Marbella News · Taxes & Buying Guide · 30 September 2026
Andalusia Property Transfer Tax Falls in 2027: Exactly How Much You Will Save in Marbella
The Andalusia property transfer tax on resale homes will drop from 7% to 6.75% on 1 January 2027, and the regional government wants to take it down to 6% before the end of its term. It is not a revolution, but on a Marbella villa it adds up. Here is the maths, who qualifies for the lower rates, and what it means for your next purchase.
Key facts
- What: a cut to the Andalusia property transfer tax (ITP) on second-hand homes.
- General rate: from 7% to 6.75% from 1 January 2027.
- The plan: a further 0.25-point cut each year until it reaches 6%.
- Lower rates: price thresholds for the 6% and 3.5% rates rise from €150,000 to €200,000 (€300,000 for some families).
- Who benefits: around 146,500 buyers in 2027, according to the Junta.
- Not included: new-build homes, which pay VAT instead.
- How: through the 2027 Andalusian regional budget.
Buying a home in Marbella is about to get slightly cheaper, at least as far as tax is concerned. On 24 September, Andalusia’s Minister of Economy and Finance, Carolina España, announced that the regional government will cut the Andalusia property transfer tax, known in Spain as ITP (Impuesto sobre Transmisiones Patrimoniales), from 7% to 6.75% from 1 January 2027.
The cut will be included in the 2027 regional budget. The Junta’s stated intention is to keep lowering the general rate by 0.25 percentage points every year until it reaches 6% by the end of the current parliamentary term. España described the package as excellent news for Andalusian families and said housing would be a central priority for the government.
The measure also widens access to the region’s reduced rates for first homes and for specific groups such as young buyers and large families. In total, the Junta expects around 146,500 people to benefit in 2027.
🧾 What Is the Andalusia Property Transfer Tax?
When you buy a second-hand (resale) property in Spain, you pay a transfer tax on the purchase price. Rates are set by each region, so the Andalusia property transfer tax applies to every resale purchase in Marbella, Benahavís, Estepona and the rest of the Costa del Sol.
It is usually the single largest cost of buying after the price itself, and it is paid by the buyer, normally within a month of signing the deed at the notary. New-build homes bought directly from a developer work differently: they pay VAT (10% for homes) plus stamp duty (AJD) instead of ITP, so this cut does not affect them.
Andalusia has been lowering this tax for several years. In 2021, the regional government replaced the old tiered system, with rates of 8%, 9% and 10% for more expensive properties, with a single flat rate of 7%. For the luxury segment, that earlier reform was a major change: a €3 million home went from the top 10% band to the flat 7%. The 2027 cut continues the same direction of travel.
📊 The New Rates at a Glance
| Rate | 2026 | From 2027 | Applies to |
|---|---|---|---|
| General | 7% | 6.75% | All resale homes not covered by a lower rate |
| Reduced | 6% up to €150,000 | 6% up to €200,000 | Primary residence within the price limit |
| Super-reduced | 3.5% up to €150,000 | 3.5% up to €200,000 | Buyers under 35, victims of gender violence or terrorism, homes in municipalities at risk of depopulation |
| Super-reduced (families) | 3.5% up to €150,000 | 3.5% up to €300,000 | People with disabilities and large families |
According to the Junta, the general rate cut alone will benefit around 138,000 buyers, while raising the reduced-rate threshold will help a further 3,700. Each lower rate comes with conditions on residency and use, so buyers should check eligibility with their lawyer or tax advisor before counting on it.
💶 How Much You Save: The Marbella Maths
The Junta’s own examples focus on typical Andalusian homes: €500 saved on a €200,000 property and €1,000 on a €400,000 one. Marbella prices are rather different, so here is what the Andalusia property transfer tax cut means at Costa del Sol price points:
| Purchase price | ITP today (7%) | ITP 2027 (6.75%) | Saving 2027 | Saving at 6% |
|---|---|---|---|---|
| €500,000 | €35,000 | €33,750 | €1,250 | €5,000 |
| €1,000,000 | €70,000 | €67,500 | €2,500 | €10,000 |
| €2,000,000 | €140,000 | €135,000 | €5,000 | €20,000 |
| €5,000,000 | €350,000 | €337,500 | €12,500 | €50,000 |
| €10,000,000 | €700,000 | €675,000 | €25,000 | €100,000 |
The rule of thumb is simple: in 2027, every €1 million of purchase price saves €2,500 in tax. If the rate reaches the Junta’s 6% target, the saving grows to €10,000 per million compared with today. On a €5 million villa in Sierra Blanca or La Zagaleta, that is the difference between a €350,000 tax bill and a €300,000 one.
Figures are illustrative, calculated on the purchase price at the general rate. The tax base may differ if the declared price is below the tax authority’s reference value.
📉 The Road to 6%
The Junta has only confirmed the 2027 rate so far. But if the announced 0.25-point annual cuts go ahead as planned, the path would look like this:
Before 2021 — Tiered rates of 8% to 10%.
2021–2026 — Flat general rate of 7%.
2027 — 6.75% (confirmed in the budget announcement).
2028 — 6.5% (projected).
2029 — 6.25% (projected).
End of term — 6% (target).
Each step would need to be approved in the corresponding annual budget, so the later dates are an intention rather than a guarantee.
🏗️ Resale vs New Build: The Full Tax Picture
Because the Andalusia property transfer tax only applies to resale homes, the cut slightly widens the tax gap between second-hand and new-build properties:
| Resale home | New build (from developer) | |
|---|---|---|
| Main tax | ITP: 7% today, 6.75% in 2027 | VAT: 10% |
| Stamp duty (AJD) | Only on a mortgage deed, if any | Yes, on the purchase deed |
| Affected by 2027 cut | ✅ Yes | ❌ No |
In Marbella’s prime market, where much of the best product is resale (established villas in Sierra Blanca, the Golden Mile or La Zagaleta), that makes the cut more relevant than it first appears. On top of the tax, buyers should budget for notary, Land Registry and legal fees, which together typically add around 1–2% of the price.
🌍 Part of a Wider Tax Story
The ITP cut adds to Andalusia’s reputation as one of Spain’s most tax-friendly regions for property owners and families. The most important piece for high-net-worth buyers is inheritance and gift tax, where generous regional relief can reduce the effective rate between close family members to as little as 0.1% in certain cases.
That combination is one of the reasons Marbella now ranks fifth in the world in the BARNES City Index, ahead of Monaco. You can read more in our story on the Marbella luxury property market joining Monaco and Miami.
It also arrives in a month of major changes for the city. Marbella has just approved its new General Plan after 40 years, giving buyers something even more valuable than a tax cut: legal certainty. Read our guide to what the new Marbella PGOM means for buyers.
💎 What the Andalusia Property Transfer Tax Cut Means for You
Let’s be honest: nobody buys a €3 million villa because the tax went down by 0.25 points. But the cut does have practical implications:
- Timing near year-end. If you are buying a resale home and completion is planned for December 2026, signing in January 2027 could save 0.25% of the price, provided the budget is approved. On a €2 million property, that is €5,000. Discuss the timing with your lawyer.
- A clear direction. A government that plans to cut the tax every year sends a strong signal about its attitude to property owners and investors.
- Resale gets relatively more attractive. The gap with new build, which pays 10% VAT plus stamp duty, widens.
- More help for local buyers. Higher thresholds for the 6% and 3.5% rates will mainly help first-time and younger buyers, supporting the local market that keeps Marbella a living city.
Planning a purchase? Read our complete guide to buying property in Marbella.
🧾 Before You Buy: A Quick Tax Checklist
- Confirm whether the home is resale or new build, as the tax regime is completely different.
- Check the reference value. Tax is calculated on the higher of the price and the official reference value.
- Check if you qualify for a reduced rate (primary residence, under 35, large family, disability).
- Think about the completion date if you are close to 1 January 2027.
- Budget for the full costs: tax, notary, registry, legal fees and, if relevant, mortgage costs.
- Get independent tax and legal advice, especially if you are a non-resident or buying through a company.
⏭️ What Happens Next
The cut will be included in the 2027 Andalusian budget, which must be approved by the regional parliament before the end of the year. If it passes, the new rates will apply to deeds signed from 1 January 2027. Further cuts towards 6% would then be decided in each year’s budget. We will update this article as the budget moves through parliament.
❓ Frequently Asked Questions
What is the Andalusia property transfer tax rate in 2027?
The general rate on resale homes will be 6.75%, down from 7%, from 1 January 2027, subject to approval of the regional budget.
Will the tax keep going down?
The Junta plans to cut the general rate by 0.25 points each year until it reaches 6% by the end of the current parliamentary term. Each step must be approved in the annual budget.
Does the cut apply to new-build homes?
No. New-build homes bought from a developer pay 10% VAT and stamp duty instead of transfer tax.
How much will I save on a €1 million home in Marbella?
€2,500 in 2027. If the rate reaches 6%, the saving compared with today would be €10,000.
Who qualifies for the 3.5% rate?
Buyers under 35, victims of gender violence or terrorism, and buyers in municipalities at risk of depopulation, for homes up to €200,000. For people with disabilities and large families, the limit rises to €300,000. Conditions apply.
Do foreign buyers pay the same transfer tax?
Yes. The general rate applies to all buyers of resale homes in Andalusia, regardless of nationality. Eligibility for the reduced rates depends on personal and residency conditions.
When do I pay the transfer tax?
It is normally paid within one month of signing the purchase deed at the notary. The rate that applies is the one in force on the date of the deed.
Sources: Junta de Andalucía, regional press. This article is for information only and is not tax advice.
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