Updated October 2026 | By Keith Spitalnick, Founder & Director | Target Property Spain
Over the years, buyers have left us hundreds of comments across YouTube, Facebook and Instagram. The same questions kept coming up, so we counted them and answered the most frequent ones: no sales pitch, and no dodging the awkward ones.
This guide gives you the answers in written form. It covers buying costs in Spain, the Costa del Sol property market, non-resident mortgages, estate agent commission, squatters, and how much property costs in Mijas Costa.
In this guide:
- What do I pay on top of the purchase price?
- Is the Costa del Sol property market about to crash?
- How do I hear about new listings early?
- Is Spain bringing in a 100% tax for non-EU buyers?
- Can a foreigner get a Spanish mortgage?
- Do I need an estate agent, and who pays commission?
- Should I be worried about squatters?
- How much does property cost in Mijas Costa?
1. What Do I Pay on Top of the Purchase Price When Buying Property in Spain?
This was the number one question in our comments, and the answer depends on whether you’re buying a resale (second-hand) property or a new-build (off-plan) property.
Resale property: budget around 10%
- Transfer tax (ITP): currently 7% in Andalucía, which makes up the bulk of the total. A further reduction of a quarter of a percent has been signalled.
- Legal fees
- Land registry costs
- Notary fees
Allow 10% on top of the purchase price. You should end up with a little change left over.
New-build property: slightly more
- No transfer tax. It is replaced by VAT, currently 10%.
- Stamp duty (AJD): 1.2%
- Legal fees, notary fees and land registry costs
If you’re taking out a mortgage
Whether the property is resale or new, add another 2% or so for mortgage setup, valuation fees and related costs.
Quick summary: Resale ≈ 10% | New-build ≈ 10% VAT + 1.2% stamp duty + fees | Mortgage ≈ +2%
2. Is the Costa del Sol Property Market About to Crash?
In our opinion, no. The last crash was in 2007, and the dynamics were very different. Banks were over-lending then, with loose conditions. That has completely changed.
The market is normalising rather than crashing. A few years ago we saw a frenzy of activity, with multiple buyers bidding on the same property. That has eased, which is good news for buyers:
- You have time for a second viewing
- You can instruct a survey
- You’re no longer forced into rushed decisions
The dynamics don’t support a crash, but the flurry of activity has definitely cooled.
3. The Property I Enquired About Is Already Reserved. How Do I Hear About New Listings Early?
Use a property alert service. At Target Property Spain, you submit your details and tell us what you’re looking for. The service covers every agency on the Costa del Sol, and we send matching properties the same day they hit the market.
[Set up your free property alert →]
4. Is Spain Really Bringing In a 100% Tax for Non-EU Buyers?
The short answer is no. The proposal was floated by Prime Minister Pedro Sánchez in 2025 but stalled in Congress. In our view it was more of a headline-grabbing exercise than something likely to become reality. “Never” is a long time, but we expect it would face a hard job getting through the courts.
5. Can I Get a Spanish Mortgage as a Foreigner?
Yes. Spanish banks lend to non-residents and are keen to do so, as long as your affordability stacks up.
As a non-resident, expect a loan-to-value (LTV) of around 60%. That means you need:
- 40% deposit in liquid funds, plus
- buying costs (around 10%)
In practice you’ll need just over 50% of the property value in liquid funds, and the bank finances the rest.
6. Should I Use an Estate Agent, and What Does the Commission Pay For?
As a buyer, you don’t pay commission. In Spain it is paid by the vendor.
Do you need an agent? Absolutely. The Spanish property market works very differently from most other countries. A local agent who understands the purchase process can give you honest advice and make sure you’re buying a good product in a good area, with no surprises later. That matters when you’re looking at glossy developer brochures.
You only need one agent. Established Spanish agents pool their stock, so every agent has access to the whole market. Find one who understands what will and won’t work for you, and let them handle the viewings and the process with a single point of contact.
7. Should I Be Worried About Squatters in Spain?
Squatters have hit the headlines, and recent legal reforms have made eviction easier than before. A squatter is someone who occupies a property illegally, which is very different from a tenant who entered on a contract and then stopped paying.
Sensible precautions:
- Install an alarm
- Buy in an established, gated, secure community
- Arrange regular checks when you’re away
8. How Much Money Do I Need to Buy Property in Mijas Costa?
It depends on the area and on how close you are to the beach. You pay a premium near the sea and get more for your money further up the hillside. These are ballpark figures:
| Property type | Area | Typical starting price |
|---|---|---|
| 2-bed, 2-bath apartment (sea view, decent terrace) | Calahonda | ~€300,000 |
| Apartment | La Cala de Mijas | €500,000+ |
| 3-bed townhouse | Calahonda | €450,000+ |
| Townhouse | La Cala de Mijas | €650,000+ |
| 3-bed detached villa with pool | Riviera del Sol | ~€750,000 |
| Detached villa | La Cala de Mijas | Close to €1,000,000 |
Prices are indicative and vary by location, condition and view.
[Browse properties for sale in Mijas Costa →]
Frequently Asked Questions
How much are buying costs in Spain?
About 10% on top of the price for resale properties. New-builds carry 10% VAT plus 1.2% stamp duty plus fees. Add about 2% if you take a mortgage.
What is the transfer tax in Andalucía?
Currently 7% on resale properties.
Can non-residents get a mortgage in Spain?
Yes, typically up to around 60% LTV.
Do buyers pay estate agent commission in Spain?
No. The vendor pays it.
Is the Costa del Sol property market crashing?
No. It is normalising after a period of intense buyer demand.
Talk to Target Property Spain
Thinking of buying or selling on the Costa del Sol? Get an honest answer for your situation, not just the general one. [Contact us →]
Got a burning question we didn’t cover? Leave it in the video comments. The best ones often become the next episode.