The costs of purchasing property in Spain with a mortgage can vary considerably depending on the price of the property, the region in which the property is located, the advisers appointed (lawyers, brokers, agents, etc.) and the deal agreed with the vendor or estate agent. Having said that, estimating costs of 10-13% of the purchase price is currently a good guide. In our case study, the total costs are exactly 12.46% of the declared price.
Some banks have minimum opening fees and lawyers, brokers and valuation companies also have minimum fees. This means that for cheaper properties, the costs as a percentage of the property price can be significantly higher than 13%. For properties with a price less than € 40,000, a mortgage may not be the most cost-effective solution.
Always check whether the selling agent has included their commission in the purchase price. Some agents do this and do not charge the purchaser directly. Others do not, so you need to check this out before assessing the overall costs involved.