What extra costs are involved over and above the purchase price?
The extra costs depend on the type of property and, in the case of new a building, the contractual arrangements. These are – a) The Escritura: In the case of a re-sale this is usually a simple document. If the property is new then the building may already be on the escritura. However, the Developer may sell you the plot of land and build the house for you. In this case there would be another “escritura de obra nueva” when you register the new building. This would involve more Notary Fees. If you have a mortgage then there is another escritura for this. b) Land Registry Fees: Any escritura has to be registered at the land registry and there are fees involved. c) Taxes: The transfer tax on a re-sale property is around 7% of the value declared on the escritura and this is the same for a plot of land. In the case of a new property the transfer tax depends on whether the land and building are transferred together or separately. There is currently a tax of 1% on the declaration of a new buil
