At Lasose Properties & Investments we break down all the costs involved in the purchase of a property.
Buying and selling expenses
Within the expenses generated from a purchase-sale operation we have to include:
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The Notary’s office expenses for the public deed, which are between 0.2% and 0.5% of the house value.
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The Property Registry expenses to register the deed, which oscillate between 0.1% and 0.25% of the property price.
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The expenses of the agency in charge of processing all the documentation and settling the taxes. Depending on the company hired, this usually costs around 300€.
Taxes
Taxes vary depending on the type of property being purchased:
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VAT: this is paid if the property is new, and corresponds to 10% for housing in general, and 4% for social housing.
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ITP (Impuesto de Transmisiones Patrimoniales): this is the corresponding tax if the property isn’t new, and depends on each autonomous community. In Catalonia it corresponds to between 10% and 11% as a general rate, and a reduced rate of 5% for large families, buyers under 32 years of age or disabled people.
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IADJ (Impuesto de Actos Jurídicos Documentados): this is applied to the deed of sale, and in the case of applying for a mortgage, to the formalization of the mortgage loan, although in this case it is the bank who must pay the IAJD, following the new Mortgage Law. This tax consists of a fixed fee, which is the same for the whole country, with reference to the paper on which the notarial documents are drawn up, corresponding to 0.30€ per sheet and 0.15€ per page. There is also a variable fee, which depends on the Autonomous Community. In the case of Catalonia, this amounts to 1.5% as a general rate, and 0.5% for home purchases by people under 33 years of age or with a disability equal to or greater than 33%.