Buying property in Spain involves more than the advertised price. Taxes and costs depend on whether the property is new or resale, the autonomous community, buyer profile and transaction structure. Obtain a transaction-specific estimate before committing.

Resale property: ITP

For many resale purchases, the key transfer tax is ITP, or Impuesto sobre Transmisiones Patrimoniales. As an indicative guide, standard ITP rates commonly fall within roughly 6% to 13% of the applicable tax base, although the exact bands, marginal rates, minimums, reductions and valuation rules vary by autonomous community. This is not a single national rate: a rule applicable in Andalucía, Cataluña, the Comunidad de Madrid, the Comunitat Valenciana or the Balearic Islands cannot automatically be applied elsewhere.

Why regional differences matter

The relevant region is generally connected to the property’s location, while the buyer’s age, disability, family status, intended use, residency or other factors may affect available reliefs. The tax base and valuation rules also require attention. A €300,000 resale purchase with an illustrative 8% ITP rate would produce €24,000 of ITP; at 10%, the same base would produce €30,000. These are examples, not tax calculations, and the applicable base may not equal the advertised price.

Check the current rules for the autonomous community and transaction date. Reduced rates may apply in some circumstances, while higher bands or special regimes may produce a different result. Do not rely on a national percentage or an internet calculator without checking its date and jurisdiction.

New build: VAT and AJD

A new property bought from a developer is commonly subject to VAT rather than ITP. AJD, or Actos Jurídicos Documentados, may also apply to the transaction or financing documentation. Treatment and rates vary by autonomous community and transaction. Confirm whether the property is legally a new build, first transfer or resale; marketing language is not enough. Other regional regimes, such as those relevant to the Canary Islands, may require separate analysis.

Other purchase costs

  • Notary and land-registry fees.
  • Independent legal and tax advice.
  • Mortgage, valuation and bank charges.
  • Due diligence, translations and powers of attorney.

Before signing

Confirm the municipality, autonomous community, title, planning position, property classification, buyer status and intended use. Request written assumptions from a qualified Spanish professional and check current official regional guidance before paying a deposit.

How Valory Deals can help

Valory Deals can automatically include transaction costs in a purchase simulation, including applicable taxes, alongside the price, financing assumptions and other acquisition costs. This helps compare total acquisition cost across properties and scenarios before making an offer. Confirm the regional tax inputs before relying on a simulation.

Keep records

Retain the deed, tax filings, invoices, payment evidence and renovation documents for ownership administration and a possible later sale.

This content is provided for general informational purposes and does not constitute legal, tax, financial or investment advice. Tax rates and outcomes may change and vary depending on the property, autonomous community, transaction date and individual situation. This content does not constitute legal, tax, financial or investment advice.