One of the most important steps when buying a property is making sure it’s free of liens or encumbrances.
This means confirming that the home has no debts, outstanding mortgages, or legal issues that could affect you after the purchase.
Checking this early on can save you from serious problems later. Below, you’ll find how to do it and which documents you need to review.
What Are Property Liens?
Liens or “encumbrances” are obligations or restrictions that affect a property directly.
They can include financial debts, usage limitations, or legal responsibilities that transfer to the new owner upon purchase.
The most common ones include:
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Mortgages that have not yet been paid off.
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Judicial or administrative liens.
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Debts owed to the homeowners’ association.
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Easements or usage restrictions.
Documents to Verify That a Property Is Free of Liens
1. Nota Simple from the Land Registry
The nota simple is the official document that shows the legal status of a property.
It indicates whether there are any mortgages, liens, easements, or other encumbrances.
You can request it online or directly from the Land Registry (Registro de la Propiedad).
2. Receipts and Certificates from the Homeowners’ Association
Request a certificate confirming that community fees are up to date.
This ensures the seller has no outstanding debts with the building’s homeowners’ association.
3. Property Tax (IBI) and Other Municipal Taxes
The latest IBI receipt (Property Tax) shows that the owner is current with municipal tax payments.
4. Technical and Legal Report
A thorough review carried out by professionals guarantees there are no hidden legal or structural issues.
Through our technical and legal verification service, we make sure all these aspects are reviewed before signing.
What Happens If a Property Has Liens?
If a property has existing liens, that doesn’t necessarily mean it can’t be purchased —
but they must be resolved before signing the final deed.
In most cases, the seller is responsible for cancelling any debts, or the issue will be reflected in the price and purchase conditions.
Avoid Risks with Professional Support
Checking whether a property is free of liens may seem simple, but in reality, it requires experience and attention to detail.
A Buyer’s Agent in Madrid takes care of verifying everything so you can buy with complete peace of mind — and no unpleasant surprises.
If you want to ensure your next home is in perfect legal condition, contact us — we’ll handle the entire verification process for you.
