Selling Property in Spain

What selling a property in Spain actually costs

Before the money lands in your account, a sale in Spain typically involves:

• Capital gains tax on your profit
• Plusvalía municipal, the town hall's tax on the rise in land value
• Any IBI, the annual property tax, that is still outstanding
• Estate agent commission, usually 3 to 6%
• A valid certificado energético, without which you cannot legally sell
• Cancelling your mortgage, if the property is not already free of debt
• If you are a non resident, a 3% retention withheld by the buyer

If you're earlier in the property journey, our guide to Buying Property in Spain covers the purchase side of these same costs.

Capital gains tax when you sell

How the gain is calculated

Spain taxes the ganancia patrimonial, the difference between what you sell for and what the property cost you. In practice that means sale price, minus your documented acquisition cost (the original purchase price, plus the purchase taxes you paid, plus any proven improvements), minus your selling costs such as agency commission. Keep every invoice. Without paperwork, the Agencia Tributaria will not accept a deduction.

Rates if you are a tax resident

Residents pay capital gains tax through the IRPF savings base, on a national scale: 19% on the first 6,000 euros of gain, 21% from 6,001 to 50,000 euros, 23% from 50,001 to 200,000 euros, 27% from 200,001 to 300,000 euros, and 30% above 300,000 euros. That top rate moved up from 28% to 30% on 1 January 2025, so use 30%, not the older figure, for large gains.

Rates if you are a non resident

Non residents are taxed at a flat rate instead of the scale above. Sell while tax resident in an EU or EEA country and you pay 19% on the gain. Sell from anywhere else and the rate is 24%.

The 3% retention non resident sellers cannot avoid

This is the rule that catches people out. When the seller is a non resident, Spanish law requires the buyer to withhold 3% of the total sale price, not 3% of your profit, and pay it directly to the Agencia Tributaria within one month using Modelo 211. The buyer should give you a copy as proof of payment, so keep it safe.

That 3% is only an advance payment, not your final tax bill. You still file Modelo 210 to declare the actual capital gain. If the real tax due is less than what was withheld, you claim back the difference. If it is more, you pay the balance.

Plusvalía municipal, the tax the town hall collects

Separate from capital gains tax entirely, plusvalía municipal is a local tax on the theoretical increase in the value of the urban land under your property since you acquired it. It is calculated and collected by your ayuntamiento, not the Agencia Tributaria, and as the seller you are the one who owes it, unless you and the buyer agree otherwise in the contract. Confirm the amount with the town hall before you complete, so it does not surprise you at the notary.

Settling your IBI before completion

IBI, the annual municipal property tax, is billed once a year and owed by whoever owns the property on 1 January. If you sell partway through the year, buyer and seller usually agree to split it pro rata in the sale contract, but make sure any outstanding IBI is fully paid before completion. Unpaid IBI attaches to the property, not just to you, which is why buyers and notaries pay close attention to it.

Estate agent commission

If you sell through an agency, expect commission of roughly 3 to 6% of the sale price, agreed upfront and usually paid by the seller. It is worth negotiating this rate and confirming in writing exactly what is included, since it comes straight off your net proceeds.

Getting your certificado energético

You cannot legally advertise or sell a home in Spain without a valid certificado energético, the energy performance certificate. A certified technician assesses the property and issues a rating that is valid for ten years. Arrange this early. Notaries generally will not let a sale complete without it, and leaving it until the last minute can delay your closing date.

Cancelling your mortgage if you still have one

If there is a mortgage registered against the property, it needs to be formally cancelled at the Registro de la Propiedad, not just paid off with the bank. Your bank issues a certificate confirming the debt is settled, and a notary formalises the cancelación registral. These costs are typically deducted from your sale proceeds at completion, so budget for them alongside the taxes above.

Selling a main home, an inherited property, or after 65

Not every seller pays the same bill. Reinvesting in a new main home, being over 65, or selling a property you inherited rather than bought can all change your capital gains tax position significantly. If any of these apply to you, look into the specific exemption or rule before you price your sale.