| Spain-property.com |
| Medlem af FIABCI,
int. Real Estate Federation |
| Always
seek professional advice. |
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| The
following information is only supplied as a general guide. In Spain,
as in any Country, always seek professional advice before entering
into any contract. |
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| Costs
in general |
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Buying
a property in Spain involves a large amount of paperwork, with
this comes a number of costs. As a guide line you should add 10%
to the declared purchase price of the property to cover this.
Costs are as follows: |
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| Transfer
Tax |
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This
is the one which will hit your pocket the hardest, 6% is payable
on a resale property, 7% IVA (VAT) and 1-1/2% Stamp Duty is
payable on a new property and 16% is payable on the purchase of
land. If you buy a new property and intend to have a pool or
garage built, try and have it included with the sale of the
property, as if you build later, you will attract tax at the
higher rate of 16% |
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| Notary
Charges |
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These
are set on a fixed scale by law and you should expect to pay
around 50,000 pesetas as a minimum. this can rise quite
dramatically if other factors are included,
as loan and mortgage. |
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| Solicitors
Fees |
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Probably
the best investment you will make, buying without a Solicitors
advice could cost you dearly. Expect to pay around 100,000 pesetas
on a property purchase of between 10 - 20 million pesetas |
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| Registration |
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Having
a property deeds inscribed in to your name at the Registrar.
Expect to pay between 20,000 and 50,000 pesetas |
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| Who
Pays What |
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Spanish
Laws state that unless stipulated in the Contract, Taxes and fees
are split between the buyer and seller as follows:
Buyer Pays
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The transfer
tax or IVA
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Registration
fees
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Notary Costs
Seller Pays
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Plus Valia
tax, which is calculated on the increase in value of the land
since the last sale
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Notary fees in
drawing up the new deeds
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The estate
agents fees
These rules are
not followed rigidly and it is often the buyer who ends up footing
the bill for most of them, In Spain, all debts on a property, stay
with the property when it is sold, another good reason to employ a
solicitor to discover if any nasties are hidden away with a
property. |
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| More
informations |
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The
paperwork in Spain is a complex thing and only the people who
write the laws and Solicitors have a true understanding. Therefore
always take contact to a lawyer and and a notary office before you
sign any documents. |
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