How to buy new build homes in Spain (UK guide)

Disclaimer: The information in this article is for reference purposes only. All information on this page should not be considered financial or tax advice. All tax saving strategies or decisions should be made after thorough research and consultation with a qualified financial advisor.

It can feel like a challenging time for the housing market. New buyers enter the scene every day, while countries battle with the current housing stock on offer. There are missions in many major cities to expand the housing options available, with new builds appearing yearly. So buying a new build home in Spain may be something you are considering.

According to research, the Spanish housing market is about to enter a boom period. Although there is a housing deficit, this local demand is increasing the focus on providing new build homes to those that need them.¹ There may never be a better time to move from the UK to Spain.

With a blossoming housing market, Spain could be a great place to purchase a new build home. They are energy efficient, often have contemporary designs, can potentially be tailored to your needs and may offer a long-term investment opportunity.

While they may not boast as much character as existing or established properties, which have proven reliability and are often well-located, we’ll cover everything you need to know, so that you can make the right choice for you.

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Why choose new build homes in Spain?

Deciding whether to make a move from one country to another is already pretty complex. There is a lot to consider about moving to a new area. Learning the language, employment opportunities and potential schools for children all must be accounted for.

Spain may be offering everything you’re looking for, but if you’re planning on buying a property abroad, you may want to think about new build homes.

New build homes in Spain are representative of a changing market. They are forward-thinking and feature modern design elements. New build homes are now more energy efficient than ever, meaning they are cheaper to run. Plus, they are often built in convenient locations, with new communities built around local hotspots and areas with real promise.

If you’re looking to invest in property abroad, then a new build house could be the right move.

But if you’re looking to move to Spain from the UK you’ll want to examine the housing stock already available. Much of this will be in the traditional Spanish style. Although they may not be as energy efficient, many will feature the traditional charm you’re looking for.

Deciding between the two options is the first step on this exciting adventure. To make the right choice for you, it is best to list the reasons for moving and the criteria you’re looking for in a house.

📚 Moving to Spain from the UK

Navigating the costs of new build homes in Spain

If you are going to make that leap and want to move to Spain, you first have to understand the costs of the process. You’ll likely have a budget in mind and have an idea of the potential prices you might be facing to buy a new build home there.

To enter this process with your eyes open, you need a greater understanding of purchase prices and those “hidden” fees that may catch you by surprise. It’s also crucial to get a sense of any applicable grants and schemes that you can take advantage of.

Let’s take a look at these costs and any key information you will need to know to help you when buying a new build home in Spain.

Understanding purchase prices and "hidden" fees

The pricing process is pretty similar no matter what country you may be buying a property in. It often comes down to three factors. There’s the market value, measuring how much a property may cost in that location. Then there is the estimated guide price, the recommended amount that a property may be put onto the market.

Finally, there is the asking price, or the initial amount the owner would like. The asking price can often be negotiated, especially when dealing with established or traditional property.

However, new build homes are in high demand, so there's less likely to be the option to negotiate on the asking price, unless it differs vastly from the market value. The average price of a new build home in Spain is around €2,528 per square meter.²

Finally there's the purchase price; the figure that will cover the property at the negotiated amount, any additional land and outbuildings and any other fixtures or items in the agreed upon contract.

It’s worth noting that this figure does not usually include tax such as Stamp Duty. It is crucial to check local government guidance on tax and seek professional guidance.

There are often “hidden fees” on top purchase price to consider too, making the process of moving more expensive than you first thought.

To start with, unless you are fluent in Spanish, there will likely be translation fees, to ensure that all required legal documents are both in English and Spanish. There will also be legal fees for paying those experts and legal advisors involved in the process. That will include a surveyor who may assess the property on your behalf.

On top of this, there are moving fees, which are critical for arriving in the country. Not only will you need to account for the cost of moving your personal belongings from the UK to Spain, but you’ll also need to explore any necessary visas and visa fees.

Some long-stay visa options include the National Visa or Non-Lucrative Visa for those looking to make a move

Finally, you may also face transfer fees when transferring your money to buy a property abroad. In addition to this, you’ll need to pay for local vendors in the local currency.

There are often “hidden” fees when transferring your money abroad, to pay for vendors and cover other domestic costs. This is because some banks and providers hide their fees in the exchange rate they offer, meaning even if their currency conversion fee is low or “free”, you may still be paying more.

Consider using Wise to benefit from the mid-market exchange rate to counter those fees. Wise also has a dedicated team to help you move large amounts with discounted fees for larger transfers.

Government grants and incentives for Spain Buyers

There are plenty of incentives and grants that you can explore further, if you are looking to buy a house abroad. Spain offers a couple of options, although it is important to note that often countries will only offer these deals to Spanish citizens.

There is also a particular focus on helping people onto the property ladder. If you are a first-time buyer then there may be help available. There are fewer options when it comes to financial help for those that are already homeowners.

If you are moving to Spain, you will need to obtain a Número de Identificación de Extranjero or NIE number. This is an exclusive foreign identification number assigned to anyone international who wants to engage with Spanish life. If you wish to buy a house, you will need to set up an NIE. This can be requested directly in Spain or by speaking with the Consular Office in the UK.²

In Spain, there is also IVA to consider, which is the Spanish equivalent of VAT. The standard rate of IVA is 21%. However, for a new build home in Spain, this is reduced to 10%. This is not only for Spanish nationals though. If you are moving to Spain and wish to buy a new build home, the same IVA rate applies.⁴

How to buy a new build property: step-by-step

You may have decided that moving to Spain is the best call for you and your family. However, there is still work to be done. Because you need to get a better sense of the process of buying a new build property in the country.

This step-by-step guide will aid in developing your knowledge of the process, ensuring that you are fully prepared for when you begin this journey yourself. This guide will include how to find the right developer and plot of land, how to best select a builder and coverage of the overall timeline of the project, from start to finish.

Buying a new build in Spain: 12 key steps

If you are looking to buy a new build property in Spain, these 12 steps are critical in the process:

• Pick and research a specific area of Spain
• Apply for an NIE number
• Arrange viewings at a variety of properties with local experts.
• Ask to see the Nota Simple, which provides an overview of the property
• Make an offer
• Pay the initial deposit
• Hire a legal expert to handle the paperwork and commission a house survey
• Finalise your mortgage
• Sign the preliminary agreement
• Sign the contract of sales
• Settle fees and taxes
• Congratulations, once everything above is done, it's time to move in

Make sure to explore our guide to buying property in Spain for more in-depth information.

📚 How to buy property in Spain

Finding the right development or plot of land

Finding the right area to buy a new build home or buy land in can be challenging. Especially if you are not familiar with the area. That’s why having a clear idea of exactly what you want is essential.

Create a list of criteria for what you are looking for. Keep in mind your lifestyle choices and what you and your family may need in the future. It’s useful to look at the surrounding community, the facilities available and the reputation of the area.

Assess any potential problems or risks, such as the environmental challenges of the area, employment opportunities and crime rates. It’s worth visiting the area to explore yourself too. If this isn’t possible, speak with a local expert to get the best overview of the property or properties you’re buying.

Make the most of sites such as New Buildings Spain and Idealista, which provide listings of new builds available and present a compelling overview of the expected prices and the types of properties on the market currently.

Selecting a reputable developer or builder

Getting information regarding who is responsible for a new build home is also going to give you a greater sense of security and can provide you with an assessment of the value of the property. Reputable developers or builders will have a solid portfolio of prior work to look at.

Local experts and property listers may be able to provide recommendations. It’s also worth exploring which local developers secure contracts with the Spanish government. Also take note of those builders who have worked on multiple properties in a single area. Ensure these developers are up to date on all the necessary government registration.

Understanding the timeline and construction stages

If you are buying a house early into its development, there may be additional delays to wait for. In Spain, a project could take anywhere between 12 and 36 months to complete, depending on the size of the build and the challenges faced.

When buying any property in Spain, there are additional delays to negotiate. For example, in Spain, it is tradition to have a Reservation Agreement in place. This is a short period, often between 14 and 30 days, where a house is temporarily taken off the market by the seller for legal checks to begin before a sale. Buyers will typically have to place down a deposit for this process to begin.⁵

If you’re looking to buy a new build before or during the construction phase of the process, then you may be looking to make an off-plan purchase. That means you’re buying directly from the developer.

While this may be more cost-effective, there are risks of delays in the construction, adding to the timeline. Usually, after an initial reservation agreement, buyers will sign a private purchase contract with staged payments.⁶

📚 Renovating property in Spain

Quality, sustainability and modern design standards

Buying a new build home means that you’ll enjoy modern building standards, contemporary design and high-quality craftsmanship. You’ll be purchasing a home that is not only at the forefront of the market but is tailored for the future.

Energy efficiency and local ratings

New build homes are traditionally more energy efficient, passing stricter tests and meeting current environmental requirements. With better insulation, improved heating systems and intelligent design, new build homes are usually cheaper to run.

In Spain, a house must obtain an Energy Performance Certificate or CEE. Much like in the UK, the efficiency of a property is measured from best to worst on a scale of A to G. Other incentives like White Certificates are also being introduced for developers.

Customisation options and builder guarantees

If you are involved in the building process early on, you will likely find additional benefits. Those include being able to tailor and customise a build to your needs. Better security systems, insulation or the installation of solar panels can all make a property more cost-effective and future proof.

You must also be wary of builder guarantees when buying a new build home in Spain. Ensuring that there is paperwork that covers any potential damage or destruction due to poor construction is advisable. In Spain, there are mandatory warranties that are legally required. These can last up to 10 years from the completion of a property.

New build vs. established properties in Spain

If you are set on moving to Spain, there is still the decision to be made on whether to purchase a new build property or to buy something from the established housing stock. While there is no right answer, there are positives and negatives for each.

Long-term ROI and resale value

You may be an investor looking for a property with quality resale value. You may be a buyer planning on staying in a property but with an eye to the future. New build homes often take longer for their value to appreciate, but can increase in value long-term. Their energy efficiency, reliability and modern features ensure that the property’s value is secured.

Established properties may equally have an increased resale value, especially if the market continues to grow. However, it is often the case that you’ll have to bring additional value to the house yourself, to increase its resale price.

With increased demand in Spain and a desire for many first time buyers to get on the housing ladder, new build homes may be the more accessible option long-term.

Challenges of buying a new build property in Spain

There are still challenges to be faced in buying a new build home for example, there may be additional delays in the construction. There are also more hoops to jump through in comparison to a pre-existing house too.

Negotiating with developers or deciding on a home before it is built is very different from walking around an established property.

Houses in the property stock that have that traditional character may be what you are looking for when moving to Spain. New build homes, by comparison may not feature these same aesthetic elements. Unlike established properties, new build homes aren’t tried-and-tested either.

New build house buyers may find that the area they have chosen can change relatively quickly too, as other new builds arrive. Pre-existing houses will have an established community around them while new build houses may not.

It is also worth noting that the demand on the housing market means that competition is high and the buying process can be long, regardless of what type of property you are looking to purchase. The efficiency of a deal’s completion could influence your choice.

Is a new build in Spain your best move?

Whether buying a new build home in Spain is your best move primarily depends on what you need. If you’re retiring for example, this could be the perfect scenario for a fresh start abroad, in a house tailored to your later life needs.

Families, meanwhile, may benefit from the modern features of a new build home, combining energy efficiency with family-focused tailoring. Investors may also find a lot to love in purchasing a new build home, entering the Spanish housing market as it booms.

If you are going to make that change, consider using Wise to transfer your money abroad to buy a property in Spain. You can use Wise for large transfers in euros for your mortgage deposit and other moving costs, which can help you save on currency exchange fees*.

📚 Transfer money to buy property in Spain

Save on currency conversion fees with Wise when buying property in Spain

After reading this guide, you should have all the essential info you need to start your new build property search in Spain. This includes those crucial first steps such as finding a broker and searching online property portals, and getting your finances in order.

Need a secure, convenient and low-cost way to send a deposit or pay the final balance for your property purchase in Spain? Take a look at the Wise account from the money services provider Wise. It's not a bank account but offers some similar features and your money is safeguarded.

With Wise, you can set up large amount transfers worldwide to 140+ countries for low, transparent fees* and the mid-market exchange rates with no markup.

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Sources used in this article:

1. CaixaBank Research - Spain’s housing market boom
2. Spanish Property Insight - value of new build homes in Spain
3. Ministry of Foreign Affairs, European Union and Cooperation of Spain - Foreign Identity Number
4. Prime Invest - IVA rates on new build homes
5. Immoabroad - Spain reservation contract
6. Idealista - buying off-plan in Spain

Sources last checked - 18/02/2026