Buying & Selling Advice
The Truth about buying a Spanish Holiday Home
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Buying Advice
Purchasing a property in Spain can be a daunting prospect so you need to know that you are getting the best advice. We can offer our extensive knowledge of the Costa del Sol, the benefits and pitfalls of purchasing and we can connect you to reliable professionals in their field.
Here are some of the main areas that can be of help.
Technical Valuation
It is often a good idea to get a structural and technical valuation to make absolutely sure that you are getting what you pay for and that there are no nasty surprise after completing your purchase. Of course there is no obligation to do this but, should you wish to, we can connect you with the right people.
Alterations and remodeling
Sometimes we are asked for reliable contacts for work to be done. Most alterations to properties in Spain require a license from the Town Hall, this is not difficult but it needs to be done or the work can be stopped or can incur a fine.
We have a list of reliable workmen in the area, advisors and architects for those bigger jobs.
Full, or partial management service
If you are concerned about the upkeep of your property when you are not here and do not wish to rent it out we offer a management service to keep and eye on your property with a suite of options from a simple weekly check to full maintenance and upkeep, security and cleaning.
If you want to rent out your property we offer a full management service including cleaning, laundry and maintenance, reception and emergency all out.
Legal & taxation aspects
In recent years, understandably, the authorities here in Spain have begun to tighten the regulations that govern the rental market in an effort to ensure that the correct taxes are paid and the relevant health and safety measures are adhered to.
If you wish to rent your property and ensure that you do not run the risk of attracting a heavy fine, we will guide you through and help you with the process to properly equip your property, register with the correct authority and even pay your tax at source if you use our services. We will even help you with your tax return here in Spain that must be filed annually allowing you to sleep safely in the knowledge that you will not get a large bill some years down the line.
There is anecdotal advice from locals that this can be ignored but we strongly advise against it. It may be tempting to rent under the radar, so to speak, but the penalty for getting caught is onerous. The tax authorities can make an estimation of what they think you may have rented for in any year and produce a bill accordingly. The remedy for which is to pay and argue later.
Rentals
There are a number of websites generating rentals that you can manage yourself and are relatively inexpensive although it can be very time-consuming and tiresome. If answering phone calls, juggling check in days, arranging cleaning and maintenance, getting calls in the middle of the night and answering e.mails about every little detail is not for you we can do it all for you.
Our parent company sells thousands of rental weeks every year and has a central marketing and administration department fully staffed with over 30 years experience, a well established web presence and access to many rental outlet and web portals not available to the general public.
If you wish to take advantage of this larger operation in a saturated market with thousands of competitors this can really be an advantage to ensure that you maximize the return on your investment.
Earn an annual return in your investment
Our parent company has managed hundreds of properties in Benalmadena Costa for over 30 years, they have permanent cleaning, laundry and maintenance staff and access to reliable services if extra cover is needed. Of course you will always be able to find local people ready to work cheaper but, due to our 24 hour 365 days a year access to a long established staff pool we can guarantee that your property is always taken care of by seasoned professionals.
Contract lawyers
Although it is not essential to use a lawyer we strongly recommend that you do.
We work with a network of excellent and reliable lawyers who will take all the necessary steps and enquiries to ensure that you now fully aware of what you are buying.
There can be many challenges purchasing in Spain especially when buying older properties make sure therefore that you have the right legal advice.
We will be happy to recommend the right lawyer for you.
Selling Advice
The best advice that we can give in the current market is to be sensible about the price you ask.
Our experienced advisors will be happy to value your property and discuss with you the optimum selling price.
When you list your property with us a personal service is provided from our staff who will take extensive details of your property, including features that you feel are unique, to ensure that we can convey the best possible aspects of your property to any potential buyer.
Your property will be featured initially on the front page of our website in rotation with other new listed properties ensuring maximum visibility and will be available to view in our shop in Benalmadena Costa. Details of your property will be e.mailed to all the potential purchasers in our data-base, as an initial offering primarily and then included on every mail shot thereafter.
In addition to appearing on the Evita Estates site your property will also be available to view via our affiliated agents sites and the most popular international property websites that are widely viewed by hundreds of thousands of potential buyers each month.
From any initial interest to the final act of selling we will take care of the process involving you as little or as much as you like.
To enquire about listing your property call now on (0034) 952576466
THE TRUTH ABOUT
BUYING A SPANISH
HOLIDAY HOME
SECTION ONE
A Reality Check for Buyers
Are you dreaming of a sun-drenched escape in Spain? While the allure of a Spanish holiday home is undeniable for many people, it's crucial to go beyond the initial purchase price and understand the total financial and time management commitment. Outright ownership can be very rewarding, and is often the realisation of a lifelong dream. But is there an alternative? For those that can afford to purchase a property we hope this document helps to inform about the things that should be taken in to account when purchasing and we have included some links for further information at the end, including some reputable law companies. This article delves into the expenses associated with owning a property in Spain, empowering you to make informed decisions and avoid unexpected financial burdens. We'll use a €250,000 apartment as a working example to illustrate these costs.
Beyond the Purchase Price: Unmasking the Costs (€250,000 Example)
Many first-time buyers focus primarily on the property's sticker price, but the true cost of ownership extends far beyond. Here's a breakdown of key expenses to consider, using a €250,000 apartment as a case study:

1. Purchase Costs:
- Taxes: You could pay between €25,000 and €32,500 in taxes (10-13% of €250,000), covering transfer tax (ITP), stamp duty (AJD), and notary and land registry fees.
- Legal Fees: Hiring a lawyer is highly recommended. It costs approximately €2,500 (1% of €250,000) plus VAT (21% in Spain), bringing the total to around €3,025.
- Mortgage Costs: If you require a mortgage, factor in arrangement fees (potentially €1,000-€2,000), valuation costs (€300-€500), and ongoing interest payments.

2. Running Costs:
- Property Tax (IBI): This annual tax could rangefrom €1,000 to €2,750, depending on the cadastral value of your €250,000 apartment.
- Community Fees: These can vary significantly, but expect to pay between € 50 and €200 per month for communal area maintenance.
- Utilities: Budget around €100-€200 per month for electricity, water, gas, and internet, depending on your usage and apartment size.
- Insurance: Building and contents insurance might cost around €300-€500 annually.
- Alarm System: An alarm system could cost around €1,000 to install and €30-€50 per month for monitoring.

3. Currency Exchange:
- Factor in potential fluctuations in the exchange rate, which can significantly impact your overall costs

4. Maintenance Costs:
- General Repairs and Renovations: It is wise to set aside a budget for unexpected repairs, perhaps €1,000-€2,000 per year.
- Property Management: If you need a property manager, expect to pay around €50-€100 monthly. Or if renting up to 15% of revenue plus taxes.

5. Non-Resident Income Tax:
- Even if you don’t rent out your apartment, you’ll likely face an annual income tax of around €2,750 to €5,500 (1.1% or 2% of the cadastral value).

TIPS FOR BUDGET-CONSCIOUS BUYERS:
- Research Thoroughly: Investigate locations, property types, and associated costs before committing to a purchase.
- Factor in all Expenses: Create a comprehensive budget encompassing all potential costs.
- Consider Long-Term Costs: Don’t just focus on immediate expenses; factor in long-term maintenance and running costs.
- Seek Professional Advice: Consult with lawyers, financial advisors, and tax specialists.
Conclusion
Owning a Spanish holiday home can be a rewarding investment, but it's essential to approach it with a realistic understanding of the financial commitment. By considering all potential costs, including those illustrated in our €250,000 apartment example, and planning accordingly, you can ensure a smooth and enjoyable ownership experience.
SECTION TWO
LOOKING AT THE ALTERNATIVES TO FULL OWNERSHIP
Is there a smarter choice for acquiring access to a Spanish Holiday Home?
As we explored in section one of our booklet, the dream of owning a Spanish holiday home is often clouded by the realities of hidden costs, ongoing maintenance, and the complexities of property ownership in a foreign country. While the allure of a sun-drenched escape is undeniable, it's crucial to weigh traditional ownership’s financial burdens and responsibilities against the advantages of alternative models like fractional ownership.
- Purchase Expenses: Taxes ranging from €25,000 to €32,500, legal fees around €3,025, and potential mortgage costs.
- Tngoing Expenses: Annual property taxes, monthly community fees, utilities, insurance, and potential alarm system costs.
- Maintenance Headaches: The burden of ongoing maintenance, repairs, and renovations, potentially compounded by the need for property management services.
- Tax Implications: Liability for non-resident income tax, even if the property is not rented out.
For those buyers who are every bit as eager to enjoy a warmer climate, the more cost-conscious buyers have to balance the financial commitments and responsibilities that can create a burden of both time and attention – and can detract from the enjoyment of owning a holiday home, turning the dream escape into a source of stress and unexpected expenses.
AND IF YOU ARE NOT A RESIDENT OF THE EUROPEAN UNION.
You cannot stay for more than 180 days per year without applying for residence. If you wish to stay longer, you can find information on how to do so here: https://visaguide.world/europe/spain-visa/residence/ Thankfully, the emergence of fractional ownership and the proven track record this sector has established over the last twenty years are giving people other options.
REDEFINING HOLIDAY HOME OWNERSHIP: THE RICHVALE RESORTS FRACTIONAL OWNERSHIP ADVANTAGE
Fractional ownership offers a compelling alternative. It provides the benefits of a Spanish retreat without full ownership's financial burdens and complexities. Let's now examine how Richvale Resorts' fractional ownership model, specifically at Pueblo Evita, addresses the challenges of traditional ownership. The sections below look at the Traditional Ownership Model, with the Fractional Ownership model sitting alongside.
Traditional Ownership:
Richvale Fractional Ownership:
REDUCED UPFRONT COSTS
Significant upfront costs for taxes, legal fees, and potential mortgage arrangements.
A one-off purchase price for a share of a luxury apartment, starting from €69,900 for a quarter-share of a one-bedroom apartment with zero buying tax.
PREDICTABLE AND TRANSPARENT COSTS
A myriad of ongoing expenses, including property taxes, community fees, utilities, insurance, and maintenance, which can fluctuate and lead to unexpected costs.
No annual fees for the quarter-share part-use option, and only €1,250 - €1,500 annually for the winter-use option. These fees cover most running costs, offering predictable and transparent budgeting. Electricity is metered, allowing you to control your energy consumption.
HASSLE-FREE MAINTENANCE
The responsibility and cost of ongoing maintenance, repairs, and potential renovations, often requiring property management services.
All maintenance and repairs are handled by the resort, eliminating the hassle and unexpected costs for the fractional owner. The full-use option even includes weekly cleaning and linen changes.
NON-RESIDENT INCOME TAX
Liability for non-resident income tax based on deemed rental income.
No non-resident income tax liability as you own a share of the property, not the property itself.
FLEXIBILITY AND USAGE
Full ownership with year-round access but the responsibility for managing and maintaining the property.
Guaranteed access for 12 weeks per year with the winter-use option or 4 weeks with the part-use option.
CASH RETURN
Property values generally rise; in addition to enjoying many years of quality time in the sun, your asset will always have a value provided it is kept in good condition. However, selling can be time-consuming and costly.
Historically, properties have doubled in price every 15 years. After 15 years, the property is sold, and you receive 25% of the sale price, less fees and taxes. Your property will be kept in optimum condition, and the sales process is undertaken for you, overseen by the trustee.

The Pueblo Evita Advantage:
- Luxury Resort: Access to a beautifully maintained resort with swimming pools, gardens, and on-site amenities.
- Fully Furnished Apartments: Enjoy a hassle-free experience with fully furnished and equipped apartments.
- Flexibility: Occupy at any time, split your time or use consecutively, rent unused time for additional income.
- Professional Management: Benefit from professional management taking care of all maintenance, cleaning, and administration.
- Cost Certainty: Enjoy predictable annual fees and eliminate unexpected costs associated with traditional ownership.
Conclusion
Richvale Resorts' fractional ownership model offers a compelling alternative to traditional ownership, providing a cost-effective, hassle-free, and potentially profitable way to enjoy a Spanish holiday home. By mitigating the financial risks and responsibilities associated with full ownership, fractional ownership allows you to focus on enjoying your valuable leisure time in a luxurious setting.
THE LEGAL VIEWPOINT
To gain expert insight into this topic, we sought the opinion of Alex Radford, Managing Director of My Lawyer in Spain, a reputable law firm specialising in Spanish property law. "Having reviewed the information in this booklet ‘The truth about Spanish Holiday Home Ownership’, it's clear that while some individuals possess the financial capacity to purchase a Spanish property outright, it is extremely important to ensure proper legal due diligence. Whether opting for outright or fractional ownership, it's crucial for buyers to engage a reputable law firm to protect their interests, ensuring the due diligence is complete and checking the legal paperwork and the track record of the fractional operator, property developer or sales agent. Provided this due diligence is undertaken and passes a thorough examination, ownership can make a Spanish holiday home an enjoyable and trouble free experience. The information presented here accurately reflects the considerations and financial figures associated with both ownership models. Both of which should be carefully considered.
LOOKING FOR CREDIBLE OPTIONS
If you are looking for credible outright ownership, or fractional options, please reach out and we will happily discuss your areas of interests and needs.