Buying a home is a complex and costly process. In addition to the property’s price, there are additional expenses like notary fees, property registration, and, if necessary, mortgage costs. These expenses add to the price of the home, requiring significant savings, especially since banks typically finance up to 80% of the property’s value.
However, in Catalonia, there are various bonuses that can facilitate the purchase of a home. Here are the main bonuses available.
Bonuses for Young People
For young people under 32, the Property Transfer Tax (ITP) is reduced from 10% to 5% for the purchase of second-hand homes. This measure aims to make housing more accessible for young buyers.
Officially Protected Housing (VPO)
In Catalonia, buying Officially Protected Housing (VPO) also offers tax benefits. The ITP is reduced from 10% to 5% for these homes, promoting the acquisition of protected housing.
Large or Single-Parent Families
Large or single-parent families buying a second-hand home in Catalonia can benefit from a reduction of the ITP to 5%. This measure supports families who may have greater space and resource needs.
People with Disabilities
Individuals with a disability equal to or greater than 65% can also benefit from the reduction of the ITP from 10% to 5% when purchasing a home in Catalonia. This measure aims to facilitate access to housing for people with special needs.
Bonuses for Donations and Property Transfers
Young people under 32 who accept the inheritance of a home can pay the transfer tax at 5% instead of 10%, provided the taxable base and the personal and family minimum on the IRPF declaration do not exceed 30,000 euros.
Additionally, there is a bonus on the Inheritance and Donations Tax for those receiving a donation intended for the purchase of a home. Those under 36 can get a reduction of 60,000 euros, and this amount increases to 120,000 euros for people with a disability of 65% or more. The home purchase must occur within three months of receiving the donation.
These bonuses can be very helpful for those looking to buy a home in Catalonia. Knowing and taking advantage of these tax benefits can make purchasing your ideal home more affordable.
If you’re thinking about buying a home in Catalonia, it’s important to learn about the available bonuses. These can significantly reduce the associated purchase costs and make acquiring your dream home more accessible. At Livig Sitges, we are here to help you find the perfect home and guide you through the entire process. Contact us for more information!
Article by Living Sitges
