New Build vs Resale Property in Spain
New Build vs Resale Property in Spain explains the Spanish steps and the separate obligations that matter to someone living in the United Kingdom. It is designed as a decision guide, not a promise that one rule fits every buyer or property.
| New build | Resale | |
|---|---|---|
| Taxes | VAT + applicable AJD | ITP |
| Seller | Developer | Existing owner |
| Completion | May be future | Usually existing |
| Checks | Developer and project | Existing property |
| Utilities | Initial connection possible | Change of holder |
The Spanish process
Work through VAT and AJD, ITP, developer checks first, then coordinate bank guarantees, completion timing, existing charges. The exact sequence can change with the property, region, finance and contract.
- VAT and AJD
- ITP
- developer checks
- bank guarantees
Official source → Agencia Tributaria — Compra de vivienda: IVA o ITP
Checks before you commit
Before paying or signing, verify developer checks, bank guarantees, completion timing, existing charges. Put conditions, deadlines and consequences in writing and have the documents checked independently.
- completion timing
- existing charges
- technical condition
- utility handover
Official source → Colegio de Registradores — Registro de la Propiedad
Costs, timing and evidence
Build a file for completion timing, existing charges, technical condition, utility handover. Obtain a property-specific cost calculation and confirm current regional rules at the date of completion.
Official source → Agencia Tributaria — Compra de vivienda: IVA o ITP
United Kingdom module
For a buyer connected with the United Kingdom, the Spanish transaction and the home-country position must be documented in parallel.
A Spanish lender will assess UK income, existing debt and the GBP/EUR currency mismatch. Ask for a personalised European Standardised Information Sheet and do not assume a fixed loan-to-value ratio.
Prepare UK bank statements, payslips or company accounts, tax documents, and evidence showing how savings arose. Banks and lawyers may ask for a clear source-of-funds trail before accepting a large transfer.
Official source → Spanish Consulate in London — NIE · HMRC — tax on foreign income
Tax, banking and records at home
A UK resident normally reports taxable foreign rental income through Self Assessment. Keep the Spanish return, exchange-rate workings, invoices and proof of tax paid.
Official source → HMRC — selling overseas property · UK–Spain tax treaty
Official sources
- Agencia Tributaria — Compra de vivienda: IVA o ITP ↗
- Colegio de Registradores — Registro de la Propiedad ↗
- Spanish Consulate in London — NIE ↗
- HMRC — tax on foreign income ↗
- HMRC — selling overseas property ↗
- UK–Spain tax treaty ↗
Last legal/source review: 2026-09-16
Open guide · Compare regions · Browse properties · Ask your question