If not, can you as a new owner be held responsible for sellers unpaid bills. That all licenses are in accordance with regulations. That method of settlement is in accordance with normal practice.
A lawyer will be sceptical towards everything that has not been documented and not least know how information on the property can be controlled. So my advise is to use a local lawyer, ie a lawyer who is familiar with Spanish rules for property sales and who has knowledge of local conditions.
We recommend not to enter into contract unless you are certain that you can pay the whole amount in accordance with the contract. This does not just mean that you have to be absolutely certain that you can pay the whole purchase price including expenses , but also that you are certain that you can pay within the time limit that has been agreed.
Please talk to our property agents to get more information about the finance posibilities and mortages in Mallorca, with the low interest rates at the moment, it is allways worth to have a look. Porta Mallorquina - 9 offices in Mallorca; over 2, properties throughout the island.
Selling your property. Letting your property. Property management. Holiday rental. Would you like to sell or let your property? Get in touch with us! About Porta Mallorquina. Franchise in Mallorca. Law and Taxes. We look forward to welcoming you! Porta Mallorquina. Buying property in Majorca — Tips for Buyers. Contents With the assistance of the authorities and solicitors we can, for instance, clarify the following points for our clients: Step by step to your own house Viewing Sales documentation Option contract Application for a NIE-number Powers of attorney Notary contract.
Our sales shop in Arta. Leave a Response Cancel Reply. Search Blog. VAT is also paid in the case when the property is being sold by a company or a business person. This is applicable on all sales that are not subject to VAT and is referred to as real estate transfer tax ITP is applicable. The real estate transfer tax is a regional tax which varies according to each autonomous region. Presently the Balearic Government has established the real estate transfer tax as follows.
Please note, prevailing rates will apply at the time of purchase:. Property tax Impuesto sobre Bienes Inmuebles, IBI is paid annually and is levied on the value of land and urban land according to the assessment of the local council.
As of 1st January , some municipalities in the Balearics e. Non residents whose Spanish property is for owner occupancy, must declare this property for income tax purposes. Example of invoice:. In accordance with the law passed on 23rd Dec , the wealth tax in Spain was suspended with retroactive effect as of 1st Jan , which meant that as of it was no longer necessary to pay wealth tax. For the period to the wealth tax was reinstated.
If a Spanish property belongs to a Spanish S. If you are a non-resident and purchasing property in Mallorca, you will need a NIE Personal Tax Identification Number although obtaining a NIE number, does not affect your tax status in the country of residence! All generally easily available, subject to status at the time and all current legal requirements! Please note: all costs are determined at the time of purchase!!
All subject to negotiation where possible and specific quotes at the time! Spanish Law states that unless stipulated in the Contract, taxes and fees are split between the buyer and the seller as follows:.
Firstly, the Intermediary costs when buying property in Spain:. Despite the ability of the internet to bring together buyers and sellers without the need for an agent, most people still like to use agents or a private Property Search Agent to find or rent property in Spain.
Generally, estate agency fees or commissions are paid by the seller, unless otherwise agreed. If the buyer appoints a personal Property Search Agent , then the search agents fees are paid by the buyer. Normally such costs are more than offset by the personal service of the Property Search Agent, in terms of negotiating the best purchase deal, the potential access to off market properties, your own personal time and costs saved, plus generally improved legal fees!!
Your Property Search Agent if appointed, should hopefully ensure all fees are kept to the most economic levels, including their own costs, whilst negotiating the best purchase price possible with you!
You are strongly advised to engage a lawyer to help you during the buying process. They should also carry out any necessary due diligence checking the ownership claim of the seller, charges on the property, permits, etc. A lawyer — Abogado in Spanish — will charge you according to the service you require. This will vary according to the complexity of the purchase. You should be aware, some lawyers may seek to charge 1.