Case report · Costa Blanca

Alicante: Financing a city apartment with historic flair and modern living comfort

A self-employed architect from Austria wanted to move her living and working centre permanently to Alicante. After several longer stays, it was clear that she wanted to enjoy urban life with short distances, cultural amenities and the proximity to the sea permanently.

Key figures

At a glance

  • Purchase price: 498.000 €
  • Renovation: 42.200 €
  • Financing required: 323.200 €
  • Equity: 276.800 €

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.

Living between the old town, the harbour and urban everyday life

Alicante combines a Mediterranean feel of life with the advantages of a lively city. The proximity to the international airport, excellent infrastructure and the mild year-round climate make the city attractive for German-speaking buyers who want to move their centre of life permanently to Spain.

This practical case shows how buying a centrally located apartment can be implemented with well-considered financing.

Initial situation

A self-employed architect from Austria wanted to move her living and working centre permanently to Alicante. After several longer stays, it was clear that she wanted to enjoy urban life with short distances, cultural amenities and the proximity to the sea permanently.

She found a generous period apartment not far from the harbour. The property was convincing for its high ceilings, original elements and good structural condition. At the same time, there was a need for modernisation to bring living comfort and energy efficiency up to date.

Financing overview

  • Purchase price: 498.000 €
  • Additional costs: 59.800 €
  • Renovation: 42.200 €
  • Total investment: 600.000 €
  • Equity: 276.800 €
  • Financing required: 323.200 €

The challenge

The buyer had sufficient equity from the sale of her previous apartment but wanted to keep part of the proceeds as a financial reserve for her self-employment.

In addition, all modernisation measures were to be completed immediately after the purchase so the apartment could be occupied without a further building phase.

Analysis

The property was in a sought-after city-centre location in Alicante with excellent access to public transport, shops and the beach promenade.

The planned work focused on the renewal of the electrics, the modernisation of the two bathrooms, energy-efficient air conditioning, the installation of a high-quality kitchen and the design of a generous study for the home office.

As all measures were calculated before the purchase, they could be fully included in the overall planning.

Financing solution

The financing was set at around 65 % of the purchase price. This kept enough equity for personal reserves without unnecessarily increasing the monthly burden.

Alongside the purchase price, all additional costs and the planned modernisation were also taken into account from the start. This created a closed financing solution with no later additional capital requirement.

Outcome

Once the work was completed, the apartment combines the character of a classic period building with contemporary living comfort. The buyer was able to move her centre of life to Alicante as planned and continue her professional activity without major interruption.

The financing fitted both the current income situation and the long-term personal goals.

What other buyers can learn

In city-centre locations in Alicante in particular, a close look at existing properties is worthwhile. They often offer significantly more living quality and individuality than new builds but require realistic planning of the modernisation costs.

Anyone who takes these investments into account already at the acquisition creates a solid basis for the later move-in.

FAQ

Frequently asked questions

Is Alicante suitable as a permanent residence?
Yes. Alicante offers very good infrastructure, international transport links, medical care, shopping and a wide range of culture and is therefore interesting for many German-speaking expatriates.
Can period apartments be sensibly financed?
Yes. What is decisive is a realistic valuation of the property and an early calculation of the planned modernisation measures.
Which modernisations are frequently carried out?
Typical are the renewal of electrics and sanitary facilities, modern air conditioning, new kitchens and energy improvements, without losing the original character of the property.
Why is not all of the equity used?
Many buyers want to keep financial reserves in order to remain flexible or to continue to finance their professional activity sufficiently.

Conclusion

Alicante offers ideal conditions for people who want to enjoy life in a Spanish coastal city permanently. With financing that brings together the purchase price, additional costs and modernisation from the start, even a characterful existing property can be developed into a new home economically and in a plannable way.

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Anonymised individual case, not a binding statement for other projects · Siegfried Perini, BAFA-notified for the cross-border activity of the owner Olga Nikushkina · §34i GewO · no tax or legal advice · no financing commitment; conditions depend on creditworthiness, loan-to-value and bank