Are you considering buying a property on the Costa Blanca South? Discover the buying process, the additional costs, taxes and practical tips for buying property in Spain.

The southern Costa Blanca has long been one of the most popular regions in Spain for property buyers. With its mild climate, relaxed lifestyle and a wide range of both new-build developments and resale properties, this area continues to attract buyers from across Europe.

Many people searching for property in Spain eventually focus on areas such as Rojales/Ciudad Quesada, Benijófar, San Fulgencio, Almoradí, La Finca Golf, Guardamar, Orihuela Costa and Torrevieja. These locations offer a good balance between quality of life, infrastructure and a diverse property market.

If you are considering purchasing property on the southern Costa Blanca, it is important to understand the buying process and the costs involved.

Below is a practical overview of the main steps and typical costs buyers should take into account.

Step 1: Defining Your Property Search

Before starting your property search, it is advisable to clearly define your priorities.

Buyers often ask themselves questions such as:

• Are you looking for a holiday home, investment property or permanent residence?
• Do you prefer a new-build property or a resale property?
• Would you like to live near the coast, close to a golf resort, within a residential complex or in a quiet neighbourhood?
• Which type of property suits your needs best: apartment, townhouse or villa?

Southern Costa Blanca offers a wide range of options, from modern apartments near the sea to villas in golf resorts such as La Finca Golf or established residential areas such as Guardamar or Rojales.

Working with a local and registered real estate agent can help you focus your search and avoid unnecessary viewings.

Step 2: Reserving the Property

Once you have found the right property, the next step is usually signing a reservation agreement.

At this stage, the property is temporarily taken off the market while legal checks are carried out.

A reservation deposit is normally required. This amount usually ranges between €4,000 and €10,000, depending on the property and the project.

During this period your legal representative (lawyer) will begin verifying the property documentation.

Step 3: Legal Checks

Many buyers choose to appoint an independent lawyer specialised in Spanish property transactions.

The lawyer will verify:

• The legal ownership of the property
• Whether there are any debts or charges attached to the property
• Land Registry records (Registro de la Propiedad)
• Building licences and legal compliance
• Any outstanding community fees

These checks ensure that the property can be transferred without legal complications.

Step 4: Private Purchase Contract

Once the legal checks have been completed, a private purchase contract (Contrato de Arras) is normally signed.

At this stage a larger deposit is paid. The contract defines the terms of the purchase and the completion date.

From that moment both buyer and seller are legally committed to the transaction.

Step 5: Completion at the Notary

The final step takes place at the notary office.

During this appointment:

• the official deed of sale is signed
• the remaining purchase price is paid
• ownership of the property is transferred

After completion the property is registered in the Spanish Land Registry (Registro de la Propiedad).

What Additional Costs Should You Expect?

In addition to the purchase price, buyers should consider several additional costs.

These costs depend on the type of property purchased:

• resale property
• new-build property

The examples below are based on a purchase price of €300,000.

Purchase Costs for a Resale Property

When buying a resale property in Spain, the buyer pays Property Transfer Tax.

In Spanish this tax is called Impuesto sobre Transmisiones Patrimoniales (ITP) and is typically 10% of the purchase price.

Example for a resale property of €300,000:

Total additional costs are typically around €33,000 – €35,000 (±13%).

The total investment for a €300,000 property would therefore be approximately €333,000 – €335,000.

Purchase Costs for New-Build Properties

For new-build properties the tax structure is different. Instead of transfer tax, buyers pay:

VAT (IVA – Impuesto sobre el Valor Añadido)
Stamp Duty (AJD – Actos Jurídicos Documentados)

Example for a €300,000 new-build property:

Total additional costs are typically around €36,000 – €38,000 (±14%).

The total investment for a €300,000 new-build property would therefore be approximately €336,000 – €338,000.

These figures are indicative and may vary depending on the specific property and personal circumstances of the buyer.

Optional Extras for New-Build Properties

For many new-build developments the advertised price is based on a basic specification of the property. Developers often offer additional upgrade packages.

Common extras include:

• air conditioning
• kitchen appliances
• lighting packages
• furniture packages
• finished gardens or terraces
• swimming pools for villas
• parking spaces or storage rooms

The total cost of these upgrades can vary significantly depending on the project and desired finishes. In practice these additional options often range between €5,000 and €30,000 or more.

It is therefore important to carefully check what is included in the base price and which upgrades are optional.

The Importance of Professional Guidance

Although the property purchase process in Spain is well established, professional guidance can make the process significantly easier.

A local real estate agent can assist with:

• identifying suitable properties
• understanding the local market
• organising viewings
• connecting buyers with trusted lawyers and financial advisors

This helps ensure the purchase process remains clear and transparent.

Final Thoughts

Buying property abroad is an important decision. By understanding the buying process and the associated costs, buyers can make more confident decisions.

For many buyers the southern Costa Blanca offers an attractive combination of climate, lifestyle and property opportunities. Exploring different areas and seeking professional guidance can help make the buying experience both smooth and enjoyable.

LINK: → Please also view our current listings:  Properties on the Costa Blanca South.

Frequently asked questions about buying a property on the Costa Blanca South

How much are the costs of buying a property in Spain?

With an existing home, buyers usually have to take into account about 11–13% additional costs. For new-build homes, this is usually around 13–14%, depending on taxes, notary, land registry and lawyer's fees.

What is the reservation amount when buying a property?

For many purchases, a reservation contract is first signed. The reservation amount is usually between €4,000 and €10,000, depending on the property and the project.

Should I use a lawyer when buying a property in Spain?

Although this is not mandatory, many buyers choose to use an independent lawyer. A lawyer can, among other things, check whether there are debts on the property and whether all documents are in order.

How long does the process of buying a property in Spain take?

The purchase process usually takes 4 to 8 weeks, depending on the legal checks and the agreements between buyer and seller.