When you buy a resale property in Calpe, the biggest extra cost is usually not the notary, the lawyer, or the land registry. It is ITP, Spain’s property transfer tax.
ITP stands for Impuesto sobre Transmisiones Patrimoniales. It applies when you buy a second-hand property from a private owner. For buyers in Calpe, Moraira, Benissa, Altea, and the wider Costa Blanca North, this tax is set by the Valencian Community, not by central government.
That matters because the rate is not the same everywhere in Spain. Andalucía, Madrid, Murcia, Catalonia, and the Balearics all have their own rules. If you are buying in Calpe, the rate that matters is the one charged in the Valencian Community.
As of 2026, the general ITP rate in the Valencian Community is 9% for most resale property purchases. For properties with a taxable value over €1,000,000, the rate is 11%.
This guide explains what that means in plain English, how the tax is calculated, and why the cadastral reference value can change the amount you pay.
What Is ITP?
ITP is the main tax paid by the buyer when purchasing a resale property in Spain.
It applies to second-hand homes, which usually means properties bought from a private seller rather than directly from a developer. Most resale apartments, villas, townhouses, and older homes in Calpe fall into this category.
New-build homes follow a different tax system. Instead of ITP, new builds are normally subject to 10% VAT plus AJD, which is stamp duty. In the Valencian Community, the general AJD rate is now 1.4%.
So the first question is simple:
Are you buying a resale property or a new build?
If it is resale, you are looking at ITP.
If it is new build, you are usually looking at VAT plus AJD.
That distinction affects your buying costs from the start.
How Much Is ITP in Calpe?
For most resale property purchases in Calpe and the Valencian Community, the general ITP rate is now 9%.
That rate applies to completions from 1 June 2026 onwards. Before that date, the general rate was 10%, so the change makes a real difference. On a €500,000 purchase, the reduction saves €5,000 in tax.
For properties with a taxable value over €1,000,000, the ITP rate is 11%.
As a simple guide:
- Most resale purchases: 9% ITP
- Properties with a taxable value over €1,000,000: 11% ITP
- New builds: 10% VAT plus 1.4% AJD, not ITP
There are some reduced rates for specific buyer situations, but most international buyers purchasing a second home, holiday home, or relocation property in Calpe should budget around the general rate unless their lawyer confirms otherwise.
Why the Valencian Community Matters
One mistake buyers often make is searching for “property transfer tax Spain” and assuming the answer applies everywhere.
It does not.
ITP is a regional tax. The national framework exists, but each autonomous community sets its own rates and certain conditions. That is why advice written for Andalucía or Madrid can be wrong for a buyer in Calpe.
Calpe is in the province of Alicante, inside the Valencian Community. The same regional tax rules apply across nearby areas such as Moraira, Benissa, Altea, Jávea, Dénia, and the wider Costa Blanca North.
So when working out your buying costs, do not rely on a generic Spain-wide figure. Use the Valencian Community rate.
The Cadastral Reference Value
This is the part that catches buyers out.
Many people assume ITP is simply calculated on the price agreed with the seller. Most of time it is. But not always.
Spain’s Catastro publishes a reference value for many properties, known as the valor de referencia catastral. For tax purposes, the taxable base is usually the higher of:
- the purchase price stated in the deed, or
- the cadastral reference value
That means if you agree to buy a property for €400,000, but the cadastral reference value is €430,000, your ITP may be calculated on €430,000 instead of €400,000.
That is a very different bill.
The cadastral reference value is not the same as the older cadastral value, or valor catastral, which appears on the IBI bill. The older cadastral value is often much lower than the market price and is mainly used for local tax purposes.
The reference value is different. It was introduced more recently and is intended to be closer to market levels.
This distinction matters because buyers sometimes see a low cadastral value on the IBI receipt and assume their purchase tax will be based on something similar. It usually will not be.
Your lawyer can check the cadastral reference value before you complete. Ideally, you want this checked before signing the reservation contract, or at least before committing fully to the purchase. If the reference value is much higher than the agreed price, it can change your budget.
If no reference value is published for the property, your lawyer will apply the relevant tax rules to calculate the correct taxable base.
A Simple Example
Say you buy a resale apartment in Calpe for €400,000.
The cadastral reference value is €380,000.
Because the agreed purchase price is higher, ITP is calculated on €400,000.
At the current 9% rate, the ITP would be:
€400,000 x 9% = €36,000
Before the 2026 reduction, the same purchase would usually have been taxed at 10%, meaning €40,000. So on this example, the new rate saves €4,000.
Now imagine the cadastral reference value is €430,000 instead.
Even though you agreed €400,000 with the seller, the taxable base may become €430,000.
At 9%, the ITP would be:
€430,000 x 9% = €38,700
That is €2,700 more than if the tax had been calculated only on the agreed price.
This is why the reference value should be checked early. It is not paperwork for the end of the process. It is part of understanding the true cost of the property.
How ITP Fits Into the Total Cost of Buying
ITP is the largest single cost on top of the purchase price, but it is not the only one.
For a resale purchase in the Valencian Community, you should also budget for:
- notary fees
- land registry fees
- lawyer’s fees
- bank valuation fees, if using a mortgage
- possible bank arrangement or mortgage-related costs
As a rough working figure, many buyers should budget around 11% to 13% on top of the agreed purchase price for a resale property.
That does not mean every purchase lands at exactly the same percentage. A cash buyer purchasing a straightforward resale apartment will usually have a simpler cost picture than someone taking a mortgage on a more complex property. But as a planning figure, 11% to 13% is a sensible range.
On a €400,000 resale apartment, that means setting aside roughly €44,000 to €52,000 for taxes and purchase costs combined.
ITP makes up most of that. The notary and land registry are regulated costs and are usually much smaller. Lawyer’s fees are commonly around 1% plus VAT, though every firm sets its own fee structure.
The important point is this: do not only budget for the property price. The purchase price is not the final amount you need.
Who Pays ITP?
The buyer pays ITP.
On a resale property purchase, ITP is the buyer’s responsibility. The seller has their own taxes and costs, but the transfer tax belongs to the person acquiring the property.
Foreign buyers sometimes assume closing costs are split between buyer and seller. In Spain, that is not how it works.
The buyer pays the purchase tax, notary, registry, and their own lawyer. The seller deals with their side, including any capital gains tax and other seller-related obligations.
When Is ITP Paid?
ITP is filed using Form 600 through the Valencian Community’s regional tax system.
The deadline is one month from the date the purchase deed is signed.
In practice, your lawyer will usually handle this for you. They will calculate the taxable base, prepare the filing, arrange payment, and make sure everything is submitted correctly.
Even so, it is worth asking your lawyer to confirm three things before completion:
- what taxable base they are using
- which ITP rate applies
- when the tax will be filed and paid
This is not because you need to do their job for them. It is because ITP is a large cost, and you should know exactly what number is being used before you complete.
Late filing can lead to interest and additional charges, so the deadline matters.
What Buyers Should Check Before Signing
Before you commit to a resale purchase in Calpe, ask your lawyer to check:
- Whether the property is resale or new build for tax purposes.
- The current ITP rate that applies to your purchase.
- Whether the 11% rate is relevant because of the property value.
- The cadastral reference value.
- Whether the reference value is higher than the agreed price.
- Your estimated total buying costs, not just the tax.
- The filing deadline after completion.
This gives you a cleaner view of the true cost before you are too far into the purchase.
The tax itself is not difficult once you understand it. The danger is assuming the wrong rate, using the wrong taxable base, or only budgeting for the agreed purchase price.
Frequently Asked Questions
Do foreign buyers pay ITP in Spain?
Yes. Nationality does not remove the tax. If you buy a resale property in Spain, you normally pay ITP as the buyer.
How much is ITP in Calpe?
For most resale property purchases in Calpe and the Valencian Community, the general ITP rate is now 9%. For higher-value purchases above €1,000,000, the rate can be 11%.
Is ITP paid on new-build homes?
No. New builds are usually subject to 10% VAT plus AJD instead of ITP. In the Valencian Community, the general AJD rate is now 1.4%.
Is ITP calculated on the purchase price?
Often, yes, but not always. If the cadastral reference value is higher than the agreed purchase price, the tax may be calculated on the higher reference value instead.
What is the cadastral reference value?
It is a value published by Spain’s Catastro for many properties. It is used for certain tax calculations and is different from the older cadastral value shown on the IBI bill.
When do you pay ITP?
ITP must be filed and paid within one month of the deed being signed. This is done using Form 600 through the Valencian Community’s regional tax system.
Who files ITP?
Your lawyer normally handles the filing and payment for you as part of the purchase process.
What are the total buying costs on a resale property in Calpe?
As a rough guide, budget around 11% to 13% on top of the agreed purchase price. ITP is the largest part, with notary, land registry, lawyer’s fees, and any mortgage-related costs making up the rest.
Buying in Calpe or the Costa Blanca North?
ITP is one of the biggest costs on top of the purchase price, and getting the calculation right early makes the rest of the process much clearer.
If you are planning to buy in Calpe, Moraira, Benissa, Altea, or the wider Costa Blanca North, tell us what you are looking for and Sina will come back to you personally.
We can also point you towards trusted local lawyers who deal with the tax, filing, and purchase paperwork, so you know what you are paying before you reach the notary.
Sina
Founder of Solinea Real Estate, based in Calpe. Sina helps buyers and sellers across the Costa Blanca North with honest, local guidance.
