Real costs of buying a flat: ITP, notary and registry

When someone tells you "that flat is worth €300,000", they're only giving you the deed price. On top of that figure you must add a list of taxes and fees that can reach 12% extra.

The three big blocks

1. Taxes

The most important tax depends on whether you buy second-hand or new build:

• Second-hand → ITP (Property Transfer Tax). Charged by the regional government:
  • Catalonia: 10% (with reduced brackets for homes under €1M).
  • Madrid: 6%.
  • Andalusia: 7%.
  • Valencia: 10%.
  • Basque Country: 4%.
• New build → VAT 10% + AJD 0.5-1.5% depending on region.

2. Notary, registry and management

• Notary: regulated fees. For a €300,000 home you'll pay €600-900.
• Land Registry: €400-700.
• Management agent (gestoría): €300-500 if you hire one (the bank usually requires one if you're financing).

3. Appraisal

Paid by the buyer; costs €250-450. The report is valid for 6 months.

Real example — €400,000 in Barcelona (second-hand)

• ITP 10%: €40,000
• Notary: €850
• Registry: €600
• Management: €400
• Appraisal: €350

Total extra: ~€42,200 → 10.5% of the price.

Real example — €400,000 in Madrid (second-hand)

• ITP 6%: €24,000
• Notary: €850
• Registry: €600
• Management: €400
• Appraisal: €350

Total extra: ~€26,200 → 6.5% of the price.

Mortgage costs

Since Law 5/2019, banking fees are paid by the bank, except the appraisal. What the buyer still pays:

• Origination fee (if there is one).
• Home and life insurance (only the first year, required by the bank).
• Pre-mortgage notarial act: free but mandatory 10 days before signing.

What's always forgotten

• Pending special levy of the building: can be €3,000-15,000.
• Move + small renovations: budget 2-5% of the property's value to be comfortable in the first year.

Putting it all in a spreadsheet before signing is the difference between arriving calmly and spending the first months underwater.