What are the expenses associated with buying a home?

There are several expenses associated with buying a home. When making the decision to buy a property, it is important that you know and take into account at least the four types of basic expenses:

1. Home Value: This is the price you agree to pay the seller. Initially you will have to pay a part of the value of the house in the initial payment (private contract), which will depend on where you are; and the rest at the time of raising the public deed of sale at the notary's office.
2. Mortgage expenses: you must pay them to the entity that gives you the credit. Therefore, the only thing you have to pay is the cost of the assessment and, depending on the bank, the opening and study fee, although many no longer pay it.
3. Real estate sales expenses: at this time it is necessary to differentiate taxes from when it is new work (first transfer) or, if it is second-hand housing. New homes are taxed throughout the territory in the same way, as they are subject to VAT, which is a national tax and is taxed according to the area of ​​Portugal where it is located. Second-hand housing, on the other hand, is subject to an EU tax. This tax is called I.M.T. (Municipal Tax on the Onerous Transfer of Real Estate) and the percentage is subject to the location where you are located. Also, you should consider having bonuses for first house, large family, etc.
4. Property advisory fees: This varies by area and whether you hire a personal property buyer.
5. All these expenses must be paid before or at the time of signing the deed of sale.

As there are several costs associated with buying a home, it is important that you speak with a professional Realtor who can advise you on everything related to expenses and borrowing capacity.

This article is made for informational and informational purposes. For this reason, it is important that, before taking any decision, you visit or contact a certified specialist in the field, as the specialist's opinion is what must be considered.