Supposedly, the majority of developments in and around Marbella are to be granted retrospective building licenses therefore making them legal. This presents a problem for many people who have rightfully not completed on their proposed purchase because of the lack of the all important LFO. Many, if not most have spent a small fortune on protracted legal cases. A fortunate minority have actually received their monies back. Many have won their cases but are still being refused payment from both the banks and developers. Sadly many have had to give up the fight due to lack of funds and the huge costs involved in taking the case further after the developer/banks continue to appeal on ridiculous and unfounded grounds. This has been going on for up to 7 years in some cases. As always in life, peoples situations have altered. I personally know of cases where they have been affected by serious health problems, making buying in Spain out of the question. There have been divorces and more recently, job losses. Whilst people were prepared to honour their side of of the contract of buying off plan, developers did not honour their agreement because they were involved in wide scale corruption. Meanwhile, these properties are now way below their original values. That coupled with the poor exchange rate for the British people makes it very difficult to get mortgages to enable completion. The exchange rate is of course, not Spain’s fault, but it is a problem that comes into the equation.
I know that people who have not completed on Santa Maria Green Hills, have been sent very threatening letters from a debt collecting agency. The developers will in no way consider a negotiation in prices for the tiny number of people who would consider/are able to complete. I’m sure this is a scenario for many other developments. Still…. the greed of these developers has no boundaries. Empty properties will remain empty, decaying over time adding to the ruined landscape by overdevelopment of greedy Spanish developers.