Selling Property In Spain - Can the buyer transfer proceeds direct to a WISE account?

HUMBUG

Our property in Spain is about to be sold but we don't have a Spanish Bank Account.  Is it permissible for the proceeds of the sale to be directly transferred into a WISE Euro account? 

This is what Google AI says when I ask the question:
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Yes, the buyer of your Spanish property can likely transfer the proceeds directly into a Wise Euro account, as Wise allows you to receive money from Spain in EUR and convert it to other currencies. 

Here's a more detailed explanation:

• Wise as a Money Transfer Service:

  Wise is a financial technology company that provides international money transfers and multi-currency accounts. 

Receiving Money in EUR:

Wise allows users to receive money in EUR, which is the currency used in Spain. 

Transferring to a Wise Account:

You can share your EUR account details with the buyer, enabling them to transfer the proceeds directly into your Wise account. 

Converting and Spending:

Once the money is in your Wise account, you can convert it to other currencies or spend it using the Wise card or through bank transfers. 

Low Fees and Exchange Rates:

Wise is known for its low fees and mid-market exchange rates, which can be advantageous when transferring large sums of money. 

Trackable Transfers:

Wise provides tracking for every transfer, and they offer dedicated support for large amount transfers. 

Secure Transfers:

Wise is a regulated financial institution, ensuring the security of your transfers. 

IBAN Information:

The buyer will need your full name and bank account number (IBAN) to make the transfer. 

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I don't know whether to trust AI or use some of the comments I found on other threads that say you must have the proceeds of the sale to be transferred to a 'Spanish Bank Account'. 

Here is a WISE article on the subject:
https://wise.com/gb/blog/selling-property-in-spain#:~:text=Plus, if you want a,when sending large amounts 📞

It states the following:

"If you don’t live in Spain and have a Spanish bank account, you may also face fees when transferring the proceeds of the sale back home to the UK. If you want to avoid these hefty fees and get a great exchange rate for international transfers, consider checking out the Wise account."

Seems badly worded as we are non-residents and don't have a Spanish bank account , so are they implying the latter or do they literally mean   'You don't live in Spain but have a Spanish Account'. 

Do they mean the transfer of proceeds must happen directly into the sellers 'Spanish Bank Account' and then transferred to WISE Euro account.  

or 

Can the transfer be done directly into a WISE Euro account?

poseidon1

HUMBUG said:

Our property in Spain is about to be sold but we don't have a Spanish Bank Account.  Is it permissible for the proceeds of the sale to be directly transferred into a WISE Euro account? 

This is what Google AI says when I ask the question:
-------------------------------

Yes, the buyer of your Spanish property can likely transfer the proceeds directly into a Wise Euro account, as Wise allows you to receive money from Spain in EUR and convert it to other currencies. 

Here's a more detailed explanation:

• Wise as a Money Transfer Service:

  Wise is a financial technology company that provides international money transfers and multi-currency accounts. 
• Receiving Money in EUR:

  Wise allows users to receive money in EUR, which is the currency used in Spain. 
• Transferring to a Wise Account:

  You can share your EUR account details with the buyer, enabling them to transfer the proceeds directly into your Wise account. 
• Converting and Spending:

  Once the money is in your Wise account, you can convert it to other currencies or spend it using the Wise card or through bank transfers. 
• Low Fees and Exchange Rates:

  Wise is known for its low fees and mid-market exchange rates, which can be advantageous when transferring large sums of money. 
• Trackable Transfers:

  Wise provides tracking for every transfer, and they offer dedicated support for large amount transfers. 
• Secure Transfers:

  Wise is a regulated financial institution, ensuring the security of your transfers. 
• IBAN Information:

  The buyer will need your full name and bank account number (IBAN) to make the transfer. 

------------------------------------------

I don't know whether to trust AI or use some of the comments I found on other threads that say you must have the proceeds of the sale to be transferred to a 'Spanish Bank Account'. 

Here is a WISE article on the subject:
https://wise.com/gb/blog/selling-property-in-spain#:~:text=Plus, if you want a,when sending large amounts 📞

It states the following:

"If you don’t live in Spain and have a Spanish bank account, you may also face fees when transferring the proceeds of the sale back home to the UK. If you want to avoid these hefty fees and get a great exchange rate for international transfers, consider checking out the Wise account."

Seems badly worded as we are non-residents and don't have a Spanish bank account , so are they implying the latter or do they literally mean   'You don't live in Spain but have a Spanish Account'. 

Do they mean the transfer of proceeds must happen directly into the sellers 'Spanish Bank Account' and then transferred to WISE Euro account.  

or 

Can the transfer be done directly into a WISE Euro account?

Why don't you simply ask your Spanish Lawyer handling your deal if they will send your proceeds direct to a Wise euro account set up in your name?

 I have a Wise account, and that is exactly what I would want a lawyer to do in your circumstances. In fact, my intial instruction to the lawyer would be conditional upon them eventually doing so. 

Hoenir

Your buyer isn't going to pay you direct though. The question needs to be directed at your lawyers. 

HUMBUG

Hoenir said:

Your buyer isn't going to pay you direct though. The question needs to be directed at your lawyers. 

Do you mean the seller pays into a Notary bank account , then the Notary pays us ? 

Hoenir

HUMBUG said:

Hoenir said:

Your buyer isn't going to pay you direct though. The question needs to be directed at your lawyers. 

Do you mean the seller pays into a Notary bank account , then the Notary pays us ? 

That seems perfectly normal to me. 

eddddy

I believe that the 'norm' in Spain is that seller and buyer meet at the Notary's office on completion day to sign the documents.

And the buyer transfers the money direct from their account to the seller's account - or gives the seller a banker's draft.

(And the seller confirms the money has arrived in their account, before the contract is complete.)



Are you travelling to Spain for that?

If not, I believe you can hire a lawyer and give them power of attorney to sign on your behalf, and you can also agree that the buyer pays the money into the lawyer's account.

So you'd need to find a lawyer and ask them if they'd be prepared to forward the money to a Wise account.


(I'm basing this on experience of selling in other European countries - but as far as I can tell, Spain has a similar system.)



Edit to add...

And just to clarify, the Notary isn't working for you (or for the buyer), they are a public official who oversees everything.

HUMBUG

eddddy said:

I believe that the 'norm' in Spain is that seller and buyer meet at the Notary's office on completion day to sign the documents.

And the buyer transfers the money direct from their account to the seller's account - or gives the seller a banker's draft.

(And the seller confirms the money has arrived in their account, before the contract is complete.)



Are you travelling to Spain for that?

If not, I believe you can hire a lawyer and give them power of attorney to sign on your behalf, and you can also agree that the buyer pays the money into the lawyer's account.

So you'd need to find a lawyer and ask them if they'd be prepared to forward the money to a Wise account.


(I'm basing this on experience of selling in other European countries - but as far as I can tell, Spain has a similar system.)



Edit to add...

And just to clarify, the Notary isn't working for you (or for the buyer), they are a public official who oversees everything.

 Many thanks 

Yes , my brother owns the flat and he is travelling to Spain to sign off:

1. The Arras contract (ie, 10% deposit of sale price less Estate Agent fees) 
2. Escritura de Compraventa  (Deed of Sale).

Still unsure about the payment process but will check with lawyer. We don't want a bankers draft as I've heard that trying to deposit one can incur heavy fees between 1-8% of the amount being deposited . Further, I've heard that it can take weeks to process which increases the risk that it passes a deadline date of 15 days if left uncashed.  After 15 days the seller can cancel the draft and one would have to go through the courts to get payment back.

We've got a lawyer now as the flat sold much quicker than we thought , so we'll ask him to confirm the process. 

Just don't like the idea of money going to a third party as we've been badly stung in Spain before and have lost trust in their bureaucratic rules and legal systems.