What is the Purchase-Sale procedure for rural properties in Uruguay?
Who are the professionals who should intervene?
What is the cost of purchasing and/or selling rural real estate?
Are there differences in the purchase and sale of rural properties for Uruguayans and foreigners?
The work of the team Campos Online, consists of assisting you until the process is completed, so that you can buy or sell the property that interests you in Uruguay.
The process begins when the buyer defines to the real estate agency what type of rural property he wants and what amount he is willing to invest.
If you are a foreigner, you can perfectly buy most of the rural properties offered for sale, to exploit them directly or collect a rent in exchange for a third party to carry out the production. You do not need to be a Uruguayan citizen for this. The costs and the buying and selling procedure are the same for Uruguayans and foreigners.
After completing the negotiation through Campos Online and that a property has been chosen by the Buyer, with a purchase price agreement with the seller and payment method, the Buyer selects a Uruguayan Notary (Notary) who will be the one to intervene in the documentation of the business.
If the Buyer does not have a trusted Notary Public in Uruguay, Campos Online can provide you with contact with Notaries with proven track records.
The Buyer's Notary implements a preliminary contract that we call the Reservation Ticket, by which all the business conditions are established, such as:
1 Identification of the selling and buying party, who are obliged to sell and buy respectively.
2 Identification of the property with its registration number, surface area, boundaries, plans, etc.
3 Establishment of the purchase price and payment method, which can be in cash or in installments, with guarantees, mortgage, etc.
4 The buyer deposits a deposit in the hands of his Notary, which is generally 10% or 20% of the agreed price. And the seller deposits the property titles of the Property in the hands of the same Notary.
5 A maximum period is established to grant the corresponding deed of Sale (or Promise if the price is financed). Within this period the Notary will verify that the property, its owners and in general the legal situation of ownership, tax, cadastral, etc., is in perfect condition (free of obligations, embargoes, mortgages and encumbrances). If not, the contract is terminated and the deposit and deposited securities are returned, unless said defects are completely corrected.
This process takes a minimum of 30 to 40 business days.
6 In the Reservation ticket, a fine is also established in the event of non-compliance by any of the parties with what was agreed.
Having verified that the property is in optimal conditions to sell, the Notary writes the deed of Sale that is signed in a Public Deed and jointly with the payment of the price and delivery of possession of the property, unless otherwise agreed, such as price financing. Said transfer of ownership deed is registered in the Real Estate Registry, which makes the buyer full owner of the property, with absolute legal effectiveness between the parties and against any third party.
In this instance of signing the Deed of Sale or Promise (Commitment) of Sale, buyer and seller pay the real estate commission, corresponding to 3% plus VAT of the price agreed upon in the deal.
Additionally, the buyer must sign the Affidavit of Origin of Funds. You can learn more about this aspect by clicking this article.
Campos Online accompanies and advises you throughout the business process with information, its work team and its experience.
ITP: it is 2% of the cadastral value. Click this article for more information.
Expenses for registration information, extensions, Priority Reservation, DI.NA.MI.GE. Certificate, and Colonization Certificate: Consult with your notary.
Registration of sale deed: Consult with your notary.
Notary Fees: According to the Official Tariff of the Uruguayan Notary Association, they are calculated as follows: 3% of the purchase value with notarial fees included + VAT.
3% Real Estate Commission + VAT (22%)
Estimated Total Purchase Expenses: 6% to 8% of the transaction price.
ITP: it is 2% of the cadastral value. Click this article for more information.
IRPF: This calculation is on behalf of the notary. Click this article for more information.
3% Real Estate Commission + VAT (22%)
Estimated total selling expenses: 8% to 10% of the transaction price.
