How to sell your property in Spain ?
In a previous article, we saw the purchase costs in Spain. The detailed explanation of these famous "13%" that we all heard, without ever understanding anything. If you missed it, don't panic, you can find it here
HOW TO SELL YOUR PROPERTY IN SPAIN ?
What are the resale costs? More simply, what do we need to know? That's what we're going to see today, lest go!
1. Impuesto sobre el incremento de valor de los terrenos de naturaleza urbana (Tax on the increase in the value of the land) - Plusvalia
A not confuse with the added value, the profit between the purchase price and the resale price.
In Spain, it is a municipal tax calculated by the the municipality on the basis of the value of the land and the number of years in which on has been owner. It declines over the years, and is free in the first year. Since June 2017, if the resale is done at a loss, the owner will not pay this tax.
2. Cancellation of the mortgage (hand raised)
If the person has made a credit to buy his property, he must cancel it at the bank. It is a notarized deed, made in the presence of the bank, so that the mortgage on the property is cancelled. It is carried out simultaneously ith the notarial deed of the purchase and sale.
3. Impuesto sobre ganancia (capital gains)
Withheld 3% of the sale price if the seller is not a Spanish résident. Refundable from the moment you can justify that you are up to date with all taxes, including on the possible profit made on the resale.
The tax office will reimburse the seller in case of overpayment, or ask for a supplement. As the name suggests, it's a net income tax, that is, the difference between the purchase price and the resale price. It's tax varies according to the profit itself, as follow ;
19% : from 0 to 6.000€
21% : from 6.000 to 50.000€
23% : more than 50.000€
In some cases, you may not pay this tax, for exemple, if you are 65 years old and the property sold was your main residence. It is also possible to deduct notary fees, register, lawyer's office etc. under invoice presentation
4. SUMA, IBI
The owner on January 1th, must pay the full year. See date, possible to do so pro-rata, depending on the year.
Namely : Since June 1st, certificates are required to sell or rent property in Spain. they are the responsibility of the seller. Certificates include, a certificate that attests to the energy performance of the property, and, the "licencia de segunda ocupacion" or "cedula de habitabilidad". They must be realized by an architect, or qualified engineers.