Establishing a condominium in Portugal involves a series of steps and consultation with various entities to ensure that all legal formalities are met. Here is a guide on how to proceed:
Steps to Establish a Condominium
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Building Inspection:
Before establishing the condominium, it is important to carry out a building inspection to verify that works are completed and that all equipment is in good working order. This stage is crucial to identify any problems that may need resolution before the formal establishment of the condominium.
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Document Collection:
Obtain necessary documents, such as the housing technical sheet, the horizontal property constitutive title, the municipal license, and the property project. These documents are fundamental for the formalization of the condominium.
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Convening the First Condominium Owners’ Meeting:
Organize the first condominium owners’ meeting to officially establish the condominium. During this meeting, the condominium administrator should be elected and the condominium’s internal regulations should be approved.
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Request for Legal Entity Number:
Request a legal entity number for the condominium, which is necessary to open bank accounts and manage condominium finances. This request can be made through the Company Portal or in person at registration services (IRN).
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Opening Bank Accounts:
Open at least two bank accounts, one to receive condominium owners’ quotas and another for the reserve fund, which must correspond to, at minimum, 10% of the value of annual quotas. This fund is used to cover building conservation expenses.
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Insurance Contracting:
It is mandatory to contract fire insurance for the building. In addition, it is advisable to subscribe to multi-risk condominium insurance to cover other types of risks. If the condominium has workers, work accident insurance is also necessary.
Entities to Consult
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Municipal Council:
To obtain necessary licenses and certificates, such as the municipal license.
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Property Registration Office:
To verify the constitutive title and other records related to horizontal property.
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Legal Entity Registration Services:
To request the legal entity number.
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Banks:
For opening the bank accounts necessary for condominium financial management.
Establishing a condominium requires coordination and compliance with legal formalities to ensure effective and legally recognized administration. It is advisable to consult a lawyer or condominium management specialist for assistance in the process.