When you choose the appropriate property, decide for its purchase and make all the arrangements for the price, you shall start the administrative buying process.
You can purchase a property in Slovenia either by hiring a real estate broker that will guide you throughout the process, either through a notary. However, the contract should be made in the form of a notarial deed. The notary is responsible for the correctness of the contract.
On the day you sign the contract, you must be provided with an actual extract of the land for the property you are willing to buy. This action is taken in order to ensure you that the ownership has not been changed.
The process in order to purchase a property in Slovenia is carried out in the following order:
- the seller must provide an actual land registry extract;
- in case of a bank mortgage on the property, the seller must obtain a declaration from the bank institution with the allowance of the deletion of a mortgage when the debt is repaid;
- the notary public writes the contract. It is strongly recommended that the contract to be composed by a specialized lawyer.
- both parties (buyer and seller)sign the contract and after signing the contract the seller delivers a deposit;
- the seller must register with the competent tax authorities by filling an application for assessment of 2% tax on real estate sales within 15 days and must pay the tax within 30 days;
- when the Tax Administration confirms the payment of the tax, the seller goes with a copy of the contract before a notary;
- once a certificate is provided from the notary, the buyer pays to the seller the remaining sum of the purchase price;
- the buyer submits an application for the registration of ownership in the Land Register and carries out the transfer of the real estate property;
- the buyer must obtain new contracts with suppliers of electricity, gas, water etc.
In the process of purchasing a property in Slovenia, there are certain taxes which must be paid.
The buyer doesn't have to pay any tax when not buying a new property.
The seller is charged with a tax in amount of 2% of the selling price. The seller must also pay taxes on capital gains, when he is not eligible for exemption.
In the procedure of purchasing a property in Slovenia categorized as new construction, the buyer must pay the value added tax calculated in accordance to the purchase price. The tax rate is 8.5% for apartments in sizes up to 120 meters square and houses up to 250 meters square and 20% for larger flats and houses.
After purchasing the property in Slovenia, the buyer becomes liable for the tax on property and compensation for the use of building land (NUSZ). Property tax is paid by all owners who own a real estate property, building or parts of buildings, dwellings, garages and houses. The tax shall be reduced by an amount corresponding to the tax on 160 meters square of floor area, when the owner or first grade relatives register that location as permanent residence.
The amount of compensation for the use of the land is determined by the local competent authorities. The tax on property is paid annually.
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