Once you own, what do you actually pay each year? Here's the honest, jargon-free rundown of a non-resident owner's annual taxes on the Costa del Sol in 2026.
Buying costs get all the attention, but the question we're asked most after a purchase is quieter and just as important: what will this home cost me to hold each year? For a non-resident owner on the Costa del Sol, the annual bills are modest and predictable — nothing like the running costs people fear. Here's the full picture for 2026, in plain English. (We're estate agents, not tax advisers, so treat this as orientation and confirm your own numbers with a gestor or lawyer.)
IBI — your municipal property tax
IBI (Impuesto sobre Bienes Inmuebles) is the local council tax, paid once a year to the town hall wherever your property sits. It's calculated as a percentage of the cadastral value (valor catastral) — an official value that's usually well below market price — and the rate varies by municipality, broadly in the 0.4%-1.1% range. In practice, for a typical apartment on the coast, IBI is often a few hundred euros a year. Many owners set up a direct debit and never think about it again.
Non-resident income tax (IRNR)
This is the one that surprises newcomers, so it's worth understanding. Spain asks non-resident owners to file an annual Impuesto sobre la Renta de No Residentes (IRNR) return, and it works differently depending on whether you rent the property out.
- If you keep it for your own use (not rented), Spain applies a small imputed income — a notional benefit for having a second home available. It's calculated as 1.1% of the cadastral value (or 2% in some cases), and you pay tax on that figure at 19% for EU/EEA residents or 24% for non-EU residents (which now includes UK owners). On most coastal apartments this comes to a couple of hundred euros a year at most.
- If you rent it out, you declare the actual rental income. EU/EEA residents can deduct allowable expenses and pay 19% on the net; non-EU residents pay 24% on the gross with fewer deductions.
The headline: for a non-let holiday home, IRNR is typically a small annual sum, not a monthly worry.
Community fees and utilities
If you buy an apartment or a home on a managed urbanisation, you'll pay community fees (comunidad) — your share of maintaining shared pools, gardens, lifts and security. These vary enormously with the facilities: a simple block might be €50-€100 a month, a resort with extensive grounds and a concierge considerably more. Always ask for the exact figure before you buy; it's public and your lawyer will confirm it. On top of that sit normal utilities — water, electricity and, if you want it, community or private internet.
What about wealth tax?
Most buyers never touch this, but it's fair to mention. Spain has a wealth tax with a general allowance around €700,000 of net worth per person, and Andalucía applies a 100% regional discount, so the regional wealth tax effectively falls away for most owners here. A separate national "solidarity" levy only bites on very large fortunes (net assets above €3 million). For the vast majority of our buyers, wealth tax simply isn't a factor — but if you're buying at the top end, take specific advice.
The reassuring bottom line
Put together, a typical non-resident owner's annual costs — IBI, a small IRNR return, community fees and utilities — are among the lowest ownership costs in western Europe for a property of this quality and location. It's one of the quiet reasons the Costa del Sol keeps drawing long-term owners, a theme we explore in our look at the Málaga property market.
If you're weighing a purchase, we're glad to walk you through the likely yearly figures for a specific home before you commit — no guesswork. Browse what's available on our sales page, including options in Mijas and Benalmádena, and tell us your plans for the property so we can pair you with the right one.
The GR Estates Team
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Written with AI assistance and reviewed by the GR Estates team before publication. AI transparency
