Researching the Spanish Property Market
Doing your homework before taking the plunge, rather than diving right in at the deep end, is a wise move if you’re considering buying a property in Spain. Get your head around the market before you start searching can save you money, time and hassle in the long run.
Deciding your budget. The first decision to make is how much you can afford to spend. Build in extra costs of around 10 per cent of the cost of the property for legal fees, local property taxes, and surveys. Add more if you want to make additions or improvements to the property.
Checking out your tax position if escaping taxes is your main concern. You find a lot of misinformation when researching the possible tax benefits of owning a property overseas. Many holiday home-owners find it isn’t possible or desirable to move their tax affairs to Spain. Many more find that they have different aspects of their affairs taxed in both countries. You can pay lower taxes in Spain than in the UK but consider these matters before heading for the airport, not when selling up.
Researching pays dividends. You can find out about Spain before you go and save days of time and hundreds or thousands of pounds by narrowing down your choice of desirable properties and areas to a short list of two or three before hunting out your passport.