Taxes & Costs When Buying in Spain in 2025: What You Need to Know

Buying a home in Spain should feel exciting—not confusing.

At Constans Group, we guide international buyers through every step, from the first call to the notary table and beyond. Whether you’re choosing a villa in Marbella, short-listing Marbella villas for sale in Nueva Andalucía, comparing villas for sale in Marbella around Sierra Blanca or Benahavís, or exploring a villa in Marbella for sale near Casares, this 2025 guide explains the real taxes and costs you’ll face—and how our marbella real estate agents keep the process clear, compliant, and calm.

The essentials apply to every buyer.

In Spain you’ll pay different purchase taxes depending on whether the home is new or resale:

• Resale homes in Andalucía, where Marbella sits, are taxed with ITP, the property transfer tax. Since late 2021 the region applies a flat 7% ITP—no brackets—plus reduced AJD stamp duty at 1.2% where it applies.

• New builds are taxed with VAT, known as IVA, at 10% on the price, plus AJD, typically 1.2% in Andalucía.

Budget, too, for notary and land-registry fees, usually around 0.3%–1.0% combined depending on price and document length, and for legal fees, often about 1% of the price. If you take a mortgage, since Spain’s 2019 mortgage law the lender generally pays the mortgage deed stamp duty (AJD), while you cover valuation and bank arrangement costs.

Finally, if you later sell, you’ll face capital gains tax on your profit at state savings-income rates—19%–28% bands as of 2025—and the local Plusvalía Municipal, a city tax on land appreciation, under rules introduced in 2022.

Within this framework, the Marbella real-estate market, along with the wider Costa del Sol—Benahavís, Nueva Andalucía, Sierra Blanca, and Casares—follows the same national rules with Andalucía’s buyer-friendly rates. When we shortlist a villa in Marbella or luxury villas for sale in Marbella’s Golden Mile, Constans Group models the full purchase budget for each address so there are no surprises.

Ongoing ownership taxes you should expect

If you rent your property, Spain taxes your rental income, with the calculation depending on your tax residence. If you do not rent, Spain imputes a small deemed rent on second homes, typically 1.1% to 2% of the cadastral value, and applies non-resident income tax to that imputed base. In 2025 European institutions have been pressing Spain to ensure these rules do not discriminate against non-residents, and further alignment is likely.

For high-net-worth owners, Andalucía rebates the regional Wealth Tax. Spain’s national Solidarity Tax, ISGF, still applies above €3 million of net wealth. Residents are assessed on worldwide assets, while non-residents are assessed on Spanish assets only. The tax has been extended into 2025 and is widely expected to continue.

2025 immigration update that affects purchase planning

Spain ended the real-estate route of the Golden Visa on 3 April 2025. You can no longer obtain residency simply by purchasing a €500,000 property. Other immigration routes remain — entrepreneur, highly qualified professional, study, and others — and existing Golden Visa holders retain their status. We structure your property plan to fit your chosen visa, not the other way around.

What changes for different buyer profiles?

Below we explain the same Marbella villa — think a modern villa in Nueva Andalucía or a serene villa around Benahavís — through three lenses: EU citizens, UK or US citizens, and other non-EU buyers. No bullet points, just the plain-English implications.

A) If you are an EU or EEA citizen

On a resale villa in Marbella or one of the villas in Sierra Blanca, Andalucía’s 7% ITP applies to the price you agree. New builds — for example a contemporary villa in a gated community — carry 10% VAT plus about 1.2% AJD. Your completion-day costs include notary, registry, and legal fees. If you take a mortgage, the bank pays the mortgage AJD and you cover the remaining bank costs.

If you rent out the property, Spain taxes you at 19% on net rental income and you can deduct standard expenses such as community fees, IBI, insurance, interest, depreciation, and maintenance that keeps the property rentable. If you keep it for personal use, you will declare the imputed income at 1.1% to 2% of the cadastral value at a 19% rate. On a future sale, expect state capital-gains bands up to 28% and the local Plusvalía Municipal calculated under Marbella’s method. We prepare the timeline and calculations so your villa in Marbella does not become a tax puzzle.

This applies across the micro-markets our clients love — Nueva Andalucía with its golf-valley energy, Benahavís with privacy and views, and the beachfront pockets where villas for sale are scarce and desirable. If you are exploring Palo Alto above Ojén or a bespoke home in Nueva Andalucía, our advice remains the same: we map the tax route before you reserve.

B) If you are a UK or US citizen

Post-Brexit, the UK sits outside the EU and EEA, and the US has never been inside. Your purchase taxes are identical to those for EU buyers: 7% ITP for resales in Andalucía, and 10% VAT plus roughly 1.2% AJD for new builds. The real difference historically appeared at the ownership stage, where for years non-EU landlords paid 24% on gross rent with no deductions.

In July 2025, Spain’s National High Court ruled that non-EU owners — including Britons and Americans — must be allowed the same rental expense deductions as EU and EEA owners when calculating Non-Resident Income Tax. This is a watershed change that can materially reduce your annual tax and may even open refund opportunities for recent years, though final confirmation from higher courts may follow. We handle the filings and evidence so your deductions stick.

If you do not rent, the imputed-income rule still applies: a deemed base of about 1.1% to 2% of the cadastral value, taxed at the non-resident rate that has traditionally been 24% for non-EU owners. The 2025 EU procedure challenging aspects of Spain’s treatment of some non-resident imputed income suggests more alignment is coming, and we will keep your filings compliant as the rules evolve.

For wealth planning, Andalucía’s regional Wealth Tax relief helps, but Spain’s Solidarity Tax can still catch very high-net-worth owners with Spanish assets over €3 million. We coordinate with your UK or US advisors to dovetail Spain’s rules with your home-country tax treaties and reporting.

All of this applies whether your search is for a villa in Marbella, a statement home among the villas for sale in Sierra Blanca, or something turnkey like the Palo Alto development. Our Marbella real-estate team frames each shortlist with a side-by-side tax picture so you compare properties on a true, after-tax basis.

C) If you are a non-EU or non-EEA citizen from outside the UK and US

Your purchase day still follows the Andalucía pattern: 7% ITP on resales and 10% VAT plus about 1.2% AJD on new builds, along with ordinary completion costs. If you rent your villa in Marbella, the ruling of 28 July 2025 confirms that non-EU owners — whether from the Middle East, Asia, Africa, or the Americas — may deduct rental expenses under the Non-Resident Income Tax, aligning you with EU treatment, pending ultimate confirmation by the Supreme Court. We will both apply the deductions now and examine whether refunds are viable for recent years.

For high-net-worth families, Andalucía’s wealth-tax relief combined with the national Solidarity Tax calls for proactive structuring, especially when acquiring multiple assets — for example, a coastal retreat in Casares together with a family compound in Benahavís. Our private-client team designs ownership and financing so lifestyle goals and compliance move together.

How Constans Group makes it simple, end to end

From the first conversation about villas in Marbella for sale to celebrating Marbella New Year’s Eve at your new address — and discovering the trendy Marbella restaurants you’ll love — we manage everything: property search, tax and legal structuring, due diligence, notary, utilities, and onward tax filings. For every short-listed villa in Marbella, we prepare a personalised cost model that includes the correct ITP or VAT plus AJD for Andalucía, notary, registry and legal estimates, mortgage costs, first-year ownership costs such as IBI, community fees and insurance, rental and holding tax projections, and sale-scenario capital-gains modelling.

If you prefer Spanish-language or bilingual documentation for corporate boards or family offices, our inmobiliaria Marbella team provides it. We also coordinate lifestyle touches — schooling, healthcare, and restaurant reservations — because owning in Marbella is as much about life as it is about ledgers. That is why discerning buyers searching Marbella villas for sale, villas for sale in Marbella, and luxury villas for sale in Marbella choose a constant partner.

A note on market-specific language and search

You’ll see us use phrasing common in client searches — marbella real estate, buy villa in Marbella, buy villa Marbella, villas de lujo en Marbella, and neighbourhood tags like Benahavís, Nueva Andalucía, and Nueva Andalucía Marbella — because clients use them daily. If you’re comparing options, we’ll show you how the population of Marbella Spain shifts between seasons and how that affects yield in each micro-market, from the Golden Mile to a golf-side villa in Nueva Andalucía and hillside privacy in Benahavís Marbella. Paired with local knowledge of trendy restaurants in Marbella, schools, and mobility, you’ll see why a villa in Marbella is both a life upgrade and a sound decision.

Quick examples — what you’d actually pay

Resale: A €2,500,000 resale villa in Nueva Andalucía would budget roughly €175,000 for ITP at 7%, plus about €25,000–€30,000 for notary, registry, and legal. Mortgage and valuation add if applicable.

New build: A €3,000,000 new villa near Benahavís lands at €300,000 VAT at 10%, about €36,000 AJD at roughly 1.2%, plus completion fees.

We will run these numbers for any short list — from villas for sale in Sierra Blanca to Palo Alto — so you can compare Marbella villas on a true like-for-like basis.

Important 2025 updates to remember

• Andalucía keeps its buyer-friendly framework: 7% ITP and roughly 1.2% AJD.

• New builds remain subject to 10% VAT plus the regional AJD.

• The Golden Visa real-estate route ended on 3 April 2025; other visa categories remain.

• Non-EU landlords can deduct rental expenses following the 28 July 2025 court ruling, pending confirmation by higher courts.

• The Solidarity Tax on net wealth over €3 million continues in 2025.

FAQ: Taxes & Costs When Buying Property in Spain in 2025

Do I pay different taxes on a resale vs. a new build?

Yes. In Andalucía — including Marbella, Benahavís, Nueva Andalucía, Sierra Blanca, and Casares — resales generally pay Property Transfer Tax, ITP. New builds pay VAT, IVA, plus stamp duty, AJD. We calculate the correct combination for each address before you sign anything.

How much should I budget for total closing costs?

Most buyers should plan for purchase taxes plus approximately 1%–2% for notary, registry and legal. We give you a line-by-line budget for each property so there are no surprises.

Who pays the estate agency commission in Marbella?

In the high-end market it’s typically paid by the seller, but structures vary. If you sign a buyer-brokerage agreement with exclusive services, different terms can apply. We clarify this upfront for every villa in Marbella you consider.

What deposit is standard to reserve a property?

A small reservation is common at the start, followed by an arras earnest-money contract, often around 10%, once due diligence is complete. We negotiate milestones, seller obligations, and refund conditions to protect you.

How long does the purchase process take? Can I complete remotely?

Four to eight weeks is typical once your lawyer has the documents. Many international clients complete entirely via a securely arranged power of attorney.

Do I need an NIE and a Spanish bank account?

Yes, an NIE tax number is required to buy. A Spanish bank account is strongly recommended for payments and ongoing bills. We obtain your NIE and open the account as part of our onboarding.