Property Management in Barcelona, ​​Spain

What happens after purchasing a residential or commercial property? What next steps should the buyer take? Who will manage property in Spain and how, and why is this important for every owner?

Why management is required

Of course, every owner has a choice. Let's say someone bought an apartment in Barcelona or a villa in a nearby suburb overlooking the sea and moved there to live with their family. In this case, he most likely will not need constant help.

However, this situation is rare. Most often, the buyer, having closed the transaction, returns to his country. In this case, the property is either empty or rented out without proper supervision on site. This is not always correct and can be risky, since if problems arise, the owner will be the last to know.

What tasks do managers solve?

The main thing that a management company does is solve both current problems and those that may arise in the future. In our time, when life has become completely unpredictable, this is especially important.

Here are the main tasks that management companies usually solve:

• Monitoring and timely payment of invoices on behalf of the owner.
• Submission of declarations and tax calculations.
• Organization of routine maintenance and, if necessary, repair of premises.
• At the request of the owner, searching for tenants, renting out the property and monitoring the receipt of payments.

In addition, the management company can act as an authorized representative of the owner in other matters. For example, she can arrange for permits to be converted or used commercially in the case of a business property.

Let's give a couple of real examples from our practice of what we have already encountered.

Solving problems with banks

Interaction with financial institutions in Spain these days has become difficult and unpredictable for Russians. Problems can arise in the most unexpected places and in various forms. For example, one of our clients owns commercial real estate in Barcelona, ​​which he has successfully rented out for many years.

However, one day the payments stopped coming. During the investigation, it turned out that the tenant regularly transferred money every month. But the bank, having learned that the account owner was connected with Russia, returned all the proceeds without explanation.

Thanks to the fact that the investor had a representative on site, the problem was solved: firstly, it was possible to establish a dialogue with the bank, and secondly, to open an account in another bank that does not impose such restrictions.

Relationships with tenants

But it is not only sanctions that can complicate the situation. Even before recent events, property owners faced various problems. For example, during the coronavirus pandemic, when lockdowns were announced everywhere.

This situation particularly affected commercial property owners who did not foresee the potential problems. Who could have imagined then that the lockdown would become a reality? Those who did not have a representative in Spain, in most cases, simply lost income during this period. Many tenants closed their outlets and moved out, sometimes without even notifying the owner of the premises.

For investors who worked with management companies, the situation was much better. By agreement with the owners, we entered into negotiations with tenants and found compromise solutions. As a result, although in a smaller amount, rent was paid in 12 out of 15 cases. In the remaining three cases, we quickly found new tenants, albeit at a reduced price.

Conclusion: regardless of the situation, the property owner needs to have a representative in Spain, ready to act at any time.

Who can take over property management in Spain

Most real estate agents stop interacting with clients after a transaction is completed and only remember them for the next purchase or sale. But this is not our approach. GG Real Estate Barcelona specializes in the full cycle of servicing investors, especially in the field of purchase and sale of commercial real estate. In nine cases out of ten, at the request of the client, we also take over the management of real estate in Spain.

We live and work here, we have established contacts, and our staff includes qualified managers and lawyers who are ready to provide support and solve any problems that arise. This is why most of our clients appreciate our service, stay with us for many years and recommend GG Real Estate Barcelona to their loved ones.