Selling Property in Spain as a Non-Resident – 2026 Guide
Spain remains a highly attractive market for international investors. Selling property as a non-resident requires a clear understanding of Spanish tax law, local regulations, and strategic planning to maximize returns and minimize risks.
Why Spain is Strategic for Non-Resident Sellers
Spain offers a stable economy, transparent property market, and strong legal framework. Key urban hubs like Madrid and Barcelona attract high-net-worth individuals seeking capital preservation, rental income, or long-term appreciation.
Legal and Tax Considerations for Non-Residents
Before selling, non-residents must consider the following:
1. Non-Resident Capital Gains Tax (IRNR)
All non-residents are subject to a 19% flat tax on capital gains from property sales, regardless of EU or non-EU status. This applies to the difference between the sale price and the acquisition cost, minus allowable expenses.
2. 3% Withholding Tax
Buyers of Spanish property from non-residents must withhold 3% of the sale price (Modelo 211) as a prepayment towards the seller’s capital gains tax. Sellers can later file a tax return (Modelo 210) to reconcile the actual tax due, potentially claiming a refund if the withholding exceeds the 19% CGT liability.
3. Plusvalía Municipal
Municipal capital gains tax (IIVTNU) applies to the increase in land value. Important: If the property is sold at a loss (price lower than acquisition), recent Constitutional Court rulings (2026) confirm that the tax is zero when documented with purchase and sale deeds.
4. Documentation Required
- Title Deed (Escritura de Compraventa)
- Certificate of Non-Infringement (Certificado de No Infracción)
- European Economic Area (EEA) Compliance Certificates if applicable
- Tax Identification Number (NIE)
- Proof of Expenses for CGT deductions
Taxes and Costs Summary
| Item | Applicable Rate / Notes |
|---|---|
| Capital Gains Tax (IRNR) | 19% for all non-residents |
| 3% Withholding Tax | Paid by buyer, reconciled via Modelo 210 |
| Plusvalía Municipal | 0% if property sold at a loss |
| Notary, Registration & Legal Fees | Approximately 2-3% of sale price |
Key Strategic Tips
- Engage a local legal and tax advisor to ensure compliance.
- Verify all property and municipal records to avoid hidden liabilities.
- File Modelo 210 promptly to reclaim any excess 3% withholding.
- Plan transactions in advance to align with international tax obligations.
Professional Insight
Working with expert advisors ensures the transaction is safe, compliant, and optimized for liquidity. Highlighting potential Plusvalía savings for properties sold at a loss can be a strong negotiation point.