Contrato de Arras in Spain: Difference from Reserva and Purchase Stages

When purchasing property in Spain, the transaction does not always go directly to signing before a notary. In many cases, the buyer and seller need additional time to prepare. This is where the contrato de arras plays a key role — a preliminary purchase agreement.

Below are clear answers to the most common questions.

When is a contrato de arras signed?

A contrato de arras is a preliminary agreement between the buyer and the seller of a property in Spain. It is signed after the property has been reserved, when the parties need more time before completing the final deed of sale before a notary.

In simple terms:

• if both parties are ready to proceed directly to the notary after the reservation, the transaction can move straight to completion;

• if either the buyer or the seller needs additional time, a contrato de arras is signed to formally secure the obligations, price, and timeline.

When is a contrato de arras most commonly used?

A contrato de arras is typically used when:

• the buyer needs time to transfer funds;

• a mortgage is being arranged;

• documents are being obtained (for example, a NIE);

• legal due diligence is being carried out;

• the seller needs time to prepare documentation;

• the notary date is being coordinated;

• the transaction involves international capital transfers.

In these situations, the contrato de arras legally secures the property and sets a clear deadline for completion.

Why sign a contrato de arras?

The contrato de arras serves several important purposes:

• confirms the seller’s intention to sell and the buyer’s intention to buy;

• fixes the agreed purchase price;

• establishes the deadline for signing before the notary;

• defines the financial liability of both parties;

• protects both buyer and seller;

• reduces the risk of the property being sold to a third party;

• gives the buyer time to prepare for the final transaction.

For these reasons, the contrato de arras is considered a key stage in buying property in Spain.

How is the contrato de arras related to the reservation?

In practice, the process usually follows this structure:

Property reservation → legal due diligence → contrato de arras → notary signing

The reservation is the initial, preparatory step.
The contrato de arras is the next and legally binding stage, creating obligations for both parties.

What is the difference between contrato de reserva and contrato de arras?

Both contrato de reserva and contrato de arras are signed before going to the notary, but they have very different legal weight and consequences.

In short:

• Reserva temporarily removes the property from the market.

• Arras legally commits both parties to buy and sell within a defined timeframe.

What is a contrato de reserva?

A contrato de reserva is an initial agreement used when a buyer wants to temporarily secure a property while preliminary checks or discussions take place.

Typically, a reserva:

• removes the property from the market for a short period;

• fixes the price;

• demonstrates the buyer’s serious intent;

• is accompanied by a small deposit;

• is valid for a limited time (days or weeks).

It is important to understand that a reserva is not a full preliminary purchase agreement and has limited legal consequences.

What is a contrato de arras?

A contrato de arras is a preliminary contract that legally binds both parties.

It:

• confirms the seller’s obligation to sell;

• confirms the buyer’s obligation to purchase;

• fixes the final purchase price;

• sets the deadline for signing before the notary;

• defines the consequences of withdrawing from the deal;

• is usually accompanied by a deposit of around 10% of the purchase price.

This is why the contrato de arras is considered the essential step before completing the sale.

Key differences: reserva vs arras

Contrato de reserva

• temporary reservation;

• short validity period;

• small deposit;

• minimal legal consequences;

• easy to cancel;

• often acts as a bridge to the arras contract.

Contrato de arras

• preliminary purchase contract;

• clear obligations for both parties;

• fixed completion deadline;

• substantial deposit (usually 10%);

• financial liability clearly defined;

• breach of contract leads to penalties.

Why is it important to sign a contrato de arras with a lawyer?

Although it is considered a “preliminary” agreement, a contrato de arras has real legal consequences.

It defines:

• withdrawal conditions;

• financial liability of both parties;

• deadlines;

• payment structure;

• consequences of non-compliance;

• the notary signing date.

A lawyer ensures the wording protects the client’s interests and aligns the contract with the overall transaction structure.

Why is it important to understand the difference between reserva and arras?

Because:

• a reserva is easy to cancel;

• an arras involves financial consequences;

• withdrawal conditions are fundamentally different;

• key risks are defined at the arras stage;

• contract wording directly affects buyer protection.

For this reason, both documents should be reviewed by a lawyer, and the contrato de arras in particular requires careful legal scrutiny.