Selling Residential Property in SpainA Legal and Practical Guide
When selling property in Sotogrande and generally in Spain, the most important thing is to choose a Sotogrande real estate agent who is professional and with whom you feel comfortable.
As we said above, when selling your property in Spain the most important thing is to choose an estate agent who is professional and with whom you feel comfortable.
The agent will visit the property, take photographs and give advice about the current market situation and give a valuation as to what they feel the property would sell for. You can then discuss how you want the property to be marketed. Through our relationship with Savills, we can offer free access to numerous UK property portals, discounted rates with major publications and can arrange professional photography, digital floor plans for a charge which can be deducted from the final agency commission.
When selling properties located in Sotogrande and across Andalucia, the Junta de Andalucia obliges estate agents to have copies of titles deeds, council tax receipts etc. to prevent fraudulent sellers and misinformation to potential vendors. Your estate agent can give you a full list of what is required. Without copies of these documents, estate agents cannot publish your property as they are liable to a fine.
- Impuesto de Aumento de Patrimonio or Plus Valia (PV) – this is capital gains payable to the Inland Revenue (Hacienda) according to profit made between purchase and selling. Title deed holders of over 65 are exempt from this tax.
- Plus Valia Municipal (PVM) – this is a tax which is charged by the local town hall according to the number of years that the property has been in your possession.
As these taxes are subject to different calculation criteria, we strongly recommend that you consult your lawyer or accountant for them to calculate the exact figure for you.
- Estate agency fees – these are paid by the seller and included in the price as advertised. Currently this is 5% plus VAT of the final agreed selling price.
- Council tax, community fees and utility charges – all these payments must be paid up to the date of completion. The purchaser’s lawyer will require receipts confirming this.
- Energy Efficiency Certificate (Certificado de eficiencia energética) - As is law in all EU countries, this document must be issued and shown to the estate agent when you decide to sell the Property. The document must be shown to the Notary for the sale to be completed.
- Mortgage cancellation – check with your mortgage provider the cost of cancellation and the Notary fees for witnessing the transaction. The cancellation is usually done at the same time as completing the sale.
We work regularly with lawyers, bankers and mortgage advisors and have a large database of multi-lingual contacts that you may wish to use. You are under no obligation to use the individuals recommended, but we try to help as much as we can to make the process as simple and efficient as possible.
If you are have property for sale in Sotogrande and want to list it with an agent that has a portfolio of buyers waiting, please get in touch for more information.
*Please note that the content of this document is meant to provide a general guideline only and does not constitute legal advice.