Selling your property in Spain is not easy. Many sellers fail to try and as a result lose the buyer.
We help you to sell your house.
The sales process:
The Costs involved in Selling.
When it comes to selling your property you must take the following costs into account, otherwise you will end up with far less in your hands than you expected:
Capital Gains Tax: CGT is set at approx. 20% of your profits. However, if you are non-resident, on completion 3% of your initial sales price will be retained as a partial retention for your CGT liability. It is the buyer’s responsibility to retain this 3% and pay it to the tax authorities on your behalf. If your profit is lower than this amount you can claim back the difference. If it is higher, you should pay the balance to the Spanish taxman after the sale.
Plus Valia: Impuesto sobre el Incremento del Valor de los Terrenos de Naturaleza Urbana. The plusvalia is a local (municipal) tax charged by the town hall on properties when they are sold. It is calculated on the rateable value of property and the number of years that have passed since the property was last changed hands. The objective is to tax the increase in the value of the land on which the property stands, some of which is due to improvements to the area carried out by the local government and the community at large. The base for this tax is the valor catastral (an administrative value that is usually different than the market value, sometimes considerably so) of the property. The amount due in tax will depend on how long the seller has owned the property. The “Plusvalia” Town Hall tax must be paid within 30 days of the completion of your sale.
Mortgage Cancelation Fees (if applicable): If you have an existing mortgage on your property you will need to pay about 1.000 Euros to ensure the mortgage is officially cancelled at the Notary and Registry Office. Often this amount is retained by the buyer for them to ensure the fees are correctly administered. You may also have some cancellation charges from the bank so make sure you check.
Legal Fees: If you choose to use a lawyer to help you when you sell, the conveyancing fees will be about 1% plus IVA / VAT
Ensure all your community fees, IBI and utility bills are up to date.
Estate Agents Fee: If you have sold your property through an agent, ensure you take their fees into account. Our fees will be about 5% plus IVA.
Always consult your lawyer or tax advisor before selling your property, so you know exactly where you stand tax-wise. We can also offer your assistance with Money Exchange to maximize your returns.
We will require sellers to be aware to the Decreto 218/2005 which requires us as an agent to be in possession of a copy of the property documentation to market and sell your home.
We need is a signed listing agreement in place and all the property documents. We will be happy to assist you in with the paperwork. We need copies of the following:
Deed or Copia Simple
Nota Simple (We can request this upon receipt of the deed)
EPC – Energy Rating Certificate (We can request this upon receipt of meeting the Degree218)
Last IBI Receipts (Not the Direct debit)
ID of vendors (DNI, NIE or Passports)
Copies of the Rubbish, Water and Electric Bills (Not the direct debit)
If a community based property, we will need the contact details of your administrator and the fee.