Good news for property buyers in Andalucia!
For the rest of this year, that is for all purchases concluded before 31st December 2021, the Junta de Andalucía has reduced tax rates with immediate effect.
This table shows the changes:
|
Purchase Price |
Existing Rate |
New Rate |
|
Up to €400.000 |
8 % |
7 % |
|
€400.000 - €700.000 |
9 % |
7 % |
|
Over €700.000 |
10 % |
7 % |
What does this mean in practice?
Buying a cortijo costing €195.000 in the name of a single owner will now attract tax of €13.650 instead of €15.600. Saving €1.950
Buying a country house costing €800.000 in the name of a single owner will now attract tax of €56.000 instead of €60.000. Saving €4.000
Buying a carmen overlooking the Alhambra costing €2 millions in the name of a single owner will now attract tax of €140.000 instead of €189.000. Saving a whopping €49.000
The greater the purchase price, the higher the saving, because the 9% and 10% rates levied at higher prices are avoided.
If the property is bought in the name of more than one owner, a couple for example, the savings will be reduced as each person is entitled to their own share at the lower rates. A couple buying the country house at €800.000 would only pay 8% tax currently as they are each entitled to €400.000 at the lowest rate.
If you are seriously thinking of buying, now is the time!