What is the cheapest country in Europe to buy property in terms of taxes?

Bulgaria and Romania consistently sit at the low end. Total purchase costs typically run 4% to 6% of the price in Bulgaria and 3% to 5% in Romania, versus 10% to 15% in Spain, Italy or France.

Do I pay VAT or transfer tax?

New-build property usually carries VAT. Resale property usually carries transfer tax. The two are mutually exclusive on the same transaction. VAT rates are higher (20% to 24%) but often partially recoverable; transfer tax (2% to 10%) is not.

Are notary fees negotiable?

Mostly no. Notary fees are set by national tariff in France, Italy, Spain and Greece. Lawyer fees are negotiable and run 1% to 1.5% of the price.

Do EU citizens pay lower taxes than non-EU citizens?

Generally no on transactional taxes, they apply equally. But on capital gains, non-EU sellers face withholding (3% in Spain) and sometimes higher headline rates. Several countries also offer EU-only primary-residence reductions.

How much is the agent commission?

Typically 3% to 6% of the price across Europe, often split between buyer and seller. In Bulgaria and Romania the buyer commonly pays a 2.5% to 3% buyer-side fee. In Spain the seller usually pays the full 3% to 5%.

What is wealth tax and where do I pay it?

A recurring tax on net assets above a threshold. Spain (regional, 0.2% to 3.5% above EUR 700,000), France (real-estate-only IFI above EUR 1.3 million) and Norway (non-EU) operate it in 2026. Italy charges a flat 0.76% IVIE on foreign property held by Italian residents.

Can I deduct mortgage interest from rental income for tax?

Yes in most EU markets, often with caveats. Spain allows it for EU residents but caps deductions for non-EU sellers. Italy's flat-tax cedolare secca regime disallows expenses but charges only 21%.

Do double-tax treaties help?

Yes, they prevent paying full tax twice on the same income. Almost every European country has treaties with the UK, US, Germany and France. Check the specific treaty before buying, as some allow only a credit, not an exemption.

Property taxes and fees in Europe (2026 country comparison)

2026 comparison of European property taxes, purchase costs, annual taxes, capital gains. List for free on immio when you sell.

The headline price of a European property tells you less than half the story. Add purchase taxes, notary fees, agent commissions, lawyer costs and the various running taxes and an apparent bargain in Spain or Italy can end up costing 12% to 15% more than the asking figure, while a similar-looking flat in Bulgaria might add only 5%. This guide lays out the realistic 2026 cost stack across eight European markets, covering what you pay at purchase, every year you own, and again when you sell.

What you actually pay when you buy

Every European purchase has a stack of transactional costs. They fall into five buckets.

The first is the transfer tax or VAT. On used homes, you pay a transfer tax, Spain calls it ITP, Italy imposta di registro, Greece foros metavivasis. Rates run 2% to 10%. On new-build property, you typically pay VAT instead, 20% to 24% in most markets, with a reduced rate for primary residences in some countries. You generally never pay both on the same transaction.

The second is notary fees. Continental Europe runs a civil-law notary system: every property transfer must pass through a state-appointed notary who authenticates the deed. Tariffs are fixed by law and scale with the price. On a EUR 200,000 home, expect EUR 600 to EUR 2,500 depending on country.

The third is registration. The land registry charges a fee, often 0.5% to 1% of the price, to record the new owner. In some markets this is bundled into the notary's stamp duty.

The fourth is agent commission. This is more variable than people realise. In Spain the seller usually pays 3% to 5% and it is baked into the asking price. In Bulgaria and Romania the buyer typically pays 2.5% to 3%. In Italy and Greece both sides pay 2% to 4%. France runs an unusual model where commission is technically the seller's but is shown separately on advertised prices.

The fifth is lawyer. Optional in some markets, near-mandatory for foreigners in all of them. Budget 1% to 1.5% of the price, with a floor around EUR 1,500.

What you pay every year you own

Once the deed is signed, three running costs are nearly universal.

Annual property tax. The municipal levy sits at 0.1% to 1.5% of cadastral or registered value in most of Europe. Spain's IBI, Italy's IMU (on second homes), Greece's ENFIA, France's taxe foncière are all variants of the same idea. Bulgaria and Romania run a similar regime at much lower rates, often EUR 50 to EUR 300 per year on a typical apartment.

Refuse / waste tax. Usually billed by the municipality, EUR 50 to EUR 400 per year. Some countries fold this into the property tax, others bill separately.

Community charges. If you buy in a building or development, monthly community fees fund shared maintenance, lifts, cleaning, pool, gardens. EUR 30 to EUR 300 per month is the realistic spread, with Spanish coastal urbanisations and luxury Italian condominiums at the upper end.

Wealth tax, where it applies, is the wildcard. Spain operates a regional wealth tax that exempts the first EUR 700,000 (or EUR 3 million in Madrid in 2026 after recent reforms). France's IFI applies only to real estate above EUR 1.3 million net. Italy levies IVIE on Italian residents holding foreign property at 0.76%. Most other countries in this guide do not have wealth tax.

What you pay when you sell

Capital gains tax is the third leg. Rates and exemptions vary, but the structure is broadly similar: gain equals sale price minus original price minus documented improvements minus selling costs, then taxed at a rate that depends on holding period and residency.

Spain charges 19% to 28% for non-residents (flat 19% for EU sellers), with 3% withheld at sale by the buyer. Italy taxes gains at 26% if you sell within five years, zero after that for primary or non-business holdings. Greece formally has 15% capital gains tax, but its application has been suspended in successive years and remains under review in 2026, most sellers pay nothing. Bulgaria and Romania apply 10% income tax on gains, with primary-residence and three-year-holding exemptions in Bulgaria. France runs a complex tapering regime where the rate falls every year you hold, reaching zero after 22 years for income tax and 30 years for social charges.

Country comparison table

The figures below are 2026 ranges, indicative not guaranteed. Always confirm with a local lawyer before signing.

Country	Transfer tax (used)	VAT (new build)	Notary	Agent commission	Annual property tax	Capital gains
Bulgaria	2.5-3% (varies by municipality)	20%	0.1-1.5% sliding scale	2.5-3% buyer side	0.1-0.45% of tax-assessed value	10%, exempt after 3 yrs primary
Romania	1-3% (notary scale)	5% reduced / 19%	0.5-2.2% sliding	2-3% each side	0.08-0.2% urban, varies	1-3% of price (simplified)
Greece	3.09%	24% (suspended on most new builds 2026)	0.8-2% sliding	2-3% each side	ENFIA EUR 2-13/sqm + supplementary	15% (suspended in practice)
Croatia	3% (used)	25% (new)	0.01-0.5% modest	2-4% each side	No general property tax (2026)	10-30% if sold under 2 yrs
Serbia	2.5%	10% (new build)	Modest fixed scale	2-3% each side	0.4% urban max	15%, exempt after 10 yrs
Italy	2% (primary) / 9% (second home)	4% / 10% / 22%	1-2.5% sliding	2-4% each side	IMU 0.46-1.06% second home only	26% under 5 yrs, 0 after
Spain	6-10% by region (ITP)	10% + 1.5% AJD	0.1-0.5% modest	3-5% seller side	IBI 0.4-1.1% cadastral	19-28%, 3% withheld for non-resident
France (reference)	5.8% droits + 0.825% notary fees	20% (new only)	Built into 7-8% all-in	3-7% (varies)	Taxe fonciere + d'habitation	19% + 17.2% social, taper after 5 yrs

A practical note: Spain's transfer tax varies by autonomous community. Madrid and Andalucia sit near 6%, Catalonia at 10%, the Balearics on a sliding scale up to 13%. The "Spain" rate hides huge variation.

Special cases worth knowing

Primary-residence reductions exist almost everywhere. Italy's 2% transfer tax (versus 9%) for primary-residence buyers is the most generous, but you must establish residence within 18 months. Spain's regions discount transfer tax for under-35 first-time buyers. Greece offers an exemption for the first EUR 200,000 of value for primary buyers under specific conditions.

EU-buyer treatment matters most on capital gains and rental income. EU sellers in Spain pay a flat 19% on gains; non-EU pay up to 28% under the same regime. EU resident landlords can deduct expenses against Spanish rental income; non-EU residents cannot deduct anything until 2026 reforms partially equalised treatment.

Double-tax treaties prevent the same gain or rental income being fully taxed twice. Most European countries have treaties with the UK, US, Germany, France and the Netherlands. The treaty usually gives the country where the property sits the primary right to tax, with credit available in the home country. A common mistake is assuming the treaty exempts the income, it almost never does.

Wealth tax planning. Spain's regional wealth tax can hit non-resident owners hard if the region is high-tax (Catalonia, Comunidad Valenciana). Some buyers route purchases through holding companies, though the 2024 reforms closed many of these loopholes. France's IFI only kicks in above EUR 1.3 million in net real-estate assets in France.

Cost-of-ownership example: a EUR 200,000 apartment

To make the numbers concrete, here is what an EU buyer (cash, no mortgage) would realistically pay upfront, including transfer tax, notary, registration, agent (where buyer-side) and lawyer, on a EUR 200,000 used apartment.

Country	Transfer tax	Notary + reg	Agent (buyer)	Lawyer	Total upfront	% of price
Bulgaria	EUR 5,500	EUR 1,800	EUR 5,500	EUR 2,000	EUR 14,800	7.4%
Romania	EUR 4,000	EUR 2,500	EUR 5,500	EUR 2,000	EUR 14,000	7.0%
Serbia	EUR 5,000	EUR 1,200	EUR 5,000	EUR 1,800	EUR 13,000	6.5%
Greece	EUR 6,180	EUR 3,500	EUR 5,000	EUR 2,500	EUR 17,180	8.6%
Croatia	EUR 6,000	EUR 1,000	EUR 6,000	EUR 2,500	EUR 15,500	7.8%
Italy (2nd home)	EUR 18,000	EUR 3,500	0 (seller pays)	EUR 2,500	EUR 24,000	12.0%
Spain (Andalucia)	EUR 14,000	EUR 1,500	0 (seller pays)	EUR 2,500	EUR 18,000	9.0%
Spain (Catalonia)	EUR 20,000	EUR 1,500	0 (seller pays)	EUR 2,500	EUR 24,000	12.0%

The Balkan markets, Bulgaria, Romania, Serbia, sit in a clear lower tier on transactional cost. Spain and Italy add 9% to 12%, with regional variation. Greece sits in between when the suspended VAT regime applies on used housing.

For deeper detail on individual markets, see the dedicated Bulgaria buying guide, Italy buying guide and Greece buying guide. If you are still narrowing your shortlist, browsing used apartments under EUR 200,000 in Bulgaria or resale flats in Spain is a good way to calibrate.

Practical takeaways

Three rules apply almost everywhere. First, always model the all-in cost, not the price tag, a EUR 200,000 Italian flat costs EUR 224,000 to walk into. Second, get tax advice from a local accountant before you sign, not after, primary-residence elections, EU treatment and structural choices like buying through a company are all far cheaper to set up at purchase than to fix later. Third, plan for the exit at the start. Capital-gains rules, holding-period exemptions and treaty positions can swing the post-tax outcome by tens of thousands of euros over a 10-year hold.

Selling a property in Europe? You can list it on immio for free, one active listing at EUR 0, no credit card.

Frequently asked questions

What is the cheapest country in Europe to buy property in terms of taxes?: Bulgaria and Romania consistently sit at the low end. Total purchase costs typically run 4% to 6% of the price in Bulgaria and 3% to 5% in Romania, versus 10% to 15% in Spain, Italy or France.
Do I pay VAT or transfer tax?: New-build property usually carries VAT. Resale property usually carries transfer tax. The two are mutually exclusive on the same transaction. VAT rates are higher (20% to 24%) but often partially recoverable; transfer tax (2% to 10%) is not.
Are notary fees negotiable?: Mostly no. Notary fees are set by national tariff in France, Italy, Spain and Greece. Lawyer fees are negotiable and run 1% to 1.5% of the price.
Do EU citizens pay lower taxes than non-EU citizens?: Generally no on transactional taxes, they apply equally. But on capital gains, non-EU sellers face withholding (3% in Spain) and sometimes higher headline rates. Several countries also offer EU-only primary-residence reductions.
How much is the agent commission?: Typically 3% to 6% of the price across Europe, often split between buyer and seller. In Bulgaria and Romania the buyer commonly pays a 2.5% to 3% buyer-side fee. In Spain the seller usually pays the full 3% to 5%.
What is wealth tax and where do I pay it?: A recurring tax on net assets above a threshold. Spain (regional, 0.2% to 3.5% above EUR 700,000), France (real-estate-only IFI above EUR 1.3 million) and Norway (non-EU) operate it in 2026. Italy charges a flat 0.76% IVIE on foreign property held by Italian residents.
Can I deduct mortgage interest from rental income for tax?: Yes in most EU markets, often with caveats. Spain allows it for EU residents but caps deductions for non-EU sellers. Italy's flat-tax cedolare secca regime disallows expenses but charges only 21%.
Do double-tax treaties help?: Yes, they prevent paying full tax twice on the same income. Almost every European country has treaties with the UK, US, Germany and France. Check the specific treaty before buying, as some allow only a credit, not an exemption.

List your property for free on immio — one active listing at €0, no credit card.