Practical case La Palma: House in Puerto Naos – A new start after the coastal town's reopening
The buyer worked as an electrical engineer; his wife headed the finance department of a mid-sized company. Both could carry out their work partly location-independently over the coming years.
At a glance
- Purchase price: 625.000 €
- Financing required: 437.500 €
- Equity: 342.750 €
Anonymised case figure · not a binding statement for other projects · §34i GewO
Sometimes the dream of island life needs, above all, patience
A couple from Rhineland-Palatinate had fallen in love with La Palma some years earlier. Puerto Naos in particular delighted them with its relaxed atmosphere, the promenade right on the Atlantic and the pleasant year-round climate.
After the events surrounding the volcanic eruption, they deliberately postponed their plans. Only when the situation had stabilised and the town step by step returned to life did they resume their property search.
In the end they found a modern house in a quiet location, only a few minutes' walk from the sea.
Initial situation
The buyer worked as an electrical engineer; his wife headed the finance department of a mid-sized company. Both could carry out their work partly location-independently over the coming years.
They had solid equity and a debt-free apartment in Germany, but wanted to keep enough financial reserves for the planned emigration.
Financing overview
- Purchase price: 625.000 €
- Additional costs: 81.250 €
- Renovation (photovoltaics, air conditioning, outdoor area and kitchen): 74.000 €
- Total investment: 780.250 €
- Equity: 342.750 €
- Financing required: 437.500 €
The financing share corresponded to around 70 % of the purchase price.
The challenge
Although the house was already in good condition, the buyers wanted to optimise the energy supply and completely redesign the outdoor area.
In addition, the financing was to leave enough room, as the final move was planned only some years later.
Analysis
Before the contract was concluded, all modernisation measures were calculated in detail and included, together with the purchase price and additional costs, in the total investment.
In parallel, a long-term financing plan was drawn up that took into account both the current professional situation and the later centre of life on La Palma.
The buyers deliberately chose against a maximum use of equity.
Financing solution
The financing was set at around 70 % of the purchase price.
The additional costs and a considerable part of the purchase price were covered from own funds.
All modernisation measures were already part of the original financing plan. This meant all work could be completed immediately after the transfer of ownership.
Outcome
Today the buyers use their house regularly for several months a year and are preparing their permanent move to La Palma step by step.
Because all investments have already been completed, the later move to the island will be much easier.
What other buyers can learn
A property purchase does not have to happen under time pressure. Anyone who waits for the right moment, plans carefully and takes all investments into account early creates a stable basis for a later centre of life.
Frequently asked questions
Is Puerto Naos an interesting place to live again today?
Why were the modernisation costs taken into account immediately?
Why was part of the equity kept?
Conclusion
Buying a house in Puerto Naos shows that property financing also requires patience and foresight. Anyone who combines purchase price, modernisation and long-term life planning creates the basis for a successful new start on La Palma.
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To the case report →A similar situation in Spanien? 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 consultationAnonymised 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