Buying real estate in Spain?

We've created a guide to help you avoid pitfalls, save time, and make the best long-term investment possible.

How do utility bills work when you own a home in Spain?

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Authored by the expert who managed and guided the team behind the Spain Property Pack

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Understanding utility costs is crucial when buying property in Spain, as these expenses significantly impact your monthly budget.

Spanish homeowners typically pay between €120-€200 monthly for basic utilities including electricity, water, and gas, with seasonal variations affecting costs throughout the year.

If you want to go deeper, you can check our pack of documents related to the real estate market in Spain, based on reliable facts and data, not opinions or rumors.

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At Investropa, we explore the Spanish real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Madrid, Barcelona, and Valencia. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

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Anna Siudzinska 🇵🇱

Real Estate Agent

Anna Siudzińska is a dynamic business strategist and experienced manager with a proven track record in sales, marketing, and corporate expansion. With years of experience navigating both domestic and international markets, she specializes in driving growth, strengthening companies' market positions and helping clients find lucrative real estate opportunities in Spain.

How often do you receive utility bills in Spain?

Spanish utility companies send bills either monthly or quarterly, depending on the specific provider and utility type.

Electricity bills typically arrive monthly from major providers like Iberdrola, Endesa, and Naturgy. Water bills are usually issued quarterly by local municipal authorities, though some areas may bill monthly.

Gas billing frequency varies by provider and region, with most companies offering monthly or quarterly options. You can often request to change your billing frequency when setting up your account.

As of September 2025, most Spanish property owners find monthly billing more convenient for budgeting purposes, especially for electricity which represents the largest utility expense.

What are the average monthly utility costs for homes in Spain?

A two-bedroom apartment in Spain costs approximately €120-€180 monthly for basic utilities, while a three-bedroom house ranges from €150-€250 monthly.

Property Type Electricity Water Gas Total Monthly
Two-bedroom apartment €75-€95 €15-€25 €30-€60 €120-€180
Three-bedroom house €85-€110 €20-€35 €45-€80 €150-€225
Four-bedroom villa €110-€150 €25-€40 €60-€100 €195-€290
Studio apartment €50-€70 €10-€18 €20-€40 €80-€128
Luxury property (5+ rooms) €150-€250 €35-€60 €80-€150 €265-€460

How do you set up utility accounts after buying property in Spain?

Contact each utility provider directly within the first week of property purchase to transfer accounts to your name.

You'll need your NIE number, Spanish bank account details, passport or ID card, and the property's cadastral reference number. Most providers allow online account setup through their websites or mobile apps.

For electricity, visit the provider's office or call their customer service line. Water account transfers must be done through your local town hall or municipal water department. Gas providers typically require a technician visit to verify connections and meter readings.

The entire setup process usually takes 5-10 business days, and some providers charge connection fees ranging from €20-€50 per utility.

It's something we develop in our Spain property pack.

Which companies provide utilities in Spain and can you choose between them?

Spain's electricity market is fully liberalized, allowing homeowners to choose from multiple providers including Iberdrola, Endesa, Naturgy, and Repsol.

Water services are managed by local municipalities or regional authorities, giving homeowners no choice in provider. Companies like Aqualia, Suez, and Canal de Isabel II manage water distribution in different regions under municipal contracts.

Natural gas providers include Naturgy, Endesa, and regional companies, with availability depending on your area's gas network infrastructure. Not all Spanish properties have access to natural gas connections.

Internet and telecommunications services offer the widest choice, with Movistar, Orange, Vodafone, and MásMóvil competing throughout Spain.

How are utility bills typically paid in Spain?

Direct debit from a Spanish bank account is the standard payment method for utilities, preferred by 85% of Spanish homeowners.

Most utility companies require SEPA direct debit authorization during account setup. Bills are automatically deducted 5-10 days after the due date, and you receive email or SMS notifications before each payment.

Alternative payment methods include online bank transfers, credit card payments through provider websites, and cash payments at designated shops or banks. Some providers charge €2-€5 extra for non-direct debit payments.

Foreign bank accounts are generally not accepted for direct debit, making a Spanish bank account essential for property owners.

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How are electricity charges calculated and what does power cost?

Spanish electricity bills include two main components: a fixed power term based on your contracted capacity and a variable consumption charge based on actual usage.

The power term ranges from €3.45-€7.40 monthly for typical home contracts of 3.45-5.75 kW. Consumption charges vary by time of day under the new tariff system introduced in 2021.

Peak hours (10:00-14:00 and 18:00-22:00 on weekdays) cost €0.25-€0.37 per kWh. Valley hours (00:00-08:00 daily) cost €0.13-€0.18 per kWh. Flat hours cost €0.18-€0.25 per kWh.

Additional charges include electricity tax (5.1%), meter rental (€0.81 monthly), and VAT (21% on the total bill). A typical 270 kWh monthly consumption results in €85-€110 total cost.

How are water bills calculated in Spain?

Water bills combine a fixed monthly fee for service availability plus variable charges based on actual consumption measured in cubic meters.

The fixed fee ranges from €8-€15 monthly depending on your municipality and property size. Consumption is typically billed in progressive tiers, with higher usage rates for excessive consumption.

The first 10-15 cubic meters monthly cost €0.85-€1.20 per m³. Usage above this threshold costs €1.50-€2.10 per m³. Some municipalities add environmental and maintenance surcharges.

A typical Spanish household uses 12-15 cubic meters monthly, resulting in total water bills of €15-€38. Properties with gardens or pools pay significantly more during summer months.

What types of heating do Spanish homes use?

Electric heating systems are most common in Spanish homes, found in approximately 60% of properties, followed by natural gas central heating in urban areas.

1. **Electric heating**: Radiators, heat pumps, or underfloor systems costing €40-€80 monthly in winter2. **Natural gas heating**: Central heating systems costing €35-€70 monthly during heating season3. **Bottled gas (butane/propane)**: Portable heaters costing €30-€50 monthly for occasional use4. **Biomass heating**: Wood pellet systems costing €25-€45 monthly in rural areas5. **Solar heating**: Combined with electric backup, reducing costs by 30-50%

Coastal regions rely heavily on electric heating due to mild winters, while northern Spain uses more gas heating systems. Many properties combine multiple heating methods for efficiency.

It's something we develop in our Spain property pack.

infographics rental yields citiesSpain

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Spain versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

What additional charges appear on Spanish utility bills?

Spanish utility bills include several mandatory taxes and standing charges beyond basic consumption costs.

Electricity bills add a 5.1% electricity tax, 21% VAT, and monthly meter rental fees of €0.81. These extras typically add 30-35% to your base electricity consumption cost.

Water bills include municipal taxes, sewerage charges, and environmental fees that vary by location. These additional costs range from 15-25% of your base water consumption charge.

Gas bills include a fixed distribution charge, meter rental, and 21% VAT. Standing charges for gas typically add €10-€15 monthly regardless of consumption.

How do seasonal changes affect utility costs in Spain?

Summer and winter months significantly increase utility bills due to air conditioning and heating needs.

Summer electricity bills (June-September) increase by 40-60% due to air conditioning usage, especially in southern Spain where temperatures exceed 35°C regularly. A typical apartment's electricity bill rises from €75 to €120-€140 monthly.

Winter heating costs (December-March) add €30-€70 monthly depending on your heating system and region. Northern Spain experiences higher heating costs than Mediterranean coastal areas.

Water consumption increases 25-40% during summer months in properties with gardens or pools. Spring and autumn offer the lowest utility costs, with bills typically 20-30% below peak season levels.

What happens if you miss utility payments in Spain?

Spanish utility companies send payment reminders 10-15 days after missed payments, followed by formal disconnection warnings.

Electricity services are typically cut off 20-30 days after the first missed payment. Reconnection requires paying outstanding balances plus reconnection fees of €25-€50. Emergency reconnections outside business hours cost €75-€100.

Water disconnection procedures vary by municipality but usually occur 30-45 days after non-payment. Some areas cannot legally disconnect water to primary residences during winter months.

Gas services may be suspended for safety reasons if payments are missed, requiring professional reconnection visits costing €40-€80.

How can you reduce utility costs in Spain?

Time-of-use electricity tariffs offer the best savings opportunity, allowing 30-40% cost reductions by shifting consumption to off-peak hours.

1. **Use off-peak electricity** (00:00-08:00) for washing machines, dishwashers, and electric vehicle charging2. **Install programmable thermostats** to optimize heating and cooling schedules3. **Upgrade to energy-efficient appliances** with A++ or A+++ ratings4. **Add solar panels** to reduce grid electricity consumption by 50-70%5. **Improve insulation** in older properties to reduce heating and cooling needs

Water-saving measures include low-flow fixtures, drought-resistant landscaping, and rainwater collection systems. These modifications typically reduce water bills by 20-30%.

It's something we develop in our Spain property pack.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

  1. GetBueno - Utility Setup and Management
  2. Sublime Spain - Bills in Spain
  3. Alegria Real Estate - Monthly Utility Costs
  4. Evergreen Electrica - Average Electricity Bills
  5. Tejada Solicitors - Setting Up Utilities
  6. Expatica - Utilities in Spain Guide
  7. Idealista - New Electricity Rates
  8. N26 - Spanish Electricity Bill Guide