in the Balearics
Balearic Island ??
renound for its nightlife antics one for family holidays,
one is more or less a peaceful island. It really is horses
at the crossroads in the Mediterranean, the Balearic Islands
have been plundered or colonized in turn by the Phoenicians,
Greeks, Carthaginians, Romans, Moors and Turks. In the 13th
Century Catalan settlers brought their language a dialect
which is widely spoken on the islands today.
Property in Spain
a Spanish property will normally be contained in a private
contract with a deposit of around 10% payable which is binding
by law. It is possible to agree a contract where either party
may change their minds at a financial cost. The private contract
should contain details of the agreed deposit payment, purchase
price and details for payment of the outstanding balance
of the agreed buying price plus any additional extras and
your intended completion. A Notary will prepare the official
contracts and make sure it complies with Spanish regulations.
If there is common ownership a Community of Owners must be
established through which community charges can be shared.
If your property is contained in an apartment block then
the law will relate to the Horizontal Division and this should
be clarified, especially in new developments. Any property
sale or purchase in Spain should be registered in the Land
Registry and its important to make sure any relevant taxes
are paid before this is done.
It is common practice for the sale and purchase price to be understated by
Spanish sellers, enabling them to reduce their tax liability and reducing your
stamp duty fees. However, you could be liable for Capital Gains tax on additional
profit once the true price is declared and non residents will normally be expected
to deposit 5% of the sale proceeds with local tax offices until any agreements
are reached, and could have liability by both seller and buyer if the profits
or in excess of set limits around Pt2,000,000.
would expect to pay a total of around 10% of the purchase
price for realestate in Spain. This could include Stamp duty,
charged at 7% of the official selling price (4.5% for the
Canaries), and 0.5% for contract documents Land Registry
is charged against a rateable table held by local authorities.
There will also be a tax on the increase of the land your
property lies on since it was last sold and should be paid
by the vendor. Notary fees will also be included in the total
your Spanish property taxes will be based on the official
price registered, not on selling prices and you would expect
to pay under 1% annually, plus additional service taxes set
by the local authority. Wealth tax charges apply for residents
after 17m ptas of net assets; if you donít apply for residency
you could be charged tax for all your net assets. Rate varies
from fractions of a percent to over 2% depending on net assets. Click
Here for more info.
lenders will allow you to borrow against Spanish property
and can usually be arranged in most major currencies normally
over terms of up to 15 years, with exception of 25 years
at up to 80% of the buying price.
more information on Balearics Property and to arrange your
Property Viewing Arrangements
Del Sol Property Guide Costa
Calida Property Guide Costa
Blanca Property Guide Costa
Dorada Property Guide
Del Azahar Property Guide Costa
Almeria Property Costa
De La Luz Property Guide Costa
Brava Property Guide
Island Property Guide Canary
Island Property Guide