Rent Vs Buy

I sometimes here clients say;

“I’d like to buy somethingkeep it for a couple of years and if I like it here, I’ll sell it and buy something bigger”

Obviously, as a salesman, when a client utter the words “I’d like to buy something”, my ears prick up an the client has my attention.

But! Is this really a good idea?


No: They costs of buying and selling a property in Spain are high.

Let’s take an example let’s say the client wants to test the water and buy a townhouse or apartment for 100,000€ in the first instance and if they like it, sellit and buy a villa for 200,000.

Vs Renting a town house for two years and then, if they like it, buying a villa…

Rental Costs
Rent a townhouse for 500 euros per month costs 6000€ per year. Over 2 years that’s 12000€

Buying town house at 100000 keeping it for 2 yearsand selling it.

Property appreciation 3% = 6000€
Rental saving 12000€

Purchase Tax + Costs

In the valencian community (Alicante, Valencia, Castellón) property transfer tax is charged at 10%

10% of property price 10000

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