HOW MUCH TAX MUST I PAY TO BUY A HOUSE?
When buying a property on the Costa Blanca, the first question you’ll be asked by your Real Estate professional is, “Is your price range including or excluding tax?” Most buyers forget about the legal costs that will be on top of their purchase price.
Based on a resale property in the Costa Blanca, you’ll need to have available 10% of the agreed purchase price to cover the Property Transfer Tax. This amount is the same whether you’re buying with or without a mortgage.
For a quick calculation, if you were purchasing a resale property for €100,000, the Property Transfer Tax would be €10,000.
By discovering your legal costs upfront will mean you’ll know exactly how much to allocate for fees like the tax payment that will be associated with the buying process, before starting on your house hunting journey.
Want to learn more about the home buying process in the Costa Blanca? Head to www.BuyMyHomeInSpain.com to download a complimentary Spanish Property Buying Guide for 2022.