Costs of Buying a Resale Property in Andalucía
A practical guide to ITP, legal fees and the additional costs involved when purchasing an existing property on the Costa del Sol.
Request a personal cost estimateProperty Transfer Tax on a resale property
Allow approximately 8%–10% above the purchase price
This general estimate includes ITP, independent legal fees, notary and Land Registry fees and other usual purchase expenses. Mortgage-related costs are not included.
General guidance only. The applicable tax base, possible reduced rates and final costs depend on the transaction and the buyer’s circumstances.
What Is ITP?
Impuesto sobre Transmisiones Patrimoniales, commonly known as ITP, is the transfer tax generally paid by the buyer when an existing property is purchased from a private owner.
In Andalucía, the general rate is currently 7%. ITP is separate from the deposit and purchase price and must be included in your total budget.
Who pays ITP?
The buyer is responsible for declaring and paying ITP. Your independent lawyer or appointed representative will normally arrange the filing and payment after completion.
Which Costs Should You Include?
ITP is the largest additional expense, but it is not the only cost to consider.
ITP
The general transfer tax rate for a resale property in Andalucía is 7%.
Independent Legal Fees
For legal checks, contract review, completion and post-completion administration.
Notary Fees
For preparing and signing the public title deed before a Spanish notary.
Land Registry Fees
For registering you as the legal owner following completion.
Survey or Inspection
An optional technical inspection can identify defects or unauthorised alterations.
Mortgage Costs
These may include valuation, advice and separately agreed banking expenses.
Estimated Resale Purchase Costs
The examples below use the purchase price as the assumed ITP tax base and show an estimated allowance for the other usual purchase costs.
| Purchase price | ITP at 7% | Other estimated costs | Estimated total investment |
|---|---|---|---|
| €300,000 | €21,000 | €6,000–€9,000 | €327,000–€330,000 |
| €500,000 | €35,000 | €10,000–€15,000 | €545,000–€550,000 |
| €1,000,000 | €70,000 | €15,000–€25,000 | €1,085,000–€1,095,000 |
Illustrative estimates only. Exact professional fees vary, and the ITP tax base may differ from the purchase price.
What Should Be Checked?
A resale property should be independently checked before the private purchase contract becomes binding.
Ownership and Registry
Confirm the registered owner, boundaries, mortgages, embargoes and other charges.
Outstanding Debts
Check IBI, community fees, utilities and other amounts connected to the property.
Planning and Licences
Verify licences, planning status and whether extensions or alterations are legally recorded.
Community Information
Review fees, approved special assessments, rules and relevant meeting minutes.
Occupancy and Rental Status
Confirm vacant possession and review any tenancy or holiday-rental implications.
Technical Condition
Consider an independent survey when the property’s condition, age or alterations require it.
When Are the Costs Paid?
The purchase price, taxes and professional costs are paid at different stages.
Reservation
An initial deposit is paid to reserve the property, subject to the written reservation terms.
Private Contract
The agreed deposit is paid when the private purchase contract is signed.
Completion
The remaining purchase price is paid when the title deed is signed before the notary.
After Completion
ITP is declared and paid within the applicable deadline and ownership is registered.
Can a Reduced ITP Rate Apply?
Reduced rates may be available in specific circumstances, depending on factors such as the property value, intended use and the buyer’s personal situation.
These benefits are subject to legal conditions and should never be assumed when calculating your purchase budget.
Download the Andalucía Buying Costs Checklist
A practical checklist covering purchase taxes, professional fees, payment stages and important property checks.
Resale Buying Costs Explained
How much should I budget above the purchase price?
As a general guideline, allow approximately 8%–10% for a resale property in Andalucía, excluding mortgage financing, furniture and renovation.
Is ITP always calculated on the purchase price?
Not necessarily. If an official cadastral reference value applies and is higher than the declared purchase price, that higher value may determine the taxable base. Obtain legal advice for the specific property.
Do I pay IVA when buying a resale property?
A normal resale purchase from a private owner is generally subject to ITP rather than IVA. Different rules can apply to certain transactions involving companies or professional sellers.
Are the seller’s debts transferred to the buyer?
Certain debts or charges can affect the property. This is why your lawyer should check the Land Registry, IBI, community fees and other relevant records before completion.
Is a technical survey compulsory?
No, but it may be sensible for older properties, villas, renovated homes or properties with extensions. Legal checks do not replace an inspection of the physical condition.
Is the reservation deposit an additional cost?
No. It is normally deducted from the agreed purchase price, provided the transaction proceeds under the conditions stated in the reservation agreement.
Know the Full Cost Before You Commit
Once you have selected a resale property, O’live can help you prepare an initial overview of the expected costs and connect you with independent legal and financial specialists.