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The Naked Agent Spain

The Naked Agent Spain gives buyers an insight & some insider tips to the property purchase and mortgage process in Spain. Hopefully this will make your buying journey a little more stress-free.

What costs are involved when selling my house in Spain?
17 August 2008 @ 22:35

When selling your property in Spain, many sellers are not fully aware of what they are going to have to fork out in terms of costs before getting the real net figure they want  in their hand.  

Make sure you take into account the following costs when selling:  
1) Plus Valia - every seller has to pay a tax based on the incremental value of the land which the property occupies over the amount of years you have owned it. (eg: small apartments may be about 50 Euros per year, whereas villas may be a few hundred euros and more per year of ownership)
2) Community Fees: Make sure your Community Fees are up to date - normally you will have to present a CERTIFICADO DE COMUNIDAD to the buyer on signing the Escritura.
3) IBI & Utilities- Ensure your local tax council rates are up to date.  You will have to provde the original proof od payment at the signing.  Also ensure your utility bills are paid to date.
4) Mortgage Cancellation Fees - Your bank will probably have anywhere from a 0.5% to 1% cancellation charge on the balance of your outstanding mortgage
5) Mortgage Notary Cancellation & Registration Fees - In addition to point 4), as  a seller you will have to ensure your mortgage is cancelled at the Notary and Registry.  This may cost anywhere form 600 Euros to 1000 Euros, and is  an amount that wil probably be retained by the seller to ensure this is done

6) Non Resident Retention Tax at 3%: If you are non-resident in Spain, the buyer of your property will also have to retain 3% of the Escritura Sales Price to pay directly to the Spanish tax man (hacienda) on your behalf. Residents do not have any retentions made on them.
7) Agents Commission - If you have used an Agent to sell your property, then you will also have to account for the Agents fees which can range from a 3% to 8% depending on the agent, and the agreement you have made with them.

Obviously you will still have your Capital Gains Tax Liability (18% on profit), but that will depend on your profit. For non-residents, the 3% retention tax counts towards this.  Those of you who are making a loss still have to pay out the 3% retention tax, but can reclaim it back from the Spanish tax providing you have all the correct documentation and receipts to prove you have made a loss and paid your annual taxes.

Once you know what all of these costs may be, you can then work backwards to calculate what price you need to sell at inorder to walk away with the amount you have in mind in your hand.



That's all for today.

The Naked Agent Spain
www.nakedagentspain.com

Author of :  "Your Stripped-Down Guide to Buying a Property and Getting a Mortgage in Spain"



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9 Comments

Sell My House Privately said:
20 October 2008 @ 12:44

We buy your property quickly for fast cash. Sell your property, house, shop & land quickly get fast cash, sell & rent back house. Need to sell house Contact us today.
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Sell my house said:
07 January 2009 @ 17:25

UK is a bit more expensive though, isn't it? well, I know SecureAsale are pretty good, not too sure about the others though.


Sell My House Quick said:
19 January 2009 @ 17:37

I've never heared of the naked agent. is that something you wrote?


Emma said:
11 February 2012 @ 02:02

Very helpful tips. There are a lot of hidden fees when selling property in Spain, I've dealt with them many times before. Some of the newer online marketplaces are a lot cheaper though.
http://www.sellpropertyinspain.com/


GARRYTURNER8@AOL.COM said:
03 April 2012 @ 11:52

MYSELF AND WIFE HAVE OUR NAMES ON HOUSE ,DO WE BOTH TO PAY 3PERCENT.GARRY


James Peterson said:
09 June 2012 @ 18:51

We are looking to buy your property fast. We have a network of investors with cash looking to but your property ASAP. Take a look at our site or call us for more info


Maria RV. said:
25 August 2012 @ 14:07

Does anyone know where I can find information on what the cost of selling your property in Spain is these days? for example not just agents fees, but notary fees, taxes, etc... as most of the articles I find are out of date. Thank you.


Spanish Property for Sale said:
23 December 2012 @ 11:37

Great article, but something a little more up to date would be fantastic!! Things have changed a lot since 2008. :)


Catherine said:
08 May 2013 @ 23:46

good site but out of date, new austerity tax rates for
2012-2013


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