Hi all, I am coming over to look at some properties next week, with regard to the taxes you have to pay when buying a property, can this be added onto the mortgage or are they a seperate thing altogether. Also I read on here somewhere (Im sure) that when making an offer for a property it's best to offer 20% less than the asking price... is that right??
Sorry if this thread's already been done but I just know you'll all chip in and advise me.

With regard to offering 20% less than the asking price - I think this is wrong, both morally and any other way. You should offer what you believe it is worth to you! That may be the asking price or somewhere a lot lower. But to simply calculate 20% and deduct it (in my mind) is a nonsense - it's as if the seller has added 20% to allow for this!

The maximum mortgage that one can get is based on the banks valuation and will not include taxes. If you are not taking the maximum, then simply calculate a figure that gives you sufficient money to make the purchase.

If its not an investment property but for your own use then buy what you are going to enjoy not by a perceived discount.

The properties I have been sent information on all have "make an offer" on them, that's the only reason I asked, not so that I might take money from anyone... crumbs I seem to have come across as a rogue, but I can assure you I'm not. that's also the reason I asked about the taxes, if they were or could be included in the loan, then the offer I make on the house could obviously be higher, and with regard to my original question, what is the percentage payable in tax when buying a property. thanks x

As has been said you have to pay the taxes / costs separate to the mortgage as for how much well 5 years ago we paid 126000 for the house and total including Solicitor etc was just over 140000 ours was bought with a mortgage which thankfully now paid off, so the taxes and costs mount up, they are also a bit more when you purchase with a mortgage. Not teaching you to suck eggs but please also bare in mind the exchange rate with a mortgage, I know it's up a bit now but don't forget it can go down. When we bought ours and paid the deposit I got 1.43 by the time we exchanged at notary and paid balance of deposit it was 1.37 . I could have fixed my monthly mortgage transfer at that for 2 years but thought swings and roundabouts what goes down comes up again and declined, just over 12 months later for my none fixed monthly transfer which was at the £ lowest I got I think 0.97 (you will never get the advertised bank rate). That makes a massive difference luckily it did improve from there but even so when I paid my mortgage off at the beginning of this year there was a lot more euro's to pay than I had calculated for, it can cause you some sleepless nights believe me.

The tax liability when purchasing a new build is 7% and resale 11% of the declared purchase price. Any good solicitor / EA will advise you on everything you need to know.

I would suggest you avoid anyone who suggests making an under the counter payment in a brown paper bag, sometimes called black money.

Hi Doris, I'm not sure if the same applies on the mainland but her, in Mallorca, if you sign and make a deposit, the deposit in not returned, if you do not complete.

Did someone speak about morals when it comes to buying property ?

Don't stand alone in the crowd, play the game and if you've got the money to buy and the patience to wait, feel your way to the desperation of the seller.

It is a buyer's market, remember some time ago when sellers ended up getting more than they were asking for ....Why try 20% when you may get it for 30% less ?

you agree with snikpoh then

he said so maybe even 50% less............

I agree - just to say 'offer 20% less on everything' is daft - the property might be realistically priced - by all means try for a bit less, but if it's worth the asking price to you, then why not pay it?

on the other hand - if it's way over priced as far as you're concerned & as far as the current market is concerned you might find yourself offering 30% or even more less- they can only say NO - & you might find some middle ground

I guess I do...that'll teach me to try and force the brain into functioning before morning caffeine kickstart

Hi guys (n gals), thanks for the advice, always helpful as usual. The property I quite like also has a rent to buy option over a period of seven years, so I think realistically that's what I should do...There are loads of bungalows etc over in Torrevieja at really low prices, I love the idea of the sea being so close but looking on google earth not many places to run my dogs twice a day off leash. and I suppose I don't really want to move from Enland to be in another "little England" (apologies to all those who have done or want to)..
true Abyss, I looked at the small print and the deposit is only refundable on completion...

It is not legal to run your dogs on the beach, if you had that in mind?

I agree with Lynxxa.

You need to do a bit of research on the property first. Not much use offering a lot less if the house has recently been reduced by 50,000 or more. There are also some who are desperate to sell, yet others don't need to sell and will only sell around the asking price or sit on it.

Some friends have had an apartment on sale for years. It's a second home. They started off asking 250,000 now reduced to 199,000 and they have said that's the lowest and if it doesn't sell they will just wait.

lol - I just saw that jackytoo had said she agreed with me................ I couldn't remember even posting on the thread!!!


that first hit of caffeine must have worked............

Definately not missile, not the sort of thing I do at all, that's why I want somewhere with plenty of wild land around ... my neighbours here all think I'm mad when I go out in the mornings armed with my poo bags.. I'm a kind of poo vigilante, I can usually get to the poop bin armed with a good half dozen full bags. Maybe that's why the lazy ones do it (let their dogs crp anywhere) coz they know I'm out and pick up any I see.. I hate the stuff, especially where there are kids around..

by the way, anyone got any thoughts on San Miguel de Salinas ??