Introduction
A property sale preliminary agreement is a big step when you are buying or selling a property. It is not a verbal agreement between a buyer and a seller. It is a document that creates legal obligations for both the buyer and the seller.
Before the agreement can be signed the notary must check the identity and ownership details of the buyer and the seller. If one document is missing it can cause delays or even stop the process.
In this guide we will explain what documents are needed for a property sale agreement. We will tell you what the seller needs to provide what the buyer needs, where each document can be obtained and how long it takes to get them.
1. What Is a Preliminary Agreement. Why Does It Require Documents?
A preliminary agreement is a document where the seller and the buyer agree to complete the property transfer under certain terms and within a certain time frame.
Because it is a document the notary must check the identity of the buyer and the seller, the ownership of the property and the terms of the agreement.
For this reason certain documents must be presented before signing the agreement.
2. Documents the Seller Needs for the Preliminary Agreement
The seller needs to provide two types of documents: personal documents and property documents.
Τhe seller will need
- National ID card or passport
- Tax Identification Number
- Social Security Number
If the seller cannot attend the signing, a power of attorney is required. This must be issued before the signing date.
If the seller lives abroad some documents may need to be translated and certified.
If the seller is a company more documents are needed, including
- Company Articles of Association
- Certificate of Legal Representation
These documents can be obtained from:
- Police Authority for the ID card
- Greek Tax Authority for the Tax Identification Number
- IDIKA platform or Citizen Service Center for the Social Security Number
- Notary Public for the power of attorney
The seller must also provide documents that prove ownership of the property such as:
- Title deed
- Cadastral extract or registration certificate
- Property Tax Certificate
- These documents can be obtained from:
- The owners. A notary for the title deed
- Hellenic Cadastre for the cadastral extract
- Greek Tax Authority for the Property Tax Certificate
3. Documents the Buyer Needs for the Preliminary Agreement
The buyer needs to provide:
- National ID card or passport
- Tax Identification Number
- Social Security Number
If the buyer is getting a mortgage the bank may ask for documents later.
If the buyer is a foreigner they may need to provide:
- documents
- Identification certificates
- Tax representation documents
For the preliminary agreement the buyer just needs to prove their identity.
4. Deposit in the Preliminary Agreement: Amount and Legal Protection
When the preliminary agreement is signed a deposit is usually paid.
The deposit is usually between 5% and 10% of the purchase price. The payment method is important. It can be:
- Bank transfer
- Bank cheque
- Other documented payment methods
The deposit protects both the buyer and the seller.
If the buyer pulls out they lose the deposit. If the seller pulls out they must pay back double the deposit.
5. What Does the Notary Check Before Signing the Preliminary Agreement?
Before signing the notary checks:
- The identity of the buyer and the seller
- The ownership of the property
- The terms of the agreement
- Any legal issues
If there are issues the notary will not proceed until they are resolved.
6. Preliminary Agreement Document Checklist
For the Seller:
- ID card or passport
- Tax Identification Number
- Social Security Number
- Power of attorney (if needed)
- Title deed
- Cadastral extract or registration certificate
- Property Tax Certificate
For the Buyer:
- ID card or passport
- Tax Identification Number
- Social Security Number
- Financing information (if using a mortgage)
- Power of attorney (if needed)
Getting these documents ready before the signing can help avoid delays.
FAQs
Can I sign an agreement without all the property documents?
Yes you can sign an agreement without all the property documents but you need to have the essential documents that prove the sellers identity and ownership.
What happens if the seller cannot attend the signing?
The seller can be represented by someone, with a power of attorney.
How much does an agreement cost and who pays for it?
The cost of an agreement depends on the property value and the notary’s fees. The buyer and the seller can agree on who pays for it.