In our previous blogs, our lawyers specialized in property purchase and sale in Spain explained what is the Reference Value of a property in Spain and how to obtain the Reference Value from a theoretical point of view.
In the following, from Welex lawyers in Marbella, we are pleased to illustrate step by step how to obtain the Reference Value. We will explain the process from a practical point of view using examples and we will inform you why we should always take into account the Reference Value when buying a property in Spain.
In the first place, we are going to learn how to obtain the Reference Value of a property, step by step:
1.- Visit the page of the Cadastre, whose link we provide you www.sedecatastro.gob.es
2.- Click on the section “Valor de referencia”, as you can see in the following image:
3.- Once within the “Valor de referencia” section, you will find the following list:
We will need to access the second section “Consulta valor de referencia”.
4.- You will find two options:
– Access with your DNI/NIE data
– Access using a digital certificate in Spain
5. We will need to fill in the form that appears below, where we are asked for:
– The purpose
– The value date
– NIF (which we will have already included in section 4)
– The cadastral reference of the property from which we wish to obtain the reference value.
Once all the details have been provided, click on “valor de referencia” and you will obtain the descriptive details of the property and its reference value. The platform will also allow you to download a certificate of the reference value.
Case study on how to obtain the reference value in Spain
At Welex we don’t stop there. Our team of lawyers and accountants in Marbella, experts in the purchase and sale of properties in Spain, have created a practical example of how to obtain this reference value, and explain to us what a difference between the purchase value and the reference value of a property means.
Our client would like to purchase a house and have agreed on a price of 405.000,00 euros. After consulting its Reference Value, we are informed that this property has a Reference Value of 470.494,19 euros.
As we can see, the Reference Value of the property (470.494,19€) is higher than the purchase price (405.000,00€).
Therefore, the buyer will receive a “complementary declaration of tax liquidation” from the Tax Agency requesting 7% of the Transfer Tax on the difference between the sale price and the Reference Value, plus interest and remote penalties.
This means 7% of 470.494,19€ (Reference Value) – 405.000,00€ (Sale and Purchase Value), which is equal to 7% of 65.494,19€ = 4.584,59€.
In this case an additional Transfer Tax of 4.584,59€ will be paid.
Do not hesitate to contact our team of lawyers in case you wish to purchase a property or have any doubts regarding the reference value of a property in Spain. We will be pleased to assist you.
What is the reference value of a property in Spain?
When it comes to purchasing a property in Spain, this transaction is subject to taxes, the amount of which is determined by a “value” of the property being transferred. This value must be adjusted to the most objective criteria possible for the payment of the corresponding taxes. Our lawyer specialized in property sales and purchases, Félix Ruiz, explains what is meant by the reference value of a property in Spain.
Local Property Tax (IBI) rates in Spain
The Tax on Real Estate (IBI) is a tax framed in the Local Spanish tax system. It management is shared between the State Administration and the Town Councils and the tribute is collected by each Town Hall for the properties on its municipality.
Tips about property conveyancing in Spain
It is imperative to get to know the area before you choose a property. You should visit a number of different locations in order to make an educated decision. Additional research into similar properties in various areas will give you different perspectives of what you can anticipate in terms of price.
I want to buy a property in Spain, what should I do?
According to Félix Ruiz, an expert conveyancing lawyer in the sale of real estate in Spain, sometimes it happens to find people who choose not to have the services of a professional specialized in the purchase and sale of real estate in Spain getting them wrapped in a legal nonsense from which they find it difficult to get out.