How do I have full security when buying a property?

I have been asked this question a number of times: How do I have full security when Buying a property in Spain? What if the seller has sold the property to another buyer one hour before the signing of our purchase deed or what if an embargo is annotated on the property at the Land Registry the same morning I am buying? How do you control that in Spain?

The answer is through the information provided by the Land Registry to the Notaries. I will go step by step.

1.- What is the Land Registry?

The Land Registry is a public institution that creates ownerships on immovable assets (properties) to guarantee the legal / real estate security. The ownership or immovable real rights on assets / properties are acquired through the Land Registry. The Institution depends on the Ministry of Justice of Spain.

It may sound a little bit complicated so, to simplify it, it is just a Registry of properties and rights on them (for example, right of views, right of way or passage, embargos, mortgages, etc..) with their owners or the owners of those previously mentioned rights.

2.- What is a Nota Simple?

The Nota Simple is a non-certified extract of the contents of the entries of the property at the books of the Land Registry. It identifies the property, the owner or owners of the legal rights registered with the property and limitations to those rights.

What is important of this definition is that a Nota Simple is just an informative document that has not legal value as a proof what is by itself extremely important. If there are errors on the document, the Land Registry will not assume any liability.

3.- What is a Nota Simple Continuada?

It is also called Continuous Land Registration Information (Información Registral Continuada). This is the element that gives full security to the real estate transactions in Spain as guarantees the buyer on the real status of ownership and liens or encumbrances on the property as any changes to that ownership or rights will be reported by the Land Registry to the Notary. The Notary asks the Land Registrar with three days in advance to the signature of the Transfer Deed to double check that there are not changes on ownership or rights on the property. For a period of ten days, the Land Registrar has to communicate the Notary about any changes on ownership or rights and/or any additional requests to changes on ownership or rights to the property. 

Since each particular case is different, it is fully recommended that you check your own details with your lawyer.