The Catalan government has approved new Property Transfer Tax (ITP) rates, effective June 2025 after parliamentary confirmation. The reform targets:
- Transactions over €600,000 — rates rise to 11-13%.
- Large holders (10+ properties or 1,500 m² of residential space) — tax increases to 20%.
- Companies reselling properties within 3 years — a 70% ITP discount is eliminated.
What Does This Mean for Investors?
1. “Deals Are Already Stalling”
Marta Martín, lawyer at AM2 Legal: “A redevelopment project in Barcelona’s Eixample district was canceled due to the loss of tax incentives. Without bonuses, the numbers don’t add up.”
2. Race Against Time
Investors may rush to close deals before June 2025, but Arantxa Goenaga (AF Legis) notes: “Only those with ongoing due diligence or cash purchases can meet the deadline.”
3. Rental Market Risks
CBRE experts warn: “The reform will disincentivize renovations and reduce housing supply. This could deepen shortages and push rental prices higher.”
Expert Advice
“If you’re eyeing a property in Barcelona, factor in the city’s 2-month pre-emption right. For new deals, it’s too late—focus on markets with clearer rules,”* advises Carolina Pérez, Colliers.
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