Purchase costs: what does it cost to buy a house in Ibiza?
Buying a house involves costs, which is no different on Ibiza than it is in the Netherlands. How high are the purchase costs? We dive into the purchase costs, with indications to show you what you should approximately take into account. Keep in mind that the amounts may vary from one provider to another and that legislation can change. If you are planning to buy a house in Ibiza, we will of course be pleased to tell you more about the current situation.
Costs of purchase: purchase costs on Ibiza
How high are the purchase costs on Ibiza? We assume the Spanish rates, because with a property on Ibiza you eventually buy a house in Spain:
- Transfer Tax
Whether you pay transfer tax and how high that percentage is depends entirely on the type of purchase or sale in Spain. As a buyer, you pay the costs. Whether it's new build, resale or a plot determines whether you pay IVA (Spanish sales tax) or ITP (Impuesto sobre Transmisiones Patrimoniales). On the first 400,000 euros for an existing home, for example, you pay 8 percent ITP. - Notary fees and registration costs
The transfer deed for a property in Ibiza is signed by a public notary. It is then registered in the land registry of Ibiza, the Registro de la Propiedad. Allow for a 1.5 to 3% fee, based on the purchase price of the property. So for a €350,000 property, this is €5,250 to €10,500. - Lawyers costs
To buy a home in Spain (and therefore on Ibiza) you will engage a lawyer. A lawyer can help you with the purchase process and can smooth out any legal obstacles. Take into account about 1% of the purchase price. So for a property of €350,000 it is €3,500. - Mortgage costs
Are you using a mortgage to finance the property in Ibiza? You pay about 3% costs to close the mortgage. For a property of €350,000 this is €10,500.
Tip: the bank will take care of the legal part of the purchase. You therefore do not need a lawyer. - Down payment for non-residents
Do you want to buy a house on Ibiza as a non-resident of Spain? Then you have to deduct 3 percent of the purchase price and pay this amount to the Spanish tax office within 30 days after the transaction. It is a kind of guarantee that you will pay taxes.
Purchase costs for a house on Ibiza
We are happy to help you buy a house in Ibiza. That means, for example, that we explain the purchase costs. That way you will not be surprised and you can make a good estimate in advance of the purchase costs that you have to add to the purchase price of the house.
Would you like to know more about the purchase costs of a house on Ibiza or do you have any questions about our services? Please contact our office in Ibiza or in the Netherlands. Of course we speak English.
