The Contrato de Arras is a legally binding private agreement in Spain used to:
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Reserve the property
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Define key terms of the purchase
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Formalize a deposit (usually 10%)
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Set penalties if either party withdraws
📌 In Malaga and across Spain, it’s typically signed before the notary deed — and can be enforced in court.
⚖️ What Happens If Someone Backs Out?
Under Article 1454 of the Spanish Civil Code:
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If the buyer backs out: they lose the deposit
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If the seller backs out: they must return double the deposit
Example:
You pay a €30,000 deposit. If the seller cancels, they owe you €60,000.
✅ With legal clauses, we can add buyer protections and specific conditions.
🧾 What Should Be Included in the Arras Contract?
A solid arras contract should include:
Clause | Purpose |
---|---|
Buyer and seller identities | Ensure correct legal names, NIE/NIF numbers |
Property description | As recorded in the Land Registry and Cadastre |
Purchase price & deposit | Typically 10% of agreed value |
Payment timeline | Dates for full payment and notary signing |
Penalties | Based on Spanish Civil Code or customized terms |
Conditions precedent | Subject to mortgage approval, urban compliance, etc. |
Notary & tax responsibilities | Who pays what |
Default & dispute resolution | Jurisdiction and legal remedies |
✅ Borderless Lawyers drafts all arras contracts in English + Spanish and explains each clause clearly.
❌ Common Mistakes Foreign Buyers Make in Malaga
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Signing without due diligence
→ The property may have legal issues, debts, or urban infractions -
Paying deposit directly to the seller
→ Risk of fraud or loss — use an escrow or lawyer’s client account -
No “subject to mortgage” clause
→ If your loan is denied, you still lose the deposit -
Unclear signing deadline
→ Can cause delays or disputes with seller
🔐 How to Protect Your Deposit
We recommend:
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Adding a “subject to financing” clause
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Including a legalization condition (if the property lacks licenses)
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Holding deposit in a lawyer-managed account
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Linking arras expiration to municipal approvals, if needed
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Defining dispute resolution in your country’s language and legal framework (if possible)
✅ These protections are negotiated before signing — don’t leave it to chance.
📅 When Should You Sign the Arras?
After:
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Due diligence is complete
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Your mortgage (if any) is pre-approved
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The purchase structure and tax plan are clear
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You’ve reviewed the contract with your lawyer
📌 Rushing into an arras too early is a major legal risk.
🧑⚖️ Why Work with a Lawyer in Malaga?
We provide:
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Bilingual arras contract drafting and negotiation
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Deposit structuring via escrow
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Risk mitigation clauses
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Coordination with estate agents, notaries, and banks
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100% buyer-focused legal advice
📞 Signing an Arras in Malaga? Let Us Help You Do It Right
Before you pay anything or commit to a contract, make sure your investment is protected.