Procedure for property transactions

Valencian Community

Procedure for property transactions

Non-residents and residents of Spain have the same rights when buying property in the country. The Spanish property market is very diverse, so we accompany the client from the very start of the search and focus on the wishes of each buyer.

The process usually goes in this order:

1. Search and selection of properties. The Vym Canarias team accompanies you from the very start of your search and offers the best available options in line with your wishes and requirements.
2. Obtaining an NIE (foreigner identification number, which also serves as a tax ID). It is needed to buy, open an account and sign the deal, so it is best to get it in advance.
3. Opening an account at a Spanish bank. As a rule, the payments for the deal go through it. The deposit, the price of the property, taxes and the costs of the notary and the registry.
4. Reservation. The property is reserved with a deposit that is included in the purchase price and protects the interests of both parties.
5. Legal check and preliminary contract. The legal status of the property, the absence of debts and the presence of all permits are checked. Then a preliminary purchase contract is signed with a deposit, usually 10% of the sale price. But this is agreed individually.
6. Signing the purchase contract at the notary. Both parties sign the documents before a Spanish notary, after which the buyer receives the keys, and the agency sends the documents for registration in the State Property Registry.
7. After the deal, utility contracts and property taxes are transferred to the new owner with the support of the Vym Canarias team.

Taxes and fees when buying property

When buying property, the buyer pays a number of costs, including taxes. Their amount depends on the type of property.

New build. VAT (IVA) of 10% of the price (a single rate for all of Spain, except the Canary Islands) and the tax on notarial documents (AJD). In the Valencian Community the general AJD rate has been 1.4% since 1 June 2026 (previously 1.5%).

Resale home. Transfer tax (ITP). In the Valencian Community, since 1 June 2026 the general rate is 9% for properties priced up to 1,000,000 euros and 11% for the rest. For certain categories of buyers, for example young people under 35 and large families, reduced rates may apply if they are Spanish tax residents. Besides taxes, the buyer pays for the notary, registration of ownership in the registry and the services for re-registering the property.

If the purchase is made with a mortgage

Among the costs of arranging the loan, the buyer pays for the property valuation (tasación). The cost starts from 400 euros and depends on the price of the property. By law, the bank pays the tax on the mortgage contract, as well as the notary and registration costs of the mortgage transaction. Additionally, a bank fee for opening the mortgage (if the bank charges one) and property insurance are possible.