Costs: (related to selling a property)
• Real Estate Agent Fees. These are set at 5% of the sale price of the property. They reflect a lot of service input and will have to be shared with several external parties as well as contributing towards the costs of the agents accreditation and insurance. None the less this is the maximum you will pay.
• Photography A simple professional portfolio will prove of major benefit in marketing terms and provide a lasting memory of your home after the sale.
• Dressing – Whether it’s a simple de-clutter and moving things to storage, or a decorative makeover it is important to make sure your home looks the best it can from the point of view of creating an impression.
• Lawyer’s fees
The fees relating to representation for the selling process vary between lawyers and it is a good idea to get a fixed price quote in advance.
• Capital Gains Tax (Mais-valias) is a tax on the profit obtained from the sale of a property that was previously purchased at a lower price. Your Lawyer, Accountant or Financial Adviser will need to submit report within a specific period detailing all Capital Gains (and losses) to the Tax Department. You or your representative will need to present the following to determine the capital gains obtained:
o Selling price
o Original purchase price
o Deductible expenses
o IMT costs on purchase, notary and registration charges and property enhancements in the previous 5 years
We recommend you consult with your Tax Advisor or Accountant to ask for an in-depth review of the tax repercussions before you put your property on the market.
Failure to submit a tax return after the sale or pay the due tax on time may result in penalties to be paid as well as interest.
Please note: These notes are for guidance only and we cannot accept responsibility for any mistakes or misinformation. We strongly recommend Legal and Fiscal Consultations at all times prior to any transaction as the laws are constantly changing.