People are asked to pay high amounts in advance and it is necessary taking some precautions to avoid problems in the future. When the only thing you can see is a Plot of Land it is worth asking some questions to find out if the money you are advancing for your future house is secure.
It can be said that the purchase of new property in Spain is very safe, but here you have some points that you should ask the developer before paying any deposit or advancing any amount:
1. Who is the owner of the plot of land where the houses will be built?
2. Is this ownership registered in the Land Registry?
3. Is the developer a company duly incorporated and registered in the Mercantile Registry?
4. Does the developer have the construction project signed by an architect and duly stamped by the College of Architects?
5. Does the developer have building license for doing the houses projected?
6. Are there any mortgages to finance the construction?
7. Does the developer have the compulsory insurance required by the Spanish regulations to guarantee the amounts received in advance?
8. Does the developer have any bank guarantee?
9. When will the houses be finished and delivered?
10. Which are the precise characteristics of the house (square metres, distributions of rooms, quality of materials)?.
Although the Spanish Act and regulations protect customers who are purchasing houses under construction, it is worth requesting some documents from the developer and receiving clear answers to our questions so you can see that you are dealing with a serious developer. Doing that you will avoid that your future dream house will not become your worst nightmare.
It is also worth contacting a solicitor before paying a deposit or signing any agreement. A professional must check that the developer is in order from a legal point of view and that you are signing a contract that protects your interests and respects all guarantees fixed by Spanish regulations.
Checking the mentioned 10 items your property experience will be straightforward. Do not let your house in Spain become your worst nightmare.