Buying a property in Spain -how much tax do we have to pay

[Tetley]

My friend  as asked me (she doesn't have internet) do you need a solicitor if selling?

Regards

Jellybaby

No,you need a good conveyancer unles your friend is upto dealing with legal spanish,lawyers and the notary and contracts

best contact Amanda at AOL,she will advice your friend .

[Rtis]

Thought agent fees were 3-3.5%, so 7 to 10 thousand euros means quite an expensive property to sell .

[Lynden]

I think it's easier now to get it right than a few years ago, but you must research very carefully. The costs as Floss says are very high, but not uncommon in Europe.

[Floss]

Imagine paying all those fees and then finding out your property is illegal then paying thousands to get it legal and don't forget it costs about 7 to 10 thousand euros to sell the property depending on the estate agents fees.
Now you can understand why people who have lost fortunes here in Spain feel cheated. :c023:  

[Lynden]

Just remember that the 8% ITP is 8% of the Catastral value x the tax coefficient if the area and NOT 8% of the price you pay on the contract. It was a system devised to prevent people under declaring the price paid and handing bags of cash to the vendor.
Your solicitor will advise you on the actual amount you will pay.

[Amanda Oakley]

In Andalucia allow the following;
Second hand property - 8% ITP (transfer tax payable to the Junta de Andalucia) or, a new property will carry 10% vat plus 1.5% tax to the Junta
Notary fees - approx €800.00
Land registry fees - approx €400.00
Legal fess will vary but budget between €1,000  to €1,500 but get confirmation on what is included eg. NIE applications, Power of Attorney, transfer of utilities etc.

Following the purchase, you need to budget for the following;
Water & Electricity - normally metered usage plus standing charges - electricity is expensive and water charges tend to go up steeply if you use more than 10m3 per month (meant to encourage us to not waste water !!)
Rubbish collection approx €12 per month
IBI (Local Council tax) varies depending on the type of property and area - in this area a 3 bed modern Viilla on a 600m2 plot will average €300 / €400 per annum, old properties will be lower as well as rural properties.
Internet / telephone - varies

Annual income tax once you are Resident - based on your worldwide income - complex area so needs a good accountant.

I hope this gives you a basic idea.
Good luck with your purchase and move, research as much as you can and ENJOY !!!!.
Regards
:welcome:

[mikeypen]

Allow a figure of 11% of the purchase price , this covers Goverment tax , registration , solicitors etc

[Von2020]

 :sign0144:

We are moving to Spain August 2020 and we are looking to buy outright a small property in the Andalucia area and we are very unsure of how much tax we will need to pay on our purchase - can anyone advise us please