5. Complete list of all costs?

complete list of all costs

Who do I ask for a complete list of all costs of building a house?  I like lists, I really do.  Mostly because I can’t keep track of all the questions in my head.  And I do have loads of questions.  If I don’t know something and I find it interesting, I try and learn everything I can about it.  I read loads and I search the internet and …. ask questions.  For me, asking professionals about their field of knowledge is the most direct way of learning fast. So I asked each and everyone I met for their ‘complete’ list of all costs.

Building our own list

Someone who has built a house and likes lists like I do?  Mmhhh, I don’t know anybody that has done this here in Spain.  Even within Spain with their autonomous regions with different rules and tax percentages there has to be differences as well. So I need to find people here in Andalusia that can supply me with a complete list of all costs

We often see houses half built.  Could a reason be that they ran out of money because they didn’t plan for it ?  Well we don’t want that! So … we need to find someone that can help us.  And of course let’s start building our own spreadsheet with all the costs we know of already.

complete list of all costs

21% IVA or 8% ITP

One of the items that was bugging me was the difference in percentages when buying land. After doing some checking it is really quite simple; IF the land you want to buy is owned by a company, you pay an additional 21% IVA (VAT), IF the land is owned by a person, you will pay 8% I.T.P. (“Impuesto de Transmisiones Patrimoniales”). 

Land

Let’s start that ‘complete’ list of all costs. The ones that I know of at this very moment, when buying a piece of land are;

  • Cost of the land: X
  • on top of that;
    • either 8% I.T.P. or 21% IVA (as mentioned above)
    • probably about 3% for the real estate agent (Agente de Propiedad Inmobiliaria – A.P.I.)
    • about € 600 for the notary (notario)
    • here in Andalusia the property registry (registro) costs 0,15% of X, if the land is less than € 150.000
    • Mod 600 AJD is another tax you pay and it’s 1% here in Andalusia
    • The admin that is done by an agency working for the notary (gestoría) costs about € 500.

Mortgage

And if you need a mortgage to pay partly for the land …. you need to add the following costs as well;

complete list of all costs
  • “tasación” ± € 500 valuation of the land
  • “notario” ± € 500 notary (notario)
  • “gestoría” ± € 400 admin agency
  • “registro” ± € 500 property registry
  • “hacienda” 4% taxes of the value of the mortgage
  • sometimes a fee +/- € 500 from the bank to open your mortgage

All this is what I know of at this moment and it might go up or down – I plan for about 10% on top of the cost of the land (excl. IVA/VAT). As soon as we find and buy a piece of land I will update this with the actual costs.

This particular list of costs is quite small. I’m creating a more extensive list on the actual creating & building part of the house. And will supply this as soon as I can.

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