Case report · Mallorca

Practical case Mallorca: New-build apartment in Sóller – Step by step to a second home in the mountains

Both buyers were in the middle of their working lives and initially planned several longer stays per year on Mallorca. Only after retirement was the apartment to be used permanently.

In short

What was this case about?

Both buyers were in the middle of their working lives and initially planned several longer stays per year on Mallorca. Only after retirement was the apartment to be used permanently.

Does financing a new build differ from an existing property?

Yes. Several payments often take place during the construction phase. These should be taken into account already in the financing planning.

How much equity is sensible for a new-build apartment?

That depends on the personal situation. Many buyers contribute, alongside the additional costs, part of the purchase price from own funds too.

Who arranged this?

Perini Finance & Property — German-speaking, operating under the §34i GewO licence held by Olga Nikushkina, Portugal through a locally licensed intermediary; 15 to 20 banks approached per case. First call free; on completion 1 % of the loan amount.

Key figures

€640,000 flat, €448,000 loan, €275,200 of own funds

  • Purchase price: 640.000 €
  • Financing required: 448.000 €
  • Equity: 275.200 €

Anonymised case figure · not a binding statement for other projects · §34i GewO

Typical, anonymised case. Names, places and individual financing figures have been adjusted to protect privacy. The process reflects a typical advisory situation for non-resident financing in Spanien.

Property for sale in Sóller: between orange groves and the tram to Palma

A couple from Hamburg had originally focused on properties by the sea. During a tour of the island, however, they discovered Sóller and were immediately taken with the special atmosphere. The historic old town, the surrounding mountains of the Serra de Tramuntana and the proximity to the harbour made the place a genuine alternative to the coast.

After several viewings they chose a high-quality new-build apartment with a generous terrace.

A second home now, a retirement home later

Both buyers were in the middle of their working lives and initially planned several longer stays per year on Mallorca. Only after retirement was the apartment to be used permanently.

Thanks to regular income and saved assets, sufficient equity was available. At the same time, enough liquidity was to be preserved for further private investments.

€723,200 total, with €83,200 of purchase costs

  • Purchase price: 640.000 €
  • Additional costs: 83.200 €
  • Total investment: 723.200 €
  • Equity: 275.200 €
  • Financing required: 448.000 €

The financing share corresponded to around 70 % of the purchase price.

Paying in step with the build, not all up front

As it was a new build, the individual payment stages during the construction phase had to be taken into account. At the same time, the buyers did not want to use all their own funds right at the start but to coordinate the payment schedule sensibly with the construction progress.

In addition, sufficient financial room was to remain for the later furnishing and equipment of the apartment.

Developer contract reviewed, furnishing budgeted too

First the developer contract with its intended payment dates was evaluated. A financing plan then emerged that took into account both the individual construction stages and the later completion.

The additional costs were fully planned in, as were sufficient reserves for furnishing and minor additional costs after the handover of keys.

Thanks to the equity ratio of around 30 %, the financing remained balanced and affordable over the long term.

70 % loan, own funds released stage by stage

The financing covered around 70 % of the purchase price.

The buyers used their equity gradually in line with the construction progress. The additional costs were paid entirely from own funds.

As no modernisation was required, the planning focused entirely on the acquisition and the later readiness for occupancy of the new-build apartment.

Flat taken over and furnished from the reserve

Once the construction work was complete, the apartment could be taken over without additional financing measures. The furnishing too could be financed from the planned reserves, so the first longer stays on Mallorca were possible immediately after completion.

Today the buyers have a high-quality second home in one of the most scenically attractive regions of Mallorca and plan to spend a large part of the year there later.

For a new build, budget the payment plan and furnishing

When acquiring a new-build property, not only the purchase price and additional costs should be taken into account. Payment schedules, equipment costs and sufficient liquidity reserves are also part of realistic financing planning.

FAQ

Frequently asked

Does financing a new build differ from an existing property?
Yes. Several payments often take place during the construction phase. These should be taken into account already in the financing planning.
How much equity is sensible for a new-build apartment?
That depends on the personal situation. Many buyers contribute, alongside the additional costs, part of the purchase price from own funds too.
Should the furnishing be planned in before the purchase?
Yes. Furniture, lighting, appliances and minor adaptations can represent a considerable additional cost factor.

Sóller: construction progress is key to new-build financing

Buying a new-build apartment in Sóller shows that good financing comprises far more than the loan amount alone. Anyone who includes the construction progress, equity, additional costs and later equipment early in their planning creates a solid basis for the dream of their own home on Mallorca.

From this theme

More cases on this theme

Theme

Real cases from the construction phase

All cases on this theme at a glance.

Costa Blanca

Practical case Costa Blanca: New-build villa in Finestrat

Buying early and making sensible use of the construction phase

Mallorca

Practical case Mallorca: New-build villa in Santa Ponsa

Buying during the construction phase with well-considered financing planning

Your contact

A similar situation in Spain? Let's talk.

Every financing in Spanien is an individual case. In a free initial consultation I will tell you honestly what is feasible and which bank fits.

Book a free consultation

Anonymised individual case, not a binding statement for other projects · Brokerage under the §34i GewO licence held by Olga Nikushkina (D-W-132-ZUCB-95); Siegfried Perini registered as directly involved person (§11a GewO) · no tax or legal advice · no financing commitment; conditions depend on creditworthiness, loan-to-value and bank

Read on
Region

Mallorca overview

Market analysis, loan-to-value and conditions for the region.

Calculator

Estimate your financing

Roughly calculate budget, costs and instalment.

Checklist

Purchase checklist

Step by step to buying property in Spain and Portugal.

Similar cases by region and price band

Cases with a comparable region and price band — for context, not a promise of the same outcome.

Mallorca · 695,000 €

Family house in Alcúdia — case report

Anonymised case from Practical case Mallorca: family house in Alcúdia. Mortgage financing for non-residents.

Mallorca · 585,000 €

Beachside apartment in Cala d'Or — case report

Anonymised case from Practical case Mallorca: beachside apartment in Cala. Mortgage financing for non-residents.

Mallorca · 760,000 €

Charming finca near Santanyí — case report

Anonymised case from Practical case Mallorca: charming finca near Santanyí. Mortgage financing for non-residents.

Mallorca · 845,000 €

Apartment in Cala Ratjada — case report

Anonymised case from Practical case Mallorca: apartment in Cala Ratjada. Mortgage financing for non-residents.