FAQs
Buying a new build is a different process to buying a resale home, and it tends to come with a longer list of questions. Off-plan timelines, stage payments, snagging, what's actually included in the price: it's a lot to get your head around, especially from abroad. We've gathered the questions buyers ask us most often and answered them plainly, without the sales gloss. If you don't find what you're looking for here, just ask KIWII, a real answer from someone who knows these developments is only a message away.
About Estepona
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Estepona is a substantial Spanish coastal town on the western Costa del Sol, in the municipality of Estepona in Málaga province. It sits between Marbella (ten minutes east) and Sotogrande (twenty minutes west), with Málaga Airport around fifty minutes east and Gibraltar Airport around forty minutes west. Known as "the Garden of the Costa del Sol" for its extensive flower displays and public gardens, Estepona is anchored by a working old town, a long seafront promenade, and cultural infrastructure that includes the Auditorio Felipe VI theatre, the citywide mural programme, and a range of year-round restaurants. It is part of the Costa del Sol Occidental and falls within Andalusia.
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Estepona has undergone significant regeneration in the past decade and now offers one of the most balanced propositions on the western Costa del Sol. Property prices per square metre here are meaningfully lower than in Marbella but the infrastructure gives nothing away. You'll find substantial cultural depth, extensive shopping and dining, established healthcare and international schools all within the town or a short drive away. The town centre remains genuinely Spanish in character while accommodating an increasingly international residential community. New build activity has accelerated in recent years, with modern apartment, townhouse and villa projects releasing at €550,000 to €1.5 million price points across the town and its coastal hinterland.
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Estepona enjoys around 320 days of sunshine per year, typical of the western Costa del Sol. Summers are warm but tempered by Atlantic influence from the west, making them slightly milder than central or eastern Costa del Sol locations. Winters remain consistently mild, with daytime temperatures typically between 15 and 20 degrees Celsius. The microclimate supports year-round outdoor living, with residents commonly eating outside from March through November.
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Each location serves a different buyer profile. Marbella (ten minutes east) is the international destination of the Costa del Sol — highest prices, most polish, less authentic Spanish character. Casares Costa is just along the coast to the west, a quieter residential coast anchored by the Finca Cortesin estate, with entry-level pricing around €450,000. La Duquesa (ten minutes west) is a walkable marina town with mature amenities concentrated around the harbour, with entry-level pricing around €450,000. Manilva (ten minutes west) offers authentic Spanish character across Sabinillas and the white village above, with entry-level pricing closer to €280,000. Sotogrande (twenty minutes west) is the master-planned private estate community with championship golf and apartment pricing from around €600,000.
Estepona sits among these as the substantial Spanish town proposition — the depth of daily services, cultural infrastructure and integrated town life that smaller neighbours don't offer, with entry-level new build pricing around €550,000.
The Buying Process
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Once you've found the right property, the single most important step is to instruct a lawyer, and it's worth doing this early. We recommend using a local lawyer to the area where you're buying, and we can introduce you to several we've worked with over many successful purchases and trust completely.
Your lawyer is there to protect your interests. They'll check that all the contracts are correct and in order before you commit a cent, carry out the necessary due diligence, and obtain your NIE number (the Spanish identification number you'll need to buy). From reservation through stage payments, snagging and to completion at the notary, they'll guide you through every stage of the process, so nothing is signed and no money changes hands, without the right checks behind it.
In our eyes, granting your lawyer power of attorney (POA) is vital. It allows them to act on your behalf for the necessary paperwork, sign at key stages, and keep things moving even when you can't be in Spain, which, for most overseas buyers, makes the whole process far smoother and removes the pressure of having to fly out for every signature.
It means you can move forward with confidence, knowing the legal side is in safe, experienced hands.
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Foreign buyers need an NIE (Número de Identificación de Extranjero), which is the Spanish tax identification number for non-residents. This is required for any property transaction. Buyers also need a valid passport and proof of funds for the purchase. A Spanish bank account is needed to handle payments. Most legal and administrative work is handled by a Spanish lawyer (abogado) on behalf of the buyer. KIWII Real Estate works with English-speaking lawyers experienced in Costa del Sol property transactions.
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For a completed new build (key-ready), the process typically takes two to four months from signed offer to completion. For an off-plan purchase, the timeline depends on the construction schedule and can extend to one to two years. Reservation contracts are usually signed within days of agreeing the purchase, with the private purchase contract following four to six weeks later. Final completion at the notary happens once construction is complete (off-plan) or once financing and legal checks are finalised (key-ready).
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Buyers should budget approximately 13 to 15 percent of the purchase price for additional costs on a new build. This includes: 10 percent IVA (VAT) on the property, 1.2 percent AJD (stamp duty) in Andalusia, notary fees, Land Registry fees, lawyer's fees (typically 1 to 1.5 percent of purchase price), and mortgage costs if applicable. Resale properties carry ITP (transfer tax) of around 7 percent in Andalusia instead of IVA and AJD. KIWII Real Estate provides a detailed cost breakdown for each property at the offer stage so buyers can plan accurately. Try our Cost Calculator for a guide on how much your property purchase in Estepona will cost.
New Build Specifics
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Estepona has more variety of new build stock than the smaller coastal towns nearby. KIWII Real Estate curates a selection covering apartments, penthouses, townhouses and villas. The bulk of current new build activity is in the €550,000 to €1.2 million range, with two and three bedroom apartments in gated urbanisations making up the majority. Larger villa projects in the hills above Estepona and along the Estepona Golf corridor extend from €1.5 million upward. KIWII Real Estate works with established Spanish developers and prioritises projects with proven licensing, transparent payment schedules and quality build specifications.
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New build apartments in Estepona typically start from around €550,000 for two-bedroom units in well-located gated urbanisations. Three-bedroom apartments and penthouses range from €650,000 to €1.2 million depending on location and view. Townhouses with private gardens or sea views run from €700,000 to €1.4 million. Villas in the hills or the Estepona Golf area with sea views range from €1.5 million upward. These figures reflect Estepona's cultural depth and infrastructure compared to smaller nearby towns, while remaining substantially below central Marbella's pricing.
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Many developers on the Costa del Sol release new build units in phases at progressive price tiers, meaning units reserved early in a development's launch are often priced lower than units released later in the same project. This is a standard pricing mechanism rather than a guarantee. The actual list price of any later phase depends on the developer's commercial decisions, market conditions, and the development's sales velocity. KIWII Real Estate can show buyers the historical pricing structure of specific developments where this pattern has applied, but no agency can predict future market movements. Buyers considering off-plan purchases should focus first on whether the property suits their long-term needs and budget, and treat any potential value movement as a secondary factor.
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Estepona has several new build developments suitable for families, typically featuring three-bedroom apartments and townhouses with garden access, communal pools, gated security, and proximity to schools and amenities. The area is well-positioned for families with British, Scandinavian, Dutch and German backgrounds, with Colegio San José providing bilingual Spanish-English education within the town, and several British and international schools in the Marbella corridor within twenty minutes east. Sotogrande International School sits around twenty minutes west. KIWII Real Estate maintains an up-to-date selection of family-suitable developments on their property listings and can advise on the most relevant options based on family-specific criteria such as school proximity, garden size, or single-storey layouts.
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New build properties in Estepona offer several practical advantages over resale: modern energy-efficient specifications (often with solar pre-installation, double-glazed thermal windows, high insulation standards), ten-year structural warranty under Spanish construction law, contemporary open-plan layouts, lower maintenance costs in the early years, and the ability to choose finishes and customisations during construction in off-plan purchases. Resale stock in Estepona often dates from the 1990s and 2000s and carries higher maintenance requirements. The trade-off is that new build IVA at 10 percent is higher than resale ITP at 7 percent.
Spanish Taxes and Residency
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Yes. Both EU and non-EU citizens can purchase property in Spain without restrictions. Foreign buyers enjoy the same ownership rights as Spanish citizens, including the right to buy any type of property (apartment, townhouse, villa, land) anywhere in Spain. The only practical requirements are obtaining an NIE (foreigner identification number) and opening a Spanish bank account to handle payments. Brexit did not change UK buyers' right to purchase Spanish property, though it did move UK citizens from EU to non-EU status for tax purposes. Around 15 percent of all Spanish property transactions in 2024 were by foreign buyers, with the Costa del Sol seeing approximately 30 percent foreign buyer share, among the highest in Spain. KIWII Real Estate works with buyers from across Europe and beyond, with British, Scandinavian, Dutch and German clients making up the majority of recent transactions on the western Costa del Sol.
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No. Spain's Golden Visa programme, which previously granted residency to non-EU citizens who purchased property worth €500,000 or more, officially ended on 3 April 2025 under Organic Law 1/2025. New applications are no longer accepted under the property investment route. Existing Golden Visa holders granted before that date can continue to renew their permits and progress toward permanent residency. Foreign buyers can still purchase property in Spain freely, but property purchase alone no longer provides a residency pathway. Non-EU buyers seeking Spanish residency now typically use the Non-Lucrative Visa (for retirees and passive income earners with around €28,800 or more in annual income and private health insurance) or the Digital Nomad Visa (for remote workers earning from non-Spanish sources). EU citizens do not need a visa to live in Spain. KIWII Real Estate can introduce clients to immigration specialists who handle these alternative routes alongside their property purchase.
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Foreign property owners in Spain face two main ongoing annual taxes.
IBI (Impuesto sobre Bienes Inmuebles) is a municipal property tax paid to the local town hall, typically 0.4 to 1.1 percent of the property's cadastral value (which is usually significantly lower than the market value).
Non-resident owners in Spain pay an annual imputed income tax called IRNR (Non-Resident Income Tax) even if the property isn't rented out. For example, on a property with a €200,000 cadastral value, currently this typically works out to around €400–€530 per year, depending on your country of tax residence.
Additional ongoing costs include community fees if the property is part of a managed urbanisation (typically €200 to €500 per month for apartments in Estepona), local council fees for waste and water, and home insurance. KIWII Real Estate can introduce clients to Spanish tax representatives who handle the annual filings.
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The IRNR (Impuesto sobre la Renta de No Residentes) is one of the most misunderstood Spanish taxes for foreign property owners. Non-resident owners in Spain pay this imputed income tax annually even if the property isn't rented out. Spain assumes the property provides a deemed income benefit calculated from the cadastral value, and taxes that hypothetical income at 19 percent for EU/EEA residents or 24 percent for non-EU residents.
For example, on a property with a €200,000 cadastral value, this typically works out to around €400 to €530 per year, depending on your country of tax residence. The annual filing is done on Modelo 210.
It is important to factor this into your costs of ownership and to have your lawyer or accountant process this on your behalf. Many foreign owners miss it for years and accumulate back taxes plus penalties; the Spanish tax authority (Agencia Tributaria) has been increasingly active in pursuing unpaid IRNR. KIWII Real Estate recommends new owners appoint a Spanish tax representative from the year of purchase.
Note that this imputed income tax is separate from income tax on actual rental income — see the rental income question for how that works.
Foreign Buyer Considerations
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Yes, Spanish banks lend to non-resident foreign buyers, typically at 60 to 70 percent of the property's valuation (so a 30 to 40 percent deposit is required). Spanish residents can usually borrow up to 80 percent. Interest rates are typically variable and linked to the Euribor with a margin. Documentation required includes proof of income, tax returns from the buyer's home country, bank statements and credit references. Mortgage offers usually take four to eight weeks to process. KIWII Real Estate works with independent mortgage brokers who handle multi-lender comparison on the buyer's behalf.
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KIWII Real Estate works alongside established local lawyers experienced in Costa del Sol property transactions. The agency does not provide legal advice directly (independent legal representation is the standard and recommended approach in Spain) but introduces clients to vetted English-speaking abogados who handle due diligence, title checks, contract review and the closing process. The lawyer represents the buyer independently of the seller and developer.
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Three considerations matter most for foreign buyers in Estepona. First, location within Estepona: the choice between the old town, the seafront promenade, the west side (Estepona Golf, Selwo, Cancelada) or the east side (New Golden Mile approaching Marbella) will affect price, character and daily life. Second, total cost of ownership: budget for the 13 to 15 percent additional purchase costs, then ongoing annual costs of community fees (typically €200 to €500 per month for apartments in Estepona), IBI council tax (around 0.5 to 1 percent of cadastral value), and non-resident income tax if the property will be rented or unused. Third, legal due diligence: ensuring the developer holds proper licences, payment schedules are bank-guaranteed, and the property has clear title. KIWII Real Estate guides clients through all three considerations as part of the buying process.
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Yes, foreign property owners in Spain can legally rent their properties, both for long-term and short-term holiday letting. Short-term holiday rentals require a tourism licence (registro de turismo) which is issued by the Andalusian regional government. Local rules in Estepona municipality may apply additional requirements.
Rental income is taxed as a separate income tax charge from the imputed income (IRNR) discussed above, and the applicable rate varies depending on your residency status. EU/EEA residents pay 19 percent with deductible expenses allowed; non-EU residents pay 24 percent with no deductions permitted. When a property is rented for part of the year, the imputed income tax applies to the months it isn't rented, and rental income tax applies to the months it is — both filed on the annual Modelo 210 return.
Working with KIWII Real Estate
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Look for agencies with formal Spanish industry accreditations, transparent ownership, an established physical presence on the Costa del Sol, and a curated rather than indiscriminate property selection. KIWII Real Estate, founded in 2021, is accredited by GIPE (Gestores Inmobiliarios Profesionales de España) and MMCEPI (Marbella and Mijas Costa Estate Professionals' Institute). KIWII Real Estate operates from a base in La Duquesa, and maintains a curated selection of new build developments rather than listing every available property. Curated agencies tend to offer more informed advice on specific developments than aggregator platforms.
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KIWII Real Estate connects clients with established local mortgage brokers who specialise in foreign buyer mortgages on the Costa del Sol. These brokers compare offers across multiple Spanish banks, including those that specifically lend to non-resident buyers. The agency itself does not provide financing but coordinates introductions and guides clients through the mortgage application timeline alongside their property purchase. This approach gives buyers access to independent mortgage advice rather than tied bank products.
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Property viewings can be arranged by contacting KIWII Real Estate directly through our main website at kiwiirealestate.com or via the newbuildestepona.com enquiry form. The agency typically responds within one business day to arrange viewings, which can be scheduled in person on the Costa del Sol or, for buyers not yet in Spain, via video walkthrough as a first step. KIWII Real Estate operates from La Duquesa and arranges viewings across La Duquesa, Estepona, Manilva and the wider western Costa del Sol.
Ready to start looking for new build properties in Estepona? For current new build availability in Estepona, see our property listings. For a personal conversation about whether Estepona is right for you, contact KIWII Real Estate.
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The western Costa del Sol, curated by KIWII
KIWII Real Estate curates new build property across the western Costa del Sol — five dedicated microsites for five distinct locations, each chosen and vetted for build quality, licensing transparency, and location. Each a distinct proposition, explore the four other microsites to find your ideal location: