New build vs resale in Andalucía: what buying really costs in 2026
Taxes and fees on a new build and a resale home in Andalucía in 2026, with worked examples at €750k and €2M and the points that change the numbers.
In Andalucía, taxes and fees add about 12.5% to the price of a new build bought from the developer, against about 8.5% for a resale. The gap comes from the taxes: 10% VAT plus 1.2% stamp duty on a new build, 7% transfer tax on a resale, or about €31,500 on a €750,000 home.
The question that decides which regime applies is who sells: a developer (first transfer, even if the home is already finished) or a private owner. This guide sets out the 2026 rates, works through two examples and covers the details that move the numbers.
The taxes: VAT and stamp duty vs transfer tax
New build: 10% VAT plus 1.2% stamp duty
When you buy a home directly from the developer, you pay:
- VAT (IVA) at 10% on the price. This covers the home and up to two parking spaces and storerooms sold with it in the same deed. Parking or storage bought separately, plots and commercial premises are taxed at 21%. The 4% rate applies only to officially protected housing (VPO), which is rare on the coast.
- Stamp duty (AJD) at 1.2% in Andalucía, paid at the deed. Reduced rates apply to main homes below €150,000 (1%) and to buyers under 35 (0.3%, same cap). Large families and people with a disability of 33% or more pay 0.1%, up to €250,000. At Costa del Sol new-build prices, most buyers pay 1.2%.
On an off-plan purchase, VAT is paid with each instalment, not all at the end. The stamp duty is paid at completion.
The legal basis for the Andalusian rates is Ley 5/2021 de Tributos Cedidos.
Resale: 7% transfer tax
When you buy from a private owner, there is no VAT. Instead you pay transfer tax (ITP) at a flat 7% in Andalucía, a rate in place since 27 October 2021.
- The tax base is the higher of the price and the property's cadastral reference value, so declaring a low price does not reduce the tax.
- Reduced rates exist: 6% for a main home up to €150,000, and 3.5% for under-35s and some other groups up to €150,000 or €250,000. They require the home to be your habitual residence and have a cliff edge, because above the cap the whole price pays 7%. They are irrelevant to most non-resident buyers.
- You file and pay within two months of the deed, using Modelo 600.
The fees: the same for both
Whichever you buy, you will also pay professional fees. Typical 2026 ranges on the Costa del Sol:
- Notary: €600 to €1,500, on a regulated scale that rises with the price.
- Land Registry: €400 to €1,000.
- Gestoría (the firm that files taxes and registers the deed): €300 to €500, up to €1,500 with extra filings.
- Lawyer: about 1% of the price plus 21% VAT, often with a minimum fee.
- NIE (foreigner identification number): €9.84.
Worked example: €750,000
The table assumes a non-resident buyer paying cash, the standard rates above and mid-range fees.
| Item | New build | Resale |
|---|---|---|
| VAT at 10% | €75,000 | none |
| Stamp duty (AJD) at 1.2% | €9,000 | none |
| Transfer tax (ITP) at 7% | none | €52,500 |
| Notary | €1,000 | €1,000 |
| Land Registry | €700 | €700 |
| Gestoría | €400 | €400 |
| Lawyer (1% + 21% VAT) | €9,075 | €9,075 |
| Total on top of the price | €95,175 (12.7%) | €63,675 (8.5%) |
The new build costs about €31,500 more in taxes and fees on the same price.
For scale, the median published starting price across the 154 priced developments we track is €590,000 plus VAT. On that price, VAT and stamp duty alone come to €66,080 before any fees. A finished home bought from the developer, such as the last apartments at Santa Clara Homes, still counts as a first transfer and pays VAT, not transfer tax.
Worked example: €2,000,000
| Item | New build | Resale |
|---|---|---|
| VAT at 10% | €200,000 | none |
| Stamp duty (AJD) at 1.2% | €24,000 | none |
| Transfer tax (ITP) at 7% | none | €140,000 |
| Notary | €1,500 | €1,500 |
| Land Registry | €1,000 | €1,000 |
| Gestoría | €500 | €500 |
| Lawyer (1% + 21% VAT) | €24,200 | €24,200 |
| Total on top of the price | €251,200 (12.6%) | €167,200 (8.4%) |
At this level the gap is about €84,000.
Why the usual rules of thumb are higher
Guides often quote 10% to 12% for a resale and 13% to 15% for a new build (13% to 14% for a resale with a mortgage). Those figures leave room for extras our examples leave out. Examples are a mortgage valuation, bank charges, a power of attorney, a legal fee above 1%, or a cadastral value above the price on a resale. Use the worked examples to understand the structure, and the rule of thumb to set your budget.
If you use a mortgage
Since 2019, most costs of the mortgage itself fall on the bank. The lender pays the stamp duty on the mortgage deed (since November 2018), plus the notary, registry and gestoría for the loan. You pay the valuation (typically €250 to €700), any copies of the deed you request and any opening commission. The full rules are explained by the Bank of Spain.
Banks usually lend non-residents 60% to 70% of the value, over up to 25 years. On a new build bought off-plan, remember that a mortgage can only fund the completion payment.
Other points that change the picture
- Buying from a non-resident seller. On a resale from a seller who is not tax resident in Spain, the buyer must withhold 3% of the price. It goes to the Tax Agency on Modelo 211, on account of the seller's capital gains tax. It is not an extra cost to you, but your lawyer must handle it.
- Municipal capital gains tax (plusvalía) on a resale is paid by the seller, not the buyer.
- Parking and storage. On a new build, include them in the same deed as the home to keep them at 10% VAT rather than 21%.
- The price itself. If a new build costs more than a comparable resale, the higher tax rate is charged on the higher price too. Against that, a new build comes with ten-year structural insurance and legal liability periods for defects, and off-plan payments are spread over the build.
Ongoing costs after you buy
The ongoing taxes are the same for new builds and resales:
- IBI (council tax) is a percentage of the cadastral value: 0.650% in Marbella and 0.662% in Estepona in 2025-26. Apartments typically pay €400 to €1,500 a year; villas in Marbella and Benahavís can pay several thousand.
- Non-resident income tax applies even to a home you never let. The taxable amount is a notional 1.1% or 2% of the cadastral value, taxed at 19% for EU/EEA residents and 24% for others and declared on Modelo 210. See the Tax Agency guidance.
- Wealth tax in Andalucía has a 100% regional bonus, so it is effectively zero. The national solidarity tax on large fortunes still applies to net wealth above €3 million, after a €700,000 exempt amount, and non-residents pay it on their Spanish assets.
Frequently asked questions
Is it cheaper to buy a resale than a new build in Andalucía? In purchase taxes, yes: 7% transfer tax on a resale against 10% VAT plus 1.2% stamp duty on a new build. On €750,000 that is about €31,500 of difference.
Can I get the reduced 6% or 3.5% transfer tax rate? Only if the home will be your habitual residence and the price is below the cap (€150,000 or €250,000). Above the cap, the whole price pays 7%.
Is VAT on a new build recoverable? Not for a private buyer. It is a final cost, like the transfer tax on a resale.
Who pays the plusvalía? The seller.
Work out your own numbers
Our purchase costs calculator applies the 2026 Andalucía rates to your price, for a new build or a resale, with or without a mortgage.