A plain-English walkthrough for international buyers — from your first reservation to collecting the keys.
Buying a brand-new home on the Costa Blanca is more straightforward than most international buyers expect. There are no restrictions on foreigners owning property in Spain, the off-plan process is regulated and protected by law, and the costs are predictable once you know what to budget for. This guide explains the whole journey step by step, what you’ll pay in taxes and fees, how your money is protected while a property is being built, and how long it all takes.
This is general information to help you plan, not legal or tax advice. Always confirm the specifics of your purchase with your own independent lawyer and tax adviser.
Can foreigners buy property in Spain?
Yes — without restriction. Whether you’re from the EU, the UK, Scandinavia, or further afield, you have the same right to buy and own property in Spain as a Spanish national. You don’t need residency, and you don’t need to live in Spain.
The one essential is an NIE (Número de Identidad de Extranjero) — a foreigner’s tax identification number. You can’t complete a purchase, pay property taxes, or set up utilities without one. It’s simple to obtain and we explain how below.
One important 2026 update on residency: Spain’s “Golden Visa” — which previously granted residency in return for a €500,000 property investment — was abolished on 3 April 2025. Buying property, at any price, no longer grants you residency. You can still buy completely freely as a foreigner; the purchase simply doesn’t come with a residence permit attached. If living in Spain long-term is your goal, the routes that remain in 2026 are the Non-Lucrative Visa (for those with sufficient passive income or savings), the Digital Nomad Visa (for remote workers), and the Entrepreneur Visa. EU citizens, of course, retain the automatic right to live in Spain.
New-build basics: off-plan vs key-ready
New-build properties come in two forms, and the buying process differs slightly between them:
- Off-plan (sobre plano) — you reserve and pay for the property while it’s still being built, often before construction has started. You pay in stages as the building progresses. The advantages are the best prices, the widest choice of units, and time to spread payments; the trade-off is that you wait for completion.
- Key-ready (llave en mano) — the property is finished or nearly finished. You complete quickly and move in (or rent it out) almost immediately, but choice is more limited and prices are usually higher.
Both are covered by the same legal protections. The main practical difference is the payment schedule and the timeline.
The step-by-step buying process
Step 1 — Get your NIE and a Spanish bank account
Your NIE can be obtained in person at a Spanish police station or consulate, or via a lawyer with power of attorney acting on your behalf — which is how most overseas buyers do it. A Spanish bank account makes paying deposits, taxes, and utility bills far easier, and is effectively required for a Spanish mortgage.
Step 2 — Appoint an independent lawyer
This is the single most important step. Engage a Spanish property lawyer (abogado) who is independent of the developer and the agent. They will run the legal checks: confirming the developer owns the land, the building licence is in place, the property is free of debts, and — for off-plan — that the mandatory bank guarantee on your payments exists. Expect to budget around 1% of the price (plus VAT) for legal fees.
Step 3 — Reserve the property
You pay a reservation fee to take the unit off the market and fix the price while contracts are prepared. The amount varies from developer to developer (often a few thousand euros) and is set out in the reservation document. This is usually done within days of choosing your property.
Step 4 — Sign the private purchase contract
Within a few weeks, you and the developer sign the private purchase contract (contrato de compraventa), which sets out the price, specifications, payment schedule, and completion conditions. At this point you typically pay a deposit that brings your total paid to around 10–30% of the price. Your lawyer should review this contract before you sign anything.
Step 5 — Stage payments (off-plan only)
As construction reaches agreed milestones, you make stage payments toward the balance. Crucially, every payment you make before completion must be protected — see “How your money is protected” below.
Step 6 — Completion at the notary
When the property is finished and has its licence of first occupation, you complete the purchase by signing the title deed (escritura pública) in front of a Spanish notary. You pay the outstanding balance and the purchase taxes, and the keys are handed over. You can attend in person or have your lawyer complete on your behalf under power of attorney.
Step 7 — After completion
Your lawyer registers the deed at the Land Registry (Registro de la Propiedad), and you set up utilities and arrange ongoing tax payments. Non-resident owners should also note their annual obligations (such as non-resident income tax) — your lawyer or gestor can handle these.
What it costs: taxes and fees on a new build
On top of the purchase price, budget roughly 12–13% for taxes and fees. For a new-build property on the Costa Blanca (Valencian Community), the breakdown in 2026 is:
| Cost | Rate / amount | Notes |
|---|---|---|
| VAT (IVA) | 10% of the price | Applies to new builds bought from a developer |
| Stamp duty (AJD) | 1.4% | Valencian Community rate, reduced from 1.5% in the June 2026 reform |
| Notary | ~€600–€1,200 | Scales with the price and deed complexity |
| Land Registry | ~€400–€900 | To register the title in your name |
| Legal fees | ~1% + VAT | Your independent lawyer |
- You can’t under-declare the price. Spain uses an official reference value (valor de referencia) for each property. If your purchase price is below it, tax is calculated on the higher reference value — so declaring a lower figure saves nothing and creates risk.
- Mortgage costs are separate. If you finance the purchase, add the costs of the mortgage itself (valuation and the bank’s own arrangement fees).
- Ongoing costs after you own the property include annual council tax (IBI), community fees if it’s part of a development, utilities, and rubbish collection. These vary by property and municipality.
How your money is protected (off-plan)
This is the question most off-plan buyers ask, and the answer is reassuring. Under Spanish law (Law 38/1999 on Building, reinforced by Law 20/2015), a developer taking payments for an off-plan home must secure every payment you make with a bank guarantee or insurance policy. If the property is never delivered, you are entitled to your money back with interest.
Two practical points your lawyer will check:
- The guarantee only validly exists once the developer holds a building licence — payments shouldn’t be made before then.
- You should receive an individual guarantee document for each payment you make.
In addition, finished new builds carry statutory warranties under the Building Act: typically one year for finishes, three years for installations and habitability, and ten years for structural defects.
Financing: mortgages for non-residents
Spanish banks lend to non-residents, though usually at a lower loan-to-value than for residents — commonly up to around 70% of the price or valuation, meaning you’ll need roughly 30% as a deposit plus the purchase costs above. Lending decisions depend on your income, age, and existing commitments. It’s worth getting a mortgage in principle early, as it shapes your budget.
How long does it take?
- Key-ready: completion can happen within a few weeks of reserving, once legal checks and any mortgage are in place.
- Off-plan: construction typically runs 18–36 months from reservation to completion, depending on the development’s stage when you reserve. You’ll pay in stages across that period and complete when the property is finished and licensed.
Living in Spain after you buy
Owning a Spanish home doesn’t grant residency (see the Golden Visa note above), but it’s a natural base if you later pursue the Non-Lucrative or Digital Nomad visa, or if you’re an EU citizen exercising free movement. Many international owners use their property seasonally and rent it out the rest of the year — your lawyer can advise on the tax treatment of rental income for non-residents.
Where to start on the Costa Blanca
The Costa Blanca South offers some of the best value for new builds in Spain, with strong rental demand and year-round sunshine. Across our developments, new-build apartments currently start from:
- Guardamar del Segura — from €239,000 (2-bed, 2-bath), beaches and pine forest, three developments
- Torrevieja — from €280,000 (3-bed, 2-bath), coastal town with marinas and salt lakes
- Algorfa — from €159,000 (2-bed, 2-bath), inland value beside the La Finca golf resort
Talk to us for current availability and the full price list — we’ll guide you through every step above, in your language.
Last reviewed: 2026. Figures for taxes and fees reflect the Valencian Community as of mid-2026 and should be confirmed with your lawyer for your specific purchase.
