My Home AbroadCost of buying a property in Spain
Taxes and fees add roughly 10% to 14% to the price of a Spanish home, and the rates depend on the region. Put in a price to see exactly what you’ll pay, in euros and in pounds.
Your buying costs
- Property price
- €250,000
- Transfer tax (ITP) 7%
- €17,500
- Notary about 0.5%
- €1,250
- Land registry about 0.5%
- €1,250
- Lawyer 1% + VAT
- €3,025
- Euros you needincludes €23,025 of taxes and fees (9.2% of the price)
- €273,025
Paying from the UK
Your bank could charge you about £6,832 to change your pounds into euros
- €273,025 at today’s rate €1 = £0.8341
- £227,743
- High-street bank margin median 3%
- + £6,832
- Total from your UK bank account
- £234,575
UK high-street banks charge a median of 3% on top of the exchange rate. Source: FXC Intelligence.
Buying costs by region
The biggest cost is tax, and Spain’s regions set their own rates. This is what you’d pay in taxes and fees on a €300,000 home in each.
| Region | Resale tax (ITP) | Costs on €300,000 resale |
|---|---|---|
| Andalucia | 7% | €27,630 (9.2%) |
| Valencian Community | 9% to 11% | €33,630 (11.2%) |
| Region of Murcia | 7.75% | €29,880 (10.0%) |
| Balearic Islands | 8% to 13% | €30,630 (10.2%) |
| Catalonia | 10% to 13% | €36,630 (12.2%) |
| Canary Islands | 6.5% | €26,130 (8.7%) |
| Madrid | 6% | €24,630 (8.2%) |
On My Home Abroad today, the typical asking price is €560,000 across 5,198 homes. Buying a resale home at that price costs about €57,176 in taxes and fees.
What you pay when you buy in Spain
Resale homes pay transfer tax (Impuesto de Transmisiones Patrimoniales, ITP). Each region sets its own rate, from 6% in Madrid to 13% at the top of the Catalan and Balearic bands. It is charged on the price or the tax office’s reference value for the property (valor de referencia), whichever is higher.
New builds bought from a developer pay VAT (IVA) at 10% instead, or IGIC at 7% in the Canary Islands, plus stamp duty (Actos Jurídicos Documentados, AJD) on the deed, from 0.75% to 1.5% depending on the region.
Fees: the notary and land registry charge on official scales, together usually well under 1% of the price, and an independent lawyer typically charges around 1% plus VAT. The calculator rounds these up so you don’t budget too little.
Reduced rates for young buyers, large families and main homes exist in most regions, but they need the home to be your main residence, so a holiday home bought from the UK pays the standard rates used here.
Rates by region
Andalucia: Costa del Sol, Malaga, Marbella, Almeria
A flat 7% transfer tax on resale homes, whatever the price, since 2021. A €200,000 apartment in Fuengirola and a €2 million villa in Marbella pay the same rate, which makes Andalucia one of the cheapest regions for expensive homes.
New builds pay 10% VAT plus 1.2% stamp duty (AJD), lower than the 1.5% charged in most regions.
Valencian Community: Costa Blanca, Alicante, Torrevieja, Benidorm, Valencia
Transfer tax fell from 10% to 9% on 1 June 2026 for homes up to €1 million, and stamp duty on new builds from 1.5% to 1.4%. On a €250,000 resale villa that is €2,500 less tax. The date that counts is the day you sign at the notary.
Homes over €1 million pay 11%. Most guides apply it to the whole price, as the calculator does; some advisers apply it only to the part above €1 million, so ask your lawyer.
Murcia: Costa Cálida and the Mar Menor
Transfer tax is 7.75% on resale homes since 25 July 2025 (it was 8%). New builds pay 10% VAT plus 1.5% stamp duty. With prices around the Mar Menor among the lowest on the coast, taxes and fees on a €150,000 townhouse come to about €15,000.
Balearic Islands: Mallorca, Ibiza, Menorca
Transfer tax rises in bands, and each rate applies only to the part of the price inside its band: 8% up to €400,000, 9% to €600,000, 10% to €1 million, 12% to €2 million and 13% above. A €700,000 home pays €60,000, an effective 8.6%.
Prices decide the rate: much of Menorca stays in the 8% band, while in Ibiza a €2 million villa pays €210,000 (10.5%). New builds pay 10% VAT plus 1.5% stamp duty.
Catalonia: Barcelona and the Costa Brava
Since June 2025, transfer tax is 10% up to €600,000, 11% to €900,000, 12% to €1.5 million and 13% above, each on the part of the price in its band. A €1 million home pays €105,000.
New builds pay 10% VAT plus 1.5% stamp duty (11.5%), more than the banded tax on a resale home up to about €2 million.
Canary Islands: Tenerife, Lanzarote, Gran Canaria, Fuerteventura
Resale homes pay 6.5% transfer tax on every island. New builds pay the islands’ own sales tax, IGIC, at 7% instead of 10% VAT, plus 0.75% stamp duty, some of the lowest purchase taxes in Spain.
Madrid
A flat 6% transfer tax on resale homes, the lowest of Spain’s main regions, and 0.75% stamp duty on new builds (plus 10% VAT).
Other costs to budget for
- NIE number: every buyer needs a foreigner’s tax number before signing. Your lawyer can get it for you.
- Mortgage costs: if you borrow, the bank’s valuation usually costs €300 to €600. The bank pays the stamp duty and notary on the mortgage deed itself.
- A survey: optional in Spain, but worth it for older villas.
- After you buy: the yearly local property tax (IBI), community fees for apartments and urbanisations, and non-resident income tax if you don’t live in Spain.
Paying in pounds
Everything above is paid in euros: the deposit when you sign the reservation or private contract, then the balance, taxes and fees at completion. UK high-street banks charge a median of 3% on top of the exchange rate (FXC Intelligence), which on a €300,000 purchase is about £7,507.
Our currency partner Key Currency offers great exchange rates and no transfer fees. It is FCA regulated and can fix today’s rate for a later completion date, so a weaker pound doesn’t push up the cost of your home between agreeing the price and signing.
Questions
What are the costs of buying a property in Spain?
On a resale home you pay transfer tax (ITP) of 6% to 13% depending on the region, plus notary, land registry and lawyer’s fees. On a new build you pay 10% VAT (7% IGIC in the Canaries) and stamp duty (AJD) of 0.75% to 1.5% instead of transfer tax. In total, allow roughly 10% to 14% of the price.
What is property purchase tax in Spain?
Spain has no single national rate. Resale homes pay transfer tax (Impuesto de Transmisiones Patrimoniales, ITP), set by each region: 7% in Andalucia, 9% in the Valencian Community, 7.75% in Murcia, 6.5% in the Canary Islands, 6% in Madrid, and bands from 8% to 13% in the Balearics and 10% to 13% in Catalonia.
Is there stamp duty in Spain?
The nearest equivalent is AJD (Actos Jurídicos Documentados), a stamp duty on the deed of a new build, from 0.75% to 1.5% depending on the region. Resale homes pay transfer tax (ITP) instead.
Do non-residents pay more tax when buying in Spain?
No. Buyers from the UK pay the same purchase taxes as Spanish residents. The reduced rates some regions offer to young buyers or large families usually require the home to be your main residence, so most British buyers pay the standard rates.
Did property tax in Valencia go down in 2026?
Yes. From 1 June 2026 the general transfer tax in the Valencian Community fell from 10% to 9% for homes up to €1 million, and stamp duty on new builds from 1.5% to 1.4%.
Do you pay VAT on a new build in the Canary Islands?
No. The Canary Islands use their own tax, IGIC, at 7% on new homes bought from a developer, instead of Spain’s 10% VAT.
How much does it cost to change pounds into euros through a bank?
UK high-street banks charge a median of 3% on top of the exchange rate (FXC Intelligence). On a €300,000 purchase that is roughly £7,500. Currency specialists such as our partner Key Currency offer great exchange rates and no transfer fees.
Rates checked 6 November 2026 against the regional tax agencies: Agencia Tributaria de Andalucía, Agència Tributària Valenciana, Agencia Tributaria de la Región de Murcia, Agència Tributària de les Illes Balears, Agència Tributària de Catalunya, Agencia Tributaria Canaria, Comunidad de Madrid: tributos. Reduced rates for young buyers, large families and main homes are not included. Exchange rate updated 6 November 2026. My Home Abroad does not give tax or financial advice; currency transfers are provided by Key Currency Limited.