The Decenal insurance in the construction of new built properties in Mallorca provides protection and guarantee for buyers

Buying a property is an important decision and an excellent long-term investment. One of the crucial elements in the purchase of a newly built property is the "Decenal Insurance", a fundamental component that guarantees the buyers security and the quality of the construction. In this article we will take a closer look at the concept of Decenal Insurance and its importance for the real estate market in Mallorca.

The law on the building code: protection of the consumer

The Ley de Ordenación de la Edificación, enacted in 1999, was a milestone in the regulation of construction in Spain. The main objective of this law is to regulate the responsibilities of the parties involved in the construction and ultimately protect the interests of the buyer as a consumer. Since 2000, this law has categorically stated that all developers are required to take out what is known as "ten-year insurance". This building liability insurance provides coverage for a period of 10 years to protect the buyer in the event of damage to the building structure.

Decenal insurance is a pillar of protection for the purchase of new construction properties in Mallorca.

When signing a purchase contract for a property in Mallorca, the Decenal insurance must be presented before a notary. This is an important measure that allows the seller to register a declaration of new construction in the land registry and proceed with the sale of the property, ensuring legal certainty for both parties. In the event of damage to the building during the 10-year period, the buyer has the right to apply directly to the 10-year insurance company. This insurance, in turn, assumes the liability of the parties involved, which may include developers, contractors, architects and other building professionals.

What coverage does Decenal insurance offer?

Decenal insurance is very valuable for buyers of real estate in Mallorca, as it provides comprehensive protection for an extended period of time. During the first 10 years, this insurance covers damage to foundations, beams, girders and structures that affect the mechanical strength and stability of the building. It also provides 3-year coverage for defects to building elements and installations that affect habitability, including aspects such as hygiene, health and environmental protection. Finally, it provides 1-year coverage for defects related to the execution or completion of the structure.

Transferability: an added value for buyers

A special feature of the Decenal insurance is its transferability in case the buyer decides to sell the property within the 10-year period. This feature ensures that the rights under the Decenal insurance are transferred to the second buyer, so that the latter can enjoy the same protection for the remaining period of the insurance. This transferability significantly increases the value of the property and gives security to buyers and sellers alike.

The role of OCT: "Technical control points" for ensuring construction quality

The procedure for taking out Decenal insurance begins before the foundation stone is laid for the construction project. The developer must submit a series of documents and inspection reports to the insurance company so that it can evaluate the risks. To effectively perform this assessment, developers often use engineering firms called "technical inspection agencies," which play a role similar to a "building inspection agency." These companies are responsible for conducting rigorous quality control of the project and the materials used, as well as closely monitoring the progress of construction. At the end of the project, they submit a log book listing all the inspections carried out, which guarantees a high level of construction quality.

The Decenal insurance: efficient consumer protection

In the two decades that have passed since the Construction Law came into force in Mallorca, Spanish case law has clarified all ambiguities in the law. This has strengthened the role of Decenal insurance as an effective protection tool for consumers buying properties from developers. Today, Decenal insurance offers buyers a solid and reliable security that guarantees the quality of the buildings and protects their investment.

In summary, Decenal insurance is a fundamental element when buying a new property in Mallorca. This long-term protection gives buyers peace of mind and guarantees the quality of buildings in a vibrant and desirable real estate market like Mallorca. By understanding the importance and implications of Decenal insurance, buyers can make informed and confident decisions when investing in their dream of the perfect property on this beautiful Mediterranean island.

New built properties

Our portfolio of new construction properties in Mallorca includes a wide range of options, from elegant apartments to stunning villas and fincas that reflect the natural beauty and unique architecture of Mallorca. We invite you to explore our new construction properties and discover the luxury, comfort and quality they offer. Whether you are looking for a permanent residence, an investment or a vacation home, we have the perfect property in Mallorca for you.