Valencian Community lowers ITP from June 2026
Property Transfer Tax drops to 9% in Valencia in 2026
From June 1st, 2026, the Property Transfer Tax (ITP) for purchasing second-hand homes in the Valencian Community will decrease from 10% to 9%. This measure, announced by the Valencian regional government, will represent significant savings for both national and international buyers looking to purchase property in the region.
The reduction will apply generally to all resale properties valued at up to €1,000,000, lowering one of the main costs associated with buying property in Spain.
How much will the ITP decrease in the Valencian Community?
The general ITP rate will be reduced from the current 10% to 9% from June 2026.
This means buyers purchasing second-hand homes will pay less tax during the purchase process.
For example:
- Property valued at €200,000
- Before: €20,000 ITP
- Now: €18,000 ITP
- Savings: €2,000
- Property valued at €300,000
- Before: €30,000 ITP
- Now: €27,000 ITP
- Savings: €3,000
- Property valued at €500,000
- Before: €50,000 ITP
- Now: €45,000 ITP
- Savings: €5,000
This tax reduction could make a significant difference for buyers looking to purchase resale property in the Valencian Community.
Which properties will benefit from the reduced 9% ITP?
The new reduced transfer tax will apply exclusively to:
- Second-hand homes
- Properties with a value of up to €1,000,000
- Purchases completed from June 1st, 2026
Luxury properties above €1,000,000 will continue to be taxed at 11%.
Reduced ITP rates in the Valencian Community
In addition to the general reduction to 9%, the Valencian government will maintain reduced tax rates for specific groups:
Buyers under 35 years old
- Reduced 8% ITP
- For primary residences
- Maximum property value of €180,000
Large families and single-parent families
- Reduced rate of 4%
People with disabilities
- Reduced rate of 4%
Officially protected housing (VPO)
- Reduced rate of 4%
These reductions aim to make access to housing easier for groups with greater financial difficulties.
What taxes are paid when buying resale property in Valencia?
The ITP is one of the main expenses involved in buying a second-hand property in Spain. With this reduction, the Valencian Community becomes one of the most competitive regions for property buyers and investors.
In addition to the ITP, buyers should also consider:
- Notary fees
- Land Registry costs
- Administrative fees
- Legal fees
- Mortgage valuation costs
Reducing the ITP from 10% to 9% will provide significant relief for many families and foreign buyers.
Impact on the Valencian property market
The reduction in transfer tax could further boost the Valencian property market, especially in high-demand international areas such as:
- Alicante
- Benidorm
- Jávea
- Denia
- Torrevieja
- Altea
- Calpe
- Orihuela Costa
- Valencia city
These areas continue attracting European buyers searching for second homes, permanent residences or real estate investments in Spain.
FAQ about the ITP reduction in Valencia
When will the ITP reduction start in Valencia?
The new rate will come into effect on June 1st, 2026.
What will the new ITP rate be?
The general rate will decrease from 10% to 9%.
Which properties are included?
Second-hand homes valued at up to €1,000,000.
What happens with luxury properties?
Homes above €1,000,000 will continue paying 11%.
Will reduced tax rates remain available?
Yes. Young buyers, large families, single-parent families, disabled buyers and VPO properties will continue benefiting from reduced rates.
Will foreign buyers benefit from this measure?
Yes. Both Spanish residents and international buyers will benefit from this tax reduction.
