Germany
The developer instalments are raised against existing German property. Security and law stay German — the Spanish unit cannot yet be charged. Brokerage under §34i GewO.
New-build & construction phase · Spain
Financing a new-build in Spain — the construction phase is the real question.
When buying from a developer, the Spanish mortgage only comes into being at completion. Everything paid to the developer before that is equity — across 18 to 36 months. That gap is what we solve.
The situation
What developer brochures do not explain
A Spanish new-build purchase runs through reservation, private contract and several construction-milestone instalments. In total, often 20 to 40 per cent of the price — spread across two to three years. For that phase, Spanish banks as a rule offer no financing: they will not lend against a property that does not yet exist.
The mortgage comes at the end, at the escritura, once the property is completed, licensed and registered — for non-residents, in practice in the region of 60 to 70 per cent of the lower of price and valuation.
This is why new-build projects rarely fail at the bank. They fail in the construction phase — for buyers whose wealth is not in the account but in a property back home.
Our approach
Construction phase
Completion
Limits
Two legal systems, one purchase
Spain
At the escritura a Spanish bank takes on the balance — or the developer's mortgage share is taken over by subrogación. BAFA-notified for Spain and Portugal.
Where it does not work
Without German property this bridge does not exist. What remains is own funds or buying a completed unit. We say so in the first conversation — not after the private contract.
New-build pillar
All topics on the construction phase
New-build
Why Spanish banks do not finance the construction phase
Read the page.
Learn more → New-buildFinancing the instalments to the developer
Read the page.
Learn more → New-buildAval bancario & seguro de caución
Read the page.
Learn more → New-buildSubrogación: take over the developer's mortgage, or redeem it?
Read the page.
Learn more → New-buildHipoteca de autopromotor: self-building in Spain
Read the page.
Learn more → New-buildTiming: mortgage approval after 24 months of construction
Read the page.
Learn more → New-buildNew-build or resale? What actually differs
Read the page.
Learn more → New-buildNew-build on income outside the euro
Read the page.
Learn more → New-buildChecklist: what must be checked before the first instalment
Read the page.
Learn more →
From practice
New-build cases from our advisory work
Legal notice
Author & regulatory separation. Content author: Siegfried Perini. Mortgage brokerage in Spain and Portugal is carried out under the §34i GewO licence held by Olga Nikushkina (BAFA-notified). This information does not replace legal or tax advice. The legal review of developer contracts belongs with a Spanish lawyer.
Looking at a new-build? Let us work through the construction phase.
In a free first conversation we establish how much equity the construction phase really demands, what a German bank can raise against existing property, and what is left at completion — before you sign the private contract.