Buying a home in Spain or Portugal after Brexit (2026): what changed for British buyers
Brexit did not change the purchase taxes a British buyer pays in Spain or Portugal, because both charge by residence, not nationality. What changed is that people living in the UK are now outside the EU: since 1 January 2021 Spain taxes a UK-resident owner at 24% instead of 19% on the yearly imputed income from a holiday home, and Portugal requires a fiscal representative unless the owner signs up for electronic notifications. Portugal's flat 7.5% IMT for non-residents, from 25 May 2026, applies to every non-resident, not only to the British.
Key facts
- Spain's transfer tax, VAT and stamp duty are the same for British, EU and Spanish buyers, resident or not.
- Spain's yearly non-resident income tax on a home that is not let rose from 19% to 24% for UK residents from 1 January 2021, and they can no longer deduct expenses from rental income.
- Portugal charges every non-resident buyer a flat 7.5% IMT since 25 May 2026; it is not a Brexit rule, and former Portuguese tax residents are outside it.
- A British buyer still needs a NIE in Spain and a NIF in Portugal, as before Brexit.
- Portugal requires an owner living outside the EU and EEA, now including the UK, to appoint a fiscal representative unless they use electronic notifications.
- As non-EU nationals, British visitors can stay up to 90 days in any 180-day period, and buying a home no longer leads to a residence permit.
What changed for British buyers after Brexit?
The purchase taxes did not change. Spain and Portugal tax a purchase by residence and by the kind of home, never by nationality, so a British buyer pays what any other buyer in the same situation pays. What changed is that a person living in the UK is now resident outside the European Union, and some rules treat owners living in the EU and outside it differently. Until 31 December 2020 a UK resident was in the first column; since 1 January 2021, the second:
| Owner living in the EU or EEA | Owner living in the UK | |
|---|---|---|
| Spain: purchase taxes | Regional ITP, or VAT and AJD | The same |
| Spain: yearly non-resident tax on a holiday home | 19% | 24% |
| Spain: expenses against rental income | Deductible | Not deductible |
| Portugal: purchase taxes, if not tax resident in Portugal | A flat 7.5% IMT since 25 May 2026 | The same |
| Portugal: fiscal representative | Optional | Required, unless electronic notifications are activated |
| Tax numbers | NIE in Spain, NIF in Portugal | The same |
The Spanish tax agency applies the non-resident tax changes to income from 1 January 2021 (Agencia Tributaria, the impact of Brexit on non-resident income tax).
Do British buyers pay more purchase tax in Spain after Brexit?
No. The transfer tax (ITP) on a resale home and the VAT and stamp duty (AJD) on a new build are set by the national law and each region, and none of them changes with nationality or residence. A British buyer who lives in the UK and owns a home there pays this on a €250,000 resale holiday home:
| Rank | Place | Buyer | Taxes | Fees, typical | Total on top | Share of price |
|---|---|---|---|---|---|---|
| 1 | Spain, Madrid | Resale, second home, price €250,000 | €15,000 | €3,631.29 | €18,631.29€17,081.29 to €20,481.29 | 7.45% |
| 2 | Spain, Andalusia | Resale, second home, price €250,000 | €17,500 | €3,631.29 | €21,131.29€19,581.29 to €22,981.29 | 8.45% |
| 3 | Spain, Valencian Community | Resale, second home, price €250,000 | €22,500 | €3,631.29 | €26,131.29€24,581.29 to €27,981.29 | 10.45% |
| 4 | Spain, Catalonia | Resale, price €250,000 | €25,000 | €3,631.29 | €28,631.29€27,081.29 to €30,481.29 | 11.45% |
A buyer who lives in Spain pays the same on a holiday home. The regional reductions depend on the home being the buyer’s main home, which a holiday home is not. The Spain guide for non-resident buyers has the NIE, payment and withholding rules.
Is there a 100% tax on British buyers in Spain?
No. A tax on buyers from outside the EU who are not resident in Spain has been proposed, but on 2 November 2026 it was not law: the national transfer tax law (Real Decreto Legislativo 1/1993, consolidated text) contains no such rate. The calculator applies the law in force.
How much more is Spain’s yearly non-resident tax after Brexit?
A non-resident who owns a home in Spain that is not let pays non-resident income tax each year on an imputed income: a percentage of the home’s cadastral value, 1.1% where the town’s values were revised from 2012 onwards and 2% otherwise (Ley 35/2006, article 85, applied to non-residents by Real Decreto Legislativo 5/2004, article 24.5). The rate on that income is set by article 25.1:
| Owner lives in | Rate on the imputed income |
|---|---|
| An EU or EEA country | 19% |
| The UK (since 1 January 2021), or any other country | 24% |
So the same holiday home costs a UK-resident owner about a quarter more in this tax than before Brexit. The Agencia Tributaria also says the expenses that EU and EEA residents can deduct from rental income cannot be deducted by UK residents. This is a cost of owning, not of buying, and the calculator does not include it.
Do British buyers pay Portugal’s 7.5% IMT?
If they are not tax resident in Portugal, yes, but not because of Brexit. Since 25 May 2026 every buyer who is not tax resident in Portugal pays IMT at a flat 7.5% on a home, plus 0.8% stamp duty, with no exemption or reduction (IMT Code, article 17(10), added by Decree-Law 97/2026). An Irish, German or Portuguese buyer living abroad pays it too.
| Line | Kind | Amount | Estimate range | Share of price |
|---|---|---|---|---|
| IMT, non-resident buyer (flat 7.5%) | Tax | €22,500 | 7.50% | |
| Stamp duty (Imposto do Selo, 0.8%) | Tax | €2,400 | 0.80% | |
| Lawyer (market rate) | Fee, estimate | €3,750 | €3,000 to €6,000 | 1.25% |
| Deed and land registration (Casa Pronta) | Fee, estimate | €375 | €375 to €700 | 0.13% |
| Taxes | €24,900 | 8.30% | ||
| Fees, typical | €4,125 | €3,375 to €6,700 | 1.38% | |
| Total on top of the price | €29,025 | €28,275 to €31,600 | 9.68% |
Two exceptions matter to British buyers who know Portugal well (article 17(10) to (12)):
- a buyer who was ever tax resident in Portugal before pays the normal rates at the deed;
- a buyer who becomes tax resident within two years of the purchase can ask for the difference back, within 6 months of becoming resident.
The Portugal guide for non-resident buyers has the full rules and the refund.
Do British buyers need a NIE or NIF after Brexit?
Yes, as before. In Spain, a foreigner buying property needs a NIE, the personal number Spain gives foreigners with economic interests there (Real Decreto 1155/2024, article 205), because the Land Registry will not register a deed without every signer’s tax number (Ley Hipotecaria, article 254.2). In Portugal, every buyer needs a NIF, which anyone can ask for, resident or not (gov.pt).
What Brexit did change in Portugal is the fiscal representative. Portugal’s General Tax Law requires a taxpayer living abroad to appoint a representative resident in Portugal, makes it optional for residents of the EU and EEA, and waives it for anyone who signs up for the tax authority’s electronic notifications (article 19(6), (8) and (15)). An owner living in the UK no longer has the EU option, so needs either a representative or electronic notifications.
How long can British owners stay in their home in Spain or Portugal?
As non-EU nationals, British visitors are covered by the EU’s short-stay rule: up to 90 days in any 180-day period (Your Europe). Buying a home does not lead to a residence permit in either country any more: the guide does buying property give residency? sets out how Portugal and Spain ended their property golden visas.
Do British citizens living in Spain or Portugal pay more to buy in England?
Not for nationality, but for residence. England’s stamp duty surcharge of 2% applies to any buyer who was not in the UK for at least 183 days in the 12 months before buying, British citizens included (GOV.UK). It can be reclaimed after a return to the UK. The moving to England guide covers buying before a move back.
What this guide does not cover
- Visas, residence permits and the Withdrawal Agreement rights of British people who already lived in Spain or Portugal before 2021.
- Income tax on rent beyond the deduction rule, and capital gains tax on a sale.
- UK tax on a home abroad.
- Mortgages, and buying through a company.
Questions people ask
Do British buyers pay more tax to buy a house in Spain after Brexit?
No. Spain's purchase taxes depend on the region, whether the home is new and whether it is the buyer's main home, not on nationality or residence. What rose is the yearly non-resident income tax on a holiday home: 24% for UK residents since 1 January 2021, against 19% for EU residents.
Is there a 100% tax on British buyers in Spain?
No. A tax on non-EU buyers who are not resident in Spain has been proposed, but on 2 November 2026 it was not law. The national transfer tax law contains no such rate.
Do British buyers pay the 7.5% IMT in Portugal?
Only if they are not tax resident in Portugal, like any other non-resident buyer, EU citizens included. A British buyer who was tax resident in Portugal before pays the normal rates, and one who becomes resident within two years can claim the difference back.
Do I still need a NIE to buy in Spain after Brexit?
Yes. The NIE is Spain's identity number for foreigners with economic interests in Spain, and it was needed before Brexit too. The notary records every signer's tax number in the deed, and the Land Registry will not register the purchase without them.
How long can a British owner stay in their home in Spain or Portugal?
As a visitor, up to 90 days in any 180-day period, the EU's rule for short stays by non-EU nationals. Buying a home does not give a residence permit in either country: Portugal and Spain have both ended their property golden visas.
Sources
- The impact of Brexit on non-resident income tax for taxpayers without a permanent establishmentAgencia Tributaria (Spain)
- Real Decreto Legislativo 5/2004, Impuesto sobre la Renta de no Residentes (articles 24.5 and 25.1)Boletín Oficial del Estado (Spain)
- Ley 35/2006 del IRPF (article 85, imputed income from property)Boletín Oficial del Estado (Spain)
- Real Decreto Legislativo 1/1993, ITP y AJD (consolidated text: no rate by residence or nationality)Boletín Oficial del Estado (Spain)
- Real Decreto 1155/2024, Reglamento de Extranjería (article 205, NIE)Boletín Oficial del Estado (Spain)
- Ley Hipotecaria (article 254, tax numbers on the deed)Boletín Oficial del Estado (Spain)
- Código do IMT, article 17 (the 7.5% rate for non-residents, n.º 10 to 12)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Decreto-Lei n.º 97/2026, de 20 de maioDiário da República
- Lei Geral Tributária, article 19 (fiscal representative, electronic notifications)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Travel documents for non-EU nationals (short stays: 90 days in any 180-day period)Your Europe (European Union)
- Stamp Duty Land Tax: residential property rates (non-UK residents)GOV.UK (HM Revenue and Customs)
Behind the figures
Every amount on this page is worked out by the engine from rule files that cite these pages.
- Agència Tributària de Catalunya: ITP ratesOfficial source
- Which?: Conveyancing, what it is and what it costs (29 May 2026)Secondary source
- The Land Registration Fee Order 2024 (SI 2024/931)Official source
- GOV.UK: Stamp Duty Land Tax, residential property ratesOfficial source