
Can I Reclaim VAT on my New-Build Property in Spain?
Buy a new build and recover 100% of the VAT by registering the property for a VAT-eligible rental or business activity for 10 years.
“I think the property found me,” Alice says. “It just landed in my lap.” That is what Birmingham-born Alice thought when she moved into her three-storey townhouse in La Carroja, Alicante that she found with the aid of HomeEspaña.
Alice, who runs an end-of-life planning business she set up two and half years ago, completed the purchase of her three-bedroom, two-bathroom townhouse in the picturesque village of La Carroja on 30th April this year for € 139,000.
The ground floor of the property boasts a charming living room with stone walls, wooden beams and a fireplace, a 20m2 patio with a bathroom and a traditional kitchen. On the next level, the townhouse has two double bedrooms and the top floor has an open space divided into two that is used as a bedroom.
Alice first moved to Spain 8 years ago after buying a property off plan in an ex-pat community in Quesada with her now ex-husband.
“I am a 21-year cancer survivor and that was one of the reasons for coming to Spain,” Alice says. “The health services are far better and obviously the quality of life, Mediterranean diet and I’m keeping fit, so that has all been really good for me.”
After her marriage failed, Alice moved to Altea where she has been renting an apartment for the last four years. The villa in Quesada sold last year and Alice finally found herself in a position to buy her own place.
“I saw 13 or 14 properties with different agents and had varied experiences,” Alice recalls.
“After the 13th property, I thought Oh my goodness, where am I going to live? I began to think I was never going to find my forever home.”
Alice then reached out to HomeEspaña who she says were very responsive and arranged to meet her at the property.
“I drove away thinking yes, I want it,” Alice says. “I put in an offer that night and was expecting to hear back the next day, but I actually heard back that night and they accepted the offer!”
“I never thought I could afford a property like this in Spain,” Alice says. “Even the architect that came round congratulated me for getting a very good property for very little money, so I did good!”
When asked what Alice liked about the property, she said the area, La Vall de la Gallinera, which she didn’t know and is beautiful.
“I never imagined moving away from the coast, because I love the coast, but the area, the tranquillity and most of all the Spanish lifestyle,” she says. “I actually feel like I’m living in Spain now for the first time in 8 years!”
“Since I have been here, I am shocked at how fantastic it’s been. We’ve had the cherry festival, a lot of festivities going on throughout August throughout the valley, the people… absolutely brilliant. It’s really been a success for me.”
“Michelle (from HomeEspaña) and her team have been really supportive. Every time I have emailed Michelle for advice or help, she has always been there and guided me,” Alice says. “It was just really easy.”
Alice bought the property with her son and is also delighted that he and his wife who is expecting will one day have the property as a legacy.
“They will be coming out to see me in spring time,” Alice says.

Buy a new build and recover 100% of the VAT by registering the property for a VAT-eligible rental or business activity for 10 years.

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