In this episode, Glenn and An-Sofie discuss in the buying process of a buy on plan in Spain. What are the steps, what should you pay attention to, and how is this different from buying an existing property?
Listen on Youtube, Apple Podcasts or Spotify.
🔹 What is a buy on plan?
- Explanation of difference between buy-on-plan and auto-promoción (being a builder himself).
🔹 Step 1: The reservation
- How does a reservation for a new building work?
- Can you make an offer on a new construction project?
🔹 Step 2: Legal and technical checks
- Verification of property title, permits, and presence of a bank guarantee.
- What if planning permission has not yet been delivered?
- What if no bank guarantee is offered?
🔹 Step 3: The purchase agreement
- What is the difference between a reservation and a purchase agreement?
- What documents and safeguards are needed?
🔹 Step 4: The delivery of the property
- Technical delivery and snagging list.
- Legal completion and entry in the register.
🔹 The role of a power of attorney
- Why it is useful to work with power of attorney:
- NIE numbers
- Flexibility in deed date
- Utility connection
- Rental licence application
🔹 When can you move into the property?
- Difference between deed and effective commissioning.
- What if the utilities are not connected yet?
🔹 Visit at the notary's office
- What exactly happens when the deed is executed?
🔹 After the deed: administrative follow-up
- Utility connection
- Rental licence application (if applicable)
- Declaration of foreign cadastral income (KI)
- Registration of title
🔹 Why choose a buy on plan as an investment?
- Fixed purchase price today, payment spread in the future
- Potential added value on delivery
- Less risk when the project is completed
