Overview
The 8-Step Off-Plan Process
Buying off-plan property in Spain is a highly structured process. The laws protect the buyer. If you follow the sequence correctly, it is one of the safest ways to secure a modern family home on the Costa del Sol. Here is exactly how it works when buying at Almitak.
1. The NIE and the Bank Account
Before you can buy property in Spain, you need a Número de Identificación de Extranjero (NIE). It is your tax identification number. You also need a Spanish bank account to manage the stage payments and future direct debits. Our BlancaReal legal team arranges both of these for you, usually within a few weeks.
2. The Reservation Contract
You select your unit at Almitak and sign a reservation document. You pay a small fee (typically €6,000). This takes the property off the market and freezes the price. The developer cannot sell it to anyone else.
3. The Private Purchase Contract (PPC)
About a month later, once the main building licenses are confirmed, you sign the PPC. At this point, you pay the main deposit. This is usually 10% to 30% of the property price, minus the reservation fee you already paid.
4. Bank Guarantees (Crucial Step)
Under Spanish law, every cent you pay during the construction phase must be protected by a bank guarantee or an insurance policy. If the developer fails to complete the project, the bank refunds your money. Our legal team ensures these guarantees are physically in your hand before you transfer the main deposit.
5. Stage Payments and Fit-Out Options
During the build, you may make further stage payments according to the contract schedule. This is also the time you choose your interior finishes. You pick the flooring, the kitchen style, and the bathroom tiles.
6. Mortgage Approval
If you require a mortgage, you start the formal application about three months before the completion date. Non-residents can usually borrow up to 70% of the property value.
7. The First Occupation License (LPO)
When construction finishes, the town hall inspects the building. If it meets all standards, they issue the LPO. You cannot legally complete the purchase or connect utilities without this document.
8. Notary Completion
You attend the Notary Public office (or assign us Power of Attorney). You pay the final balance, sign the public title deeds (Escritura), and receive the keys to your new family home.
Understanding the Costs
When buying off-plan in Spain, you must budget for the additional purchase costs. These total approximately 12% to 14% on top of the purchase price.
- VAT (IVA) on new builds is 10%.
- Stamp Duty (AJD) is 1.2% in Andalucía.
- Notary and Land Registry fees run around 1% to 1.5%.
- Legal fees are typically 1%.
The LOE Warranties
Spain's Ley 20/2015 (LOE) provides strict post-completion warranties. You get 1 year of coverage for minor finish defects, 3 years for installations that affect habitability (like plumbing or heating), and 10 years for major structural issues.
Buying off-plan is safe when managed correctly. BlancaReal has facilitated these transactions since 1969. We are ISO 9001 certified. Call +34 951 120 686 to discuss the exact payment structure for the Almitak development.