New Build Property and Developments in Spain vs Resale: Pros and Cons

It is no secret that the real estate market is divided into two broad segments: new buildings and secondary housing. Each has its characteristics, and not always obvious ones. In this article, we will talk about the advantages that new housing has over secondary.

Spain is considered one of the European leaders in terms of quality and quantity of construction, which is facilitated by a warm climate and other factors. Let's dive into it!

All new homes in Spain have A or B energy certificates. What does it mean? Thanks to the use of modern materials and electrical appliances, modern buildings save heat inside better (compare the service life of a ''hot'' incandescent light bulb with that of a ''cold'' LED analogue). As a result, it requires less energy to heat itself. The main energy efficiency parameters are thermal insulation, heat recovery and infiltration (less air gets inside from the street).

How does it work, and how much can you save on it? A house with an A energy efficiency certificate (the highest available) has an average energy loss of 25 kWh/1 sq.m. per year. Multiply this by the nominal area (100 m²) and the Spanish tariff (around €0.13 per kWh of electricity). It turns out that in a house like this you will pay €325 for electricity per year. At the same time, a similar apartment with a D energy certificate (it is common in older buildings) has almost four times the energy loss – 92k Wh/1 sq.m. per year. In this case, the annual heating bill is around €1200.

Also, many old Spanish homes, mostly holiday homes, have no heating at all. In new buildings, however, the heating system is almost always installed.

What is an energy efficiency certificate, and what advantages does it offer?

The vast majority of villas and apartments in Spain are ready for moving in. This means that the walls are already painted, tiles and plumbing are in place and the kitchen is almost always fitted and equipped. As a bonus, the developer often installs air conditioning or gives a discount on furniture and/or electrical appliances. Besides, it is known that Spain has a dry and sunny climate (except for the northern part), which means a long service life without the need to invest in repairs of your property.

Secondary housing requires redesigning for your needs, or you may have to spend money on renovation. In case the building is over 30 years old, it may have been built using outdated technologies, and it may need to go through a significant renovation soon.

Types of property surveys in Spain

It is worth saying a few words about the difference in mentalities between the people of the Nordic and southern countries. Residents of some cold countries, for example, have the concept of "my room". It means a place to sleep, a workplace with a laptop, an entertainment area with a TV, a corner for a treadmill, and even a dining area (you can bring food from the kitchen and eat it in your room). Roughly speaking, this is the kind of a "lair" that its inhabitants arrange according to their needs and preferences. Because of this, rooms in the Nordic countries are often made spacious.

In Spain it is different. Spain is a warm southern country, whose residents are used to spending most of their lives outside. Locals like to sit in a cafe after work, walk along the beach in the evening, or spend their leisure time outdoors. In contrast, a bedroom is just a place for sleeping.

Traditional Spanish bedrooms are made as small as possible; the most important thing is that the bed and drawers fit in. Spending time in front of the TV and other activities should be performed in the "salon" – this is what the Spanish call a living room combined with a dining area. As a result, some buyers of the Spanish resale properties purchase this kind of real estate and complain about the lack of personal space in their bedrooms.

Thanks to the growing popularity of Spanish property around the world, local developers are now targeting foreign buyers and making their bedrooms much more impressive. Buying a home in a new building gives you a more familiar and convenient layout, focused on the preferences of Europeans.

Point blocks are common in some places around the world. For example, when there is a vacant building plot between houses, and over time a new multi-storey is fitted in between. In Spain, the same happens sometimes, but not so frequently. Here it is common to build housing in complexes, with excellent infrastructure for the residents of the community.

How does a typical Spanish community look? Usually it is a gated area with 8-12 blocks (2-3 floors) in the middle of which there is a swimming pool with sunbeds, a lawn, a barbecue area, playground, etc. In expensive communities there may be a gym or SPA. That is, unlike in the case of secondary housing, you get not just a flat in a multi-storey building in the middle of the city, but a property in a complex with a modern infrastructure. Besides, entrance into the community is often only available to residents and their guests, which guarantees additional security.

Call us or write us to get advice on new property:

+34 865 620 350
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This point supports the previous one. The older your home and the area around it, the higher the chance that squatters get into your home. An old detached house is much more attractive to okupas than an estate in a gated community with video surveillance and the neighbours that know each other.

You can find out who the Okupas are, how they came to Spain and how to protect your home in this article.

In some countries, people believe that buying a new property is risky. What if the developer goes bankrupt? Or disappears with the money and leaves the building unfinished? Surely everyone has heard about deceived shareholders who have been going to court for years trying to get their money back, most often with no result.

In Spain they know nothing about deceived shareholders. The fact is buyers' money does not go directly into the developer's pocket, but into escrow accounts of a bank, which acts as the guarantor of completion. The bank gives the money to the builders only for covering work costs and purchasing of construction materials; the materials must be exactly those that were declared at the start. And most importantly, the builder gets his benefits after the house has been put into operation, so there are no reasons for not fulfilling the terms. Also, when you buy a new home, you eliminate the pitfalls such as bill debt or other burdens from the previous owner.

New real estate in Spain

The average time that it takes to build a home in Spain is 12-18 months. New properties are sold almost immediately (even before the excavation stage). Spain has a payment system "in instalments": first a reserve agreement (6.000-10.000 EUR), then – signing a contract with a payment schedule. Usually the payment of 50% is extended to six months. It can look like this: the first month after signing the contract – 20% of the total amount, then within two or three months – another 20%, and the last 10% – in the next two months. The buyer pays the remaining 50% after the keys have been handed over and the deed of sale has been signed.

This is the most common case; it may vary depending on the developer's policy. The possibility of paying in instalments is written in the description box of some new properties in our catalogue.

Spanish developers offer remote viewing options, including private online tours of the property under construction. This is done via video conference. Documents are signed in the same manner.

On our website, you can find a unique database of Spanish developers. Clients of the VirtoProperty agency have the opportunity to get all the necessary information about the properties under construction, including developer contacts, layout, plans, photos, construction deadlines and much more. In total, our database has over 150 local developer companies.

You can buy a new property either by yourself or with the help of VirtoProperty professional agents.

Why do customers trust us, and what can we offer?

• Buying a property is a very responsible decision. To make sure you don't make the wrong choice, you need to spend at least a few months scrutinising all your options. Also, it can be difficult for a person who has no experience in construction to understand the reliability of developers, the nuances of a building or community. At the same time, we already have all the necessary information, including data on closed sales, forecasts of the price changes of certain properties and other insider data.
  
  
• We are not affiliated with any of the developers. We do not have a goal of "pushing through" one or another property. From us, you get a whole list of those options that match your exclusive preferences.
  
  
• We have access to a closed database of leading Spanish developers.
  
  
• When you buy a real estate with VirtoProperty, you buy a property at a developer's price. There are no additional costs.
  
  
• Discounts. We are on the client's side during negotiations with construction companies and can get the most favourable conditions for the buyer in the form of discounts or various bonuses (as mentioned above, it can be home appliances, furniture or even a parking space).
  

If you want to save time and money while choosing a new property, contact us. We have a complete and up-to-date catalogue of new projects in Spain. Our experts have extensive experience in selecting a villa or an apartment that suits any exclusive needs.

See the full catalogue of new buildings in Spain

Call us or write us to get advice on new property:
+34 865 620 350
+34 722 43 55 23 WhatsApp, Viber