Lucas Fox Property - Guide to buying Andorra property

Whilst a property may be reserved verbally, the first commitment is made when the buyer places a 10% deposit with the selling agents: this is nonreturnable if the buyer subsequently withdraws from the transaction on unreasonable grounds. At that time a purchase agreement can be signed between buyer and seller. More normally a receipt for the deposit will be given and after a delay of about six weeks a purchase contract will be signed in front of a notary public.

The notary is a Government appointed official who acts impartially to safeguard the interests of both parties. At the time of signing, payment of the balance of the purchase price is made and the title deed or escritura is issued. Prior to this, Government approval to buy will have been sought by the selling agents who will have presented a solicitud (request for the approval of purchase) for the buyer. Completion normally takes some four weeks to arrange.

Banking

There are five Andorran banking companies. Banking is Swiss style and numbered accounts are available. Complete confidentiality is observed. The total lack of exchange control in Andorra permits banking in any currency although the euro is used as a base for making an exchange. The rates are quoted daily, based on Pesetas, and aligned to Euro-currency rates at the Swiss Exchange in Zurich.

To open an account takes about 20-30 minutes. You will need your passport. A deposit of around €100 is all that is necessary. You will receive your passbook about a week later. They are no restrictions on remitting funds to and from Andorra in any currency but strict observance of money laundering regulations are imposed by the Andorran banks.