Discover What Is a New Build Property in Spain?
A clear explanation for foreign buyers interested in Alicante
If you’re considering buying a home in Spain — especially in sunny areas like Alicante — you’ve likely come across the term «new build». But what does it actually mean, and how is it different from buying a resale property?
In this article, we explain what qualifies as a new build property in Spain, the key advantages, and what to expect during the process.
What exactly is a “new build” property?
In Spain, a new build property (or obra nueva) refers to a home that is:
- Brand new and never lived in, or
- Purchased off-plan, while it’s still under construction
These properties are usually sold directly by the developer or through authorised real estate agencies, and come with modern materials, up-to-date energy standards, and full legal guarantees.
Off-plan vs key-ready new builds
1. Off-plan properties
These are purchased before construction is completed — sometimes even before it starts. Buyers reserve a unit, pay in stages, and receive the keys upon completion. Off-plan usually allows for lower prices and some customisation.
2. Key-ready new builds
These are fully built and ready to move in, but have never been occupied. You can visit the finished property and complete the purchase quickly.
How is a new build different from a resale?
| Feature | New Build | Resale |
|---|---|---|
| Condition | Brand new | Previously lived in |
| Legal guarantees | Yes (10 years) | No (unless recently renovated) |
| Energy efficiency | High (A or B rating) | Lower in older homes |
| VAT or ITP tax | 10% VAT | 6–10% ITP (transfer tax) |
| Flexibility | Often allows personalisation | Fixed features |
Legal guarantees: What protection do you get?
New build properties in Spain are covered by Law 38/1999 (LOE), which requires the developer to offer:
- 10 years: structural guarantee
- 3 years: protection against defects in installations
- 1 year: general finishing and materials
This gives buyers greater peace of mind — especially important if you are buying from abroad.
What are the main benefits of buying new build in Alicante?
- Modern design and open-plan layouts
- Energy-efficient features (double glazing, insulation, solar panels)
- Developer warranties
- Low maintenance needs
- Legal transparency, especially when buying through trusted agents
In areas like Alicante city, Playa San Juan, Orihuela Costa, or El Campello, the demand for new builds is strong, particularly among foreign buyers.
Taxes and costs: what to expect?
For new build homes in Spain, the main tax is VAT (IVA) at 10%, plus stamp duty (AJD) which is usually 1.5% depending on the region. These taxes are higher than for resale homes, but they come with fewer surprises in terms of renovation or legal issues.
Example:
If you buy a new build property for €250,000:
– 10% VAT = €25,000
– 1.5% AJD = €3,750
Total purchase tax = €28,750
Can foreigners buy new build homes in Spain?
Yes, absolutely. Spain has no restrictions on property ownership for non-residents. You will need a NIE (foreign tax ID) and a Spanish bank account. Many developers also offer English-speaking support and legal assistance throughout the process.
Final thoughts
Buying a new build property in Spain — especially in the Alicante region — can be a safe, modern, and attractive option for both lifestyle buyers and investors. You benefit from legal protection, energy efficiency, and a home tailored to today’s standards.
If you’re just starting your journey, we recommend exploring the different areas of Alicante to find the right fit, whether it’s by the sea, near a golf course, or in a tranquil inland village.
🔗 Explore our updated listings of new build homes across the Alicante province → View properties
Want to explore real opportunities?
If you’re considering buying a new build property in Spain, Alicante offers a wide range of high-quality developments — from modern beachside apartments to golf resort villas and quiet inland townhouses. Whether you’re retiring, relocating, or investing, new build homes in Alicante give you comfort, energy efficiency, and peace of mind.
At NewBuildAlicante.es, we specialise in helping foreign buyers like you find the right property with full guidance in English or Dutch. We also provide updated information on local areas, legal steps, and reliable developers.
Click here to view current new build properties available across Alicante →
And if you want to know more about costs, taxes, or the step-by-step process, make sure to check our other articles designed to guide you through buying a new build home in Spain with clarity and confidence.
