When buying a country property in Andalusia, next to the purchase price there are more costs involved. To avoid any surprises we have outlined the costs attributed when purchasing a new home as well as the costs attributed with owning a home in Andalusia.
What are the property purchasing costs in Andalusia?
Buying a country property in Andalusia, Spain, means starting a new life and in doing so, you are investing in your dream. Naturally, buying a property comes with its costs. Next to the purchase price of your new property, there are additional costs you should be aware of. Approximately, the purchaser should budget to pay approximately 10% on top of the value of the purchase price.
The additional property purchasing costs in Andalusia are the following:
- Transfer Tax.
The transfer tax in Andalusia is established at 7% of the purchase price. This is paid and declared after the signing of the deed at the notary. The proof of payment is necessary to register ownership at the property registry.
- Notary and Registry fees.
Notary fees depend on the amount of pages included in the purchase deed. On average you should take into account 1000 – 1500€ yet in complicated purchases it could be more. The fee for the property registry can differ per registry. On average it is between 400-700€.
- Lawyer fees.
In Andalusia lawyers tend to charge 1% of the purchase price, plus applicable IVA. There are, however, lawyers who charge a rate per hour.
- Technical survey.
A regular survey costs between 1000 – 2000€ excl. IVA. For extensive properties and detailed surveys this amount can of course be higher. A quote will always be given in advance to prevent surprises.
- Bank costs.
Spanish banks charge for the emission of a bankers draft or even for a large bank transfer. It is recommended to check this with your bank beforehand and involve your lawyer if necessary.
- Currency exchange.
If your funds come from a different currency region as the Euro, we recommend you to check the exchange rates with different specialised companies. This way you will get the best possible exchange rate.
- Administration fees.
Your lawyer may use a ‘gestoría’, administration office, to assist in the change of name on contract, requesting NIE numbers, etc. It is best to reserve around 500€ for these activities.
- Mortgage fees.
If you are applying for a mortgage on your property you have to take into account some extra costs. The valuation will cost you around 800 – 1000 euros, brokers may charge a fee of around 500€ to study your specific case and provide you with quotes. Finally, at the signing they may ask a commission. Check beforehand what your costs will be. Nowadays banks have to pay for the costs of formalizing the loan at the notary and the registry. If you would like more information with regards to mortgages for properties on rustic land, click here.
Danielle Ernstsen | 16th December 2022