The Buying Process13 June 2017
Buying property in Barcelona is straightforward.
- The Buyer and Seller sign a ‘contrato privado de compravento’ ( a private contract of sale) and the Buyer leaves a 10% deposit*. If the sale is cancelled by the Buyer, he/she will lose the deposit. If the sale is then cancelled by the seller, they are obliged to pay back the same fee i.e. double, although in practice, this can be a struggle to receive back.
- The Buyer and Seller sign the ‘escritura de compravento’ (the deed of sale) with a notary present
*The 10% deposit can vary by project and developer
Fees are generally at an additional 12%-14% of the purchase price and include:
- A property transfer tax of 10 % for existing properties* OR
- VAT (or IVA) at 10 % for new properties
- Notary Costs, Title Deed Tax and Land Registration Fee 1–2.5 %
- Legal Fees 1–2 %(including VAT)
*if the property is designated as a “permanent residence for buyers under 32 years old, disabled people or large families”, the tax is reduced to 5%. If one of the buyers is over 32, and the other under, the tax is set at 7.5%