Property types

New-build properties (obra nueva): Purchased directly from a developer. Buyers generally pay 10% VAT (IVA) plus Stamp Duty (AJD), with the AJD rate varying by autonomous community.

Resale properties (segunda mano): Usually subject to Property Transfer Tax (ITP), with rates set by each autonomous community.

Typical property purchase costs in Spain

Buyers should generally budget an additional 8–13% of the purchase price to cover property purchase costs in Spain, including taxes and transaction fees, although this varies by region and property type. Costs typically include:

Purchase taxes

Notary fees

Land Registry fees

Legal fees (recommended)

Mortgage-related costs, if financing is used.

Buying process

Obtain an NIE (Foreigner Identification Number) for property buyers if you are not a Spanish citizen.

Open a Spanish bank account (commonly required).

Sign a reservation agreement.

Conduct legal due diligence (title, planning permissions, debts, community fees).

Sign the public deed before a notary.

Register ownership with the Land Registry.

Ongoing ownership costs

Annual IBI (property tax).

Community fees for apartments or developments.

Maintenance and insurance.

Income tax on rental income if the property is rented.

Some owners may also be subject to Wealth Tax depending on residency, asset value, and regional rules.