Spanish Property Tax Cut

August 23, 2011

Spanish property sales tax has been reduced from 8% to 4% as an "exceptional and temporary measure" which takes effect from 20th August 2011 until 31st December 2011. With this and the incredible price reductions from builders, now is a great opportunity for property buyers to consider putting new homes at the top of their list of requirements when searching for a home. Property buyers can benefit from a 50% tax reduction on any new homes until the end of the year. Whilst as there are some great bargains to be had in the resale market, potential buyers are not taking full advantage of the offers available in the new property market. New property has been reduced significantly, in most cases by at least 30-40%. Builders that have just a few homes left on a development just want to off load them now and are willing to sell them at some incredible prices! With the new property sales tax reduced by half, property buyers should be looking at the opportunities in the new market. For example; Novocasa estate agency in Spain is advertising 2 brand new properties that are left on a new and finished development near Guardamar beach on the Costa Blanca. The original price of one of these top floor "bungalow style" apartments was 144,950 € 2 years ago. Now you can buy one for just 64,950 €!! Add the 4% sales tax and the total price is just 67,548 €! Buying this property now you will have saved 88,998€!!