Quick answer
Before an inherited property in Tenerife can be sold, the heirs must accept the inheritance before a notary, pay or settle inheritance tax and the plusvalía municipal, and register the property in their names at the Land Registry. Then it can be sold like any other home, with all heirs agreeing to the sale.
Step 1: the documents of the estate
- Death certificate.
- Certificate of last wills (certificado de últimas voluntades), which shows whether a Spanish will exists.
- A copy of the will, or a declaration of heirs if there is none.
- Title deed of the property and NIE for every heir.
Step 2: accept the inheritance
The heirs sign a deed of acceptance and division of the inheritance before a notary. It records who inherits what. If there are several heirs, they all appear, in person or through a power of attorney.
Step 3: taxes on the inheritance
- Inheritance tax (Impuesto sobre Sucesiones) is managed by the Canary Islands. Close relatives such as spouses, children and parents benefit from a near-total reduction, so in many family inheritances the amount due is very small. It must still be filed, normally within six months of the death.
- Plusvalía municipal is also due on the inheritance, paid to the town hall where the property is. See plusvalía municipal explained.
Step 4: register in the heirs' names
With the taxes filed, the acceptance deed is registered at the Land Registry. From then on, the nota simple shows the heirs as owners and the property is ready to sell.
Step 5: sell
All the owners must agree to the sale and sign, directly or through a power of attorney. The value declared in the inheritance becomes the acquisition value for calculating any gain, so a sale soon after inheriting often produces little or no gain. Heirs who are not tax resident in Spain are subject to the 3% retention.
Every inheritance is different. A notary or lawyer should guide the acceptance; we can value the property early so the figure declared fits the market.
Questions owners ask us
Can I sell before the inheritance is registered?
In practice, no. The buyer and the notary need the heirs to appear as owners, so acceptance and registration come first.
What if one heir does not want to sell?
All owners must agree. Heirs can buy out the others' shares; if no agreement is possible, a lawyer can explain the options.
This guide is general information, not legal or tax advice. Rules change; check your own case with a notary, lawyer or tax adviser before you sign.