It all sounds good but what background information do I need to know when I am buying property on the Costa Calida?
Payment schedules • Off Plan • Holding deposit – 3000€ • Firm deposit & contract 1 month – 15% to 50% • Second payment 6 to 9 months – 25% • Final payment – on completion/mortgage • Key Ready/Resale • Holding deposit – 3000€ • Firm deposit and contract 1 month– 10% to 25% • Final payment – on completion/mortgage Bank Guarantees and Planning • Bank Guarantee • All developers should have one • Smaller developers may not • Ask for evidence • If not available – walk away • Planning • Outline and Detailed • Some Off-Plan may not have any planning • Cause of many publicised problems • Purchase and sales costs Budget 10/12% of the purchase price for theseextras • IVA on property purchase – Spanish VAT at 7% • Stamp Duty • Notary fees • Solicitor fees • Mortgage and Bank set up costs • Land registry costs • Utility set up costs Also, if your property is empty remember to budget for the cost of Furniture and Fittings. Local costs and Taxes • Community charges • Relatively low and set by communi
