Home ownership costs in Spain

Costs of owning a house in Spain

In general, when compared to other countries, it is very inexpensive to own property in Spain. There are 2 costs to consider:

  • The annual property tax, which is known as “IBI”. This tax is generally between 400 to 2,000 euros per year depending on the size of the house and the size of the plot.

  • Since a great amount of the villas and plots we have for sale are located on private urbanisations, there are annual community fees ranging from approx. 600 to 1,500 euros per year. The amount depends on the size of the plot and the amount of water consumed. The fees pay for the maintenance of the streets, the communal recreational area and the green zones. The rubbish collection and water supply are sometimes also included in these fees.

If you have a mortgage on your Spanish home, then at least for the first year of the mortgage, the banks will require that you have a fire insurance. You may also want to take out a comprehensive household insurance, but this is optional.