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V2550-25 18 December 2025 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · exención por reinversión

Property considered habitual if resided in for at least two years before sale

The consultant asks whether their Madrid property qualifies as habitual to claim the reinvestment exemption upon sale. The DGT explains that continuous residence for at least three years is required, or the habitual residence status must have been lost in the two years prior to transfer.

The question raised

Whether the property in Madrid can be considered the habitual residence for the purposes of applying the exemption for reinvestment in a habitual residence on the capital gain obtained from its sale.

The DGT's ruling

For the exemption, the transferred property must have been the habitual residence up to any day within the two years preceding the date of transfer. Habitual residence requires continuous residence for at least three years, except in exceptional circumstances such as separation or job relocation. The property maintains this status as long as habitual residence and full ownership coexist.

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