Selling a second home does not have to be complicated in the current context, in which there is so much demand. Before doing so, we must analyze certain issues, especially if it is located in a location other than where we have our usual home.
Know what taxes we will have to pay when selling our second home
The taxes that we will have to pay if we sell our second home will not be the same as those we would have to pay if we put our primary home up for sale.
Personal income tax payment
Thus, for the sale of this property we must pay the corresponding personal income tax, provided there is a capital gain; That is, we sell the home for an amount higher than that for which we acquired or inherited it.
Payment of municipal capital gains
In addition to personal income tax, we must also pay municipal capital gains, a tax that taxes the increase in value of urban land at the time they are transferred. Again, we will have to pay it if the value of the land has increased or decreased.
IBI payment
The annual IBI, which is a tax levied on the ownership of any property, must also be paid, although generally its amount will be divided between the seller and the buyer. It is established by the town councils of each locality and is part of the municipal taxes.
When selling our second home we must pay, as a general rule, personal income tax, municipal capital gains and IBI.
Hire the services of a good real estate agency in the area
On several occasions we have talked about how important it is to have the services of a good real estate agency. And it will take care of practically everything: it will establish the appropriate price for the home; will publish a complete advertisement on real estate portals; will answer calls from potential interested parties; will carry out all visits; and will even process all the necessary documentation for the sale of the apartment.
What has been said: selling our house through a real estate agency will save us up to 85 hours of paperwork, especially if it is a second residence, given that it is likely not even in the town where we usually reside.
Find out if we can sign the deposit and the sales contract remotely
Before selling our second residence and signing the sale before a notary, it is advisable to sign a deposit contract, which guarantees for both parties, the buyer and the seller, that our property is reserved.
It is important to keep in mind that thanks to the digital signature, the use of which increased significantly during the pandemic, we can sign the deposit contract from any corner of the world. Likewise, we can also grant power of attorney to a lawyer or legal representative to sign the deposit on our behalf.
The same will happen with the purchase and sale contract: we will not need to be present to sign it. We will also have several options. The most common will be to designate a person we trust to represent us and sign on our behalf.
To do this, however, we must process a power of attorney that will give the power to our legal representative before a notary. However, as with deposits, we can also sign the purchase and sale contract electronically.
Focus on foreign buyers
Investment in real estate in Spain by foreigners has also increased in recent years. In fact, as a general rule, the economic effort that they must make to acquire a property in our country is lower, based on their respective salaries.
And even more so if we take into account that in Spain it takes between 5 and 10 years to save for the down payment on a house. But what should we keep in mind if we sell our second residence to foreigners? Although the real estate agency will take care of everything, it is worth knowing that the only thing you will need is to have your NIE or DNI, in the case of being Spanish citizens residing abroad.
In addition to all of the above, we must not forget to have all the documents in order when selling our second home. The real estate agency will help us process them.