Andalusia 2026. Reduced Transfer Tax Rate 2% for real estate resale limited to €500,000 and 2 years

From 1 January 2026, the reduced rate of 2% for transfer tax or Real Estates located in Andalusia will only apply to properties of up to €500,000 including annexes and garages and the 5-year term will be reduced to 2 years. The €500,000 does not apply to the portion that is transferred, but to 100% of the value of the freehold ownership.

If you do not fulfil requirements:

1. 1. 1. 1. real estate price for less than 500.00 €
         2. and time for resale less than 2 years,

then you will pay the standard transfer tax at 7% in Andalucia.

Amendment of Law 5/2021, of 20 October, on Taxes of the Autonomous Community of Andalusia. In the Tenth final provision of the Andalusian Budget Law 2026, it is modified in the following terms:

SEVEN. Article 44, relating to the tax on property transfers and documented legal acts, is amended to read as follows:

‘Article 44. Reduced tax rate for the acquisition of homes to resale by real estate professionals.

1. In the modality of onerous property transfers of the tax on property transfers and documented legal acts, the tax rate of 2% will be applied to the acquisition of a home together with its annexes, where appropriate, by a natural or legal person who carries out a business activity to which the Standards for the Adaptation of the General Accounting Plan are applicable to Real Estate Companies, provided that the following requirements are met:
   • a) That the main activity of the purchaser is the construction of buildings, real estate development or the sale and lease of real estate on its own account. For these purposes, this requirement will be understood to be met when the purchaser is registered in Group 833, heading 833.2 (Building development) or in group 861, heading 861.1 (Rental of housing) of the tax on economic activities on the date of the transfer.
   • b) That the acquisition is formalised in a public document in which the purchaser states his intention to incorporate the property and, where appropriate, its annexes, into his current assets for the purpose of selling them. This statement must be expressly stated in the notarial public document and, in the case of an administrative or judicial public document, by means of a responsible declaration that must be submitted together with the self-assessment.
   • c) That the value of the property acquired, together with that of its annexes, if applicable, is not greater than 500,000 euros.
   • d) That the acquired dwelling and, where appropriate, its annexes, are transferred by means of a purchase and sale formalised in a public deed in accordance with the following rules:
     1. That the public deed of sale is formalised within two years of the acquisition of the dwelling and, where appropriate, its annexes, with delivery of possession of the same.
     2. That this transfer is subject to and not exempt from the modality of onerous property transfers of the tax on property transfers and documented legal acts.
2. For the purposes of the provisions of the previous section, the value will be that established in Article 10 of the revised text of the Law on Transfer Tax and Documented Legal Acts, approved by Royal Legislative Decree 1/1993, of 24 September, corresponding to 100% of the full ownership of the property and, where appropriate, of the rest of the properties that are acquired together with it.
3. In those cases in which a dwelling is acquired together with one or two parking spaces or other annexes, and provided that the rest of the requirements are met, the reduced tax rate shall be applied provided that the sum of the value of the dwelling and the other elements acquired together with it does not exceed the limit referred to in paragraph 1.c) of this article.’