Tool

Spain BTL Cash Flow Modeler

Project the real cash flow on a Spain buy-to-let. Models mortgage interest, IRPF rental deduction, voids, management agent fees, comunidad fees and rent growth over 1-30 years.

IRPF — Why Spain BTL Tax Hurts

Since April 2020, mortgage interest is NOT a deductible expense for individual Spain landlords. Instead you get a flat 20% tax credit on interest paid. If you are a higher-rate (40%) or additional-rate (45%) taxpayer, this means you are effectively taxed on revenue you never saw. This model calculates tax the correct post-IRPF way.

Property & Mortgage

Property Price

€

Deposit

Mortgage Rate (5yr fix)

Mortgage Term

yrs

Interest-only mortgage

Rent & Running Costs

Gross Monthly Rent

€

IBI Band (paid during voids)

Landlord Insurance

% of value

Letting Agent Management

% of rent

Maintenance Reserve

% of value

Vacancy Rate

% (8% ≈ 1 mo/yr)

Service Charge + Ground Rent

€/mo

Growth & Tax

Annual Rent Growth

Annual House Price Appreciation

Income Tax Bracket

Projection: 15 years

Higher Rate (40%)

⚠ At least one projection year has negative cash flow. Check the year-by-year table below.

Monthly Net Cash Flow (Y1)

€-126

Annual Net Cash Flow (Y1)

€-1514

Gross Yield

6.11%

Net Yield (after all costs, Y1)

-0.55%

Annualised ROI on Cash

-2.04%

Break-Even Year

Never in period

Cash Flow Projection — 15 years

Year-by-Year Breakdown

Year	Effective Rent	Mortgage Interest	Op. Expenses	S24 Credit	Tax Due	Net CF	Cum. CF	Property Value
1	€15.456	€9281	€5604	−€1856	€2085	€-1514	€-1514	€283.250
2	€15.920	€9281	€5767	−€1856	€2205	€-1333	€-2847	€291.748
3	€16.397	€9281	€5935	−€1856	€2329	€-1148	€-3995	€300.500
4	€16.889	€9281	€6108	−€1856	€2456	€-956	€-4951	€309.515
5	€17.396	€9281	€6286	−€1856	€2588	€-759	€-5710	€318.800
6	€17.918	€9281	€6469	−€1856	€2723	€-556	€-6265	€328.364
7	€18.455	€9281	€6658	−€1856	€2863	€-346	€-6612	€338.215
8	€19.009	€9281	€6852	−€1856	€3006	€-131	€-6743	€348.362
9	€19.579	€9281	€7053	−€1856	€3154	€91	€-6652	€358.813
10	€20.167	€9281	€7259	−€1856	€3307	€320	€-6332	€369.577
11	€20.772	€9281	€7471	−€1856	€3464	€555	€-5777	€380.664
12	€21.395	€9281	€7690	−€1856	€3625	€798	€-4980	€392.084
13	€22.037	€9281	€7916	−€1856	€3792	€1047	€-3932	€403.847
14	€22.698	€9281	€8148	−€1856	€3964	€1305	€-2628	€415.962
15	€23.379	€9281	€8387	−€1856	€4140	€1570	€-1058	€428.441

Deposit

€68.750

Loan Amount

€206.250

Monthly Mortgage

€773