Selling A Resale Property In Spain

Expat Tips Published: 26 June 2017 10:59 CET Updated: 09 April 2025 10:00 CET

If you're a property owner, there may come a time when you need to sell a property in Spain.

In recent years, following the financial downturn, the Spanish property market was relatively stagnant. However, conditions have steadily improved, and selling property in Spain has become more common as demand has increased in many regions.

Once you find a buyer, selling a property in Spain is usually a straightforward process. That said, there are legal requirements, taxes, and associated costs that property sellers must understand before completing a property sale. For a broader overview of the process, see our guide to selling a resale property in Spain.

Proving That You Own the Property

Before selling a property in Spain, property owners must prove property ownership.

Property ownership in Spain is confirmed through title deeds known as the Escritura. This document is essential for any Spanish property sale and confirms who legally owns the property.

Escritura

The Escritura, or public deed, is a legal document confirming a change of ownership. It is signed by both buyer and seller before a notary and then registered with the Spanish Land Registry.

The Escritura typically includes:

Terms and conditions of the sale
Identification details of buyer and seller
Full description of the property
Registration details at the Spanish Land Registry
Outstanding debts, liens, or an existing mortgage
Community fees and other associated costs, such as community fees
Taxes paid or payable on the property sale
Legal representatives, if applicable
Cadastral value reference
Utility bills and local property tax information

Selling a property without a registered Escritura can cause serious legal issues. Property owners should avoid selling property that is not properly registered, as registration is the only way to guarantee legal ownership.

The Catastro

The Catastro is a national register of land and property in Spain and is separate from the Spanish Land Registry. It records land value, boundaries, and physical characteristics used by the Spanish government and local tax authorities.

The Catastro includes:

Land parcels and boundaries
Property classification
Total land area
Location of buildings and swimming pools
Name of the property owner

The cadastral value is used to calculate local municipal tax, property tax, capital gains tax, and Plusvalía tax. It also determines your annual IBI property tax in Spain. When selling a property in Spain, discrepancies between the Catastro and the Spanish Land Registry should be corrected in advance.

Nota Simple

The Nota Simple is an official document summarising property ownership and legal status at the Spanish Land Registry.

Current property owners
Property description and size
Boundaries and communal areas
Outstanding debts or encumbrances
Property classification

Errors in the Nota Simple must be resolved before selling a property, as inaccurate records can delay or block property transactions.

Estate Agent and Real Estate Agent Fees

Using an estate agent or real estate agent is not compulsory when selling property in Spain, but many property sellers choose to do so.

Many agents operate a Multiple Listing Service (MLS), allowing your property to be marketed by other agencies. Estate agent fees typically range between 4% and 7% plus VAT of the selling price and are paid on completion.

Hiring a Lawyer or Legal Advisor

Although not legally required, professional legal advice is strongly recommended when selling a property in Spain.

A legal advisor ensures compliance with legal obligations, checks documentation, confirms tax calculations, and protects the seller’s interests. Legal fees usually range between 1% and 1.5% of the sale price. This is the same type of due diligence required when buying a resale property in Spain.

Energy Performance Certificates

Most properties sold in Spain must have an Energy Performance Certificate (Certificado de Eficiencia Energética).

The certificate reflects the property’s energy consumption and overall energy efficiency. It must be included in all marketing materials and provided to buyers before completion.

Energy performance certificates are valid for 10 years. Selling a property without one can result in fines imposed by Spanish authorities.

Capital Gains Tax

Capital gains tax is one of the main tax implications when selling property in Spain.

The capital gain is calculated as the difference between the purchase price and the final sale price, after deducting eligible associated costs such as legal fees, notary fees, and documented improvements. For a full breakdown, see our guide to capital gains tax in Spain.

Capital Gains Tax and Tax Obligations When Selling Property in Spain

When selling property in Spain, capital gains tax represents a significant expense for property owners.

Tax residents are subject to progressive capital gains tax rates. Non-resident sellers pay a fixed rate, and when a non-resident sells property in Spain, the buyer must apply a 3% withholding tax on the sale price.

This amount is paid directly to the Spanish tax office as an advance payment. The withheld amount is offset against the final capital gains tax calculation.

If too much tax is withheld, the seller may apply for a refund from the Spanish tax authorities. If insufficient, the seller must pay the remaining balance.

Plusvalía Tax (Municipal Capital Gains Tax)

Plusvalía is a local municipal tax applied when selling a property in Spain. This municipal capital gains tax is based on the increase in the cadastral value of the land.

Plusvalía tax is paid to the local town hall, not the Spanish tax office, and is usually due within 30 days of completion.

Other Fees and Costs Involved

Mortgage cancellation fees with the Spanish bank
Notary fees related to mortgage cancellation
Spanish Land Registry fees
Outstanding utility bills
Community fees

Outstanding debts or an existing mortgage must be settled before completion to avoid delays or reductions to the final sale price.

How Long Does It Take to Sell a Property in Spain?

Once a buyer has been found, selling a property in Spain typically takes between 6 and 12 weeks.

This period includes signing a reservation agreement, legal checks, tax calculations, and completion before a notary.

Reservation Contracts and Sales Contracts

Most Spanish property transactions begin with a reservation contract, followed by a private sales contract outlining the sale price, completion date, and penalties if either party withdraws.

Additional Considerations for Non-Resident Sellers

When a non-resident sells property in Spain, different tax rules apply.

Non-resident sellers often need a Spanish bank account and may benefit from appointing a tax advisor to manage income tax, capital gains tax, and filings with the Spanish tax office.

Common Mistakes to Avoid When Selling Property in Spain

Failing to update the Catastro
Selling without a valid energy performance certificate
Underestimating capital gains tax or municipal tax
Leaving unpaid utility bills or community fees
Ignoring withholding tax obligations

What Happens at the Notary on Completion Day?

Completion takes place before a notary. The notary verifies identities, checks tax compliance, and oversees the signing of the public deed.

What to Do After Selling a Property in Spain

After selling a property in Spain, sellers should cancel utility accounts, notify the town hall and community administrator, and ensure future property tax bills are no longer issued in their name.

Final Conclusion

Selling a property in Spain involves legal obligations, tax implications, and multiple administrative steps.

Understanding capital gains tax, municipal capital gains tax, legal fees, and associated costs allows property owners to plan effectively and avoid unnecessary delays. With accurate documentation and professional legal advice where appropriate, selling property in Spain can be completed smoothly.