What Are The Expenses When Buying A House?

Buying a house is an important process, and you don’t end up paying the landlord what he asks for. There are some expenses that the buyer must face. Taxes, paperwork, and payments to professionals are some of these. If, in addition, the sale of the apartment depends on a mortgage, the expenses when buying a house are even more. Let’s see what they are then.

Taxes

Let’s start with what hurts the most. Taxes. A large amount of expenses when buying a house or godown for sale in Noida comes from taxes. When we buy a new home, we must pay VAT.

Expenses when buying a new house: VAT

The VAT we all know, and in the case of housing, the tax is 10 %. But, of course, there is an exception. In the Canary Islands, the tax to be paid is the IGIC and is only 6.5%. In case the house is public, VAT can be reduced up to 4%. However, it is each community that decides what VAT to apply in these cases. Only in these cases, the expenses when buying a new house can vary between communities.

Recommended reading: Housing VAT: What is it and what are the typeshouse

Expenses when buying a second-hand house: ITP

The ITP is the property transfer tax. You have to pay each time a sale of a property is made and falls to the buyer. Unlike VAT, the ITP varies according to each community. Therefore, the expenses when buying a second-hand house will vary depending on your location. In most regions, the ITP is one of the most economical. 4% and 6%, respectively. On the contrary, in Valencia, Catalonia or Galicia, the ITP can be 10%. An important difference that you should keep in mind when buying a flat.

Notary and Property Registry

Once the sale of houses is made, it must be written. For this, it is necessary to be signed by a Notary. Notary expenses are stipulated by the State and are based on the price of the home. In other words, you will pay more or less according to the purchase price, but never according to the notary.

Expenses when buying a house

The deeds signed by the notary must be added to the property registry. Another item that increases the cost of buying a house. But this is the bureaucracy, and we can do little more than assume it and accept it as it is.

Management expenses

A real estate agent in Noida is one who processes everything. He is the one who takes care of all the paperwork and does not fear legal jargon. The technicalities, the tax models, and the managements are his world and to leave everything in his hands; obviously, you will also have to pay. Of course, the expense of management is optional. Although having paid perhaps more than 10% of the price of your home in expenses, we do not think you will come with more expenses when buying a house.

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