What is inheritance acceptance?

Notarial procedure where heirs formally accept the deceased's assets. Required to register property at the Property Registry. Cost: €600-1,500.

What is ajd (stamp duty)?

Regional tax on certain notarial documents. In Valencia, condominium extinctions tax at 1.5%.

Temporary property assignment for tourist purposes. In Valencia requires VT licence and REGTUR registration.

Buyer advance payment (10% of price) formalising purchase commitment. Penitential deposit allows resolution.

Valencia regional reduction since 2023 for inheritances between spouses, descendants and ascendants. Applies 99% of tax.

Administrative registry of real estate. Assigns cadastral reference, area, and cadastral value. No legal effects on ownership.

Real estate glossary · 27 terms

Spanish real estate jargon explained in clear language and applied to Valencia reality.

AJD (Stamp Duty): Regional tax on certain notarial documents. In Valencia, condominium extinctions tax at 1.5%.
Arras (deposit): Buyer advance payment (10% of price) formalising purchase commitment. Penitential deposit allows resolution.

Inheritance Tax 99% reduction: Valencia regional reduction since 2023 for inheritances between spouses, descendants and ascendants. Applies 99% of tax.

Cadastre: Administrative registry of real estate. Assigns cadastral reference, area, and cadastral value. No legal effects on ownership.
Estate agent commission: Estate agent fees. In Valencia, 3-5% on sale price + 21% VAT. Paid by seller.
Condominium extinction: Dissolution of co-ownership. Taxes 1.5% (AJD) in Valencia, cheaper than 10% sale (ITP).
Capital gain (IRPF): Difference between acquisition value and transfer value. Taxes 19% up to €6,000, 21%, 23%, 27%, 28%.
Cadastral reference: Unique identifier per property at Cadastre. 20 digits. Essential for procedures.
Cadastral value: Administrative property value. Base for IBI and Plusvalía Municipal. Doesn't match market value.

Energy certificate: Mandatory document since 2013 classifying property energy consumption (A-G). Cost: €80-150. Valid 10 years.

Habitability certificate: Document certifying minimum habitability. Mandatory in Valencia to sell or rent. Valid 10 years. Renewal: €150-300.

Inheritance acceptance: Notarial procedure where heirs formally accept the deceased's assets. Required to register property at the Property Registry. Cost: €600-1,500.
IBI (property tax): Annual municipal tribute. Sueca: 0.68%. Cullera: 0.77%. Tavernes: 0.68%. Charged to titular on January 1st.
IRNR: Non-resident income tax. When selling, buyer withholds 3%; seller submits Form 210.
ITE: Building Technical Inspection. Mandatory every 10 years (buildings over 50 years).
ITP: Property Transfer Tax. General rate 10% in Valencia. Paid by buyer.

LAU: Urban Lease Law. Regulates rental contracts. Latest reform: Law 12/2023.

NIE: Foreigner identification number, mandatory for non-Spanish buyers/sellers. Cost: ~€10.
Nota simple: Property Registry document with owners, charges, description. Cost: €5-9. Essential.

Official valuation: Valuation by Bank of Spain-approved company. Buyer pays. Cost: €250-450.

Public deed: Notarial document proving property ownership. Key transmission moment: buyer pays, seller delivers.
Plusvalía Municipal: Municipal tax on urban land value increase. Choose objective or real method (RDL 26/2021).
Co-ownership (Pro indiviso): Multiple co-owners share property in shares. Decisions require all owners' agreement.
Property Registry: Public registry attesting ownership and charges. Sueca: c/ Sant Cristòfol 19.
Primary residence: Property where taxpayer resides minimum 3 years. Tax benefits: deductions, IRPF exemption when selling.

Primary residence reinvestment: IRPF exemption when reinvesting sale proceeds in another primary residence within 2 years.

Tourist rental: Temporary property assignment for tourist purposes. In Valencia requires VT licence and REGTUR registration.

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