As we’ve discussed in previous articles, buying a home is one of the most important decisions in anyone’s life, impacting both their personal and financial well-being.

In the Valencian Community, as in the rest of Spain, this process involves a series of costs in addition to the purchase price, with property taxes being one of the key aspects to consider due to their significant impact.

Understanding which taxes apply and how they affect the final price of the property is essential for properly planning the transaction and, above all, for avoiding unpleasant surprises that could hinder the purchase.

In this blog, we will analyze in detail the main taxes that affect the purchase of a home in the Valencian Community, as well as other related expenses, and offer practical recommendations (winnortips) for buyers.

The starting point: Purchase price

The price of properties advertised on real estate portals or by real estate agencies is just the beginning of the process.

In the Valencian Community at the beginning of 2026, the average housing price was around €1,980/m², consolidating a trend of sustained growth in the region. This value ranges between €1,400 and €2,400, depending mainly on the location and condition of the property.

Winnortip: Knowing the area where the property is located, its condition, and the competition from similar properties both in the same area and in similar areas is essential to establishing a market price for the property.

Taxes levied on the purchase transaction in 2026: 

Taxes when buying a home depend mainly on whether the property is new construction (the property is bought directly from the developer) or resale (the property is usually bought from a private individual and represents the majority of real estate transactions).

In the first case, the tax levied on the purchase is VAT, and in the second, the tax paid by the buyer is ITP.

VAT (Value Added Tax)

If the property being purchased is newly built, the buyer pays VAT. This applies in the Valencian Community, as throughout Spain. This tax is paid directly to the seller, usually the developer or construction company, and is itemized on their invoice.

The tax rate applied to the purchase price will be:

General rate: 10%.

Officially protected housing (VPO): 4%.

Property Transfer Tax (ITP)

If the property being purchased is resale, the buyer pays ITP. If both the buyer and seller are individuals residing in Spain, the buyer self-assesses the tax with the Regional Ministry of Economy, Finance and Public Administration by submitting and paying form 600.

The tax rate applied to the purchase price will be:

• General rate: The general ITP tax rate in the Valencian Community is 10%.
• Reduced rates: Reduced rates are available for certain groups. For example, those under 35 who are buying their first home can benefit from a reduced rate of 8%. There are also reductions for large and single-parent families, people with disabilities, and subsidized housing.

Note: Property Transfer Tax (ITP) is a tax ceded to the Autonomous Communities; the percentages and conditions may change each year due to regional legislative changes. It is important to consult the regulations in force at the time of purchase.

Stamp Duty (AJD). The unexpected tax.

This tax is paid for the deed of purchase of a property at the notary’s office and its registration in the Property Registry. In the Valencian Community, the general Stamp Duty rate for the purchase of newly built homes is 1.5% of the value.

Winnortip: Taxation can be complex depending on the type of property being sold and the circumstances of the parties involved, such as whether one of the parties is a company or a non-resident. It is very important to know the specific tax implications of the property purchase before signing a preliminary sales agreement.

Other expenses to consider: 

A number of professionals are involved in the purchase of a home, and their fees must be taken into account when calculating the total cost and determining whether the purchase is within your budget.

• A real estate agency will handle the negotiation, drafting of the preliminary sales agreement, coordination of the other professionals involved, and preparation of the transaction.
• If a mortgage is required, the bank will need a property appraisal to assess its viability.
• If the property lacks an energy efficiency certificate, a qualified technician will need to obtain one.
• A notary will formalize the property purchase, and the Land Registry will register the transaction and new ownership.
• A tax advisor or manager will handle all the paperwork and tax payments.

Winnortip: Keep in mind that taxes and expenses associated with buying a home can represent an average additional cost of 15% of the price (up to 20% if a mortgage is taken out). Run a simulation of the transaction, estimating all expenses, before signing a preliminary sales agreement.

Buying a house involves spending much more than the sale price. Taxes and professional fees can significantly increase the final cost of the purchase. Do you want us to help you plan the purchase of your future home? At Winnor, we are real estate experts and have the keys to avoid surprises and help you make the right decision.

History and Origins of Valencia

Valencia was founded on the shores of the Mediterranean as a Roman colony in 138 BC. The Romans named it “Valentia”, meaning courage or strength, due to the resistance to conquest shown by the Iberian people who inhabited it. However, this meaning has little to do with the affectionate nickname given to it by its natives: ‘La Terreta’, which is the diminutive of land in Valencian (terra). Telling someone that you are from ‘La Terreta’ is the way Valencians recognise their origins and reflect the pride they feel for their city and its traditions.

Valencia has a long history behind it. Over the centuries, the city has welcomed different peoples and cultures that have shaped the city it is today, giving it its own culture and way of understanding life on the shores of the Mediterranean Sea.

Historical heritage of the city

Strolling through Valencia is like discovering a thousand years of history reflected in its streets, squares and monuments. Visigoths, Muslims and Christians have all left their mark on the historic centre of the city, known as Ciutat Vella (the old city).

Landmark monuments

Here we find some of the city’s architectural gems, such as its cathedral, where according to tradition the Holy Grail is kept, and the Miguelete Tower, which can be climbed via a narrow spiral staircase offering the best reward: a 360º panoramic view of the entire city.

Commercial splendor

The commercial splendor of 15th-century medieval Valencia is evident in the Silk Exchange (Lonja de la Seda), a UNESCO World Heritage Site, recognized for its architectural value and its symbolism of the Mediterranean’s commercial power. The Silk Exchange is located opposite the city’s Central Market, a building of iron, glass, and ceramics that is a prime example of Valencian Modernism and a must-see for tourists visiting the city. The Central Market houses nearly 400 stalls selling top-quality, locally sourced fresh produce and is one of the largest markets in Europe.

Historic Neighborhoods

Within the historic center lies the oldest neighborhood in the city, El Carmen. Exploring it is to immerse yourself in an atmosphere where the old and the new coexist harmoniously, amidst urban art murals, charming cafes, and historic palaces.

Ruzafa Neighborhood

Visiting the first neighborhood is to delve into the bohemian and creative heart of the city. Ruzafa, known as the “Valencian Soho” or the hipster neighborhood, is the epicenter of avant-garde art and international gastronomy in the city.

El Cabañal Neighborhood

Exploring the second neighborhood is to discover Valencia’s old fishing quarter, now one of the city’s most dynamic and distinctive districts. El Cabañal is known for its houses in a popular modernist style, with facades covered in colorful Valencian tiles and ceramics.

Valencia today: tradition and modernity

Today, Valencia is a city that embodies the perfect balance between tradition and modernity. With over 800,000 inhabitants, it has become the third largest city in Spain and an essential destination for those seeking quality of life, sunshine, and culture.

City of Arts and Sciences

The greatest symbol of Valencian modernity is the City of Arts and Sciences.

Comprising six buildings of great architectural and cultural value, this complex has become a global icon and one of Spain’s most important tourist destinations.

Furthermore, the City of Arts and Sciences is the start and finish line of the Valencia Marathon, established as one of the best races in the world. For the city, the marathon is much more than a race; it is the event that has solidified its identity as the “City of Running” worldwide.

Green Spaces: Turia Gardens

Another defining feature of the city is the Turia Gardens, a vast urban park that occupies the former riverbed of the Turia River, stretching across the city from one end to the other. This green space, over 9 kilometers long, is where Valencians play sports or simply enjoy nature in the heart of the city.

Beaches and the Mediterranean

All this without forgetting that Valencia is a city on the shores of the Mediterranean. The city boasts urban beaches with fine sand and calm waters, bordered by a wide promenade that offers a diverse range of restaurants and hotels.

Gastronomy and traditions

And speaking of gastronomy, Valencia also captivates with its cuisine. The Mediterranean diet, renowned worldwide for its health benefits, is its cornerstone. Based on fresh produce, fruits, vegetables from its fertile lands, fish, and olive oil, Valencia is a city where food is enjoyed, including the world-famous Paella.

No one doubts that Valencia is a vibrant city, especially when you consider its unique way of celebrating: Fallas. Every March, the city transforms to host some 800 monuments created by artists in their workshops, destined to be burned at the end of the festivities. Tradition, costumes, art, music, fire, and gunpowder… Fallas is an explosion of light and color, declared an Intangible Cultural Heritage of Humanity by UNESCO.

Nightlife, Culture, and Leisure

Throughout the year, Valencia boasts a vibrant nightlife, with bars, terraces, and nightclubs to suit all tastes. From venues with live music to alternative spaces, the city caters to the nightlife of university students and the afternoon revelry of those who were students years ago. For culture lovers, Valencia offers museums such as the IVAM (Valencian Institute of Modern Art), the Museum of Fine Arts, and the Palau de la Música, in addition to a wide range of theater and festival programs throughout the year.

Valencia: A Unique Place to Live

In recent decades, Valencia has undergone remarkable modernization and has established itself as a global city, welcoming a diverse international community. Many digital nomads choose Valencia for its quality of life, its relatively affordable cost of living compared to other European cities, and its cosmopolitan atmosphere. The technology and innovation sector has grown, with coworking spaces and startups attracting talent from around the world.

We can say that the cost of living in Valencia is reasonable, allowing you to enjoy a good home without the exorbitant prices of other major Spanish and European cities. Valencia offers a variety of accommodation options: modern urban apartments, stately homes in historic neighborhoods, and villas in residential areas very close to the city. At Winnor, we can help you find the perfect option to suit your needs.

With its Mediterranean climate, welcoming people, and vibrant urban life, Valencia is a unique place to live. Would you like to explore it? Let us help you find the perfect home in Valencia. Contact us.