Many people calculate the purchase costs but underestimate the maintenance costs.
But in the long run, these are what determine how much a property is worth.
What are the regular costs?
Maintaining a property in Spain involves several items.
1. Property tax (IBI)
This is an annual local tax paid by all owners.
The amount depends on:
- the value of the property
- from the municipality
Usually a few hundred euros per year. Details of the taxes related to the purchase are presented in this article.
2. Common cost
If the property is located in a residential complex or condominium, you will have to pay common charges.
It covers:
- maintenance of common areas
- pool, garden, cleaning
This can be a monthly or annual fee.
3. Utility costs
- Water
- electricity
- gas (if available)
- internet
This varies depending on the use.
4. Insurance
Property insurance is not compulsory but strongly recommended.
It protects:
- the property
- the equipment
- the owner in the event of certain damage
5. Maintenance and repairs
All properties require periodic maintenance.
This could be:
- minor repair
- painting
- replacement of equipment
6. Extra costs in case of rental
If you are using the property for rental purposes:
- operation
- cleaning
- management
- possible taxation
What should you expect overall?
Maintenance costs:
- the type of property
- from use
- and depend on the location
It is important to take these into account before you buy.
Common mistake
Many people decide on the basis of the purchase price alone and do not take into account the maintenance.
This can lead to bad decisions in the long run.
Important to clarify
A cheaper property can be more expensive to maintain if the costs have not been thought through.
Summary
- more recurrent costs to be expected
- they add up in the long run
- can be well managed through conscious planning
Need help?
We help you see the whole picture upfront, so that you not only buy your property, but also run it well in the long term.
Request a free consultation or fill in the needs assessment.
