How to choose a new property in Spain as a foreigner?

New developments in Spain are popular among foreign buyers thanks to modern construction technologies, convenient infrastructure, and energy efficiency. However, choosing a property can be challenging, especially for those encountering the Spanish real estate market for the first time. This article will help you understand the features of new developments and make the purchasing process easier.

Advantages of new developments in Spain

Energy efficiency. All new buildings in Spain come with an energy efficiency certificate, ensuring the building retains heat and reduces energy consumption.
Ready to move in. New apartments are delivered with completed finishes, plumbing, and a ready-to-use kitchen, saving time and money.
Convenient infrastructure. Residential complexes often include secured areas, swimming pools, gyms, and children’s playgrounds.
Enhanced security. Video surveillance systems and on-site security protect against unauthorized occupation.

What to consider when choosing a developer

A key step in purchasing a new property is selecting the developer. Check:

The company’s reputation: review feedback and previous project portfolios.
The contract terms: ensure all financial obligations are clearly defined.
The presence of an escrow account: this ensures your investment is secure until construction is completed.

Steps to buying a new property

The process of buying a property in Spain involves several steps:

Paying a deposit. To reserve a property, a deposit of €6,000–€8,000 is typically required.
Signing the contract. This document outlines the payment schedule, often divided into several installments.
Formalizing ownership. After construction is completed, the buyer receives the keys and becomes the property owner.

Taxes and expenses

When purchasing a new property in Spain, you will pay VAT (10% of the property price) and the Documented Legal Acts Tax (AJD), which varies from 0.5% to 2% depending on the region. You should also consider costs for the notary, property registration, and mortgage arrangement.

Tips for a successful purchase

Define your budget and choose a property that does not exceed four times your family’s annual income.
Plan your purchase with future prospects in mind: location, infrastructure, and property convenience are crucial factors.
Review the payment terms and guarantees offered by the developer.

Choosing a new property in Spain requires attention to detail, but the benefits of such housing are clear. A thoughtful approach to purchasing will ensure comfortable living in one of Europe’s sunniest countries.