Understanding the Total Cost to Buy a Property in Spain in 2025 💸💸

A Complete Guide for International Buyers

If you’re wondering about the cost to buy a property in Spain in 2025, you’re not alone. Between taxes, legal fees, and administrative charges, international buyers — especially from the U.S., UK, and other non-EU countries — are often surprised by how much more they need to budget on top of the purchase price.

At Luxton Legal, we guide foreign buyers through each step of the process, offering legal clarity and peace of mind — from first consultation to completion.

🇪🇸 Understanding the Total Cost to Buy a Property in Spain in 2025

The total cost typically adds 10–15% on top of the property price. The final figure depends on:

• Whether you’re buying a new-build or resale home
• The autonomous community where the property is located
• Additional services like mortgages or visa support

Let’s break it down:

🧾 1. Property taxes: New Build Costs vs. Resale

🏗️ New Build Property Taxes (Obra Nueva)

• VAT (IVA): 10% on residential properties (21% for commercial)
• Stamp Duty (AJD): 0.5–1.5%, varies by autonomous community

These taxes are paid on top of the price and must be settled by the buyer. In Madrid, for example, the AJD is currently 0.75%.

🏡 Resale Property Taxes (Segunda Transmisión)

Instead of VAT, buyers pay the Transfer Tax (ITP). This is based on the higher of the purchase price or the cadastral reference value.

👉 Transfer Tax (ITP) Rates by Region in 2025

• Madrid, Navarra, Ceuta: 6%
• Andalusia, La Rioja, Basque Country: 7%
• Aragón, Asturias, Castilla y León: 8–10%
• Balearic Islands: 8–13% (reduced 4% under conditions)
• Catalonia, Valencia: 10–11% (up to 20% for institutional buyers)
• Cantabria, Castilla-La Mancha: 9%
• Canary Islands: 6.5% (5% under special conditions)
• Extremadura: 8–11%
• Galicia, Murcia: 8%

🔗 See full table of ITP by region on Idealista

Many regions offer reduced rates for:

• Families with children or disabilities
• Young buyers
• Primary residences

✍️ 2. Notary, Registry & Legal Fees

• Notary and Land Registry: Approx. 0.5–1% of property value
• Legal fees: Often fixed; depends on complexity and region
• Certified translation and interpreters: May be required

➡️ Request a custom legal quote here.

🧾 3. Annual Property Tax (IBI)

The Impuesto sobre Bienes Inmuebles (IBI) is paid yearly by the owner, based on the cadastral value of the property.

• Tax rate: 0.4–1.2%
• Prorated on sale: Seller and buyer usually split the year

💸 4. Additional Costs to Consider

• Real estate agent commissions (usually paid by seller)
• Mortgage fees (appraisal, notary, registration)
• Insurance, utilities, and community/HOA fees

👇 Download Your 2025 Spain Property Guide

For a full breakdown of buying steps, legal requirements, and region-specific advice:

📥 Download the 2025 Buy Property in Spain Guide (PDF)

🧮 Quick Cost Summary

• ✅ Purchase Price
• + 10% VAT or 6–13% ITP
• + 0.5–1% Notary and Registry
• + Legal fees (fixed or %‑based)
• + 0.4–1.2% Annual IBI tax

Total additional costs: approx. 10–15% depending on region and exemptions

Need Help Calculating Your Budget?

Our legal team advises international buyers at every stage—from budgeting to title deed signing. We provide fixed-fee services and transparent support throughout.

📩 Contact Luxton Legal for a tailored legal budget or to begin your purchase process in Spain.