What to have ready before signing arras: a figures-based checklist

The difference between 'checked' and 'in hand'

Before signing an arras deposit agreement, many investors tell themselves that due diligence is 'broadly complete'. The problem is 'broadly': signing requires specific documents and numbers literally on the table, rather than general impressions. The following items should be in hand, not simply 'checked sometime during negotiations'. This is the practical output of the site's entry-price, full-budget and due diligence articles, in a form that can be checked point by point immediately before visiting the notary.

What must be in hand before signing

• A current nota simple for the property, rather than one reviewed a month earlier, with registered rights and encumbrances checked as at signing.
• An exact ITP calculation for the agreed transaction price, rather than a rate recalled approximately; see the method in entry pricing.
• The full acquisition budget, including notarial, registry and gestoría fees as well as the property price; see the full budget.
• A renovation estimate based on an actual technical survey, rather than a rough euro-per-square-metre rule. That rule is useful for an initial estimate, not a decision to commit a deposit.
• A completed legal due diligence checklist covering encumbrances, tenancy status and licence history, following the due diligence checklist.
• A clearly selected deposit type: arras penitenciales, allowing withdrawal through forfeiture or double repayment of the deposit, or arras confirmatorias, binding the parties to complete. Understand and consciously choose the type rather than leaving it to template wording.
• A tenant assessment where the property is let, covering solvency, security and departure provisions, as set out in the commercial tenant strategy.

Why these particular items matter

Each closes a specific risk that becomes costly or impossible to escape after arras. An outdated nota simple may miss a recently registered burden. A rule-of-thumb estimate instead of a survey can produce an overrun when it is too late to withdraw. An undefined deposit type becomes a dispute over whether withdrawal is possible at exactly the moment it is needed.

How to use the checklist

Work through it literally, item by item, before the signing date rather than keeping a general feeling of readiness in mind. The calculator can support preliminary price and tax estimates, but final figures must be substantiated by documents and a survey. If even one item lacks documentary confirmation, postponing signature is wiser than relying on a seller's or agent's verbal assurances.

Conclusion

The deposit marks the point after which the cost of mistakes rises sharply. Every item exists to ensure that verified figures and documents, rather than assumptions, are on the table when signing.