ITP and AJD reduced in the Comunitat Valenciana from June 2026: what does this mean for real estate buyers?

01.06.2026

As of June 1, 2026, the Generalitat Valenciana is implementing important tax reductions on property purchases. This reform mainly affects buyers of resale properties (ITP) and notarial costs (AJD). The measure makes real estate in regions such as the Costa Blanca, Alicante, and the city of Valencia slightly more financially accessible for buyers.

What are ITP and AJD?

When purchasing property in Spain, you usually deal with two key taxes:

ITP (Property Transfer Tax): This is the transfer tax paid when buying a resale property.
AJD (Stamp Duty on Legal Documents): This is a tax applied to official legal documents, such as deeds of sale and mortgages.

These two taxes represent a significant portion of the additional costs when buying a property.

Main change: ITP reduced from 10% to 9%

The most important change is the reduction of the transfer tax (ITP):

Current rate: 10%
New rate from June 1, 2026: 9%

This applies to most standard purchases of resale properties in the region.

What does this mean in practice?

For a property priced at €300,000:

Old situation (10%): €30,000 tax
New situation (9%): €27,000 tax
Saving: €3,000

This reduction makes mid-range properties more financially attractive for both Spanish and foreign buyers.

Important exception

For higher-value properties, a higher tax rate remains:

Properties above €1,000,000 are still taxed at 11%

AJD also reduced: from 1.5% to 1.4%
In addition to ITP, the stamp duty (AJD) is also reduced:

Current rate: 1.5%
New rate: 1.4%

This applies to the standard category of legal documents (such as deeds of sale).

What remains unchanged?

Some specific rates remain the same, such as:

2% AJD on mortgages
Certain special regimes (e.g. specific tax exemptions or protected situations)

Why is the region implementing this reduction?

The reduction of ITP and AJD is part of a broader policy by the regional government to:

Make the housing market more accessible
Stimulate property transactions
Keep the region attractive for foreign investors
Reduce transaction costs when buying property

Especially in popular coastal areas such as the Costa Blanca, this may further stimulate demand.

Who benefits most from this?

This change is particularly relevant for:

Foreign buyers (e.g. from the Netherlands, Belgium, Germany)
Second-home investors
Buyers of resale properties
People planning a purchase in 2026 or later

Key considerations

Although the reduction is positive, some points remain important:

Total purchase costs remain significant due to notary and registration fees
Rates may vary depending on the type of property and situation
Timing of the purchase (before or after June 1, 2026) can make a difference of thousands of euros
New tax rules may include additional local adjustments

Conclusion

The reduction of ITP (10% → 9%) and AJD (1.5% → 1.4%) from June 2026 is a clear but moderate fiscal stimulus for the real estate market in the Valencian Community.

For buyers, it can represent savings of several thousand euros, especially for properties in the mid- to higher segment.