What do you need to know to buy an apartment or new house under construction?
Brand new housing is one of the preferred options for new owners. What to keep in mind before buying a new construction home?
Buying a new home is the option chosen by many Spaniards. The opportunity to brand new a house, to have high quality materials and to choose certain finishes are some of the reasons that explain this interest. But, before purchasing a newly built home, you must pay attention to what is considered a new construction home, what advantages it offers and what you need to take into account before choosing to buy one.
What is considered new construction housing?
Before starting to evaluate the advantages of buying a new construction home, it is important to be clear about what exactly is considered a new construction house and how you can access it:
- A new construction home is one that is purchased directly from the real estate developer when the construction or rehabilitation is completed, unless it has been inhabited for a period of two years or more by people other than the buyers.
- In the event that, once the works are completed, the developer rents the home and after two years, puts it up for sale and it is purchased by the tenants themselves, it is also considered a new construction.
- Also, there is the possibility of buying a new construction home off plan.
Advantages of buying a new construction home
- Adjusts to current preferences. This type of real estate development offers the most in-demand characteristics currently: larger, high-quality homes, more efficient, with good lighting, common outdoor areas and other useful spaces such as garages and storage rooms.
- Does not need reform. This is one of the main reasons why sales of new construction homes are maintained from one year to the next. Not having to carry out a comprehensive renovation means savings in costs and time, since it is possible to move in as soon as the property is delivered.
- Brand new and able to choose. The prospect of finding a finished, move-in-ready home where everything is new attracts buyers’ interest. Furthermore, buying off plan allows you to participate in the design and adapt it to the needs, tastes and economic capacity of the future owner, choosing the quality of the finishes and even the distribution.
What to take into account before buying a new construction home?
- Know the price and payment method. The developer must document the exact price of the home and the payment method. When buying a new home, you must keep in mind that, generally, the price will be higher than if you opted for a second-hand home in the same area and with similar characteristics. In addition, you must know what other expenses are associated with the purchase of a newly built home, such as the payment of value added tax (VAT) and the tax on documented legal acts (AJD), notary fees and those of the Property Registry, among others. In total, these expenses and those derived from requesting a mortgage loan represent between 10% and 15% of the purchase price.
- Check whether or not the property conforms to what is advertised. Experts advise collecting all available information about the home to be able to verify in the future that the property complies with the stipulations. This includes advertising brochures as they are contractual in nature.
- Read the building manual carefully. The real estate developer must provide all the information about the home, including the delivery date, quality reports, plans, useful area, distribution, layout of electrical networks, water, air conditioning and fire-fighting measures.
- Review the documentation provided by the builder. It must include the certificate of completion of work, the certificate of occupancy, the first occupancy license, the mandatory guarantee and the ten-year insurance.
- Have the home warranty. According to the Organic Building Law, new construction homes have a one-year guarantee on the finishes, three years on the installations and 10 years on defects that affect the stability and safety of the building. that is, significant work defects in the structure. The deadlines begin to count from the date of the certificate of completion of work.
- Know delivery times. When a home is purchased off-plan, sometimes the delivery times do not comply with what was agreed in the contract, therefore, it is necessary to check that the developer’s penalty is contemplated if it does not comply with the stipulated times and that there is no exempted due to factors beyond the control of the promoter.
- Include the finishes in the budget to avoid surprises. It may be the case that the developer has closed the construction, but when the buyer enters the home, he may realize that final touches are missing, or that he has included certain extras that were not included in the construction plan that increase the final budget.
- Check the corresponding inspections. When a house is built, it must go through a series of inspections to verify that the construction is correct and safe. It must be verified that the home includes an inspection contingency.
One of the benefits of living in Marbella is that its proximity to the sea has unquestionable health benefits. However, the quality of life in the different Marbella enclaves has a lot to do with the residential solution you choose. New construction developments in Marbella are synonymous with quality and design, architecture and well-being.
Single-family houses with gardens, multi-family houses with swimming pools and common areas that exude charm, new construction developments on the beach … Whatever your idea, the residential offer in Marbella offers you endless alternatives for you to find the house of your dreams.
In any case, before deciding to buy a new construction house, it is advisable to seek professional advice from a trustworthy expert, for example a real estate professional, who can advise according to the respective economic situation and answer any questions that arise during the process turn up.