Condominium documents and debts before buying

The statement to request

To sell a separately owned unit, the owner must ask the condominium administrator for the written statement provided for in Article 1424-A of the Portuguese Civil Code. The seller makes this request. As a buyer, ask for a copy in advance and establish who administers the building.

The administrator has a maximum of 10 days from the request to issue the statement. Keep the request date and do not leave this step until the day before completion.

It is often called a “no-debt declaration”, but that name can hide important information. The document must list all current charges for the unit, their nature, amounts and payment deadlines. Any existing debts must also be identified, including their nature, amounts and the dates on which they arose and became due.

A receipt for the latest contribution, a message from the seller or a general assurance that “everything is paid” does not necessarily provide these details.

Reading amounts and dates

Check the building and unit identification, issue date and administrator’s identity. Separate regular contributions, special contributions and overdue debts. Establish how much is payable, how often and by which deadline.

The date on which expenditure was approved does not, on its own, answer “who pays?”. Article 1424-A determines responsibility for existing debts by when they should have been paid. Charges of any nature falling due after the transfer are the new owner’s responsibility.

For example, works may have been approved before the sale but be payable in later instalments. Request the full payment schedule. Do not assume every instalment belongs to the seller because the owners’ meeting approved the works before your purchase.

If buyer and seller want to allocate costs differently between themselves, their agreement should be clear and professionally reviewed. Do not assume a private arrangement changes what the condominium can demand from the new owner.

Also request minutes, accounts and details of works

The statement is one part of the process. To understand the cost of living in the building, also ask the seller for relevant meeting minutes, the annual budget, approved accounts, condominium rules and information about the reserve fund.

Look for works approved or under discussion, water ingress in shared areas, lift repairs and ongoing disputes or proceedings. A quotation for works is different from approved expenditure. Ask for that distinction to be clarified.

These additional documents help assess risk, but they do not replace the administrator’s formal statement.

Take care when waiving the statement

The statement is a mandatory supporting document for the transfer deed or authenticated private transfer document, subject to a statutory exception. The buyer may expressly declare in that instrument that they waive it, thereby accepting responsibility for any debt the seller owes the condominium.

Do not treat this waiver as a routine way to speed up signing. If someone proposes waiving it because time is short, first clarify the debts and consequences with the legal professional assisting your purchase.

Before paying the deposit

Request this information while reviewing the promissory sale agreement. Agree on delivery of the statement and how identified amounts will be handled before completion. If minutes, receipts and the statement conflict, ask the administrator for written clarification.

Include this review among the other documents to check before buying. A low monthly contribution alone does not reveal the total condominium cost.