SELL YOUR PROPERTY
It can take anything from 2 weeks to 10 months to complete the sale of your property. In order for the sale to complete smoothly it would be a good idea to prepare for the sale in advance by having all of the neccassary documents in place:
- The title deeds to the property
- Receipts for the local municipal property tax (impuesto sobre bienes inmuebles or IBI) Copies of utility bills
- Details of the community statutes if any
- A list of any items of furniture etc which will be included in the sale
- Your residencia card if you have residency status or original NIE and passport
- Power of attorny if required
- The solicitor can obtain any of the documents that are needed on your behalf.
As the seller, you can expect to pay:
Estate agency commission
An energy performance certificate – a report that describes how efficient a home is in terms of energy consumption and also gives recommendations on how to save money and make your home more efficient.
Valid for 10 years unless you renovate or change the property in any way.
Capital gains tax – tax on the profit you make on the house. sale price minus whatever you paid for it ( in the title deeds ). The costs involved in selling it such as the estate agent’s fees can be deducted before the calculation is made. There’s also an annual allowance which is calculated by the tax office. The CGT rate varies between 19% and 23% depending on the size of the gain
Plusvalía tax is a local municipal tax calculated on the rateable or ‘cadastral’ value of the land and the number of years since you bought it. The seller is usually liable for paying the plusvalía which is a relatively modest amount of a few hundred euros.
Non-residents and taxes – If you’re not an official resident of Spain, the buyer is obliged to forward 3% of the purchase price to the tax authorities on completion of the sale. This will be offset against any taxes you end up owing in respect of capital gains tax. You need to pay any balance owning within 30 days of the sale, or you can apply for a refund where appropriate.
Ideas to help speed up the sale of your property
Dress the home: remove personal items, declutter, redecorate in neutral colours, add mirrors and plants, make it as light as posible, and price your home realistically.
Call us if you require further advice or assistance Tel 0044 7922915809 UK or Spain 0034 698564933