Young people up to 35 years old can be exempt from the Municipal Tax on Onerous Transmissions (IMT) and Stamp Duty when purchasing their first main residence. Who is eligible for this benefit?
The exemption from IMT and Stamp Duty applies to young people up to 35 years old at the date of the property purchase deed, and who, in the year of acquisition, are not considered dependents for IRS purposes, even if they still live with their parents before buying the house.
They must not own, nor have owned any property, at the time of the house purchase or at any time in the three preceding years, according to the consumer defense organization.
This measure is available to all young people meeting these criteria, regardless of nationality.
Young People’s IMT Exemption for Home Purchase Increases 2% to 330.5 Thousand Euros in 2026
The State Budget proposal for 2026 (OE2026) suggests a 2% increase in IMT brackets, raising the exempt house purchase amount to about 330.5 thousand euros with an increase of approximately 6,500 euros.
The subsequent bracket covered by the Young IMT, subject to an 8% tax rate, increases from 648,022 euros to 660,982 euros, according to the budget proposal in parliament.
The Young IMT started in August 2024, offering full exemption from this tax, Stamp Duty, and registration fees for properties up to 316,000 euros, a figure that rose to 324,058 euros this year.
Once the exemption limit is exceeded, an 8% marginal IMT rate applies up to 648,022 euros. Beyond this amount, no exemption applies for either IMT or Stamp Duty (IS).
Next year, a 600,000-euro house will pay 0% IMT and Stamp Duty up to 330,539 euros, and an 8% tax rate on the portion between this amount and the purchase price.
For those purchasing a house without this benefit (because they are over 35 years old or already own a residential property, or part of one), the OE2026 also introduces changes, offering IMT exemption for purchases up to 106,346 euros.
The IMT value in effect until the end of this year was updated by 2.3%, with an exemption limit of 104,261 euros.
IMT applies to real estate transactions, whether new or used, and is also due when there is an exchange of property, granting of usufruct, or transfer of contractual buyer position.
Tax rates vary depending on whether the property is for personal and permanent housing or other purposes, with IMT rules calculating the tax on the transaction amount or the property’s taxable patrimonial value (VPT), applying to the greater of the two.
