Buying a resale home in Andalucía is set to get a little cheaper. On 24 September 2026, the Junta de Andalucía announced that the general property transfer tax (ITP) will fall from 7% to 6.75% in 2027, as part of its 2027 regional budget.
For buyers on the Costa del Sol, where prices sit well above the regional average, even a quarter of a percentage point adds up. Here is what is changing, what it could save you, and why you should still budget at 7% for now.
What is ITP?
ITP (Impuesto sobre Transmisiones Patrimoniales) is the tax the buyer pays when purchasing a resale property in Spain. It is set by each region, and in Andalucía the general rate has been 7% since April 2021, according to the Junta de Andalucía.
It applies to resale homes only. New-build homes bought from a developer pay VAT (IVA) plus stamp duty (AJD, 1.2% in Andalucía) instead, so this change does not affect them.
What is changing, and when
The general ITP rate on resale homes is proposed to drop from 7% to 6.75% from 2027. The measure was announced to the Andalusian Parliament by Carolina España, Andalucía's Minister of Economy and Finance, on 24 September 2026, as reported by El Español and Canal Sur.
Key points of the proposal:
- General rate: 7% → 6.75% in 2027.
- Further cuts planned: the Junta says it aims to lower the rate by 0.25 points a year, reaching 6% by the end of the current legislature.
- How it becomes law: through the 2027 Andalusian budget bill, which is still being prepared.
- Scale: around 146,500 buyers a year are expected to benefit, about 138,000 of them from the general rate cut (Infobae).
What could you save in Marbella?
The saving is 0.25% of the purchase price, or €2,500 for every €1 million. At Marbella price levels, that becomes meaningful:
| Purchase price | ITP at 7% (today) | ITP at 6.75% (2027) | Saving |
|---|---|---|---|
| €500,000 | €35,000 | €33,750 | €1,250 |
| €1,000,000 | €70,000 | €67,500 | €2,500 |
| €2,000,000 | €140,000 | €135,000 | €5,000 |
| €5,000,000 | €350,000 | €337,500 | €12,500 |
If the Junta delivers its plan to reach 6% by the end of the legislature, the saving on a €2 million villa would eventually be €20,000 compared with today.
Reduced rates are also widening
The proposal also raises the price limits for Andalucía's reduced ITP rates on a primary residence:
| Rate | Who qualifies | Price limit today | Proposed limit |
|---|---|---|---|
| 6% | Buyers of a primary residence | €150,000 | €200,000 |
| 3.5% | Under-35s, victims of gender violence or terrorism, homes in depopulating municipalities | €150,000 | €200,000 |
| 3.5% | Buyers with a disability (33%+) or large families | €250,000 | €300,000 |
These thresholds matter less in Marbella, where few homes sell below €300,000. For most of our buyers, the general rate cut is the change that counts.
Remember that ITP is only one part of your purchase costs. Notary, Land Registry and legal fees, plus mortgage costs if you finance, come on top.
The bigger picture: prices and mortgages are rising
The tax cut is good news, but it is small next to what is happening in the market.
| Indicator | A year ago | Now |
|---|---|---|
| Marbella average asking price | €5,726/m² (Aug 2025) | €5,956/m², a record (Aug 2026) |
| Annual price growth | +8.4% | +4.0% |
| 12-month Euribor | 2.17% (Sep 2025) | 3.25% (Sep 2026) |
Prices in Marbella are still at record highs and still rising, according to idealista. Borrowing is getting dearer too: the European Central Bank has raised rates twice in 2026, most recently on 10 September to a 2.50% deposit rate (Euronews), and the Euribor that most Spanish variable mortgages track reached 3.25% in September (euribor.com.es).
For context: on a €2 million property, the 2027 tax cut is worth €5,000, while a 1% change in price on the same property is €20,000. ITP is charged at the rate in force on the day of completion.
Important: it is not in force yet
Today, resale purchases in Andalucía are still taxed at the general 7% ITP rate. The 6.75% rate is a proposal inside the 2027 budget, which the Junta began preparing under an order of 13 July 2026 and which still has to pass through the Andalusian Parliament.
What this means in practice:
- Completing in 2026? Budget at 7%. The new rate is expected to apply from 2027, once the budget law is approved.
- Timing a purchase around the change? The tax is normally charged at the rate in force on the date of completion (escritura), not when you sign a reservation or private contract. Check your timeline with your lawyer.
- Do not rely on the cut until it is published as law. Budgets can change before approval.
Planning to buy on the Costa del Sol?
Understanding taxes and purchase costs is just as important as finding the right property. A quarter-point cut will not decide whether a home is right for you, but it belongs in your numbers.
Speak to Smartmove Marbella about your property search in Marbella, Benahávis, Estepona and Sotogrande. We will help you plan the full cost of your purchase, with the right legal and tax advisers alongside.
This article is for general information and is not tax or legal advice. Rates and dates may change as the 2027 budget progresses.
