Buying processSpain

New Build or Resale in Spain: How to Choose

New build or resale in Spain? Compare the purchase process, IVA and ITP, off-plan payment protection, LOE liability periods, the Nota Simple and running costs.

Published on 19 September 20266 min read

Aerial view of Alicante with its port, marina and old town

Contents

Key points

New build here means bought directly from the developer, off-plan or completed, and usually never sold before. Resale means the home has already had an owner, whatever its age.
New builds generally carry VAT (IVA) plus regional stamp duty; resales carry regional Property Transfer Tax (ITP).
Off-plan advance payments must be protected by surety insurance or a bank guarantee once the building licence has been granted.
For resales, the Nota Simple, unpaid community charges and unregistered alterations are the key checks.
A lower price does not automatically mean a lower total cost.

As of 19 September 2026, source: buying guide by an international property portal. Tax rates and rules may have changed since, so please check the current position. This article is general information, not legal or tax advice.

Defining the two options

The choice between new and resale affects timing, legal checks, condition, choice and later costs. Note that "resale" describes a property's transaction history, not its physical state: a home that is only a few years old, or freshly renovated, can still be a resale.

From contract to keys

Completed new build. After reservation and contract, completion can usually follow once the property and handover documents are ready.

Off-plan. Buyers typically reserve a unit, sign a private purchase contract and pay in line with the agreed construction schedule, with percentages and deadlines set per project. Handover comes after construction, the occupation formalities, payment of the balance and signing of the public deed. Because you may commit money months or years ahead, delivery dates, permitted extensions and remedies for delay matter.

Resale. Once terms are agreed, your lawyer should review key registry and legal information before a binding arras contract is signed, or make sure suitable conditions are written in. Completion takes place before a notary, and if the paperwork is in order the route to possession is usually shorter than off-plan.

Visualisation of a modern new-build apartment complex with pool and palm trees in Spain

Legal due diligence

New build

Confirm the developer's authority to sell, land ownership and the relevant planning and building permissions.
Off-plan: from the point the building licence is obtained, repayment of advance payments collected for construction must be protected under the statutory framework through surety insurance (seguro de caución) or a bank guarantee (aval bancario), with funds paid into a designated special account. Check that the protection covers what you have actually paid.
Before completion, verify the first-occupation licence, declaration or other local occupancy documents needed for lawful handover.

Spain's Building Act, the Ley de Ordenación de la Edificación (LOE), sets liability periods of one year for certain finishing defects, three years for defects affecting habitability and ten years for specified structural defects. They run from reception of the works, not from your purchase date.

Resale

Nota Simple: the Land Registry extract confirms the registered owner and shows mortgages, embargoes, easements and other restrictions.
Community of owners: check outstanding charges, approved special assessments and major works. Under the Horizontal Property Act, the Ley de Propiedad Horizontal (LPH), the property can remain liable for unpaid general community charges for the current year and the three preceding calendar years. At completion the seller normally provides a debt-status certificate unless the buyer expressly waives it.
Paper versus reality: extensions, terrace enclosures or converted garages may need checking against registry, cadastral and municipal records. A finished renovation is no proof that the legal record is correct.
Recent resales: statutory construction-liability periods may still be running for later buyers; check against the original reception date.

Condition and renovation

A new build normally comes with unused finishes and installations and little need for early capital work. Buyers who enter early may be able to choose flooring, kitchen finishes or limited layout options. Snagging at handover is still essential: glazing, tiling, sanitary fittings, electrical points and mechanical systems should be checked against the agreed specification.

With a resale you can inspect the exact home, building and common areas first, including light, noise, views and upkeep. Older homes call for a closer look at windows, wiring, plumbing, waterproofing, climate systems and damp. If major systems or shared building elements are near replacement, a lower price may not mean a lower total cost. Renovated resales can save work, but the quality and legality of the alterations still need checking, and your own changes usually come after purchase.

Established apartment complex with communal pool and gardens on the Spanish coast

Taxes, energy and running costs

Taxes: first sales by a developer generally carry IVA, with a general rate of 10% for homes, and stamp duty (AJD) may apply to certain acts. Resales carry ITP, whose rate depends on the autonomous region.
Energy: new construction usually meets newer standards for insulation, glazing, heating and cooling. Both new homes and resales offered for sale are generally subject to energy certification, so the certificate tells you more than the build year.
Community fees: a modern development may use less energy yet cost more each year because of pools, landscaping, lifts or security.
After purchase: IBI property tax, community charges, insurance and maintenance continue and depend on the location, building and shared facilities.

Location and choice

New-build supply exists only where development is happening, which in mature city and coastal areas often means expansion zones or a few redevelopment sites. Buying early gives more choice of unit, floor, orientation and view; buying later gives more certainty about the finished project and a shorter wait, but from a smaller remaining inventory. Resales open up established districts and let you judge the street, neighbours and common areas before you buy.