Spanish Real Estate Scam

Selling Spanish property Be aware of a scam that could see you thousands of Euros down. The worse thing about this scam is that you will be very reluctant to report it the the authorities.

So how does this scam work?  How do these shady buyers get their cash?  Well its a little bit of greed on the part of the seller and cunning on part of the buyer.

We all want to save money and if a buyer suggests a way to save money on the deal you will probably consider it.

Those selling a property may wish to avoid tax or seemingly help buyers avoid tax by accepting deposits in hard cash. So the buyer supplies his deposit in 500 Euro notes which - you guessed it - turn out to be counterfeit. The con revolves around the common practice of declaring to the authorities’ only part of the sale price and paying the rest in cash. Normally, this extra payment, known as “B” money, is paid in the notary’s office where the sale documents are signed – after the official has left the room.

How many people would notice that they were being paid with counterfeit 500 Euro notes? Many people have never seen one and what good would it do? By then, the deeds would already have been signed, and calling the police would not be an option – the victim would have broken the law.

More about this Scam Scam Alert in Spain