The real cost of buying property in Spain (taxes & fees for foreign buyers)
The advertised price is never the real cost. As a foreign buyer in Spain you should budget roughly 10–14% on top of the price for taxes and fees. Here is the breakdown.
Transfer tax (ITP) or VAT
For resale (second-hand) homes you pay Transfer Tax (ITP), set by each autonomous region — typically between 6% and 10%. For brand-new homes from a developer you pay VAT (IVA) at 10% plus Stamp Duty (AJD) of around 1–1.5%.
This is by far the largest extra cost, and it varies significantly by region, so where you buy changes the bill.
Notary, registry and legal fees
Notary fees and Land Registry fees together usually add around 1–2% combined. A conveyancing lawyer (highly recommended for foreign buyers) typically charges about 1% of the price.
If you use a mortgage there are additional valuation and arrangement costs.
The NIE and practicalities
Every foreign buyer needs an NIE (foreigner identification number) to complete a purchase. You will also need a Spanish bank account for utilities and taxes.
CasaValidator's report estimates these costs for the specific property and region, so you see the full out-the-door figure before you commit.
Frequently asked questions
How much should I budget on top of the price?
As a rule of thumb, 10–14% of the purchase price covers taxes and fees for a resale home; new-build can be similar once VAT and stamp duty are included.
Are taxes the same across Spain?
No. Transfer tax is set regionally, so the same price can carry a noticeably different tax bill depending on the autonomous community.