CPCV: what to check before signing
The CPCV (Contrato-Promessa de Compra e Venda, the promissory purchase and sale agreement) establishes the obligation to sign the final deed on the agreed terms. It must reflect the specific deal: property, parties, price, payments, deadlines and conditions. The law lays down formal requirements that demand attention, particularly for promises relating to buildings and units. [1]
The right moment to discuss an important condition is before signing. A verbal expectation about financing, works or delivery of the house may not match the written commitment.
The points the contract should clarify
| Topic | Question to resolve before signing |
|---|---|
| Parties | Who assumes the obligations and with what powers? |
| Property | Are the spaces and rights covered identified? |
| Price | How much is paid, when and by what means? |
| Deposit | What amount is handed over and under what regime? |
| Financing | What happens if the loan or valuation is insufficient? |
| Documentation | What is missing and by when must it be delivered? |
| Completion | Who schedules the deed and communicates the appointment? |
| Handover | When are keys, equipment and the vacant property delivered? |
This list helps prepare the conversation with the professional drafting or reviewing the contract. It is not a ready-to-fill template.
An approval for a lower amount may make the purchase unviable. The clause should define the amount, the deadline for a response, the evidence to be presented and the consequence if the condition is not met.
How the deposit works
In a CPCV, the law presumes that any sum handed over by the buyer to the seller is a deposit, even if described as an advance on the price. In certain cases of breach attributable to a party, the regime provides for forfeiture of the deposit or a claim for double its amount, alongside the possibility of specific performance under the law. [2]
This consequence should not be applied to any delay without analysis. The contract, the facts and the conditions for breach must be assessed. Anyone facing a no-show or a missed deadline should obtain advice before declaring the deal terminated.
What if the buyer needs a mortgage
If the purchase depends on financing, that dependence should be discussed and drafted precisely. Define the amount needed, the deadline for obtaining a response, the evidence to be presented and the consequence if the condition is not met.
Illustrative example: a family has enough of their own funds for the down payment but needs a €250,000 loan. An approval for a lower amount may make the purchase unviable. A vague clause about “loan approval” may leave that scenario unresolved.
Also consider the valuation. Assessing the buyer's income and the bank's acceptance of the property are related but distinct steps.
Deadlines and documentation must be realistic
Before choosing the final date, confirm the steps still in progress: valuation, documentary regularisation, the involvement of heirs or coordination with the bank. A short deadline does not speed up a procedure that depends on third parties.
Record who communicates changes and by what means. If the deadline needs to be extended, ask for the agreement to be properly formalised. Keeping scattered messages does not offer the same clarity as a contractual amendment prepared for that purpose.
The condition and handover of the property
Clarify which equipment is included, whether there are occupants, which repairs were agreed and when the keys will be handed over. If the house was viewed furnished, a written list can prevent doubts about what stays.
A confirmation visit before completion can help verify the agreed conditions. Arrange it in advance, respecting access to the property and the parties' schedules.
Frequently asked questions
Is a ten per cent deposit mandatory
Do not treat a customary percentage as a rule applicable to every contract. The amount should be negotiated and framed within the specific commitment.
Can I use a template found on the internet
It can help you recognise the topics, but it does not demonstrate suitability for your situation. Properties under construction, inheritances and purchases dependent on credit require their own attention.
Does the simplification of the deed remove the formalities of the CPCV
Do not presume the rules of the two acts are the same. Article 410 contains specific requirements that must be analysed when preparing the contract. [1]
Does the bank's refusal guarantee the deposit is returned
Do not presume it. The consequence depends on the contract and on how the situation is framed. Define this condition before handing over any money.
Sources
Next step
Preparing an offer? Talk to the Valle team to organise the commercial terms and the documentation to coordinate with the professionals responsible for the contract.
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