Romana Shifts Unmarketable Dwellings With Tax Liability onto Montoro

23/01/2014 – El Confidencial

Sareb subcontracted the Tax Agency to find purchasers for real estate assets received in pledge but which have been subjected to various mortgage certificates of the Public Finance. The bad bank pursues at focusing its efforts on safer sales of extensive load. (…).

The decision creates a thorny problem between The Ministry of Economy and the Treasury Department as the houses´ commercialization will demand extra hours from the tax auditors in order to live up to their role as the real estate agents for Sareb. (…).

Although there is still no official number of the assets on sale, the Tax Agency has confirmed that a big portion of them are toxic and include the mortgage certificate clauses linked to the debts accumulated with the Treasury. The collateral object handicaps the property sale management without a preagreement with the department chaired by Cristóbal Montoro, as the bad bank prefered to act according to the “Every man for himself.” saying (…).

Sareb´s portfolio is estimated at 107.000 dwellings (76.000 finished and empty, 3.000 under construction, 6.300 rented and 14.000 in draft). The official data of Sareb shows 6.400 houses sold in 2013, generating revenues of 2.000 million Euros.

7% of Housing Stock Sold

Sareb´s project will be valid for 15 years. This year the bad bank sold 6,8% of its housing stock, obviously together with the developments. (…). However, the sales mostly represent attractive assets with high demand on the market.

(…). The Tax Agency, aiming at maximizing the tax revenue from the State, has opened an office for the real estate sales service for Sareb. The result of the cooperation seems like doom and gloom, though.

Original article: El Confidencial (José Antonio Navas)

Translation: AURA REE