Basic Utility & Running Costs for your Spanish Home - Example!
So we have put together this short video as an example to help (Please note prices will change so this is a basic example only)
Electricity, Water, heating, cooling, rubbish collection is reported to be approximately 40% cheaper in Spain than in the UK.
However with the ever changing global issues, this figure can change at anytime, but overall historically, utilities are cheaper in Spain.
Cheapest times to use electricity -
Peak times = Between 10am & 2pm & 6pm & 10pm on weekdays.
General times = Between 8 am & 10am, 2pm & 6pm, & 10pm to midnight on weekdays.
Off peak = Between midnight & 6am on weekdays, 24 hours a day at weekends and public holidays.
Which electrical appliances use the most electricity in your Spanish Home?
55% of electricity is used by your appliances.
Fridge freezers use a 3rd of your electrical use.
Washing machines use a lot but can be controlled using cheap time rate usage.
Your TV uses around 12% of your usage.
Your oven uses around 8% of your usage.
Computers use around 7.7% of your usage.
The video breakdown above is of general utility costs taken from 2 of our properties from our extensive portfolio of both inland and coastal properties.
* The information is presented to you as an example * and it must be noted that Costs will always vary dependent on what type of property it is and the general economic status of the country *
It will also depend on how many people are using the property, also if it is a holiday home or residential home and of course what time of the year it is.
However we hope you find it informative and for your convenience all of our properties have the price of community fees (if applicable) IBI/Council tax and Basura/rubbish collection on all of the listing in the bullet point section.
- IBI/Council tax
- Community fees
- A breakdown of costs on each property for your information and for you to know exactly what costs are involved in your purchase.
When you purchase a property here in Andalusia you will have to pay IBI which is Council Tax. In Spanish it is called (Impuestos de Bienes Inmuebles).
It is extremely cheaper than paying Council Tax in the UK with an average IBI bill for an apartment of just over 200€ per annum and an average of 300€ for a 3 bed, 2 bath standard villa.
It is based on the rateable value of your property and is paid to the local town hall.
The town hall will send you a bill and a timescale to pay or you can have direct debit.
Utility companies here in Spain will not take a payment from an overseas account. So you have to set up a Spanish bank account to enable your bills to be paid on time.
COMMUNITY FEES - LIVING ON A COMMUNITY DEVELOPMENT
If you own a property on a development here in Andalusia, you have to pay community fees called (Cuota Comunidad de Propietarios).
Paid by all property owners on the development, the payment goes towards the maintenance of communal areas, such as the swimming pools, gardens and access roads.
Please note that should you be an owner of a property that provides more extensive facilities - for example on a golf courses such as Desert Springs, Valle Del Este or Puerto Marina here in the Mojacar area, you can expect to pay higher community fees. Payment will depend upon the community itself: payable monthly, annual or quarterly.
Non Residence Tax
When you own a home here in Spain but you do not live here on a permanent basis, be aware that you are be liable to pay a non-resident’s income tax.
Do I pay if I do not rent my property out? Yes even if you don't rent the property out, you are still required to submit an annual return.
The annual tax is calculated on the rateable value (valor catastral) of your property. The tax payable is not normally a lot of money, as its based on a taxable amount of 1.1% of the rateable value.
What if I do rent my property out? If you are going to rent your property out, then you will be required to submit quarterly returns declaring the income that you have received along with any expenses you have incurred, such as for example a "new boiler" keep the receipt and submit it, each quarter.
Expect to pay quarterly tax upon the net income earned at a rate of 19%, taking into consideration any deductible expenses.
Insurance - We got you covered.
Spanish Property Choice has made every effort to obtain the information regarding this page from external sources deemed reliable. However, we cannot warrant the complete accuracy thereof subject to errors, omissions, change of price, rental or other conditions.