05 Nov 2023 8:30 PM:
I have gone through this process myself, and it is referred to as a "dissolution of property" My property was in Murcia. I have attached the solicitors email to me and breakdown of costs that were presented to me for your info. Obviously as said elsewhere in the replies to you, costs will differ from region to region. You also need to be aware that if your Ex lives in the UK and has no intention of returning to Spain to complete the process i.e. signing of documentaion, then she will need to appoint a Power of Attoney to act on her behalf. Hope you find this helpful. My Ex did not oppose this course of action as she kept the property that was jointly owned in the UK and fortunately the split was amicable unlike yours. Below is what my solicitor sent to me.
"Unfortunately Stamp Duties has to be paid. They are due on any document to be signed before a Public Notary and to do the dissolution of joint ownership and register it at the Land Registry, it is necessary to sign a Public Title Deed.
I made a mistake because I calculated Stamp Duties at 2% rate when in these cases the rate is 1.5%. I have calculated the Stamp Duties on the declared value of your purchase which was 215.000 Euros, however I have accessed the website of the Region of Murcia to find out the minimum value to be declared on a property like yours, and I have worked out a value of 88.026,47 Euros. You could declare that value and it would reduce highly the possibilities of being revised the value by Murcia Tax Authorities. However if you do so, you have to take into account that at the time of selling your property, the value of your original 50% would be half of 215.000 Euros which is 107.500 Euros, but the value of the 50% you acquire now would be half of that value 88.026,47 which is 44.013,23 Euros, and therefore, the capital gain tax on you sale will be calculated accordingly"
With those to changes and not charging for searches and change of utilities, the breakdown will be as follows:
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DEPOSIT FOR LEGAL EXPENSES
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|
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NOTARY FEES (APPROX.)
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800,00
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STAMP DUTIES
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1.320,39
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LAND REGISTRY FEES (APPROX.)
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400,00
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SOLICITOR FEES
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1.075,00
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VAT (21 %)
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225,75
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TOTAL DEPOSIT
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3.821,14
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If you decide to go ahead, we will need to have copy of the sentence of divorce in order not to pay any Plusvalia Tax at the Town Hall.
Thread:
Relationship split but joint owned property
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