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Costs of buying property in Spain
As a buyer of property in Spain there are a number of costs and taxes over and above the property price that a buyer will have to pay.
– 10% VAT (in Spain known as IVA) based on the purchase price of residential property (please NOTE in the region of Murcia only, IVA is currently at 8%)
– 3% of the purchase price are general taxes to include Notary fees, Stamp Duty & Land Registry taxes
– € 1,250 EUR + VAT is legal fees (for the services of a solicitor who drafts and reviews contracts on behalf of the buyer, advises on all the legal and administrative issues, carries out any necessary due diligence (checking ownership claim of the seller, charges on the property, permits, etc.) and arranges all the required documents to complete the process (property registration, tax payments, etc.).
– € 3,000 EUR is normally required as a reservation deposit upon selecting your dream home
– 10% of the purchase price is required within 10 days from arranging the holding deposit
– The balance of the purchase price is payable at the Notary on the day of signing the sales contracts
– Land taxes – between € 130 EUR and €1,000 EUR per year
– Taxes of property owner (for non-residents) – €150 EUR per year/per person
– Property insurance between €200 EUR and €400 EUR per year

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