Transferring a Property

Posted: Fri Jul 11, 2025 1:43pm

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PartTime

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Not sure if anyone will have dealt with a similar situation before.

I am looking to take on my uncles share in a property that my mother and uncle inherited. With the view to ultimately take over ownership of the full property.

We are wondering if anyone else has done something similar and what the most tax efficient approach is.

Am I right in thinking that he can give up his share to his sister as a dissolution of joint property ownership - this would incur a minimal tax charge for the beneficiary and then a capital gains tax for the one giving up their portion of the property. Then she could gift me the property, again for a minimal tax implication?

This, I think, would be less of an overall tax burden than directly buying him out (having him gift me the property) and paying the taxes on that?

If anyone has dealt with a similar situation before I’d love to hear your experiences. Or if anyone can advise someone I can speak with about who might have the right expertise to guide us?

Also in Spain is it normal like in the UK to be able to get a valuation done for free on a property?

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Posted: Fri Jul 11, 2025 2:06pm

John123456

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Posted: Fri Jul 11, 2025 2:06pm

You might find the contents of these links helpful:

https://www.asesoriaorihuelacosta.com/en/exploring-the-transfer-of-property-ownership-in-spain-key-steps-and-legal-considerations

https://bravolegal.es/put-my-property-in-someone-elsesname/#:~:text=In%20Spain%2C%20there%20is%20no,Ownership%20Be%20Transferred%20in%20Spain%3F

https://bravolegal.es/put-my-property-in-someone-elsesname/

https://5real-estate.com/how-to-get-a-free-property-valuation-in-spain-what-you-need-to-know/

https://rightcasa.com/everything-you-need-to-know-about-property-valuation-in-spain/

Posted: Fri Jul 11, 2025 5:36pm

Steve6

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Posted: Fri Jul 11, 2025 5:36pm

It is a bit Complicated

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Posted: Sat Jul 12, 2025 1:10pm

Stephanie86

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Posted: Sat Jul 12, 2025 1:10pm

The most sensible way to answer your query would be to consult a Spanish lawyer, you would be more likely to receive an accurate assessment of the pros and cons.

Posted: Sat Jul 12, 2025 9:43pm

PartTime

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Posted: Sat Jul 12, 2025 9:43pm

Stephanie86 wrote on Sat Jul 12, 2025 1:10pm:
The most sensible way to answer your query would be to consult a Spanish lawyer, you would be more likely to receive an accurate assessment of the pros and cons.

That’ll certainly be the next step prior to moving forwards. That’s why I’d asked in the post if anyone had someone I could speak to. I perhaps didn’t word that very well!

I also hoped someone might have had a similar situation and be able to share their experience of how they solved it.

Posted: Sat Jul 12, 2025 11:16pm

Bee2

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Posted: Sat Jul 12, 2025 11:16pm

It appears as you say that the best and most tax efficient way is for your mother to buy out her brother's share and then for your mother to gift the property to you. You do need legal advice to verify your best option.

The cheapest solution for the co-owner seeking to become the sole owner of an inherited property is by a process called the extinción de condominio. In this case the cost of buying out the share can 8be the same, but the taxes paid will be between 0.5% to 1.5% rather thatn 6% to 10%, depending on the autonomous community in which the inheritance is processed.

Then when your mother gifts the property to you these are the Comm Valenciana tax allowances

Tax-Free Allowance for Close Family:Spouses, children, and parents (Groups 1 and 2) benefit from a €100,000 tax-free allowance. Any inheritance value exceeding this threshold is subject to tax, but a 99% deduction on the taxable amount applies, making the actual tax burden negligible for most direct heirs.12 Mar 2025

Bee