Table of contents
Buying property in Spain is not “one legal moment”
New builds and off-plan: why the risks are different
Advance payments and guarantees: what to verify before you transfer money
Delays, changes and delivery clauses: what happens if something goes wrong
Second-hand properties: due diligence beyond the Nota Simple
Mortgage contracts: clauses foreign buyers often overlook
Kinga’s practical checklist for 2026 buyers
Final thoughts
Advance payments and guarantees: what to verify before you transfer money
Off-plan payment plans can be attractive because they spread cost over time. But the real question is whether your payments are legally protected.
Under Spanish rules, developers must provide financial guarantees for advance payments before completion, typically through a bank guarantee or insurance policy. The practical issue is that buyers should not assume this protection is always correctly implemented.
“The existence, scope and enforceability of those guarantees must be carefully verified before any transfer is made.”
Your contract should also tie payments to objective and verifiable construction milestones. Avoid vague wording such as “progress of works” without measurable stages or supporting technical certification.
Delays, changes and delivery clauses: what happens if something goes wrong
Construction delays and specification changes are common stress points in new-build transactions. If delivery is delayed, the first step is always the same: review the contract.
Many developer contracts include a grace period. If that period expires without delivery, the buyer’s options depend on how the agreement has been drafted. In some cases, termination and recovery of amounts paid may be possible, potentially with interest. In other cases, compensation or an agreed extension is the only realistic path.
“If the additional period expires without delivery, we may be facing a contractual breach.”
Contracts often distinguish between delays caused by external events and delays linked to the developer’s organisational or financial issues. The legal consequences can differ significantly depending on the cause.
“Not all delays are treated the same. The legal consequences depend on the cause.”
Kinga’s rule of thumb is clear: what protects the buyer is not the brochure or sales pitch, but the contractual framework and the guarantees in place before money moves.
Second-hand properties: due diligence beyond the Nota Simple
For second-hand properties, many buyers stop at the Nota Simple. It is important, but it is only one piece of the puzzle.
Beyond registry checks, due diligence should cover community matters, hidden issues, and contract terms that can lock buyers into obligations they did not expect.
“If you cannot check all the documents, you must protect yourself contractually.”
A key red flag is an ownership mismatch: if the person signing the Arras contract is not the same person shown as owner in the land registry extract, the purchase may not be legally possible as structured.
“In inheritance cases, buyers should ask for documentation that identifies all successors before transferring any money.”
Kinga also highlights succession as a frequent cause of complexity, where multiple heirs can have rights. In these cases, buyers should request documents that clearly identify all successors before committing funds.
Mortgage contracts: clauses foreign buyers often overlook
Mortgage documents in Spain can be long and complex, and the practical challenge is not just reading them, but understanding the long-term implications.
Kinga sees recurring issues in:
Cost allocation (for example, disputes around notary, registry or arrangement fees)
Default interest and early repayment conditions, which can become expensive if financial circumstances change
Linked products, such as insurance policies presented as “optional” but tied to better rates
“The bank will not say you have to do that. They will say, if you do that, we will make you better conditions.”
Foreign buyers are not necessarily at a legal disadvantage, but they can be at a practical and financial disadvantage due to language, time pressure, and more conservative lending criteria for non-residents.
Kinga commonly sees non-resident buyers offered lower loan-to-value levels, typically around 60–70 percent, rather than 80–90 percent.
Spanish law includes a transparency process and a pre-signing notary meeting. However, Kinga stresses it does not replace independent legal advice, because the notary will not review every clause in depth.
She also notes that mortgage terms are not always permanent. Borrowers may renegotiate with their bank or transfer the mortgage if better conditions become available later.
Kinga’s practical checklist for 2026 buyers
Get legal advice before signing anything binding, especially the Arras or any developer reservation contract.
Do not rely on the Nota Simple alone. Check planning, community status, and contract obligations.
For off-plan purchases, verify the financial guarantee in writing before transferring any instalment.
Make sure payment stages are measurable and verifiable, ideally supported by technical certification.
Review delivery dates, grace periods, termination rights and refund clauses. These are where financial risk sits.
Confirm who legally owns the property, especially in inheritance cases. Ask for successor documentation if relevant.
Review mortgage clauses for long-term cost, including fees, linked products, and default or early repayment terms.
Avoid last-minute pressure. Once flights are booked and deposits are paid, negotiations leverage drops sharply.
Final thoughts
Successful property investment in Valencia is rarely about one perfect moment at the notary. It is about protecting your position at every earlier step, from the Arras contract to off-plan guarantees and mortgage clauses.
New builds and off-plan purchases can offer strong opportunities, but the legal risks are simply different, and often hidden inside standardised agreements. Second-hand properties can look straightforward too, until ownership, community issues, or hidden defects surface.
If you would like to better understand the broader legal and financial framework of buying property in Spain, we also recommend reading our detailed guide: Buying property in Spain as a foreigner: legal guide, taxes and costs explained.
If you would like to speak directly with the Spanish lawyer Kinga Zgórska regarding your specific situation, the Homely team can coordinate a direct introduction and guide you through the next steps. You can also learn more about Kinga’s services on her official website: https://www.kingazgorska.com/en/
If you’re considering investing in Valencia and want personalised guidance, get in touch with our team. Fill in our contact form and let’s discuss your next smart move.