Expenses that you have a purchase or sale of housing are:
Public deed in the notary's office
Registration in the Property Register
Taxes
Surplus city
The law, which expenses payable to the purchaser (almost everything) and the seller (only the goodwill of the city and the original writing). There is little room for negotiation, although it is true that you can arrange any type of cost-sharing, including that they all are paid by the buyer provided that to do so by a clause completely legal
When the seller is a real estate developer, the law requires him to pay the capital gain municipal and expenses of the declaration of new work and horizontal division. You must also pay the cancellation of the mortgage on the housing always and when we don't subroguemos in the same.
The expenses in detail are:
NOTARY
The expenses of notary are the ones that occur by the granting of the public deed of purchase and sale. The costs of the notary are set by regulation and the amount depends on the amount of the property, but may increase by aspects of the operation of attorney: the number of copies, extension of the scripture, seat slide, etc
Notaries apply a flat fee established by the government in 1989 so that all notaries of Spain charged the same for identical service. Can only get a discount of 10%, so the competition between them is only based on quality. It is worth knowing that in the housing of protection official, and in the subrogation applies a reduction in tariffs
REGISTRATION OF THE PROPERTY
Are the fees generated by registering for the sale in the Registry of Property. Are also fixed by regulation and the amount depends on the price of the property.
TAXES
In this section, we have to differentiate two large groups according to the type of dwelling:
(A) TAXES ON THE PURCHASE OF NEW HOUSING:
VAT(value added tax): when the home delivery for the first time pay the VAT (currently at 10%). Is meant by the “first delivery” those that are acquired at the promoter after the construction of the same.
If homes have been rented after the completion of the works and the buying, the people who have lived in them, it also is considered "first delivery" which would pay the VAT. On the other hand, if the buyers are different to the tenants do not have this consideration and pay housing of second hand, paying your taxes due.
You can pay a VAT of 10% (compared to 21% in general) buildings intended primarily for housing (buildings in which at least 50% of the floor area devoted to housing), including garages and annexes in them that are scheduled at the time and provided that the number of parking spaces for each owner, not to exceed two units.
The purchase of a new home forces the buyer to pay the VAT to the seller, who shall pay the tax on the Public Finances.
The tax rates currently set are:
10% in general
4% when it comes to housing of protection official of the special regime or public advocacy
For the purchase of housing in Canary islands is pay the VAT (Tax General Indirecto Canario) with a rate of 6.5% general character.
IAJD (Tax on Documented Legal Acts): this tax is generated by the signing at the notary and sign up later in the Log. Since November 2018 entered into force a law that requires that they be banks who pay this tax from then on.
(B) TAXES ON THE PURCHASE OF SECOND-HAND HOUSING
ITP (Property transfer Tax: this tax is levied on the sales of real estate and alternative to the VAT (VAT on the Canary islands) for the case of second homes.
Its amount is fixed by applying a percentage of the price notarized and depending on the Autonomous Community in which the home is located, acquired, in the majority of communities is between (6% – 10%). There are also reduced rates for some cases (VPO, large families, young people...)
IAJD (Tax on Documented Legal Acts): as in the case of the new homes this tax is generated by the signing at the notary and sign up later in the Log. Since November 2018 entered into force a law that requires that they be banks who pay this tax from then on.
Agency
The administrative manager performs all the necessary paperwork to the registration of the deed of purchase in the Property Register
The agency is selected by the entity's financial position but do not hand over the money until you are registered to purchase and mortgage in the Registry of Property
Surplus City
It is the municipal tax on the increase in value of the land and pays the seller. This city tax, which should not be confused with the capital gains tax, levied on the increase of the land value of urban nature experienced during the years in which the seller has been the owner of the home. for the calculation of the tax is not taken into account the value of the transmission, or the market value of the property, but the property's cadastral value
Is calculated taking into account the assessed value and the number of years that has had the seller of the property is limited to a maximum of 20 years) and may not be less than 1 year. In the event of over 20 years, will be taken as reference the maximum (20 years)
According to the law you pay the seller, unless agreed otherwise between the parties. There is a time limit of 30 calendar days from the date of the deed to liquidate it in the town hall.
