When you become the proud owner of an apartment or house in Spain, as in any other country, this entails a number of expenses and obligations in the future.
As we mentioned in the section on BUYING PROPERTY in Spain, one of the key obligations is the annual IBI tax, which all owners pay to their municipal budget (Ayuntamiento). The second municipal tax is for waste removal (basura). The amounts of these taxes are calculated by municipal authorities based on the size and location of the property and its cadastral value (IBI). Since the cadastral value can change periodically, the tax also changes occasionally (usually increasing).
On the Costa del Sol, in Marbella and the surrounding area, for example, the IBI for an apartment can be €300 per year or more. Accordingly, the annual tax on houses (villas) is significantly higher and can reach several thousand euros.
Almost all owners of residential property on the Costa del Sol belong to a homeowners' association and are therefore required to pay the corresponding contributions (comunidad). These contributions are used to maintain both the buildings that make up the urbanization (urbanizacion) and the surrounding area: gardens, swimming pools, garages and parking lots, playgrounds, tennis courts and gyms (if any), etc. The amount of such a contribution can range from 100 euros per month and up, depending on the location of the urbanization and the options offered (gym, tennis court, spa, etc.).
The waste removal tax is paid in one annual invoice, or in two semesterly invoices. The amount of this tax is set by the city authorities and can reach €200-300 per year.
There are both gated residential complexes consisting of apartments and villas. Their owners also belong to homeowners' associations and pay dues to their community. In some residential areas of the Costa del Sol, detached villas are sometimes not part of any homeowners' association and therefore do not pay any dues; conversely, other detached houses not located within residential complexes may belong to an organized community and pay the required dues. Interestingly, in these cases, homeowners often pay lower community contributions than owners of significantly smaller apartments.
All information regarding taxes and community fees should be clarified before purchasing a property so that the future owner can calculate their expenses in advance.
The best real estate agencies typically provide all this information to their clients; it is also usually verified by your lawyer during the transaction.
Other costs you will incur as a property owner in Spain include, first and foremost, utilities: water, electricity, home telephone and internet, sometimes gas, a security alarm, and, if you are purchasing a villa, gardener and pool maintenance fees.
It should be noted that the cost of electricity and water in Spain has increased significantly in recent years, and we strongly recommend that you carefully understand the terms and conditions of the contracts offered to you. This is especially true because, as the owner, you have the full right to change the company servicing your property.
Researching these issues and consulting with trusted professionals can result in significant savings for your household budget.
Since bills for electricity, water, and other services are usually paid from your Spanish bank account (through a simple procedure, called "domiciliación de los recibos" - the bank handles payments without your involvement), you won't have to worry about paying them on time each month – the main thing is that the account always has sufficient funds. This is especially important for property owners who spend most of the year outside of Spain.
It's important to know that even if you're abroad and no one uses electricity, water, or internet while you're away, there's always a minimum amount that utility companies will deduct from your account monthly (or bimonthly). This minimum fee (e.g., €15-€20-€50) is set in your contract, so be sure to read it carefully to avoid any unpleasant surprises.
Regarding gardening services: if you bought a house with a garden, especially one with a pool, it's absolutely essential to maintain this very important asset. Even if you only want a beautiful lawn and a few bushes or trees in your garden, it requires quite a lot of work during certain months of the year. Rainfall on the Costa del Sol is rare, and from May to October there may be none at all. It's worth understanding how the automatic irrigation system works and whether it even exists. A qualified gardener is worth hiring unless you plan to move to Spain and personally manage your garden and pool.
A gardener, who usually also maintains the pool, is paid either by the hour (€8-€10-€12 per hour) or by a monthly fee (€200-€350 per month, or more if you have a very large property). A gardener comes once a week year-round, purchasing chlorine for the pool, necessary fertilizers, soil, and so on. These purchases are not included in the monthly maintenance fee and are charged separately based on the invoices provided. Also, if you want to improve or change your garden, plant flowers, fruit trees, medicinal herbs, or start a vegetable garden—all of which is very exciting and especially useful if you have children—the Costa del Sol's magnificent climate allows for all this and much more... but this will also entail additional expenses, and their amount can be difficult to estimate.
