Property Taxes

I am glad when clients ask me, "What are the fees for buying property in Spain?" First, it shows that you are a serious buyer, and second, it makes my job much easier when transitioning from different topics, such as legal, technical, and financial. We will briefly discuss what you must pay and the available options. However, we have a complete guide on all property taxes on the Costa del Sol,...

Wenn Sie als Deutscher eine Immobilie in Spanien kaufen, stellt sich schnell die wichtige Frage: Muss ich Steuern in beiden Ländern zahlen? Die kurze Antwort lautet: Nein, denn dank des Doppelbesteuerungsabkommens (DBA) zwischen Deutschland und Spanien wird eine doppelte Besteuerung vermieden. Wie funktioniert das Doppelbesteuerungsabkommen? Das Doppelbesteuerungsabkommen legt fest, welches Land...

Yes, you have to pay tax when you buy property in Spain. The exact tax depends on the type of property. For resale properties, buyers usually pay property transfer tax (impuesto sobre transmisiones patrimoniales, or ITP), which is currently 7% in Andalusia, the region that includes the Costa del Sol. If you buy a new property from a developer, the taxes are different. Typically, buyers pay VAT (IVA)...

If you are researching non-resident property tax in Spain, you may initially feel confused. I often see this with clients. The term itself is misleading. In reality, there is no separate 'property tax' for non-residents. Instead, there is an annual income tax levied on property ownership in Spain. Let me explain in simple, practical terms. What Is the Non-Resident Income Tax in Spain? Let's start...

Whether you are planning a holiday home, retirement residence or long-term investment, buying property on the Costa del Sol is an exciting step. However, many international buyers are taken aback by the additional purchase costs. When buying property in Spain, you will incur additional costs such as taxes, legal fees and notary expenses. Based on my experience of helping buyers in Benalmádena, I...

Many international buyers ask if they can leverage a purchase by taking out a mortgage. 'Can foreigners get a mortgage in Spain?' The short answer is yes. Spanish banks regularly offer mortgages to international buyers, including non-residents, provided certain financial requirements are met. I have been living on the Costa del Sol for over nine years, raising two children here and helping...

Buying a property in Spain can seem complicated at first. Many international buyers ask the same question: how can I buy a property in Spain safely and without any surprises? Having lived on the Costa del Sol for many years and helped clients purchase homes here, I can confirm that the process is actually very straightforward. Yes, I have seen properties with illegal pools, additional rooms and even...

At Costa Prime Realty, I speak with many buyers every day, and every day I answer the same question: 'What are the property taxes?' Well, it depends on the property. There is VAT for new properties, ITP for second-hand properties, AJD for new properties, capital gains tax on property resale, and even wealth tax or income tax on short- or long-term rentals. It also depends on whether you are an EU, non-EU...