When purchasing a property in Spain there are several costs to consider
When purchasing a property in Spain, there are several costs to consider in addition to the purchase price of the property itself. Some of these costs include:
Transfer Tax (ITP - Impuesto de Transmisiones Patrimoniales): If you are buying an existing property, you will need to pay transfer tax. Rates vary depending on the region but typically range between 6% and 10% of the purchase price.
VAT (IVA - Impuesto sobre el Valor Añadido): If you are purchasing a new property from a developer, you will need to pay 10% VAT instead of transfer tax. This applies to the sale of new or recently built properties.
Notary and Registration Fees: These costs include drafting the notarial deed and registering the property transfer at the land registry. The costs vary depending on the purchase price of the property and the notary.
Legal Fees: Hiring a lawyer or legal advisor to guide the purchase process and perform necessary legal checks may incur additional costs.
Community Fees (Comunidad): If the property is part of a complex or has common areas such as a pool or gardens, there may be monthly or annual community fees.
Water and Electricity Bills: In addition to the purchase price of the property, ongoing costs such as water and electricity bills should also be considered. These costs vary depending on usage and region.
It is important to consider all these costs when planning the purchase of a property in Spain and to establish a realistic budget that takes into account both the purchase price and additional expenses.
