Our Clients

Search & Survey Clients, Testimonials & FAQ's

Testimonials

"We could not compare our perfectly organised S & S viewing trip with the previous attempts to view property, this time it all went like clockwork. After two days we had seen some very nice properties and it was rather difficult to make a decision as to which one to go for, but we were delighted when our offer for Villa Jacaranda was accepted. Great viewing trip, great result and a fantastic service. Thank Carlos for his help, advice and his patience...." Ruth and Jack Mc.

"I would just like to say thank you for the thoroughly professional service provided by Johnny and his team..... We were rather apprehensive about buying in Spain but you made it all very easy and stress free...." Carolyn T.

"I liked the way you worked out exactly what we wanted and the way you presented the properties ... thanks for the advice regarding the kids school I am sure it was absolutely right for us - great doing business with you... " Sarah R.

Frequently asked questions.

Q. Is the "escritura" the same as the deeds of a house in the UK?

A. No, in Spain the "escritura" in this context, is simply a public record of the sale/purchase. Each time the property is sold a new escritura is produced whereas in the UK the original deed document stays with the property forever and shows the name of the current owner. In Spain it is possible to have several escritura's relating to the same property therefore production of an escritura alone does not necessarily prove ownership since the person whose name is shown as the buyer could have in the meantime, sold it to someone else.

Q. If I sell my property in Spain and return to the UK will I have to pay capital gains tax?

A. Yes, if you are resident in Spain then you would have to pay CGT at the rate of 20%, otherwise the non resident rate is 35%. The tax is calculated on the difference between the sale price and the previous purchase price.

Q. What is the position in Spain with regard to Gazzumping. We paid a deposit on a property and four weeks later were told that the vendor had received a better offer and we were given our money back.

A. This is quite common practice and unfortunately many estate agents have a private sales contract which leans in favour of the seller rather than the buyer. All private contracts prepared by Search and Survey contain a clause obliging the vendor to either complete the sale in accordance with the contract or return double the amount of the deposit to the purchaser.

Q. Is it not better for tax purposes to buy a property through a company rather than in your own or joint names?

A. There are advantages and disadvantages depending upon an individuals personal circumstances. Often the costs of setting up a company and administering it can out way the tax savings. The subject of inheritance tax is a complex one and cannot be discussed meaningfully here, queries regarding investments and inheritance tax implications should include details of the type and value of the envisaged inheritance and family circumstances.

Q. My wife and I have paid a deposit on a villa which is going to cost a total of 475,000€, my lawyer says that we are going to declare 320,000€ because it will save us tax, he says this is normal practice in Spain but is this not illegal?

A. Yes it is illegal and Yes your lawyer is right - it is quite common practice to declare a lower figure on the escritura than the real purchase price. We have an article which you can download discussing this issue at the Search and Survey Information centre.

Q. Four years ago we bought a small house on a plot of 1,350m2, we would like to add a pool and build an additional bedroom but I have heard that this is not possible because we are in a rural area. Can you comment on this please?

A. The law regarding rustic land is that you can only occupy 2% of the total area of the plot, in this case 27m2 on the ground floor and the same on the first floor. Your house presumably is much larger than this and therefore you would not obtain a building license to extend it further. It is however possible that you could obtain a license and add a pool providing it was excavated rather than built into an elevated structure.

Q. I understand that if my income is less than €10,000 I will not have to pay income tax in Spain, is this correct?

A. It is not strictly correct, if you are working and both you and your employer are paying contributions to the hacienda then you may be under the threshold for making an annual declaration. For more information please see the articles entitled Banking & Financial and also Employment in Spain.

Q. As a resident in Spain over 65 years old if I sell my property and buy a new one is it true I will be exempt capital gains tax?

A. Two years ago the Spanish authorities allowed anyone over the age of 65 to sell their principle home without any CGT commitment. So the answer is Yes you would be exempt tax.