The valor catastral in Spain is the official value assigned to a property by the government. It is used to calculate several taxes, including IBI and non-resident income tax. This value is typically lower than the market price and is determined based on factors such as: You can find the valor catastral on your IBI…

IVA in Spain (Impuesto sobre el Valor Añadido) is the tax applied when buying a new build property directly from a developer. The standard rate for residential property is 10%, making it a key cost to consider when investing in new developments. In addition to IVA, buyers must also pay AJD (stamp duty), usually between…

IBI in Spain (Impuesto sobre Bienes Inmuebles) is an annual property tax paid by all property owners. It is one of the most important ongoing costs when owning real estate in Spain. The tax is charged by the local municipality and is based on the valor catastral (cadastral value) of the property, not the market…

ITP in Spain (Impuesto sobre Transmisiones Patrimoniales) is the main tax you pay when buying a resale property. Unlike new builds, resale properties are not subject to VAT but instead to ITP, which varies depending on the region. In most areas, the rate ranges between 7% and 10% of the purchase price. For example: ITP…

Buying property in Spain is straightforward once you understand the tax system. While most foreign buyers are not surprised by the process itself, they are often taken aback by the number of different taxes involved. As we work daily with international clients, lawyers and notaries in the Costa del Sol, we often find that the…

When buying a property in Spain, it is important to be aware of the key taxes involved, as this can save you time, stress and money. ⏳ Important: you typically have 30 days after signing at the notary office to pay these taxes. 💡 What you need: – A Spanish bank account (to pay taxes…

If you own property in Spain as a non-resident, you have ongoing tax responsibilities — especially if you rent it out. The good news is that… Once you understand the key rules and forms (‘Modelos’), the process becomes predictable and manageable. On the Costa del Sol Real Estate market, we work closely with non-tax residents…

Owning property in Spain incurs ongoing annual costs. Although purchase taxes are a one-time expense, it is the yearly costs that have an impact on your long-term investment and lifestyle, especially in popular areas such as Málaga and Marbella in Andalusia. 1. IBI (property tax) The IBI (Impuesto sobre Bienes Inmuebles) is the main annual…

Most buyers in Spain focus on entry costs. Smart investors, however, look at the exit taxes and fees. This is because taxes and fees can significantly reduce your profit when you sell — or even create a loss if prices don’t increase enough. What Taxes Do You Pay When Selling Property in Spain? When selling…