From reservation to registered ownership — step by step.

 

What is an off-plan property?

An off-plan property (vivienda sobre plano) is a property purchased directly from a developer before construction is completed. In many cases, the project is still in the design phase or in early stages of building.

Buying off-plan allows access to new-build homes, often with staged payments during construction and the possibility to choose finishes or layouts, depending on the stage of the project.

However, it is essential to understand that you are not only buying a property — you are entering into a construction-backed legal and financial commitment that must be properly reviewed.

 

Step 1: Reservation contract

The process usually begins with a reservation agreement.

This is a private document that temporarily secures the property for the buyer while legal checks begin. It typically includes:

• Developer identification
• Project details and location
• Description of the property unit
• Purchase price
• Reservation period

A reservation deposit is paid at this stage, commonly between €3,000 and €10,000, depending on the development.

Important: This stage should always be reviewed by a lawyer before signing. Reservation terms can vary significantly and may include non-refundable conditions.

 

Step 2: Private purchase contract

After reservation, the next step is the private purchase contract (contrato privado de compraventa).

This is the most important contractual stage before completion.

It includes:

• Full legal description of the property
• Exact built and usable surface areas
• Floor plans and specifications (memoria de calidades)
• Total price and payment schedule
• Construction timeline and estimated delivery date
• Conditions in case of delays or changes

At this point, a second payment is usually made, typically around 10% of the purchase price, minus the reservation amount already paid.

Legal due diligence is essential here:

• Urban planning status
• Building license validity
• Developer solvency
• Insurance guarantees
• Bank guarantees for buyer payments (where applicable under Spanish law)

 

Step 3: Construction phase

The construction period typically lasts between 12 and 24 months, depending on the project.

During this time, payments are made in instalments according to the agreed schedule in the contract.

By Spanish law, developer payments should be secured through financial guarantees (such as bank guarantees or insurance), ensuring buyer protection in case of non-completion.

 

Step 4: Completion and legal verification

When construction is finished, your lawyer should verify that the property is fully legal before completion.

This includes checking:

• Final building licence (licencia de primera ocupación / equivalent certificate of habitability)
• Concordance between project and final construction
• Registration in the Land Registry (Registro de la Propiedad)
• Absence of legal or urban planning irregularities

Only once these conditions are met should completion proceed.

 

Step 5: Public deed and ownership transfer

The final step takes place before a Spanish notary.

At this stage:

• The remaining balance is paid
• The public deed of sale (escritura pública) is signed
• Ownership is formally transferred
• The property is registered in your name at the Land Registry

From this moment, you are the legal owner.

 

Is it a good idea to buy off-plan?

Off-plan properties can offer advantages such as:

• Access to modern new-build homes
• Potentially competitive early-stage pricing
• Payment in instalments during construction
• Customisation options (depending on developer stage)

However, changes or upgrades requested by buyers often come with additional costs.

The key advantage is planning — not speculation. The key risk is lack of legal review.

 

Is it safe to buy off-plan in Spain?

Yes — but only when properly structured.

Off-plan purchases in Spain are safe when supported by proper legal control, developer guarantees, and full due diligence.

Without legal supervision, risks can include delays, licensing issues, or contractual imbalances.

 

Tax implications in the Canary Islands

In the Canary Islands, new-build (off-plan) properties are subject to:

• IGIC (Canary VAT equivalent): actually 7% applied to the purchase price – Paid in stages or at completion depending on contract structure
• Stamp duty (Actos Jurídicos Documentados – AJD): 1% on the purchase price (excluding IGIC), payable at completion

Tax structure can vary depending on the buyer profile and transaction type.

 

Lajares Law Offices

At Lajares Law Offices, we assist international clients throughout the entire off-plan purchase process in Fuerteventura and the Canary Islands.

From reservation review to final registration, we ensure every step is legally protected, transparent, and aligned with Spanish property law.

Multilingual. Local. Precise.
Because buying property here should feel secure — not uncertain.