Community fees debt certificate: what the buyer should check before signing
Before buying a property, it is worth checking whether the flat carries debts to the residents’ association and what must be stated in the deed. This article explains what to ask for, who issues it and how to verify the information without confusing it with other documents.
What to check before buying a property
When you buy a property, it is not enough to check the price, the mortgage or the simple title report. It is also worth verifying whether there are any outstanding debts with the owners’ association, because that information can affect the transfer and the security of the transaction. The basic rule is clear: in the deed, the transferor must declare whether they are up to date with payments or, if not, state what amounts are owed; in addition, they must provide certification of the state of debt with the owners’ association, unless the buyer expressly releases them from that obligation. This is set out in article 9.1.e of the Ley de Propiedad Horizontal.
The Comunidad de Madrid summarises this precaution in its buying and selling guide: it recommends asking the seller for the IBI receipt and the community fee receipts, because if this is not checked in time, the buyer may end up taking on certain community debts within the legal limits. Its guide also sets out the scope of that liability of the purchaser under the horizontal property regime: the flat or commercial unit remains liable for amounts owed by previous owners up to the relevant legal limit. You can see this on the Compraventa de viviendas page.
What documents to ask for and what each one is for
Before signing, it is advisable to organise the paperwork into three groups:
1. **Deed or draft sale agreement**: to check that the declaration regarding debts appears explicitly.
2. **Community debt certificate**: issued by the secretary with the approval of the president, or whoever legally performs those duties.
3. **Receipts or proof of payment**: these help to verify that what is certified matches the payments actually made.
In practice, these documents do not serve the same purpose. The certificate serves to formally record the state of debt with the owners’ association, while the receipts allow you to check the detail of recent payments. If there is any discrepancy, it is not advisable to accept a verbal explanation: written clarification should be requested before signing.
Practical steps to review the community debt
1. **Ask for the certificate in advance**
Ask the seller to arrange it with enough time for you to review it before signing.
2. **Check the property name and the identification of the dwelling**
Make sure the certificate refers exactly to the flat you are going to buy.
3. **Read the amount and the period it refers to**
Do not stop at the final balance: check which financial years or items are included.
4. **Check whether the deed repeats the statement that payments are up to date**
If the declaration is not reflected correctly, ask for it to be corrected before signing.
5. **Cross-check with the community’s information**
If you have access, ask the administrator or secretary to confirm that there are no outstanding issues.
Common mistakes to avoid
- **Signing without a certificate**: if the buyer releases the seller from providing it, there is greater documentary uncertainty.
- **Confusing community debt with other expenses**: not every unpaid bill is a community debt; it is worth separating IBI, community charges, utilities and other charges.
- **Thinking that an “empty” property cannot have debt**: the presence or absence of occupation does not in itself change the owner’s obligation to be up to date.
- **Accepting an old document as valid**: if the transaction is delayed, the information may need updating.
- **Not checking the wording of the deed**: an omission in the transferor’s declaration can complicate later claims.
What happens if a debt appears afterwards
If an undisclosed debt comes to light after the purchase, the situation must be assessed case by case. As a general guide, the Ley de Propiedad Horizontal establishes a real charge on the property for certain community debts of previous owners, subject to the time and amount limits set out in article 9.1.e. That means the buyer is not always free of all issues simply by signing the deed. That is why it is important to review the documents before completion and to leave written record of any reservations.
This is general guidance, not individual advice. If the transaction involves several owners, inheritances, an outstanding mortgage or a community with issues, it is advisable to review the specific case before signing.
What UBICASA can do before signing
If you want to sell or buy with greater documentary security, you can request an indicative valuation and a preliminary report on our valoración de vivienda en Madrid page. The online estimate is indicative, not an official valuation, and includes a value range and a PDF report; in addition, if you need it, you can request an optional visit.
If you would rather review your case with a professional, you can contact us at Contact. Our office is at Calle Montesa 29, Madrid, and we are open Monday to Friday from 10:00 to 15:00 and from 16:00 to 19:00.