Why have a used house when you could have a brand new Villa or Apartment with your own personal taste in all the finishing’s and appliances! Buying Direct from the builder can be cheaper than purchasing a second hand property in Spain by up to 30%, that with the fact the properties should be built to the highest quality standards and with the most modern materials, it is easy to see why many expats choose this option.
Bear in mind however, that you will be buying and paying for a property that does not yet exist, therefore care must be taken to protect yourself from some unscrupulous builders that are inevitably around.
When signing the reservation contract, you will be asked to put a down payment of between €3000 and €6000, this is a short contract with:
· Developers / Builders Name
· Company Details
· A general Property description
· Total price of the property
ALWAYS hire an independent lawyer to check all the paperwork from the outset. Be sure to get a copy of an approved building license at this stage and before any monies are passed over.
The monies paid on the reservation contract are deductible from the final purchase price of the property.
This is a long legal contract that will list:
· Both the developers / builders and the buyers details
· A full property description
· The agreed sales price
· The schedule of agreed staged payments
· The buying terms
· The time frame to complete the build
A payment equivalent to 10% of the final build cost will be expected at this stage. Again this payment will be deducted from the final payment of the total build price.
NOTE: The 10% payment is NON REFUNDABLE
This is where your property build direct from the builder is complete, and it is time to go to the Notary to sign the Title Deed for the property.
You should have a Spanish bank account by this point; you will need it to for all you utility bills for your new property in Spain. The utility companies will not accept payment from overseas bank accounts.
Updated 23rd Feb 2023.