A brand-new home with staged payments and a warranty is an appealing route onto the Costa del Sol. Here's how off-plan works, and the questions worth asking before you reserve.
Alongside the resale market, the Costa del Sol has a steady stream of new developments — apartments and townhouses sold either finished or "off-plan" while still under construction. For a lot of our buyers they're the most attractive option: everything is new, the spec is modern, and the payment schedule is spread out. But buying a home that doesn't fully exist yet works differently from buying a resale, so it pays to understand the process before you reserve a unit.
What "off-plan" actually means
Off-plan (sobre plano) means you buy from the developer during construction, choosing from plans and show homes rather than viewing the finished property. In return for that leap of faith you usually get the best price of the whole project, the pick of the units — the corner apartment, the better orientation — and time to arrange your finances while the building goes up.
The payment schedule is the big difference
Instead of paying the full price at completion, an off-plan purchase is staged:
- A reservation fee to take the unit off the market.
- A deposit (often around 20-40% of the price, spread across the build) paid in instalments as construction progresses.
- The balance on completion, when the property is finished, licensed and handed over — the point at which you sign the title and, if you're financing, draw down your mortgage.
Because the outlay is phased, off-plan can be easier to fund than a resale — a point worth reading alongside our guide to non-resident mortgages, since banks typically release the loan at completion.
The protection you should insist on
This is the part we're firm about with clients. Spanish law requires developers to guarantee the money you pay during construction — through a bank guarantee or insurance policy — so that your staged payments are protected if the project were not delivered. Never hand over an off-plan instalment without that guarantee in place, and have your independent lawyer confirm the developer's licences, the bank guarantee and the completion terms before you sign anything. A good lawyer earns their fee many times over on a new-build.
The costs are slightly different too
Remember that new-builds are taxed differently from resales: instead of transfer tax you pay 10% VAT plus 1.5% stamp duty in Andalucía. We set the full picture out in what it really costs to buy in Andalucía, so factor that in when you compare a shiny new apartment against an established resale.
Why buyers like new-build here
Beyond the fresh spec, new developments on the coast tend to come with the things modern buyers want — good insulation and energy ratings, communal pools and gyms, secure parking, and open-plan layouts built for indoor-outdoor living. And because you're buying early, there's the prospect of value uplift between reservation and completion in a market that has been steadily in demand. We frame that as opportunity, not hype: the coast's appeal is its resilient, year-round demand, not a promise of overnight gains.
See what's coming out of the ground
New projects appear and sell through quickly, so the best approach is to be on the list early. You can see the developments we're currently working with on our new-developments listings, and browse finished and resale homes alongside them on the main sales page — including areas with a lot of new construction like Estepona and Mijas.
Tell us your budget, your timeline and whether you'd trade a wait for a brand-new home, and we'll show you the projects worth reserving — and steer you clear of the ones that aren't.
The GR Estates Team
The best experiences on the Costa del Sol
Written with AI assistance and reviewed by the GR Estates team before publication. AI transparency
