How to Buy a New Build Property Abroad, Step by Step

To buy a new build property abroad, you set a total budget, choose a country and developer, reserve a unit, have an independent lawyer check title, permits and contract, pay deposits and stage payments, then sign the deed and register ownership. The sequence varies by country, but these nine steps cover the common path.

Step 1: Set a total budget before you shop

Start with the all-in figure you can spend, not the price on a brochure. A new build abroad carries purchase taxes, notary and registration fees, legal costs, currency conversion and often furnishing and service charges. Our breakdown of hidden costs of buying a new build abroad explains the usual categories. Rates differ widely, so research the country before you fix a number.

Also decide how you will pay. A cash buyer and a buyer relying on a non-resident loan face very different timelines; see mortgages for non-residents before you assume financing will be easy.

Step 2: Choose the country and check you may buy

Some countries let foreigners buy freely, others limit ownership by property type, area or percentage of a building. Confirm eligibility first, using the guide to whether foreigners can buy property abroad. Then shortlist two or three markets and compare real projects. The Off Plan Properties listings catalogue is one place to see what developers are offering across countries and price bands, and its country pages, such as Spain, show city-level options.

Step 3: Shortlist projects and vet the developer

Pick a handful of projects and investigate the companies behind them. Look for completed schemes you can visit, a track record of on-time handover, and registered legal status. Our checklist for vetting an overseas developer goes through the evidence to ask for. Skip any seller who pressures you with a countdown to “last units”.

Step 4: Reserve a unit

A reservation agreement takes a specific unit off the market for a short period. In Spain, for instance, the Off Plan Properties Spain page describes a reservation contract with a deposit of roughly €3,000 to €6,000, and a Thailand page describes deposits of THB 50,000 to 200,000. Treat those as examples taken from the catalogue’s own pages, not fixed rules. Ask whether the money is refundable, for how long the unit is held and what happens if your lawyer finds a problem.

Key takeaway: a reservation should be cheap, short and, ideally, refundable if due diligence fails. Do not pay a large non-refundable sum before a lawyer has seen the paperwork.

Step 5: Hire an independent lawyer

Your lawyer should check land title, building permits, the developer’s authority to sell, any mortgages on the land, and the draft contract. They should be chosen by you and paid by you. The checks in what to look for in a purchase contract give you questions to take to the first meeting.

Step 6: Sign the contract and protect the deposit

Next comes the main purchase contract, often called a sales and purchase agreement, which sets the price, payment schedule, specification and delivery date. Ask how your payments are protected. Escrow accounts and bank guarantees are two common mechanisms, covered in deposit protection abroad. Off Plan Properties also publishes a guide on understanding escrow accounts, a useful primer before you speak to a lawyer.

Step 7: Pay in stages and monitor the build

With an off-plan unit, payments follow construction milestones or a fixed calendar. Typical structures differ by market. The table below uses examples that Off Plan Properties states on its own pages; they are illustrations, not guarantees for any given project.

Market	Structure described on the catalogue	What to confirm
Spain	Around 30% during construction, 70% on completion	Bank guarantee for deposits, milestone triggers
Thailand	10-20% in monthly instalments during construction	Currency transfer paperwork, developer financing terms
Portugal	Instalments, with a significant portion due after completion	Promissory contract schedule
UAE	Staged plans; examples in guides such as 20/40/40	Registration and escrow arrangements

Ask for construction updates in writing and, if possible, an independent surveyor’s report at key stages.

Step 8: Inspect at completion

Before you pay the final instalment, inspect the unit against the specification. List defects, often called snags, and agree in writing how and when the developer will fix them. Check utilities, appliances and finishes. Do not accept keys under pressure if major items are unfinished.

Step 9: Sign the deed and register ownership

The final step is transfer of title: signing the deed, paying the final balance and taxes, and registering you as the owner at the relevant land registry. Keep every receipt. Afterwards set up utilities, insurance and, if you plan to let the property, local registration and tax filings. If you intend to rent it out, test your assumptions with a rental yield calculation for new builds abroad.

Common timing and what slows it down

Delays most often come from financing, missing permits, currency transfer paperwork and developer completion dates slipping. Off Plan Properties’ own comparison guide says that, reportedly, 20 to 30 percent of off-plan projects finish 3 to 12 months late. That figure is the catalogue’s statement and is not independently sourced, but it is a reasonable reminder to build slack into your plans.

A short pre-payment checklist

1. Written confirmation of total price, taxes and fees.
2. Independent lawyer’s report on title and permits.
3. Contract with delivery date, penalties for delay and specification attached.
4. Proof of how deposits are protected.
5. Your own exit plan if the deadline slips or the market falls.

If you can tick all five, you are ready to pay a meaningful deposit. If you cannot, pause. A good project survives a few weeks of questions.

Sources and caveats

Countries differ, and this guide describes a typical path, not legal advice. Confirm the exact steps with a local lawyer and the relevant land registry or government source before paying money.

Practical details people forget

Currency. Most overseas purchases involve converting money, often several times across a payment schedule. Exchange-rate moves can add or remove several percent from your cost. Ask your bank and a currency specialist about fees and whether you can fix a rate for future instalments. Keep records of each transfer, because some countries require proof that funds entered legally, as the Thailand example on the catalogue’s Thailand page illustrates with its foreign exchange transaction paperwork.

Anti-money-laundering checks. Expect lawyers, banks and notaries to ask for proof of identity, address and source of funds. Prepare statements and a short written explanation of where the money comes from. Delays here are among the most common reasons completion slips.

Tax residence and reporting. Owning a property abroad can create reporting duties at home as well as in the country where it sits. Ask a tax adviser who understands both places about rental income, capital gains and any inheritance rules before you buy rather than after.

Insurance and management. New buildings usually carry a developer warranty, but you still need contents and liability cover once you take possession. If you will not live there, decide who holds the keys, pays utility bills and handles repairs. A local management company is common, and fees are typically a percentage of rent, so include them in your yield calculation.

How to compare two projects fairly

Put the candidates in one table and fill every cell from documents, not from a sales presentation. Include the headline price, the price per square metre of internal area, expected completion date, payment schedule, service charge estimate, deposit protection mechanism and the track record of the developer. If one project cannot supply an answer, that is information too. Buyers who do this exercise tend to discover that the cheapest-looking option is often the one with the most unanswered questions.

Finally, give yourself a cooling-off period. Wait at least a few days after the final presentation before paying anything that cannot be returned. A project that is still available after a week of independent checking is almost always still a project you can buy on the same terms.