Guide to Selling Your Property in Ibiza

Did you know that selling a house or property in Ibiza takes an average of 10 months?

Selling a property in Ibiza presents unique challenges, influenced by seasonal factors and fluctuating activity during the high season. However, the Balearic Islands’ real estate market has been one of Europe’s most stable since the 1990s.

That’s why we understand you need a clear and practical guide to navigate this process. In addition to managing commissions that range between 4% and 6%, you’ll need to consider crucial aspects such as the necessary documentation and the proper presentation of your property.

In this comprehensive guide, we’ll walk you through selling your house effectively—from initial preparation to successful closing. We’ll help you understand each stage of the process so you can make informed decisions and achieve the best results.

Initial Preparation for Selling Your Home

Careful preparation before putting a property on the market in Ibiza makes the difference between a quick sale and one that drags on unnecessarily.

Required Documentation

To start the selling process, you’ll need to have several key documents in order:

• Title deed and the nota simple from the Land Registry, certifying ownership and showing any encumbrances or restrictions
• An energy efficiency certificate has been mandatory since 2013 and is issued by an authorised technician
• A valid certificate of habitability confirms that the property meets the minimum requirements for habitation
• Property Tax (IBI) receipts and other local taxes for the past few years
• A Coastal Law certificate is required if the property is near the coast

Property Condition Assessment

Before setting a price, carrying out a professional valuation is essential. An experienced real estate agent will analyse factors such as:

The location and surroundings of the property, considering proximity to essential services.
The quality of construction and any improvements made to date.
Any potential issues that may arise during buyer visits.

Basic Improvements to Increase Value

Strategic renovations can significantly increase the value of a property. A standard renovation can raise the value by 15% to 20%, while a complete refurbishment could double the value.

Some key improvements include:

1. Main space upgrades:
   • Kitchen renovation with modern and energy-efficient appliances.
   • Bathroom upgrades with low-consumption fixtures.
   • Installation of LED lighting systems.
2. Energy efficiency improvements:
   • Replacing windows with double or triple glazing.
   • Updating heating and air conditioning systems.
   • Improving wall and ceiling insulation.
3. Space optimisation:
   • Painting in neutral, modern colours.
   • Fixing minor issues like leaking taps or broken tiles.
   • Maintaining the garden and outdoor areas.

A professional deep clean, particularly in kitchens and bathrooms, is essential. Additionally, consider hiring a home staging service to present the property more attractively — this can significantly increase its perceived value.

For properties near the coast, it’s crucial to maintain elements exposed to salt and humidity. The exterior presentation should be impeccable, forming the buyer’s first impression.

Setting the Right Price

Pricing a property in Ibiza requires a detailed analysis of the current market and a deep understanding of the factors influencing its value.

Factors Affecting Property Value

Location is one of the most decisive elements. Properties in areas like Dalt Vila, Es Cubells, and Cala Comte command higher prices due to their exclusivity and international demand. Similarly, sea views significantly increase a property’s value.

The size and layout of the space are also crucial. Properties with open, bright spaces are more appealing to buyers. Additional features that increase value include:

• Sea views
• Independent water supply
• Underfloor heating
• Included furnishings
• Space for future expansion
• Privacy and size of the plot

For example, in Marina Botafoch, prices exceeded €7,000/m² in December 2023, while in Figueretes, apartments typically sell for between €350,000 and €450,000, although they often require refurbishment.

Current Market Analysis

The average price per square meter in Ibiza reached €6,622 in January 2025, reflecting a 10.4% increase compared to the previous year. However, the market is evolving. In 2023, there was a shift from low and high demand to a more excellent and lower demand scenario.

To set a competitive price, it’s essential to:

1. Conduct a comparative study: Analyse the prices of similar properties sold in the last six months, not just those currently on the market.
2. Allow for negotiation: Keeping a margin for negotiations is advisable, as buyers usually negotiate the final price.
3. Evaluate seasonality: Ibiza’s real estate market has shown remarkable resilience, with prices recovering and often exceeding previous levels after downturns.

Specific market trends are particularly noteworthy. For example:
In San José, the average price per square metre stands at €8,023.74, making it one of the few municipalities where prices are still rising.

San Juan holds the highest price on the island, at €10,472/m², reflecting a 42% increase since 2018.

Properties with tourist rental licences hold exceptionally high value due to the strong demand for holiday rentals. Additionally, factors such as energy efficiency and the use of sustainable materials can increase market value, responding to buyers’ growing interest in sustainability.

Working with an experienced real estate agent who can conduct a professional valuation is crucial to maximising the chances of a successful sale. Their knowledge of the local market and access to up-to-date information will help set a price that reflects the property’s actual value and current market conditions.

Step-by-Step Sales Process

A successful sale in Ibiza requires a well-planned strategy and collaboration with the right professionals.

Choosing a Real Estate Agent

Selecting the right real estate agent affects the sales process. A professional agent has a network of contacts and an in-depth understanding of the local market.

To choose the ideal agent:

• Ask for recommendations from people who have sold properties recently.
• Check if they belong to professional associations.
• Review their online ratings and social media presence.
• Schedule an in-person meeting to assess their professionalism and knowledge of the market.

Photography and Digital Marketing

The visual presentation of your property is fundamental in attracting potential buyers. A professional photoshoot should include:

• 15 to 20 high-quality photos with two or three shots per room.
• Images with natural lighting and strategic angles.
• Video tours or 3D virtual walkthroughs give buyers a more immersive experience.

Effective digital marketing involves publishing listings on multiple real estate portals and social media channels, maximising the property’s visibility.

Effectively Managing Property Viewings

It’s best if your real estate agent handles all inquiries and organises the visits to optimise property viewings. They should be responsible for presenting the property and highlighting its potential:

1. Before the visit:
   • Arrive early to set the atmosphere.
   • Turn on all the lights and open windows.
   • Create a welcoming atmosphere with soft background music.
2. During the visit:
   • Follow a logical route that showcases the property’s best features.
   • Start with the most attractive areas.
   • Keep the property tidy and ensure no residents are present during the visit.

Negotiating Offers

Once you receive an offer, the negotiation process begins. The real estate agent will act as an intermediary to:

• Discuss the terms and conditions of the sale.
• Negotiate the final price.
• Agree on details regarding included furniture.
• Establish signing and delivery dates.

When an agreement is reached, it will be formalised with a Deposit Agreement (Contrato de Arras), which usually requires a 10% deposit of the agreed price. This contract will specify:

• Detailed property information.
• Payment terms.
• Deadline for completing the transaction.
• Consequences in case of breach of contract.

If the seller withdraws from the sale, they must return double the deposit. If the buyer cancels, they typically forfeit the deposit.

Essential legal aspects

The legal aspects in the sale of a property in Ibiza require special attention in order to guarantee a safe transaction in accordance with the current regulations.

Taxes to Consider

The seller is responsible for several taxes during the sale process:

Capital Gains Tax This tax is calculated on the difference between the purchase and sale price. The tax rates since 2023 are:

• Up to €6,000 → 19%
• From €6,000 to €50,000 → 21%
• From €50,000 to €200,000 → 23%
• From €200,000 to €300,000 → 27%
• Over €300,000 → 28%

For non-resident sellers, the tax rate is 19% for residents of the European Union, Norway, and Iceland and 24% for residents of other countries.

Municipal Capital Gains Tax This tax applies to the increase in the value of the land. The calculation is based on:

• The cadastral value of the land.
• The number of years of ownership (maximum 20 years).
• The local council established the coefficient.

The deadline to pay the municipal capital gains tax is 30 business days from the signing of the deed.

Required Contracts

Private Sales Contract Although not mandatory, it’s common to start with a private contract that is later elevated to a public deed. This document should include:

• Identification details of the parties involved.
• Complete description of the property.
• Agreed price and payment terms.
• Specific terms and conditions of the sale.

Deposit Contract (Contrato de Arras) This formalises the commitment between the buyer and the seller through a deposit, typically 10% of the total price. There are three types of deposit contracts:

• Confirmatory: A commitment signal without direct penalties.
• Penitential: Allows withdrawal with a financial penalty.
• Penal: Establishes specific penalties for breaches.

Public Deed (Escritura Pública) This final document formalises the property transfer before a notary. It requires:

• Original ID or passport.
• NIE (for foreigners).
• Original purchase deed.
• Energy efficiency certificate.
• Documentation on existing mortgages.

To ensure a secure transaction, it’s essential to have specialised legal advice. A real estate lawyer can:

• Review all documentation.
• Verify any charges or encumbrances.
• Ensure compliance with deadlines.
• Manage the registration with the Land Registry.

Foreign sellers must also consider double taxation agreements between Spain and their country of residence. Similarly, a specific Coastal Law certificate is required for properties near the coast.

Successfully Closing the Sale

The final stage of a property sale is the notary signing, which marks the beginning of a new chapter for both the buyer and the seller.

Notarial Process

The notary plays a key role in verifying the legality of the transaction. Before authorising the deed, they will request updated information from the Land Registry to confirm the property’s legal status.

During the signing, all parties involved must be present before the notary to formalize the public deed. At this time:

• The notary certifies the statements of both parties.
• Issues the necessary legal warnings.
• Verifies the legal accuracy of all documents.

Immediately after signing, the notary sends an electronic communication to the Land Registry to secure the new owner’s title. The original document, known as the “matriz”, remains in the notary’s archive.

The sale payment is carried out when signing, following the agreed terms. This is usually done through bank-certified cheques from a Spanish bank. The notary attaches a copy of the cheques to the deed, which is proof of payment.

Transferring Ownership

Once the signing is complete, the property transfer becomes effective immediately. At this point:

1. Transfer of responsibilities:
   • The new owner assumes full responsibility for the property.
   • Ownership rights are automatically transferred.
2. Final Documentation:
   • The buyer receives the first certified copy of the deed.
   • This copy includes seals and signature of the notary.
3. Follow-up Procedures:
   • Present the deed at the Land Registry.
   • Handle payment of applicable taxes.

The notary typically manages the registration and tax payments. The registration process can take several weeks or months, but during this period, the registry will be locked for third-party claims.

To finalise the process, the buyer must:

• Notify the local council of the change of ownership.
• Submit a non-certified copy of the deed.
• Arrange utility connections and service registrations.

The registration process includes reviewing the deed with the official stamps and payment receipts. Therefore, keeping the first certified copy of the deed with all official stamps, payment receipts, and registration details as proof of the transfer is essential.

Conclusion

Selling a property in Ibiza is a significant process that requires thorough preparation and specialised knowledge. Each step, from the initial paperwork to the final signature, determines the transaction’s success.

Ibiza’s real estate market offers unique opportunities but also presents specific challenges. Therefore, a clear strategy that covers essential aspects such as accurate pricing, proper presentation, and legal compliance should be developed.

The key to success lies in attention to detail and working with experienced professionals. A well-presented property, priced correctly and with all documentation in order, will attract the right buyer more quickly.

Ultimately, selling a property is more than a financial transaction — it’s the transfer of a space where invaluable memories have been created and new stories will begin on our magical island: Ibiza.