Inheriting your parents’ home in Málaga usually comes at a difficult time, and deciding to sell it also brings paperwork, taxes and sometimes family disagreements. The good news: selling an inherited house in Málaga is simpler and cheaper than many people think, especially since Andalusia cut inheritance tax to almost zero for children and spouses.
In short: before selling, you must accept the inheritance before a notary, file inheritance tax and the municipal capital gains tax within six months and register the property in the heirs’ names. After that, the sale works like any other, with one key difference: the gain is calculated from the value declared in the inheritance, not from what your parents paid.
Table of contents
📋 1. Before Selling: Accepting the Inheritance
You cannot sell a home that is still in the deceased’s name. First the heirs must gather the documents, accept the inheritance and divide the assets in a deed before a notary. This is what you will need:
- 🪪 Death certificate and the ID card or NIE of every heir.
- 📜 Certificate of last wills, to find out whether there is a will and which one is the latest.
- ✍️ Copy of the will or, if there is none, a declaration of heirs before a notary.
- 🏠 Property deed, latest IBI property tax receipt and community certificate.
- 💳 Bank balances and debts of the deceased, to know the real value of the estate.
With all this, you sign the deed of acceptance and allocation of the inheritance, pay the taxes and register the property in the Land Registry in the heirs’ names. If you suspect the estate has more debts than assets, you can accept it “a beneficio de inventario” (limited to the value of the estate).
💶 2. Inheritance Tax in Andalusia: Almost Zero for Close Family
In Andalusia, children, grandchildren, spouses and parents (groups I and II) apply a reduction of €1,000,000 per heir. If what each one receives does not exceed that amount, they pay nothing; and if it does, a 99% tax credit leaves the bill at a symbolic amount. You can see the details in this analysis by Notarios y Registradores.
- 🗓️ Deadline: six months from the death, extendable by another six if you apply within the first five months.
- 📝 It must be filed even if the result is zero: forms 650 and 660 with the Andalusian Tax Agency.
- 👥 Siblings, nephews and nieces and other relatives do not get that reduction and may pay considerably more: it is worth calculating it before accepting.
🏛️ 3. The Municipal Capital Gains Tax Is Paid Twice
The municipal capital gains tax (plusvalía) taxes the increase in land value and appears at two moments. First when you inherit, for the years your parents owned the property, with a six-month deadline that can be extended to one year. And then when you sell, but only for the time since the death.
Since the 2021 reform you can choose between the standard calculation and the real one (based on the actual gain), and if there has been no gain, nothing is due. For homes bought many years ago, the plusvalía on the inheritance is often the highest tax in the whole process.
🗓️ 4. Step-by-Step Timeline
| Step | Deadline | Who handles it |
| Death and last-wills certificates | First few weeks | Heirs or tax agent |
| Inheritance tax (form 650) | Six months, extendable | Tax agent or lawyer |
| Plusvalía on the inheritance | Six months, extendable to one year | Tax agent |
| Inheritance deed and registration | Before selling | Notary and Land Registry |
| Valuation, sale and signing | Once all heirs agree | Estate agent |
| Capital gains return | Next year’s income tax return (or form 210 if non-resident) | Each heir |
🧮 5. Worked Example: Three Siblings Sell Their Parents’ Flat
Three siblings inherit a flat in Málaga declared in the inheritance at €360,000. They pay €4,500 for notary, registry and tax agent and €3,000 of plusvalía on the inheritance. Two years later they sell it for €450,000, with €18,000 of selling costs (agency, plusvalía on the sale and certificates).
- 💶 Inheritance tax: €0, because each receives €120,000, far below €1,000,000.
- 📈 Total gain: €450,000 − €18,000 − €367,500 = €64,500, that is €21,500 per sibling.
- 🧾 Income tax for each resident sibling: €6,000 at 19% + €15,500 at 21% = €4,395.
- 🌍 If one sibling lives abroad: they pay 19% (€4,085) and the buyer withholds 3% of their share (€4,500), so they recover the difference with form 210.
The key point of the example: the purchase value for tax purposes is not what the parents paid decades ago, but the value declared in the inheritance plus the costs and taxes of inheriting (€367,500). That is why it is worth declaring a realistic value: one that is too low saves little on inheritance tax and is paid for later on the sale.
🤝 6. What If the Heirs Cannot Agree?
To sell the whole property, all the heirs must sign. Meanwhile, they all keep paying IBI, community fees and utilities. If there is no agreement, these are the usual ways out:
- 🔑 One heir buys out the others (extinción de condominio), with an independent valuation so nobody feels short-changed.
- 📄 Selling only your share to a third party: it is legal, but it usually sells well below its value.
- ⚖️ Court action to divide jointly owned property: it ends in an auction, takes time and almost always gives a worse price than an agreed sale.
🌍 7. Heirs Who Live Outside Spain
This is very common on the Costa del Sol. Each heir needs an NIE and can sign the inheritance and the sale with a power of attorney, without travelling. Since 2021, non-resident heirs, from the EU or elsewhere, can apply the Andalusian rules and their €1,000,000 reduction. On the sale they pay 19% and the buyer withholds 3% of their share: we explain it in our guide to selling property on the Costa del Sol as a foreign owner.
⚠️ 8. Common Mistakes When Selling an Inherited Property
- ⏳ Letting the six months pass: inheritance tax and plusvalía carry surcharges and interest even when the amount is small.
- 🧾 Not adding the inheritance costs to the acquisition value: you pay more income tax than necessary when you sell.
- 🏚️ Leaving the house closed for years: it deteriorates, keeps generating costs and becomes harder to sell.
- 💬 Setting the price by guesswork among siblings: a professional valuation avoids arguments and below-market sales.
❓ FAQ: Selling an Inherited House in Málaga
Can I sell the house before accepting the inheritance?
No. The property has to be in the heirs’ names. What you can do is sign the acceptance and the sale on the same day at the same notary, if everything is ready.
How much does a child pay to inherit a house in Andalusia?
In inheritance tax, nothing if what they receive does not exceed €1,000,000. They will still have to pay the municipal plusvalía and the notary, registry and tax agent fees.
Do I pay income tax if I sell for the same value declared in the inheritance?
No, because there is no gain; there may even be a loss because of the costs. Even so, the sale must appear in your tax return.
What happens if one of the heirs lives abroad?
They can sign with a power of attorney and apply the same Andalusian reduction. On the sale they pay non-resident tax and the buyer withholds 3% of their share.
📲 Sell Your Inherited House with Full Support
At Why Malaga we coordinate the inheritance and the sale with trusted lawyers and tax agents, so the family only has to sign. If you want to know where to start, check how much your house is worth in Málaga or read how to sell your house in Málaga.
📲 Have you inherited a property? Request a confidential valuation or contact our team.
This article is for information only and reflects the rules in force in Andalusia on 6 November 2026. It is not legal or tax advice; consult a professional about your specific case.
