A guide to buying and renovating a second-hand property in Jávea

Jávea offers plenty of opportunities to renovate older homes into beautiful residences or valuable investments. In this guide, we’ll cover the essential steps: from understanding taxes and renovation grants to finding the right professionals and increasing property value.

With the right approach, renovating a second-hand property in Jávea can be a rewarding and successful experience. Let’s get started!

Local taxes when buying a second-hand property in Jávea

• Property transfer tax (ITP):

The property Transfer Tax is the primary tax, which applies to property sales in the Valencian Community. The rate typically ranges from 8% to 10% depending on the property’s value, with potential reductions available for specific buyer profiles, such as first-time buyers or younger purchasers.

• Municipal capital gains tax:

The Municipal Capital Gaints Tax is a local tax applied in Jávea, calculated based on the increase in a property’s value since its last sale. The tax amount depends on factors such as the property’s value and its location. Generally, the higher the increase in value and the more desirable the location, the higher the tax will be. This tax is paid to the local town hall and is a key consideration when buying property in Jávea.

• Notary and land registry fees:

Additional costs that buyers must consider during the property purchase process. These fees cover the official documentation and the registration of the property in the Land Registry.

• Notary Fees: Paid to the notary for preparing and signing the official deed of sale. The cost varies depending on the property’s value and the complexity of the transaction.
• Land Registry Fees: Paid for registering the property under the new owner’s name in the official Land Registry. This fee also varies based on the property value.

Both fees are necessary for the legal transfer of ownership and are typically calculated as a percentage of the property’s value, with additional charges for more complex cases.

Grants and incentives for renovating a second-hand property in Jávea

• Energy Efficiency Certifications:
  There are several grants and incentives available for renovating a second-hand property in Jávea, particularly aimed at improving energy efficiency. One of the key options is the Energy Rehabilitation of Buildings Programme (PREE), which offers financial support for projects such as enhancing insulation, replacing windows, or installing renewable energy systems like solar panels. This program helps reduce the environmental impact of properties while lowering energy costs. To apply for these grants in Jávea, you will need to contact the local town hall or relevant authorities for more information on eligibility, application procedures, and the types of improvements that qualify for funding.
• State housing plan grants:
  The State housing plan grants are national programs that help pay for the renovation of older homes. These grants focus on improving the condition and energy efficiency of properties across Spain. They offer financial help for various repairs, such as fixing structures, improving insulation, and updating energy systems. To apply, homeowners need to meet certain requirements and submit their renovation plans for approval by local authorities.
• Local subsidies in Jávea:
  Local Subsidies in Jávea offer financial support for renovations, particularly in historic or residential areas. The local council provides grants to help homeowners improve their properties while preserving the character of Jávea’s traditional neighborhoods. These subsidies can be used for repairs, restoration work, and other upgrades. To apply, homeowners need to contact the town hall for more details on eligibility and the application process.

Tips before starting your renovation project in Jávea

• Conduct a technical inspection of the property

Before starting your renovation, it’s crucial to conduct a technical inspection of the property. This professional report will assess the condition of the structure, electrical systems, plumbing, and check for any dampness. Identifying potential issues early on can save you time and money in the long run. Additionally, keep in mind that certain areas, like Cuesta de San Antonio, have special planning regulations, so it’s important to ensure your renovation complies with local rules. This step ensures your project gets off to a smooth and successful start.

• Set a realistic budget

When setting a budget for your renovation in Jávea, it’s essential to be realistic about the costs. Start by calculating expenses for materials, labor, and permits, based on quotes from local contractors. Don’t forget to factor in additional costs for any unexpected issues that might arise, such as structural repairs or delays. It’s wise to set aside a contingency fund of around 10-15% of your total budget to cover these unforeseen expenses.

• Obtain the necessary permits

Before starting any renovation project in Jávea, it’s essential to obtain the necessary permits from the town hall. The application process typically involves submitting detailed plans of your renovation, including structural changes and any work that affects the property’s exterior. You will need to provide documentation such as proof of ownership, architect’s plans, and proof of compliance with local regulations. The timeline for approval can vary, but expect it to take a few weeks. Be sure to apply early to avoid delays in your project and ensure you meet all local requirement.

Professionals you’ll need for renovating your Jávea property

• Architects and technical architects:
  They play a key role in creating designs, obtaining necessary permits, and overseeing construction. Their expertise ensures that your renovation project adheres to local building regulations and is structurally sound.
• Interior designers:
  They optimise the use of space and add aesthetic value to your property. With knowledge of the latest design trends for luxury homes, they can help turn your vision into reality while improving both function and style.
• Local builders and contractors:
  Hiring Jávea-based professionals is essential, as they are familiar with local regulations and materials. Be sure to obtain references and compare quotes to ensure you get the best service and value for your renovation.
• Renewable energy specialists:
  These experts specialise in installing energy-saving systems, such as solar panels, which are increasingly important in Jávea, especially in areas like Montgó and Arenal. They can help you create an energy-efficient home that is both eco-friendly and cost-effective.

How to calculate the potential value increase after renovation

Key factors that boost property value

• Location

Premium areas like Cuesta de San Antonio, Playa del Arenal, and Puerto de Jávea significantly increase property value due to their stunning views, beach proximity, and vibrant atmosphere.

• Energy efficiency upgrades

Enhancing a property’s energy efficiency with improvements like better insulation or renewable energy systems boosts its energy certification, which is appealing to buyers and can raise resale value.

• High-end design and finishes

Luxury buyers in Jávea are willing to pay more for properties with high-quality materials, bespoke designs, and attention to detail, making these homes stand out in the market.

Tools to estimate post-renovation market value

To estimate the market value of your property after renovation, it’s important to compare it with other renovated properties in the same area. This will give you a clear sense of what similar homes are selling for. Additionally, consulting with local real estate experts, such as Eurojavea Inmobiliaria, can provide a professional valuation. Their knowledge of the local market ensures that you get an accurate and realistic estimate of your property’s post-renovation value.

Top neighbourhoods in Jávea to buy and renovate second-hand homes

• Arenal Beach: Perfect for those seeking proximity to the beach and luxury amenities.
• Cuesta de San Antonio: Exclusive areas with breathtaking sea views, ideal for high-end properties.
• Montgó: Large plots surrounded by nature, offering privacy and tranquillity.
• Jávea Port: A vibrant area with a nautical feel, close to top-tier restaurants and boutique shops.
• Montañar and El Puchol: Quiet residential zones popular among international buyers.

Make your property in Jávea a smart investment

A smart investment starts with good planning when buying and renovating. It’s important to pay attention to taxes, permits, and finding the right professionals for a successful renovation. EuroJavea is happy to assist you in your search for the ideal property. Whether it’s an apartment or a villa, we are here to help.