Costs for buying property in Spain

There are various costs & taxes that you will need to pay when purchasing property in Spain, totalling approximately 11% to 13% which you need to add on top of the sale price. See an approximate breakdown below.

Lawyer’s Fees

Most lawyers charge around 1% of the purchase price for their conveyancing fee, but have a minimum fee on smaller purchases.

Transfer Tax

Transfer tax is levied on all re-sale (second hand) property at approx 8% of the purchase price when it is lower than € 400,000, 9% between € 400.000 and € 700.000, and 10% above € 700.000. For example on a € 500,000 purchase price, the purchaser would have to pay 8% tax on the first € 400,000 and 9% tax on the remaining € 100,000.

Alternatively on all new build sales there is 10% VAT (IVA) to pay, which replaces the normal transfer tax.

Notary Fees

The notary costs are worked out on scale depending on plot/build size and value but will be approximately 1%.

Land Registry Fees

The land registry (Registro de la Propiedad) fees will be about the same amount as the notary fees 1%, dependant on whats officially registered.

For more information on buying or selling property on the Costa del Sol, contact Peter or any of his team on Tel: (0034) 951 551 444 or email: info@OverseasDreams.com

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