Resale Property: ITP Transfer Tax

For resale (second-hand) properties, the main tax is the Impuesto de Transmisiones Patrimoniales (ITP) — transfer tax. In Andalucía, the rate is 7% of the purchase price (2026). This is paid by the buyer within 30 days of signing the title deed.

Example: buying a resale apartment in La Cala de Mijas for €250,000 — ITP payable = €17,500. Your property lawyer files the ITP return on your behalf as part of the post-completion process.

Note: The Spanish Tax Agency can challenge the ITP valuation if they believe the declared price is significantly below market value. Your lawyer can advise on the market value context for your property.

New Build from Developer: IVA + AJD

For new-build properties purchased directly from a developer, ITP does not apply. Instead, you pay:

  • IVA (VAT): 10% of the purchase price for residential property.
  • AJD (stamp duty): 1.2% of the purchase price in Andalucía.

Example: buying a new build apartment for €300,000 — IVA = €30,000 + AJD = €3,600. Total = €33,600 (11.2%).

Notary Fees

Notary fees for a property purchase are regulated by law. For a typical residential property in Mijas, expect approximately €800–€2,000. Paid on the day of signing by the buyer.

Land Registry Fees

After signing at the notary, the deed must be registered at the Land Registry. Fees are legally regulated and typically approximately €400–€1,000. Registration is usually completed within 2–6 weeks.

Legal Fees

Your property lawyer's fees — for due diligence, contract review, NIE assistance, notary representation, ITP filing, and Land Registry liaison — are typically approximately 1% of the purchase price (plus VAT).

This is the most important fee in the transaction. Your lawyer is the only professional working exclusively for you, protecting you from risks that could far exceed their fee.

Mortgage Costs (If Applicable)

Since 2019, the majority of mortgage costs (bank valuation, mortgage AJD, and mortgage notary/registry fees) are paid by the bank. As a buyer, you pay only the appraisal fee (typically €300–€500).

Ongoing Annual Costs

Non-resident property owners in Mijas must also budget for:

  • IBI: Annual property tax, typically €300–€1,500/year.
  • Non-resident income tax (IRNR): Deemed income tax if not renting, typically €200–€800/year.
  • Community of owners fees: If in a development, typically €50–€500/month.
  • Utilities and insurance.

Frequently Asked Questions

No. ITP, IVA, and AJD are legally fixed buyer obligations. The only cost genuinely negotiable is the estate agent's commission, paid by the seller.
ITP must be paid within 30 days of signing. Your lawyer will prepare Modelo 600 and pay on your behalf. Missing this deadline results in penalties and interest.
Spain has a wealth tax (Impuesto sobre el Patrimonio) on net assets above €700,000 per person. Andalucía residents benefit from a 100% bonus, but non-residents with high-value property may still be subject to it.