Buying Property on Mallorca: Purchase Costs 2026 at a Glance

When buying property on Mallorca, the purchase price is only half the story. On top of the agreed sum come 10 to 14 percent in purchase costs, which many buyers underestimate when arranging their financing. This post shows you which property purchase costs really apply on Mallorca in 2026: from the ITP transfer tax through notary and land registry to the gestoria. At the end you will find a concrete worked example to plan your budget realistically.

Purchase costs are all the costs that come on top of the pure purchase price of a property: taxes, notary fees, registration in the land registry and the handling by a gestoria or lawyer. They are required by law and cannot be spread over later years in Spain; they fall due around the notary appointment.

What Counts as Purchase Costs

Spain has no single nationwide transfer tax; the most important tax is set regionally and depends on whether you buy a resale property or a new build from a developer. In general, property purchase costs on Mallorca are made up of these items:

• ITP transfer tax (for resale properties) or IVA plus AJD (for new builds)
• Notary fees for notarising the Escritura
• Registration with the land registry (Registro de la Propiedad)
• Gestoria or lawyer for taxes, checks and handling
• Optional: agent commission, unless the seller covers it

How the purchase works in detail is explained in our guide to buying property on Mallorca. This post is about the costs.

ITP: The Transfer Tax in the Balearics

The Impuesto sobre Transmisiones Patrimoniales (ITP) is the central tax when buying a resale property. In the Balearics it is tiered by purchase price in 2026 and ranges from 8 to 13 percent. Each rate applies to the portion of the price that falls into that band.

Portion of purchase price	ITP rate 2026
up to 400,000 EUR	8%
400,000 to 600,000 EUR	9%
600,000 to 1,000,000 EUR	10%
above 1,000,000 EUR	11 to 13%

There are reductions for a primary residence you live in yourself (vivienda habitual). If the value is below 270,151.20 EUR, the rate drops to 4 percent. Buyers under 30 purchasing their first main home who have been registered in the Balearics for the past three years may qualify for a 100 percent exemption. You will find the exact bands and conditions at the Balearic tax agency ATIB.

New Builds: IVA and AJD Instead of ITP

If you buy a new build directly from the developer (first sale), no ITP applies. Instead you pay the IVA value added tax plus the AJD stamp duty:

• IVA: 10 percent of the purchase price for residential property
• AJD (Actos Jurídicos Documentados): 1.5 percent in the Balearics

In total, the pure taxes on a new build come to 11.5 percent, often slightly more than for a resale apartment in the lower price bands. Notary, land registry and gestoria come on top, just as with a resale purchase.

Notary, Land Registry and Gestoria

These items apply whether you buy resale or new. Notary and land registry fees are regulated by the state in Spain and decrease as a percentage as the purchase price rises.

• Notary (Notaría): around 0.5 to 1 percent of the purchase price for the notarisation
• Land registry (Registro de la Propiedad): around 0.5 percent for the registration
• Gestoria or lawyer: for the tax filings, land registry checks and handling, usually one to two percent or a flat fee

A gestoria works with the notary, pays the taxes due, submits the documents to the land registry and makes sure the transfer goes through cleanly. Especially with a language barrier or when buying from abroad, an independent legal review is a good idea. More on this in our guide to finding a lawyer for the purchase.

Worked Example for 2026

Take a resale apartment in Palma for 350,000 EUR. The purchase price sits entirely in the first ITP band, so 8 percent applies. The calculation looks like this:

In this example the purchase costs come to just under 9.8 percent. If you buy in a higher price band or a new build, the share moves closer to 12 to 14 percent. Run the numbers for your own scenario before you make an offer.

How much should I budget for purchase costs when buying a house on Mallorca? Calculate 10 to 14 percent of the purchase price. The biggest item is the ITP transfer tax at 8 to 13 percent, plus notary, land registry and gestoria at around 2 to 3 percent combined.

You will find the official rates and forms directly at the responsible authorities:

Conclusion

Purchase costs on Mallorca are not a small surcharge but a fixed budget item of 10 to 14 percent. The lion's share goes to the ITP transfer tax, which in the Balearics is tiered between 8 and 13 percent in 2026. For new builds, 10 percent IVA and 1.5 percent AJD replace the ITP. Budget notary, land registry and gestoria on top, and check the official reference value before you sign. If you factor in the purchase costs from the start, there are no nasty surprises at the notary. For the running costs after the purchase, see our post on the IBI property tax on Mallorca.