Selling Your Property
A simple Guide to Selling Your Property in Spain
Selling your property in Spain is by no means an easy task. The current market conditions probably make it more of a buyer's market than a seller's market. Nevertheless, if you do get the buyer through the door, you really want to maximise your chances of selling, rather than leaving it to chance. It is common knowledge that most buyers make up their mind whether or not they like a place within the first 30 seconds of entering. Therefore it is essential that as a seller you need to captivate the buyer's imagination as soon as they walk through the door. Many sellers fail to present their house in its best light, and as a result lose the buyer as soon as the buyer enters the property. The key is to play to all the buyer's senses – vision, touch, taste, smell, and sound.
Remember, V.I.P Almeria are not only selling your house, but selling the type of lifestyle someone can enjoy by owning your house!
Let's cover a few of the selling basics and the sales process:
The Selling Basics (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:
- i) Capital Gains Tax: CGT is set at 18% of your profits. However, if you are non-resident, on completion 3% of your inital sales price will be retained as a partial retention for your CGT liability. Please note, it is the buyers 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 within 2 to 3 months after the sale.
- ii) Plus Valia: The Plus Valia is a tax based on the incremental value of the land which your property occupies over the amount of time you have owned it. Typically for small apartments this can be as low as 50 Euros per year of ownership, whereas for villas it will be significantly higher. The Plus Valia must be paid within 30 days of the the completion of your sale.
- iii) 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 Registy 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.
- iv) 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
- v) Ensure all your community fees,, IBI (rates) and utility bills are up to date. If any of these bills are not up-to-date the buyer may insist on retaining any outstanding amounts due from the sales price
- vi) Real Estate Agents Fees: If you have sold your property through an agent, ensure you take their fees into account. Typically these fees will be about 3% plus IVA for V.I.P Clients. Always consult your lawyer or tax advisor before selling your property, so you know exactly where you stand tax-wise. We can also offer you assistance with Money Exchange to maximise your returns.
We will require sellers to be aware that we ahere 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.