ITP Tax in the Valencian Community Reduced from 10% to 9%
6/5/2026
ITP Tax in the Valencian Community Reduced from 10% to 9% – Great News for Property Buyers!
01.06.2026
From June 1st, 2026, people purchasing resale properties in the provinces of Valencia, Alicante, and Castellón will be able to benefit from a lower property transfer tax.
The ITP tax (Impuesto de Transmisiones Patrimoniales) has been reduced from 10% to 9%.
This change can result in significant savings for buyers of apartments, houses, villas, and other properties.
What is the ITP Tax?
ITP is the tax paid when purchasing a resale property, meaning a property that has previously been owned by another individual.
Unlike new-build properties purchased directly from a developer, where VAT (IVA) applies, buyers of second-hand properties pay the ITP tax.
It is one of the most important costs associated with buying property in Spain and has a direct impact on the overall investment budget.
What Changes from June 1st, 2026?
Until May 31st, 2026, the standard ITP rate was 10%.
Starting from June 1st, 2026, the rate has been reduced to 9% for property transactions up to €1,000,000.
This means that buyers purchasing properties on the resale market will pay less tax and therefore reduce the overall acquisition cost.
How Much Can You Save?
Property priced at €200,000
- ITP at 10%: €20,000
- ITP at 9%: €18,000
- Savings: €2,000
Property priced at €350,000
- ITP at 10%: €35,000
- ITP at 9%: €31,500
- Savings: €3,500
Property priced at €500,000
- ITP at 10%: €50,000
- ITP at 9%: €45,000
- Savings: €5,000
Property priced at €1,000,000
- ITP at 10%: €100,000
- ITP at 9%: €90,000
- Savings: €10,000
As you can see, even a seemingly small reduction of just one percentage point can translate into substantial savings.
Who Benefits from This Reduction?
The new rate applies to properties located within the Valencian Community, including popular locations such as:
- Calpe
- Benidorm
- Finestrat
- Altea
- Torrevieja
- Alicante
- Jávea
- Dénia
- Villajoyosa
- Santa Pola
as well as all other municipalities located within the provinces of Alicante, Valencia, and Castellón.
Is This a Good Time to Buy?
A lower tax means a lower entry cost for your investment. For many buyers, this may be an additional reason to purchase property now rather than later.
However, it is important to remember that taxes are only one part of the total purchase costs. Buyers should also consider notary fees, land registry costs, legal services, and, if applicable, mortgage financing expenses.
For this reason, before making a decision, it is advisable to carefully analyze the entire transaction and consult with a licensed real estate agent who can guide you through every step of the purchasing process.
Summary
As of June 1st, 2026, the ITP tax on resale property purchases within the Valencian Community has been reduced from 10% to 9% for properties valued up to €1,000,000.
This is excellent news for anyone planning to buy a house, apartment, villa, or investment property in Spain, as it can reduce the overall purchase cost by several thousand euros.
👉 If you are planning to purchase property on the Costa Blanca or Costa Valencia and would like to know the full acquisition costs, contact our team. We will help you safely navigate the entire process, from selecting the right property to signing the title deed before a notary.
Sunny Costa For You
📍 Calpe, Alicante, Spain
📞 Piotr: +34 665 36 44 55
📞 Karolina: +34 601 60 55 19
