Property taxes in Spain vary but are typically in the range of 5% to 8% depending on where you buy the property and the ages of the buyer; way less than 16% which is the VAT ('IVA') rate.
Of course, you pay property taxes, but with the money you pay you are paying the VAT other people pay(the person who sells you the house needs to, and all the chain).
Uh, no; that's not how VAT works. If you buy a new property then the promotor, builders, carpinters, painters, architects etc can all claim back any VAT paid for services, supplies or materials. If you are buying second-hand, then the previous owner will have paid property tax, not VAT.
