Selling A Property In Chile

How to Sell Your Property in Chile: A Step-by-Step Guide

Selling property in Chile in 2026 remains a rigorous but highly secure process. Chile is known for having some of the most reliable property registries in Latin America, but the bureaucracy is precise—missing a single comma in a legal description can stall your sale for weeks.

Step 1: Valuation and Market Preparation

Property in Chile is traditionally priced in UF (Unidad de Fomento), an inflation-indexed unit of account. While you will see prices in Pesos (CLP) on portals, the actual contract value is almost always locked in UF to protect both parties from currency fluctuations.

During the initial stage, your agent will:

• Verify Permissions: Check if any additions to the home were properly permitted (recepción final). Banks in 2026 are increasingly strict; they will not grant mortgages for square footage that isn’t legally registered.

• The UF Strategy: Set your price in UF. If the property is priced at 10,000 UF, the Peso amount the buyer pays will be calculated based on the UF value on the day of the signature.

• Commission: Real estate agents (corredores de propiedades) typically charge 2% (+ 19% VAT/IVA) from the seller and another 2% (+ VAT) from the buyer.

Step 2: The Promesa de Compraventa (Preliminary Agreement)

Once an offer is accepted, you sign a “Promise of Sale” before a Notary. This contract is the “insurance policy” for the deal.

• The Deposit: The buyer typically leaves a Vale Vista (certified bank draft) for 5% to 10% of the price in the Notary’s custody.

• The Penalty Clause: If either party backs out without a legal reason (like a failed title study), the Notary hands that deposit to the other party as a penalty.

• The Title Study (Estudio de Títulos): The buyer’s lawyer will spend 2–4 weeks reviewing the last 10 years of the property’s history to ensure no “hidden” heirs or legal ghosts exist.

Step 3: Gathering the “Legal Pack”

The seller is responsible for providing the Carpeta Legal. In 2026, most of these can be obtained digitally:

• Copia de Inscripción: A copy of the deed with a “digital seal” from the registry.

• Certificado de Hipotecas y Gravámenes (GP): This proves the property is free of mortgages, lawsuits, or liens.

• Certificado de No Expropiación: Proves the government doesn’t plan to tear down the house to build a highway.

• Contributions (Property Tax): A certificate from the Tesorería showing you are current on your “Contribuciones.”

Step 4: Closing and the Notary (Escritura Pública)

Under the 2026 Notarial Reform Law, the process has become more digital. You will meet at the Notary’s office to sign the final public deed.

• Payment in Custody: The buyer does not pay you directly. They hand over Vale Vistas to the Notary, who holds them in a safe.

• Instructions: You sign a “letter of instructions” telling the Notary to only release the money to you once the property is successfully registered in the buyer’s name.

Step 5: Capital Gains and Taxes (2026 Rules)

Chilean tax law regarding property was updated recently. For individual sellers:

• The 8,000 UF Exemption: Every individual in Chile has a “lifetime credit” of 8,000 UF (approx. $330,000 USD) in capital gains profit that is tax-free.

• Exceeding the Limit: If your profit (Sale Price – Original Purchase Price) exceeds 8,000 UF, the excess is taxed at a flat 10% or added to your global complementary tax, depending on your residency status.

• Foreigners: Non-residents are generally subject to a withholding tax unless they can prove the gain falls under the exemption.

Step 6: The Conservador de Bienes Raíces (CBR)

This is the final and most important step. The Notary sends the deed to the Conservador de Bienes Raíces (Property Registry).

1. Inscription: The CBR reviews the entire history of the property.

2. The Wait: This typically takes 15 to 45 days.

3. The Payday: Once the CBR issues the “Copia de Inscripción” with the buyer’s name, you take that document to the Notary, and they finally release the checks/funds to your bank account.

Summary of Seller Costs (2026)

Congratulations! You have successfully sold your property in Chile.