Sales guide

A guide to sell a property in Spain

When selling a property, it is important to choose an agent who guides you smoothly through the process from beginning until end.

Sales guideDownload PDF

Costs when selling a property in the Valencian community

  • If you sell your property through a real estate agency, you will have to count in between 5% and 6% as the agent´s commission (usually these amounts are excluding VAT, but in case of HG Hamburg, being a German company, you won´t need to pay VAT)
  • If your Energy certificate and habitation license (cédula) are older than 10 years, they need to be updated
  • Capital gains tax - effectively a tax on the profit you’ve made on the house. There’s an annual allowance which is calculated by the tax office. The CGT rate varies between 19% and 23% depending on the size of the gain
  • Plusvalía - Plusvalía is a local municipal tax calculated on the rateable or ‘cadastral’ value of the land and the number of years since you bought it
  • Non-residents tax - If you’re not an official resident in Spain, the buyer is obliged to forward 3% of the purchase price to the tax authorities on completion of the sale

What do you need?

  • An energy certificate
  • A habitation license (cédula)
  • Title deeds of the property
  • Receipts for the local municipal property tax (impuesto sobre bienes inmuebles or IBI)
  • Copies of latest utility bills
  • An inventory will be prepared in accordance with buyer and seller

The process

  • Once the purchase price is agreed, it can happen that a reservation contract is drawn up in combination with a reservation fee, which is deducted later from the total price – if a mortgage is necessary, it now is time for the bank valuation/surveys
  • The private purchase contract is drawn up and signed once all parties agree and the seller will receive a 10% down payment
  • The deeds are signed at the notary´s office on the in the contract agreed date

At the notary

  • Either you or your power of attorney will attend, as well as the buyers or their legal representatives
  • If a mortgage needs to be cancelled, the bank will also attend the notary
  • Final payments will be made to all relevant parties

Congratulations!

When all parties signed the Escritura, you have successfully sold your property.