When purchasing property in Tenerife, it’s essential to understand the associated buying fees. These fees typically consist of IPT, or Impuesto de Transmisiones Patrimoniales, which is a property transfer tax (also known as land transfer tax).
In addition to the IPT, you’ll need to budget for several other costs, including your lawyer’s fees, notary fees, and land registry fees. Together, these expenses usually amount to about 10% of the property’s purchase price. If you are purchasing without a mortgage, this percentage may be slightly lower, typically ranging from 8.5% to 9%, with some minor change left over.
Understanding these fees is crucial for effective financial planning when buying property in Tenerife. If you have any questions or need assistance with the buying process, feel free to reach out. I’m here to help you navigate the complexities of property ownership in this beautiful region.