snikpoh

Does anyone know if there is the concept of leasehold in Spain?

Specifically, if a house contained many flats, when one of the flats is sold, do they also get the freehold or can the flat be sold leasehold?

I've googled the question and some of the answers I got seemed to be confusing leasehold with rent-to-buy.

cricketman

AFAIK, there is no freehold system in Spain. It is a very British concept that goes back to feudal times

snikpoh

Thanks. If there is no freehold system, then who actually owns the 'land' on which a house is built?

cricketman

Well, if it is a private one owner property it will be the owner. If it is a block of flats I presume it will be the community of the block.

JLFS

I suppose this is the right answer, as it makes the most sense, but to honest I, as a property owner, have never bothered going into this "legal" aspet of property buying.

I suppose we did what most do, which is, pay the community charge, sign the deeds, and not bother delving any further.

EsuriJohn

I think you are wrong here. I agree that the F/L is a British concept that stems from feudal law making but that the Spanish system has the equivalent. My casa stands in its own parcela and I have an Escritura for the land and a separate Escritura for the building.

In UK there is a title called a "Flying Freehold" (not usually used for flats) but where a piece of a property extends without physical support over another different freehold. This is the nearest to what most appartments are held in Spain but with heavy overtones of leasehold in that common areas and the external fabric are maintained in common.

cricketman

An Escritura are the "deeds" not the "lease"

I have a leasehold flat in London with only 80 years left on the lease. When the 80 years run out, I will have to return the property to the freeholder. The alternatitive is I pay £30k or so to extend the lease.

I have never heard of a leasehold system in Spain and although I am not a property lawyer I am 99% certain it doesnt exist!

EsuriJohn

I don't think there is, my Escrituras make me the sole owner of my property just as a freehold would in UK. With a Spanish apartment it is held in perpituity on the Escritura for the apartment ie just as a flying freehold in UK no perod of time to hand back. However I suppose if the community does not maintain the externals there comes a point where the fabric has deteriorated so much that the block is uninhabitable and has to be demolished/complete refurbed.

spainrico

Surely this question will answer the point:

Is anybody who owns their property and holds an escritura paying a ground rent to the freeholder as a UK leaseholder would?

The answer will be no one. (Or if you answered yes you have a problem)

Just read your escritura (this have also been process through your local Land Registry office) no one else apart from you should be mentioned unless, of course, you have a mortgage.

All properties on an urbanisation come with the ownership responsibilities for the shared roads, gardens, pool, etc etc - this is also clearly stated in the escritura and the reason you have to pay community fees and the rules for running communities have to comply with the relevant law.

jdr

But aren`t the bars bought on a leasehold and they pay rent weekly also ?

spainrico

Yes but I thought the thread was about private residential accommodation.

jdr

I was answering the first question.

Does anyone know if there is the concept of leasehold in Spain?

There is on bars, but maybe not on flats.

snikpoh

You're correct JDR, there were really 2 questions .

I am really interested in my situation where I own a block of flats which were created out of a single residence. If I now choose to start selling off these flats (ha, ha!!), do I have to set up some sort of community to maintain the building, pay for the upkeep of communal spaces, pay for the stair lighting etc. and then, can I retain the freehold and charge them an annual fee much like leasehold flats in UK?

mikelincs

Do you mean freehold, or leasehold, as freehold is the norm in Spain, I suspect you meant leasehold, never heard of that in Spain.

surreygirl

No its called "commonhold" on the continent. You automatically own the freehold along with everyone else - unlike in the UK -!. As someone has stated above freehold is feudal. People are trying to get flats in the UK reverted to commonhold and a lot of new builds are now commonhold in the UK