + VAT/meeting
- Management (notary, registry, City Hall): 2 points = 143 EUR + VAT / Management
- Contract drafting:
- Up to €30,000: 2% of the property value
- Up to 60,000 EUR 1%
- Up to €150,000: 0,7%
- + EUR 300,000: 0,5%
- Language other than Spanish
- One of the parties to the contract being a foreign national
Example
Let’s assume a case, a specific case of sale:- 3 Complicated consultations with the client: 858 EUR + VAT
- 10 phone calls: 715 EUR + VAT
- 30 emails: 2.145 EUR + VAT
- 3 reports (one on the study of the property, another on the tax calculation, and another on the client’s civil and personal considerations): 2.145 EUR + VAT
- 5 procedures with a notary, 3 with the City Council and 3 with the property registry, and 2 for each change of water, electricity and IBI = 13 x 71,50 = 929,5 EUR + VAT
- Editorial: 0,5%
- Contract complexity + 50% = 0,75%
- Negotiation + 100% = 1,5%
Valencia
Lawyer costs and fess for a property purchase in Valencia
The Valencia Bar Association approved its own scales on September 9, 2007. These scales quantify the services of a lawyer in a real estate transaction based on the “value” or “amount” of the transaction. That is, the “price” agreed upon for the sale between buyer and seller. According to this value, percentages are applied on a scale, which are defined according to the functions or services entrusted to the Valencian lawyer. In this way, based on the official scale and considering the phases and services that the lawyer would perform in a home or property purchase transaction in Valencia, we can make a simulation of the fees that would result from applying said scales.- Departures, consultations, phone calls, communications: 60-200 EUR / share
- Drafting of complex contracts (contracts in which one of the parties is a foreigner, speaks another language, or that must be drafted in another language are considered complex): 50% of Scale I
- Notarial acts: 30% increase in fees derived from drafting the contract.
- Contract Negotiation: The above fees increased by 50%.
- If the amount of the contract is greater than 600,000 EUR. The amount of fees accrued up to now will be increased by the following percentages:
- Up to €1,200,000, 25%.
- From €1,200,001 to €1,800,000, 50%.
- From €1,800,001 to €2,400,000, 75%.
- More than €2,400,000, 100%.
- 3 Complicated consultations with the client: 300 EUR + VAT
- 10 phone calls: 600 EUR + VAT
- 30 emails: 1.800 EUR + VAT
- 3 opinions (one for the study of the property, another for the tax calculation, and another for the client’s civil and personal considerations): 600 EUR + VAT
- 5 procedures with a notary, 3 with the City Council and 3 with the property registry, and 2 for each change of water, electricity and IBI = 13 x 100 = 1.300 EUR + VAT
- 50% of Scale I = 11.113 EUR + VAT
- Notarial acts + 30% = 3.333,9 EUR + VAT
- Contract negotiation: 5.556,5 EUR + VAT
