Costa Blanca South continues to attract international buyers seeking sun, space and a relaxed lifestyle. Known for its Blue Flag beaches, golf resorts and year-round climate, this region of Spain offers a wide selection of new build homes in towns such as Orihuela Costa, Torrevieja, Guardamar del Segura, Pilar de la Horadada and Benijófar. Here we outline the key steps to finding and buying a new build to buy in Costa Blanca South, from setting your budget through to final inspection.
Set your brief and budget
Before you start viewing Costa Blanca South properties, it’s important to be clear about your requirements. Think about the number of bedrooms, access to outdoor space, whether you want a private or communal pool, off-street parking, energy efficiency ratings and the overall build quality.
You may also want to consider if a bungalow, townhouse, apartment or detached villa is best suited to your lifestyle. Also factor in how flexible you can be on location. Towns such as Orihuela Costa offer a range of beachside options, while areas inland such as Benijófar can deliver more space for your budget. Decide whether you’re looking for key-ready homes or are open to off plan purchases with a future delivery date.
Price bands by location
Property prices can vary significantly between different towns in Costa Blanca South.
As of 2025, new build apartments in Torrevieja typically start from around €150,000, while those in Guardamar may start closer to €180,000, depending on proximity to the beach. Villas in Pilar de la Horadada or San Miguel de Salinas can range from €260,000 to over €500,000 based on plot size, features and finish.
Orihuela Costa, which includes areas like Playa Flamenca and Villamartin, offers a mix of coastal and golf resort homes with apartments from €170,000 and villas upwards of €300,000. Always confirm the latest prices before placing an offer, as market conditions shift regularly.
Full cost of purchase
Buying new build properties in Spain involves additional costs beyond the advertised price. IVA (VAT) is charged at 10% on new builds, which must be factored into your budget. You’ll also need to pay AJD (stamp duty), usually around 1.5% of the property value, along with notary fees, property registration costs and legal fees.
Altogether, these costs can add approximately 12–14% on top of the base property price. Your Spanish lawyer should provide a full cost breakdown before contracts are signed.
Choose a reputable developer
Buying off plan or recently completed homes requires confidence in the developer. Research their track record, look for completed projects nearby and ask to speak with previous buyers where possible. A quality builder will be transparent with build timelines, specifications and materials.
Look for companies that publish independent reviews and are willing to let your lawyer or surveyor visit the site. Avoid developers with unclear contracts or unrealistic delivery promises.
Bank guarantees and build stages
When buying off plan, every payment you make towards the property should be backed by a bank guarantee. This ensures that if the builder fails to complete the property or deliver it on time, your funds are protected.
You’ll typically pay a reservation fee first, followed by staged payments linked to construction milestones, such as completion of the foundation, roof, or interior fitting. The payment schedule should be outlined clearly in your contract and verified by your lawyer in Spain.
Legal and financial preparation
Using a fully independent Spanish property lawyer is essential when buying Costa Blanca South properties. They will conduct due diligence, review contracts, check that the land is legally registered and confirm that building licences are in place.
If you’re planning to finance the purchase, arrange mortgage Spain pre-approval early. Non-residents can typically borrow up to 60–70% of the property value. Having finance in place early speeds up the transaction and shows sellers and developers that you’re a serious buyer.
Taxes and ownership costs
Beyond the purchase itself, there are annual costs you should plan for. These include IBI (property tax), which varies depending on municipality and property value, as well as any community fees if your home is part of a shared development.
You’ll also need home insurance, and if renting the property out, it’s important to understand Spanish rental tax obligations. Your lawyer or tax adviser can help set up ongoing services to keep you compliant.
Inspection and completion
Before signing the final escritura (title deed) and receiving keys, you’ll need to carry out a thorough snagging inspection. This checks for minor defects such as loose fittings or faulty appliances.
Ensure all required utilities (electricity, water) are connected and functioning. Your lawyer should confirm that the habitation certificate and other licences are in place before completion. Only then should you sign the final deed and transfer the balance of funds.
After sales and warranties
All new build homes in Spain are legally protected by developer warranties. These include:
- 1-year cover for snagging or finishing issues
- 3-year cover for plumbing, electrical or similar systems
- 10-year structural guarantee for major faults affecting stability or safety
Make sure to receive and securely store all warranty documentation, build specifications and appliance manuals. These are essential for any future resale or claims under warranty.
Why Costa Blanca South appeals to new build buyers
From modern architecture and reliable infrastructure to scenic beaches and an affordable lifestyle, Costa Blanca South properties appeal to buyers looking for contemporary homes in a sunny and well-connected location.
With Alicante-Elche airport offering easy access across Europe and local towns such as Orihuela Costa, Guardamar and Torrevieja delivering consistent demand, the area is ideal for both full-time living and long-term investment. Whether you’re relocating, retiring or purchasing a second home, new builds in Costa Blanca South combine convenience and long-term value.
Contact us to start your property journey with 5 Real Estate today and let our expert team guide you through every stage of buying a new build in Spain.
