flynnboy

Hi, we are seriously looking at buying a property in Spain but we are confused about what costs we will have over and above the purchase price. Can anyone give js guidance ? Thanks !

Casa Santo Estevo

This can be found on numerous websites.
https://www.aplaceinthesun.com/artic...house-in-spain
https://www.spanishpropertyinsight.c...n-spain/costs/
Guías rápidas - Registradores de EspañaRegistradores de España -
https://www.euroresidentes.com/Prope...erty-spain.htm

spainrico

With taxes, notary, land registry, solicitor etc all adds up to around 12-14% on top of purchase price.

Barriej

Agree on the amount to add. We paid the purchase tax in Alicante of 10% plus about €2000 for the solicitors (we gave them POA as we couldn't get back in time)

After the purchase you will have most of the following.

Gas (if in a big town, or bottled if not) Cant help with costs on this as we don't have it.
Electric. Spain likes the 'standing charge' We pay on average €27.00 a month when not at the flat.
Water. As above we pay €22.00 every 2 months and in that charge we pay for 4 cubic metres even if we don't use it.
Community charges. If on an Urb or a community (we are on a community of various low rise blocks, no pool, no gardens, no shops) and we pay €108 a quarter.
IBI or council tax. €400 a year
Non resident tax. At the moment being EU citizens you will pay 19% of 1.1% of the cadastral value of the property each year (this will rise to 24% of 1.1% at the end of Dec 2020 once the Uk leaves) The 1.1 % is the rate Alicante use. Other parts of Spain use a different figure. If you rent out you will have to declare the money and pay the tax (we don't so can't comment here)
Solicitor or Gestor charges. We have asked our Solicitor to do our tax returns and to sort the IBI (although that is taken direct from the bank) and they charge us €120 a year for the pleasure.
Insurance. If living permanently its about €40.00 a month Holiday use for us is €24.00 a month. thats for a 3 bed 2 bath apartment on the 2nd floor (top) and we are covered for burst pipes etc when not there.

Hope that helps.

TorreGeorge

As the above messages suggest, you will have to pay for Notary fees, Land Registry to register the property on your name and the purchase tax, which varies depending on the region you are purchasing.
It also varies slightly depending on what your purpose is, whether you are buying for yourself or you are planning on "flipping" for a profit, etc...
In Comunidad Valenciana (which includes Alicante, Valencia and Castellon areas) the purchase tax is a 10% of the purchase price, so you would be looking anywhere between a 12-15% increase, depending on the value of the purchased property (the cheaper, the higher the costs will be relative to the price).
There is 1 month to pay the purchase tax and file it at the tax office, so in my experience it's best to have all the money ready beforehand in order to proceed as quickly as possible and stay safely within the margin.

Yours faithfully

Rosemary

Very helpful information.

Please contact Admin about a name change as yours is not suitable for using the forum.

Rosemary

Leper

1. Allow about 15% on the purchase price to cover fees, taxes etc.
- - - - - - and then . . . . . .
2. Before you pay any utility (electricity, water, refuse ) allow a further €2000.00 per annum to cover urbanisation fees and some more Spanish taxes.
- - - - - - and then . . . . . .
3. Commission fees/finders fees for the estate agent to rent out your property
- - - - - -and then
4. Pay Spanish tax on the rentals (19%) - Deduct expenses though.
- - - - - - and then cleaning charges, breakages, maintenance, additions
5. - - - - - - and then (are you still with me?) E N J O Y

johnnyone

When you buy be as sure as you can be that the place is right for you and not just short term.
As has been said buying costs are around 14-15% but if you then sell you are looking at another c.6%.
Choose carefully and don't make an expensive mistake.