Watch Out For the Hidden Extras When Buying a Property in Spain

Property taxes

The current property taxes for buying a property in some parts of Spain are upto 8% of the purchase price, the property transfer tax or Impuesto de Transmisions Patrimoniales is 6% of the value declared in the contract for re-sales. A new build from a developer is 7%. And in addition to this, you pay a document fee (stamp duty) of 0.5% to make it official. Andalusia areas of southern Spain, add 1% taxes to all of this again.

Notary cost

This is on a scale basis dependent on the land size and the purchase price. The Notario cost will be 300-600 euro, the property has to be registered and there is a fee for the inscription of the property into your name Registro de la Propiedad again 300-600 euro

Solicitors or Abogado

Always seek a recommendation for a lawyer or Abogado who speaks English fluently, this will be vital for you to look over all the paperwork and advise of the buying process. Ask in advance for their costs, around 1% of the purchases price is not un-common. Get the solicitor to give you an estimate of all costs in writing, so there are no surprises for you later. So often buyers are caught out short on the day of completion at the notaries office, Avvocato in Spagna where you officially buy and register the property in your name, its not unknown for people to run around on the day of signing to find extra money for surprise costs.

Moving

Your decision here must be whether to sell all your furniture back in the UK and re-buy again to suit your new property or move the entire house contents and re-locate them. Moving your contents to Spain can cost as little as 2,000Euros or as much as 6,000Euros, dependent on the size of the items you are bringing, the timescale is around 1-2 days to pack in the UK, then to travel 2-4 days, then to unload 1-2 days here in Spain. Always check the insurance cover of the removal companies, as sometimes breakages can happen. Remember to co-ordinate the times of when you sell in the UK and when you can receive the keys in Spain. These don’t always coincide, so you may need to store your home contents, your removers will give you a quote if this is the case. Alternatively sell everything up in the UK and re-buy all the items again, which is something my wife enjoyed doing and a very good reason for all of us to all go shopping for a new home.

Connections

These are the utilities, which include electricity, water and gas, but in some areas gas is in a bottle and delivered to your door, other areas you have to do the running around to fill your bottle, so make sure you dont run out when a fiesta is due. Your solicitor will arrange the utilities into your names; ask again if there are any extra costs to connect them.

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