What Is Joint Ownership in Spain?
Joint ownership (proindiviso) occurs when two or more people share ownership of a single property or asset in Spain.
Common situations:
-
Inherited property by siblings
-
Real estate owned by unmarried couples
-
Business partners or investors sharing assets
-
Divorced couples still on the title deed
⚖️ Spanish law allows co-owners to request the division of joint property at any time, even if others disagree.
🔍 Legal Basis: Spanish Civil Code
-
Article 400 of the Spanish Civil Code states that no one is obliged to remain in joint ownership.
-
Division can be by mutual agreement or judicial process.
📌 If the property cannot be physically divided (e.g., an apartment), it may be sold and proceeds divided.
🤝 Division by Mutual Agreement
Co-owners can agree on:
-
🛠️ Physical division (if possible, like land plots)
-
💶 Buyout (one party pays the others their share)
-
🏷️ Sale to third parties and split of sale proceeds
✅ This is the fastest and most cost-effective solution.
Process:
-
Private agreement or notarial deed
-
Registration in the Land Registry
-
Possible capital gains or property tax implications
💡 Legal advice ensures fairness and compliance with tax rules.
⚖️ Judicial Division (Court Process)
If no agreement is reached, any co-owner may initiate legal proceedings to request division.
🏛️ Court Options:
-
Partition lawsuit (demanda de división de cosa común)
-
Property sold at public auction
-
Proceeds distributed based on ownership shares
📅 Timelines can vary from 6 to 18 months, depending on case complexity.
⚠️ Court fees, valuation, and litigation costs apply.
🧾 Taxes and Costs
-
AJD (Stamp Duty): Applies when formalized in public deed
-
Plusvalía Tax: Municipal capital gains tax upon transfer
-
Capital Gains Tax (CGT): If co-owner sells their share at a profit
-
Notary & Registry Fees: For documentation and ownership changes
📊 Proper planning can reduce or defer these taxes.
💬 Real Case Example
Case: Two British siblings inherited a villa in Marbella. One wanted to keep it; the other preferred to sell. We negotiated a private buyout agreement, avoided court, and completed registration in under 30 days — saving both parties thousands in legal fees.
👨⚖️ Division of Joint Ownership After Divorce or Inheritance
-
Divorced couples: Property split may be part of the divorce settlement or handled separately
-
Heirs: Inheritances often lead to joint ownership — heirs can request partition at any time
-
Unmarried partners: Equal or partial shares must be legally determined
📑 All outcomes must be formalized in a notarial deed and registered.
📌 Key Considerations
Issue | Solution |
---|---|
Co-owner refuses to sell | Court partition request |
You want to keep the home | Offer to buy out other co-owner |
Property too small to divide | Sell and split proceeds |
Inherited with many heirs | Private settlement or auction |
🤝 How Borderless Lawyers Can Help
We assist with:
-
🏡 Drafting and reviewing division agreements
-
🏛️ Filing judicial partition proceedings
-
📈 Asset valuation and sale support
-
📑 Deed execution and registry updates
-
🧮 Tax planning and declaration
🌍 Bilingual lawyers | 📄 Notarial & registry formalities | 🤝 Dispute resolution
📞 Request Legal Support to Divide Shared Property
Whether you’re resolving family inheritance or exiting joint ownership, Borderless Lawyers helps you divide property in Spain legally and efficiently.