Taxes and costs when buying a property in Spain as a international client

29 January 2026

Buying a home or property in Spain as a foreigner is an exciting investment, whether you're searching for a modern apartment in Barcelona, a villa on the Costa Brava, or a newly built luxury home. However, it's crucial to understand the full range of property taxes in Spain and associated costs involved in the purchasing process.
This guide covers everything international property buyers need to know in 2026—from property transfer taxes in Spain (ITP) to legal fees, notary costs, and mortgage expenses. At Max Ricart Luxury Properties, we work with foreign buyers of luxury real estate in Spain every day and ensure total transparency throughout the buying process.

What taxes do foreigners pay when buying property in Spain?

a. Resale Property Taxes (ITP)
When buying a resale property in Spain (previously owned), you will pay a Property Transfer Tax (ITP) instead of VAT. This tax is paid by the buyer and the rate depends on the purchase price and location.
In Catalonia, the ITP rates (as of 2026) are structured as follows:

Property Value (€)
ITP Rate (%)
0 – 600,000
10%
600,001 – 900,000
11%
900,001 – 1,500,000
12%
1,500,001 and above
13%
Example: If you buy a resale property in Barcelona for €950,000, you’ll pay:
10% on the first €600,000 → €60,000
11% on the next €300,000 → €33,000
12% on the remaining €50,000 → €6,000
Total ITP: €99,000

b. New build property taxes in Spain
If you're purchasing a new build property in Spain (directly from a developer), the tax structure changes.
You’ll be responsible for:
VAT (IVA): 10% of the purchase price
Stamp Duty (AJD – Actos Jurídicos Documentados): 1.5% in Catalonia
Example: For a new build apartment priced at €1,000,000:
VAT: €100,000
Stamp Duty: €15,000
Total taxes: €115,000

Note: Stamp duty and VAT must be paid upfront upon signing the public deed of sale (escritura pública) at the notary.

Legal fees when buying property in Spain

Although hiring a lawyer is not mandatory in Spain, working with an experienced real estate lawyer in Spain is highly recommended—especially for foreign buyers unfamiliar with Spanish property law.

What does a property lawyer do?
Verifies the legality of the property
Ensures there are no outstanding debts or encumbrances
Reviews all contracts (Letter of Intent, Arras, Escritura)
Represents you via Power of Attorney if needed
Manages due diligence and registration procedures

Estimated cost: Legal fees typically range from 0.5% to 1% of the property price, depending on complexity.
At Max Ricart, we collaborate with reputable, multilingual legal professionals who specialize in luxury property transactions in Spain.

Notary and property registration fees when buying a property in Spain

These are standard government-regulated fees associated with formalizing your purchase:
Notary fees in Spain: Based on the number of clauses in the deed and property price (typically €600–€2,000)
Land Registry fees: Approximately 0.1% to 0.25% of the property value
These fees ensure the legal registration of your property in the Registro de la Propiedad, giving you full ownership rights.

Mortgage and financing costs for foreign buyers in Spain

Although many foreign buyers purchase in cash, Spanish mortgages for non-residents are widely available—often covering up to 60–70% of the property value.
Key points:
Interest rates remain historically low in 2026
Foreigners can apply for mortgages from both Spanish and international banks
Approval may take 3–6 weeks, and income documentation is required
Mortgage fees to consider:
Bank arrangement fee: 0.5% – 1%
Property valuation: ~€300–€800
Mortgage Stamp Duty (AJD): 0.5% – 1.5% depending on region

Tip: At Max Ricart, we advise our clients to speak with a specialized mortgage broker in Spain who understands the financing needs of international clients. We can recommend trusted brokers who speak your language and simplify the process.

Currency exchange considerations when buying property in Spain

If you're transferring funds from a non-euro currency like USD, GBP, AED, or CHF, exchange rate fluctuations can significantly impact your purchase.

A foreign exchange specialist for property purchases can help:
Secure favorable FX rates
Lock in exchange rates ahead of time
Minimize transfer fees
Provide insights into market timing

At Max Ricart, we partner with leading FX firms to ensure your funds are transferred securely and cost-effectively. We are at your disposal for any questions you may have about buying or selling your property in Spain.