Prepare the seller's data room
- Title deed, Land Registry extract and cadastral certificate.
- Licences, end-of-works and habitability certificates; energy certificate.
- IBI and waste tax receipts; community certificate of debts and minutes.
- Tourist licence and registration, if the property is let.
- Your purchase costs and improvement invoices, to reduce the taxable gain.
Charges, mortgages and co-ownership
An outstanding mortgage is normally paid off at the notary with part of the price, and the cancellation registered afterwards. If the property is co-owned or inherited, every owner must sign or grant a power of attorney. If you are married, check whether your spouse's consent is required for the family home.
Reservation and sale contract
We review the buyer's offer and negotiate the arras contract: price, deposit, deadline, conditions, inventory and how retentions will be applied. As seller, avoid open-ended warranties and conditions without deadlines. See reservation and arras contracts.
Non-resident tax and retention
| Item | What happens |
|---|---|
| 3% retention | Buyer withholds and pays with Form 211 within one month |
| Capital gains | Declared with Form 210; 19% for non-residents |
| Difference | You pay any excess tax or recover the excess retention |
| Plusvalía | Municipal tax; buyer usually retains it from a non-resident individual seller |
| Home country | Usually taxes the gain, with credit for Spanish tax |
For the detailed calculation, read capital gains tax for non-residents and the plusvalía tax.
Pricing the sale with tax in mind
Before agreeing a price, calculate the expected capital gain and tax. The gain is the difference between the net sale price and your acquisition cost, which includes the purchase price, purchase taxes and costs, and documented improvements. If you rented the property, depreciation reduces the acquisition cost. Knowing the figure in advance helps you negotiate and avoids surprises when you file the return.
Selling a licensed holiday home
If the property has a tourist rental licence, buyers will want to confirm that it is valid and transferable. Prepare the licence documents, the registration number and evidence of compliance. Agree how bookings already taken will be handled, and whether furniture and equipment are included in the price. A clear licence position supports the price; an unclear one invites renegotiation.
Remote completion and closing the file
With a power of attorney, your lawyer signs the deed, receives the price into your account, hands over keys, cancels utilities in your name and files your tax returns. Afterwards, request the refund of any excess retention and keep the file for your home tax return. See our services for sellers; for other legal matters in English, see Castell.law.
Before you pay a deposit, ask a lawyer
Send us the listing or the document you have been asked to sign. An English-speaking property lawyer will tell you what needs checking and what it could cost you not to.
Frequently asked questions
Can I sell my Mallorca property without travelling?
Yes, with a power of attorney signed in your country.
Is the 3% retention the final tax?
No. It is a payment on account; you file a return to pay the difference or claim a refund.
What if I sell at a loss?
You can recover the whole 3% retention by filing the return.
Who pays the plusvalía?
The seller, but when the seller is a non-resident individual the buyer is legally responsible and usually retains it.