Property Purchase Tax Costa Blanca 2026
Property Purchase Taxes in the Costa Blanca in 2026
By HOLIDAYDREAM HOMES COSTA BLANCA
⏱️ Estimated reading time: 6 minutes
Buying a property on the Costa Blanca in 2026 is still one of the most attractive choices for both domestic and international buyers. However, one of the most important—and often less understood—aspects is the taxes and fees associated with the purchase, which can account for an additional 10% to 13% over the purchase price.
Below, we explain in a clear and up-to-date way the tax rules in force in the Valencian Community in 2026, with special attention to recent changes.
📊 1. Main taxes when buying a home in 2026
On the Costa Blanca, taxation depends on whether the property is resale (second-hand) or new build.
🏠 Resale property: Transfer Tax (ITP)
Starting from 1 June 2026, the purchase of used housing in the Valencian Community is taxed under the following structure:
General ITP rate: 9%
Homes with a value above €1,000,000: 11%
Possible reduced rates: depending on the buyer profile and specific conditions
📌 This tax applies to the documented (stated) value in the sale deed.
👉 Practical example:
For a property worth €300,000, the ITP would be approximately €27,000.
🏗️ New build property: VAT (IVA) + Stamp Duty (AJD)
For newly built homes purchased directly from the developer:
VAT: 10%
Stamp Duty (AJD, Documented Legal Acts): 1.4% from 1 June 2026
📌 This adjustment to the AJD represents a slight reduction compared to previous years.
👉 Practical example:
For a €400,000 property, the taxes may total around €45,600.
📜 2. Confirmed tax changes for 2026
Real estate taxation in the Valencian Community has been updated through the Regional Law 5/2025 of the Generalitat, applying to taxable events accrued from the 1 June 2026.
The most relevant changes are:
A reduction of the general ITP from 10% to 9%
Keeping the 11% rate for high-value homes
Adjustment of the AJD to 1.4%
Consolidation of the current tax framework with no new additional tax categories
📌 These changes directly affect the final cost of buying a property across the whole Valencian Community, including North Costa Blanca.
💰 3. Other costs when buying a home
In addition to the main taxes, the buyer must also consider other associated costs:
🏛️ Notary fees: between €600 and €1,200
📑 Land Registry fees: between €400 and €1,000
⚖️ Solicitor/administration (gestoría) and legal advice: varies depending on the transaction
🏦 Mortgage-related costs (if applicable)
📌 Taken together, these costs typically represent an additional 1.5% to 3%.
📉 4. The real total cost of buying property on the Costa Blanca
By adding taxes and fees, the estimated total cost in 2026 is:
🟢 Resale property: between 10.5% and 12%
🟢 New build property: between 11.5% and 13%
👉 These percentages may vary slightly depending on the purchase price, buyer profile, and any applicable bonuses/reductions.
⚠️ 5. Common mistakes when buying a property
In practice, many buyers make the same mistakes:
Calculating only the purchase price without taxes
Failing to correctly distinguish between new build and resale
Not budgeting for notary and registry fees
Underestimating the impact of ITP or VAT + AJD
📌 Proper tax planning is key to avoiding budget overruns.
🧭 6. Conclusion
Buying a home on the Costa Blanca in 2026 is still an excellent investment and lifestyle opportunity, but it requires a clear understanding of the true cost of the transaction.
With the entry into force of the new tax framework:
✔ ITP stands at the 9% general rate
✔ AJD is set at 1.4%
✔ The 11% rate for high-value homes remains in place
At Holidaydream Homes Costa Blanca, we support our clients throughout the entire purchase process, including a full analysis of taxes and costs, to ensure clear, secure transactions—without surprises.
Sonya González | José Luis Nieto
Founders & Owners
Holidaydream Homes Costa Blanca
🌴 Be Happy | Live the Mediterranean Life
📍 Moraira – Costa Blanca North – Spain
📞 +34 966 49 26 26
📧 info@holidaydream.es
🌐 www.holidaydream.es
