Foreign buyers in Alicante pay the same property taxes as locals — but it’s crucial to understand what applies, how much it costs, and when it’s due.
Here’s a complete breakdown so you can budget accurately and avoid surprises.
📊 Tax Overview: Resale vs. New Build Homes
| Type of Property | Tax | Rate |
|---|---|---|
| Resale Home (used) | ITP (Impuesto de Transmisiones Patrimoniales) | 10% of purchase price |
| New Build (from developer) | VAT (IVA) | 10% + 1.5% AJD (Stamp Duty) |
💼 Other Costs & Legal Fees
| Fee or Cost | Typical Range |
|---|---|
| Notary Fees | €600 – €1,200 |
| Land Registry Fees | €400 – €1,000 |
| Lawyer (Conveyancing) | €1,500 – €3,000 (fixed fee or ~1%) |
| Gestoría (Optional admin service) | €300 – €500 |
| NIE Number (foreigners ID) | €100 – €200 |
| Bank & Currency Exchange Fees | Varies (we help reduce them) |
✅ At Borderless Lawyers, we provide flat-fee legal packages including NIE, due diligence, and post-sale registrations.
📅 When Are These Taxes Due?
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ITP / VAT: Within 30 working days after signing the public deed (escritura)
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AJD (Stamp Duty): Paid together with VAT (for new builds)
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Notary & Registry Fees: Paid at or right after signing
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Lawyer Fees: Fixed in advance, paid before or after signing
We handle all tax filings as part of our legal service — you don’t need to worry about deadlines or forms.
🏡 Annual Taxes After Purchase
Even if you don’t rent the property, you must pay:
🏛️ IBI (Impuesto sobre Bienes Inmuebles)
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Local property tax, paid annually to the town hall
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Based on cadastral value, not market price
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Usually €300 – €900 per year in Alicante area
🗑️ Basura (Waste Collection Fee)
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Charged by local council
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Typically €100 – €200 per year
💸 Non-Resident Income Tax
Even if you don’t rent out your property:
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You’re taxed on a theoretical rental income
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Rate: 19% for EU/EEA citizens, 24% for others
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Based on cadastral value, not actual rental income
We can handle annual filings for non-residents to keep you compliant.
💰 Example: Full Cost Breakdown (Resale Property)
| Item | Amount (for €250,000 home) |
|---|---|
| ITP (10%) | €25,000 |
| Notary | €800 |
| Land Registry | €500 |
| Lawyer (flat fee) | €2,000 |
| NIE, POA, courier | €250 |
| Total (excluding mortgage) | ~€28,550 (approx. 11.4% extra) |
🧑⚖️ Why Foreign Buyers Choose Borderless Lawyers
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Transparent legal pricing with no surprise fees
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Full tax filing support during and after purchase
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Advice tailored to your tax residence & nationality
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Coordination with your bank or mortgage lender
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Remote purchase possible via Power of Attorney
📞 Get a Clear Quote for Your Property in Alicante
Not sure how much your Alicante purchase will cost? We’ll break down all legal, tax, and notary fees in advance — no hidden costs.