Buying a refurbished property without a license in Spain

Buying a refurbished second-hand property in Spain can be the best solution to get a brand new house in the location we have always wanted. One of the most important things to consider is whether the property has been refurbished with the proper licenses. In this post, we will talk about the consequences of buying a second-hand property that has been refurbished without the appropriate licenses.

Firstly, if you buy a property that has been refurbished without the appropriate licenses, you could face fines and penalties from local authorities. On the Costa del Sol, there are three types of licenses for refurbishing a property and the need for one or the other depends on the scope of the works and the parts of the construction that are going to be modified. Each of them has requirements and fees and taxes associated with them. If the property you purchased is refurbished and was not done with the proper license, you could face considerable financial fines and penalties.

Furthermore, refurbishments that have been carried out without the necessary license may not have complied with current building and safety codes. This could put you and your family in danger and could also increase home insurance costs. Additionally, there may be hidden problems in the property that were not disclosed or were not detected during the purchase, which could result in costly repairs or additional renovations.

Another potential problem of buying a refurbished second-hand property without the appropriate licenses is that you may have difficulty selling the property in the future. Potential buyers may have concerns about the legality of the refurbishments, which could reduce the value of the property and limit the number of people interested in buying it. In some cases, you would have the option of legalizing the works that were carried out without a license, but it is a cost and a time expense that you will have to bear as the new owner and that, had you known before the purchase, would have been a reason to demand it from the previous owner or to offer a discounted price in the purchase negotiation.

In summary, buying a second-hand property that has been refurbished without the appropriate licenses can have serious legal and financial consequences. It is important to do thorough research before buying any property, to ensure that all necessary permits and licenses are in place, and to perform all necessary inspections before committing to the purchase. Don't take the risk of buying a property that could become a financial or legal burden.