Guide for sellers
Selling a property in Spain is something that is not extremely complicated but, as in a purchase, we recommend the intervention of a professional who is in charge of supervising the entire process. Sellers must be informed of a series of requirements that must be taken into account when selling a property.
FISCAL RESPONSIBILITY OF THE SELLER
The seller will be responsible for the payment of the capital gains tax. This tax is levied on the increase in the value of the property, that is, the difference between the updated purchase price and the sale price.
Any additional costs implicit in the sale of the home can be deducted provided they are accompanied by the corresponding invoices. Therefore, all taxes inherent to the purchase, notary fees, registration, etc. they can be deducted in the calculation of the capital gains tax.
The seller is responsible for the payment of the Capital Gains Tax. The value of this tax is established by the City Council according to the cadastral value of the land and the number of years that it has belonged to the seller.
LOADS AND LIABILITIES
The seller is responsible for the payment of any charge or encumbrance affecting the property, for example mortgages. If the buyer is going to make the purchase of the property through a bank mortgage, he could consider changing the name of the mortgage from seller to buyer (always taking into account the terms and conditions of the existing mortgage) and if this way he could become more economical than applying for a new mortgage.
If the seller is not a tax resident in Spain, it is important to know that the buyer is obliged to retain 3% of the purchase price and deliver it to the Spanish Treasury. In this way, the Government assures that the seller will pay in its IRPF the corresponding tax derived from the sale of real estate capital. Once the exact amount has been calculated, the seller will receive a refund or an additional payment will be required to cover the total payment of the tax.
Note: Villadom Spain Real Estate is not responsible for the variation of the information displayed on this page and recommends the advice of a specialist, whether in legal, legal, or fiscal aspects. We will be happy to provide you with the information of professionals that can provide personalized attention.