You should know that your expenses for the purchase of a real estate in Spain will amount to approximately 11.5% of the cost of the selected object! A minimum of documents is required for purchase: a valid passport and visa, as well as N.I.E. - foreigner's identification number issued by a special police department. You will need it to get a residence permit and make large purchases and take loans from banks. The cost of obtaining a number is EUR 9.27 (domestic tax).
Acquiring real estate in Spain will require the following additional costs for registration, which depend on which object is the subject of the transaction - primary or secondary.
When buying a new home, the buyer pays:
— notarial fee for examination of documents; it depends on the cost of housing and land, usually, its value is within 300 euros;
— registration fee for entering information on the right of ownership in the State Real Estate Register in the range of 200-750 euros;
— state tax IVA is an analog of the Russian VAT, it is 10%;
— stamp duty for documents - 2% of the real estate value.
registration-of-real-estate The purchase of secondary housing is accompanied by the payment of the following taxes:
property transfer tax (ITP); this is 10% of the contract amount and already includes the stamp duty;
notary fee of 300 euros
registration fee of 200-750 euros
office expenses 200-400 euros
In addition, the services of a lawyer (if desired) will be required, who will accompany the transaction, check its legal purity, and help prepare all the documents. The cost of a lawyer's services is usually 1% of the transaction amount.
They also need to open a bank account. The costs for issuing checks will be (0.3–0.6% of the amount). The real estate seller pays the commission to the agency.
Upon completion of all the formalities of the purchase and sale process, the owner receives an Escritura Publica - certificate of ownership.
Taxes on real estate ownership
The above-mentioned taxes are paid once at the time of registration of the purchase and sale.
There are also annual taxes that each property owner pays:
real estate tax (IBI);
tax on imputed income, Impuesto Sobre La Renta;
garbage collection tax - approximately 100 euros per hour;
Annual taxes on commercial real estate are:
IVA or VAT - its value is 11%, and in some businesses 21%, paid every quarter;
profit tax depends on its value and can reach 35%.
To reduce taxes and current expenses for purchases in Spain, as well as in Russia, v
the contract of sale (scripture) often indicates the reduced value of the property.
Rent taxes and insurance amounts
If the property purchased by a non-resident is rented out, the owner must submit a quarterly income declaration and pay tax. The rate is 24.75% of the profit received.
It is worth saying about real estate insurance. It is also considered an expense for its maintenance. Its size depends on the sum insured and the type of housing. For example, the insurance payment for an apartment with an area of 100 square meters will be about 180 euros per hour.
Purchase of real estate on a mortgage
Spanish banks willingly give mortgage loans to non-residents, which can be used to pay up to 60% of the cost of housing. There are several credit programs for foreigners, for example, 50% mortgage at 3.2% per annum, and 60% mortgage at 3.7%. Banks can issue a 100% loan for the purchase of the collateral real estate. The mortgage is issued for 25–30 years, provided that it must be paid off when the borrower reaches the age of 75.
When buying secondary real estate with the help of a mortgage loan, 10% must be added to the total amount of expenses for transfer tax, costs for registration of documents, legal services, and bank charges. In total, approximately 11.5% is obtained additionally.
The cost of housing also includes communal payments (communidad). Their value varies in the regions and depends on the housing category. For example, an apartment of 100 square meters with two bedrooms, two bathrooms, a common room, a kitchen, and a terrace will cost about 700–800 euros per hour. If the housing is located in a condominium, it is necessary to add approximately 150 euros for the cleaning of the area and maintenance of the common pool.
The maintenance of a typical villa with an area of 150 square meters for a family of 3-4 people will cost 800-1000 euros per hour, and a luxurious villa with a working pool will cost 3-5 thousand euros per hour.
Tariffs for electricity, water, gas, garbage collection, and sewage treatment are different in different regions of the country and also depend on the level of consumption, the time of year, and the supplier company. Heating in Spain is carried out with the help of natural gas and is paid based on consumption. Water consumption usually increases in the summer, as the price also increases due to the hot and dry climate. The prices for drinking water and technical water are also different.
Without reliable assistants, the risk is high
Nota-Simple It is quite obvious that only a specialist who is well acquainted with the legislation of the country, the peculiarities of taxation depending on the situation, the prices of objects, and regional tariffs for the maintenance of housing can accurately determine the total amount of money necessary in addition to paying the cost of real estate. In order not to be deceived when buying housing - and this happens in all states - do not save on the services of real estate agencies that will deal with the selection of housing, and lawyers accompanying each stage of the transaction. All financial documents and invoices presented to the buyer must be carefully checked so that under the guise of paying for additional services, the "double commission" common in the real estate industry does not appear - and by law, only the seller pays the commission.
The buyer must also clearly understand that it is simply dangerous to purchase real estate from the catalog. With the help of Photoshop, you can make a luxurious villa out of any rubble. So you can't do without a trip to the country, preferably accompanied by a lawyer. Sales contracts concluded in Russia in Spain are invalid! And if a deposit is still made, it can rarely be returned, even through court. Do not risk a lot of money, choose intermediaries with experience and a positive reputation, and also be vigilant.
Use information about real estate and choose objects on our site https://prian.info/in/spain/valencia-and-murcia/lalbir/ . We will always be ready to answer all requests and save you money and nerves.