Life Annuity

The premise of the life annuity is to ensure a supplementary pension during retirement by obtaining a monthly income.

Want to know more?

Phone: (+34) 910 413 840
Email: info@aunmasvida.es

1. Sell the bare ownership of the property

2. Obtain a monthly income

3. Continue to enjoy living in the home for life

What is Life Annuity?

Life annuity is a service designed for homeowners aged 65 +. The homeowner sells the bare ownership of the house in exchange for receiving a monthly annuity and retains the usufruct or the right to use the home for life. This provides the seller with an extra monthly income for life, thus improving his purchasing power, which he can use for home improvements or any other expenditure that was previously out of reach.

What options are there?

In all of the options, it is possible to receive an advance of capital (to be agreed).

Classic Temporary Rental

The seller maintains the usufruct for life; however, the monthly payments will be received for a previously determined period of time.

Classic Life Annuity

A monthly annuity for life is received in exchange for the sale of the bare ownership of the property, reserving the right of usufruct of the property for the rest of its life.

This is the most common option.

 

Life Annuity Outside The Home

The seller renounces the right to use the home, but in exchange receives a higher monthly payment than the classic life annuity.

This option is most suitable for people who may wish to leave the home, to move to a residence for example.

Calculate your annuity

With the Mas Vida annuity calculator you can calculate the approximate monthly income you are entitled to. To do this, simply select the data relating to your home and age and we will show you the result:

Advantages of the Life Annuity

FORMALIZATION EXPENSES

All expenses and taxes generated in the sale and purchase (including the Municipal Capital Gains Tax) will be paid in full by the buyer, so that the formalisation of the transaction will be completely free of charge for the seller.

EXPENSES OF THE PROPERTY

Once the bare ownership of the property is sold, the usufructuary will no longer be liable to pay the Real Estate Tax, the Community fees and the buildings insurance. He will only be responsable for the ordinary fees for the community and the bills for the supplies (water, electricity, rubbish collecton etc).

 

LEGAL GUARANTEES

It has all the legal guarantees, all transactions are formally completed before a Public Notary and registered with the Land Registry. In addition, the Deed of Sale includes a Resolutory Condition that represents the maximum legal guarantee for a hypothetical case of non-payment of two of the rents, on the basis of which the elderly recovers full ownership of the property without having to return the monthly rents already received.

SHARED OWNERSHIP

The operation can be completed by more than one party (eg. spouses) as long as they have joint ownership of the property.

RENTAL AND SALE OF THE USUFRUCT

The usufruct holder has the right to rent the property or sell the usufruct.

 

EXCELLENT TAX TREATMENT

People over the age of 70 enjoy excellent tax treatment, as they have a 92% exemption on the amount they receive as income when filing their personal income tax return.

Steps to follow to formalise a Life Annuity

 

Requirements:

Preferably person(s) aged 65 years +

A homeowner

    The process

    1. We meet with the interested party to find out preferences and specific needs.

    2. We internally analyze each case individually and present several payment proposals.

    3. We look for an investor interested in purchasing the house according to the previously agreed terms.

    4. The transaction is completed before a Public Notary and registered with the Land Registry.

    In addition, after the agreement is signed, the sellers have the assistance and support of the Mas Vida team for the duration of the process. We act as a direct link for any questions or situations that may arise between the buyer and seller.

    Frequently Asked Questions

    ¿Cuántas personas pueden contratar el producto para la misma casa?

    Una o dos personas, siempre que éstas sean las propietarias de la casa.

    ¿Quién adquiere la Nuda Propiedad de tu casa?

    Un inversor con dilatada experiencia y elevado nivel de especialización en el mercado inmobiliario español. En Mas Vida trabajamos con los mejores profesionales del sector.

    ¿Las Rentas Mensuales están garantizadas?

    Sí, a través de una Cláusula Resolutoria que se incluye en la Escritura Pública. Ésta establece que, en caso de impago de 2 cuotas por parte del inversor, vuelves a adquirir la Plena Propiedad de tu casa sin tener que devolver los pagos recibidos hasta el momento.

    ¿Cuándo empiezas a recibir las Rentas Mensuales?

    Desde el momento en que formalizas el producto ante notario y siempre dentro de los primeros 7 días hábiles de cada mes.

    ¿Necesitas vivir en la casa para poder recibir la Renta Mensual?

    No, independientemente de donde vivas seguirás percibiendo las Rentas Mensuales de la Renta Vitalicia Inmobiliaria

    ¿Puedes alquilar la casa después de formalizar el producto?

    Sí, esto te permite obtener una renta adicional además de la Renta Vitalicia. En Mas Vida nos encargamos de buscar a un inquilino y de gestionar el alquiler para que no te tengas que preocupar por nada.

    Y si tienes que reparar las ventanas de la casa o cambiar la nevera… ¿Quién asume estos gastos?

    Este tipo de gastos los sigue asumiendo el usuario, ya que los únicos gastos de mantenimiento de la casa que se traspasan al inversor son el Impuesto de Bienes Inmuebles, las derramas extraordinarias y el seguro de la vivienda.

    Regulación del producto

    La Renta Vitalicia está regulada en el Código Civil de España en los artículos 1.802 y 1.808.

    El “Pleno Dominio”

    La Plena Propiedad sobre una casa está compuesta por 2 derechos:

    • Nuda propiedad
    • Usufructo

    En Mas Vida traspasamos el Derecho de Nuda Propiedad de tu casa, mientras sigues manteniendo el Derecho de Uso y Disfrute sobre la misma para toda la vida.

    How much money is received?

    At Mas Vida we consider the following factors to determine the Monthly Rent that corresponds to the usufructuary:

    • Market value of the house
    • Rental value of the house
    • Gender and age of owner

    If you are interested in a real estate annuity study, we need you to send us the following information to our email address info@aunmasvida.es:

    • Personal information of the interested party (copy of NIF, NIE or Passport).
    • Documentation of the house (exact address of the property and the last receipt of the Real Estate Tax).
    • Contact telephone number.