What taxes do you pay when buying property in Spain in 2026?

Buying a property in Spain means paying a range of taxes on top of the purchase price. The amount you pay depends on whether the property is new or second-hand, and which region it is in — and can add anywhere from 7% to 13% to the agreed price. Understanding exactly which taxes apply to your situation is essential before committing to a purchase. For a full overview of the buying process from start to finish, read our step-by-step guide to buying property in Spain as a foreigner.

This guide covers every tax a buyer will pay in 2026, for both new-build and resale properties, and applies to both resident and non-resident buyers.

The key distinction: new build or resale?

The taxes you pay depend primarily on whether the property is newly built or second-hand. These two scenarios involve entirely different tax structures. You will never pay both VAT and ITP on the same purchase — one always replaces the other. For resale properties, only the fixed component of Stamp Duty (AJD) applies, as the variable rate is replaced by ITP.

Both AJD and ITP must be paid within 30 working days of signing the public deed (escritura), to the relevant regional tax authority — either electronically or in person.

Buying a new-build property: VAT and stamp duty

When buying a newly constructed property directly from a developer, you pay two taxes: VAT (IVA) and Stamp Duty (AJD).

VAT (Impuesto sobre el Valor Añadido — IVA)

VAT is charged at 10% of the purchase price for residential properties throughout mainland Spain. This applies to the property itself and to additional elements such as garages and storage rooms when purchased alongside it. Commercial properties and building plots are subject to a higher rate of 21%.

The Canary Islands are an exception: VAT does not apply there. Instead, the Canary Islands Indirect General Tax (IGIC — Impuesto General Indirecto Canario) applies at a rate of 7%.

In some cases of Officially Protected Properties (VPO — Vivienda de Protección Oficial), a reduced rate of 4% may apply.

VAT is typically paid directly to the developer, with the final amount settled at the time of signing the deeds. The developer is then responsible for declaring and paying it to the tax authorities.

Stamp Duty (Actos Jurídicos Documentados — AJD)

Stamp Duty (AJD) applies to the formalisation of the property deed and is made up of two components:

• Fixed fee: a small charge based on the number of pages in the deed, set nationally at €0.30 per sheet and €0.15 per page
• Variable fee: applied to the declared value of the property and set by each autonomous community, typically ranging from 0.5% to 1.5%

One important note: under the 2019 Mortgage Law, if you are financing the purchase with a mortgage, the bank is responsible for paying the AJD on the mortgage deed — not the buyer. The buyer only pays AJD on the purchase deed itself. Some banks may also charge a small arrangement fee (comisión de apertura), though this is less common than in the past. For more on how mortgage costs work, read our guide to getting a mortgage in Spain as a non-resident.

Buying a resale property: property transfer tax

When buying a second-hand property, VAT does not apply. Instead, you pay the Property Transfer Tax (ITP — Impuesto sobre Transmisiones Patrimoniales), plus the fixed fee component of AJD only.

Property Transfer Tax (ITP)

ITP is set by each autonomous community and varies significantly by region, currently ranging from 6% to 11% across Spain. The tax is calculated on the higher of the agreed purchase price or the Valor de Referencia — the cadastral reference value set by Spain's Directorate General for Cadastre. This is critical: even if you negotiate a lower purchase price, the tax authority will calculate ITP on the higher Valor de Referencia if it exceeds what you have agreed to pay. This catches many buyers off guard and is worth factoring into your budget from the outset.

Current ITP rates for the most relevant regions for international buyers are:

Some autonomous communities apply reduced rates for specific buyers, such as those under 35, large families, or people with disabilities. These reductions typically apply to residents only and do not extend to non-residents. It is always worth checking the current rules for your specific region with a qualified adviser.

Additional costs to be aware of

Beyond purchase taxes, buyers should budget for notary fees, Land Registry fees, legal fees, and administrative costs. As a general rule, these add a further 2–4% on top of the taxes outlined above. Beyond purchase taxes, buyers must also budget for the following:

• Land Registry fees
• Legal fees
• Gestoría fees (administrative handling of taxes and registration)
• Property valuation (if using a mortgage)
• Currency exchange costs

For a full breakdown of all buying costs in Spain, read our guide to expenses and costs when buying property in Spain.

A worked example for a resale property priced at €250,000 in Andalucía:

For a new-build property at the same price in the same region, replace ITP with VAT at 10% (€25,000) and add AJD at the regional rate of 1.5% (€3,750), giving total purchase taxes of approximately €28,750 — around 11.5%.

What non-resident buyers should also be aware of

Non-residents pay the same purchase taxes as residents. However, there is one additional cost that applies specifically when buying from a non-resident seller: the buyer is legally required to withhold 3% of the purchase price and pay it directly to the Spanish tax authority (Agencia Tributaria) as an advance payment of the seller's capital gains tax. If the seller is a Spanish resident, this does not apply.

Non-residents who own property in Spain are also subject to ongoing annual tax obligations after the purchase — including IBI (the annual local property tax) and, if the property is left unoccupied, an imputed income tax based on the property's cadastral value. For more on what you will pay once you own a property, read our guide to fixed costs for property owners in Spain.

Spain’s property purchase tax system is more complex than in many other countries, but once you understand the distinction between new-build and resale properties and budget realistically for all associated costs, the process becomes manageable. We recommend working with a qualified local lawyer and taking professional tax advice before committing to a purchase — particularly if you are buying as a non-resident. For further guidance on taxes and finances in Spain, browse our tax and finance guides.