Property Purchase Guide Spain - Resale vs New Build

In Spain the process of purchasing a property is different depending on if you are buying a so called “resale” property or a “new build” property.

Resale - A property that has had a previous owner.

New build - A property that is brand new and hasn’t had a previous owner.


Below you will find the purchase process for the two different kinds of properties.


New Build/Brand new properties:

After you have found the property that you would like to purchase the process is as follows…

  1. Signing of the reservation document and payment of the reservation. At this stage you will typically need to make a payment of between 6-10,000€ depending on the value of the property. Once you have paid the reservation fee the property is automatically blocked for you and it can not be purchased by another buyer. Before reserving your property you should make sure that the builder/developer has a bank guarantee that backs the project in case of any issues.

  2. Once the developer of your new build has acquired the building license you will be moving forward by signing the “private purchase contract”. Once you sign this contract the builder/developer will usually ask you to pay another installment of typically 30% of the purchase price. Again, make sure that there is a bank guarantee that guarantee that your money will be paid back in case of any issues with the project.

  3. Once the project is built and completed, the developer will be applying for the first occupation license. Once they have acquired this license you will be required to pay the remaining amount of the purchase price of your property. This is also when the title deed is signed and you officially become the owner of the property. Connecting water and electricity to your new home will typically take 3-7 days.

Resale properties:

After you have found the property that you would like to purchase the process is as follows…

  1. Signing of the reservation document and payment of the reservation. At this stage you will typically need to make a payment of between 3-6,000€ depending on the value of the property. Some basic searches of the property will be done during this stage by your lawyer.

  2. After approximately 2-4 weeks after having made your reservation you will be signing the “private purchase contract”. At the time of this signing you will usually be paying 10% of the purchase price. After this payment is done then all searches of the property are done in order to confirm the property is free of charges and encumbrances.

  3. 4 weeks after the signing of the “private purchase contract” you will be reaching “completion”. This will be done in front of a public notary. At this moment, the rest of the purchase price has to be paid to the vendor and after doing so you will become the new owner of the property. All the utilities are transferred to the name of the new owner.

These are the two different purchase processes depending on what kind of property you are looking to purchase. Some differences may apply, but these processes are in broad lines the purchase process of properties in Spain.

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