Taxes And Expenses

Depending on the type of property you are purchasing, we can distinguish between two types of situations for the taxes and expenses of purchasing a property: first transmission and second transmission or resale.

In the case of a resale property, the following taxes and expenses are applicable:

• Transfer Tax: The ITP (Impuesto de Transmisiones Patrimoniales) is a tax depending on the autonomous community in Spain. In Andalusia the ITP is 7% regardless of the purchase price.
• Notary fees: all notaries charge the same fees for transactions as these fees are determined by the authorities and depend on the nature of the purchase and the number of sheets present in the deed of purchase. This fee usually ranges between 500 and 1,800 EUR.
• Legal fees: 1% of the property purchase price + 21% VAT.

In the case of a new property, the following taxes and expenses apply:

• VAT 10% for residential properties and 21% for plots, garages and storage rooms.
• Stamp Duty (1,2% for Andalusia)
• Notary fees: all notaries charge the same fees for transactions as these fees are determined by the authorities and depend on the nature of the purchase and the number of sheets present in the deed of purchase. This fee usually ranges between 500 and 1,800 EUR.
• Land Registry fees: this fee is also determined by the authorises and is usually between 50-70% of the notary fee.
• Legal fees: 1% of the property purchase price + 21% VAT.