Additional costs when buying a new build property in Spain (2024)*
The additional costs when buying a property amount to approx. 10 to 15% of the purchase price. They mainly consist of
- Lawyer and notary fees
- Registration at the land registry
- Value added tax (IVA - Impuesto sobre al Valor Añadido)
- Real estate transfer tax (ITP - Impuesto sobre las Transmisiones Patrimoniales)
- Notarisation tax (IAJD) - Impuesto sobre Actos Jurídicos Documentados
When buying a new-build property, VAT (IVA) is charged instead of land transfer tax (ITP). This is currently 10% here in Andalusia and is calculated on the basis of the registered purchase price. In addition to VAT, there is also the so-called stamp duty or notarisation tax of approx. 1% for new builds.
We advise our clients to instruct a lawyer for every purchase or sale. He checks all current costs, debts and mortgages up to the entry in the land register and draws up the purchase contract. You should not shy away from these costs of approx. 1% - 2% + IVA of the purchase price, as such checks are very relevant for the smooth purchase of a property, especially if you do not speak Spanish.
The notary in Spain certifies the purchase contract and signs the entry in the cadastral register. Notary fees are regulated by law and also depend on the price of the property.
We work with notaries and lawyers who either speak your language or provide a translator during the notarisation.
*All information is without guarantee