[Anonymous]

Hello everyone,
Need to ask for some advice ,we bought an off-plan villa approx 1 year ago,we are due to go to Murcia to sign the deeds but the developer has told us we will be on builders supply of electric and water.

The town hall has a backlog of paperwork for FLO and it will take approx 9 months.Our solicitor has checked the details with the town hall we have a building licence and all paperwork seems in order.However I am very nervous and we told the developer we were not signing with no FLO,he has sent us a letter via e-mail stating he will return our money if in 9 months we do not get the licence and any extras we have paid.

We have paid half in cash and having a mortgage for the rest which is the developers bank,we did seem suprised the bank was willing to lend without the FLO, but it has been said the bank knows of the developer and the houses and has no problems.

We also asked why my partner was named the promoter on the licence the developer is the builder its all done under one company, it was explained to make the paperwork easier?I have researched and found nothing bad about the company there are no comments on forums ,we are part of 3 phases and apparently phase 1 has the licences now,we do not want to distrust and break the relationship down, but it is a worry when you read the horror stories.

We also applied for NIE numbers 2 yrs ago we have now been told we have to re-apply something to do with black and white certificate can anyone explain what that means.I thought NIE numbers were for life.We also have paid tax on the numbers as we bought land with a ruin but could not get planning permission.

Do any of you think its worth taking the risk with the written guarantee from the builder?I know Mark wrote comments in the past saying that FLO should be considered on each case and circumstances,its been said that the builder should not suffer just because the town hall is not upto date with the paperwork.any advice will be appreciated.

Regards Almond

[Anonymous]

Could you tell us which Town Hall is and the name of the development ?
You said “The town hall has a backlog of paperwork for FLO and it will take approx 9 months”. It is very suspicious this affirmation because normally the time limit fixed by law is 3 or 4 months since the day of the submission in the Town Hall.
In this term the Town Hall could:
1º Ask for more documents or corrections (In this case the term is interrupted until the developer put up the documents, this is the reason for the slowness of the Town Halls, normally the developer has not all the documents because he has not finished the accessories works like streets, fences etc)
2º Accord the FLO
3º Refuse the application

If in this time the Town Hall does not do any of this things you have your FLO because in Spain the failure by a public administrative body to reply within the stipulated time limit to an application lodged may mean consent. But the application must not be against law in material sense. One can not take advantage of the slowness and obtain anything against law

You said ” We also applied for NIE numbers 2 yrs ago we have now been told we have to re-apply something to do with black and white certificate can anyone explain what that means”
Very suspicious I´ve never heard something like this and as you said “NIE numbers were for life”

You said ” he has sent us a letter via e-mail stating he will return our money if in 9 months we do not get the licence and any extras we have paid ” This letter is nothing an useless, it is not a guarantee at all.

My advice is:
Assure yourself that your deed state:
“The developer has not fulfilled thoroughly the obligation of handover because the LFO has not granted, for this reason the buyer withhold a percentage of the consideration 10-15-20%”
“With the signature of this deeds the buyer does not acquire the full possession because of lack of and essential element which is the LFO”

It should be included in the deed an agreed damages clause stipulating the sum to be payable at a daily rate in the event of lack of LFO in a new deadline granted to the developer from the signature date of the deed and don´t forget to withhold 10%-15%-20% of the price until the LFO is granted, it is essential to do this because as you know some people just do things if the money is involved

In short, Law is in your side, you can demand a special consideration, developer is breaching the agreement so you want another agreement by deed.

Don´t give in

Felix

[Anonymous]

Thank you for your reply I shall PM you for obvious reason.

[Anonymous]

@almondgrove wrote:

We also asked why my partner was named the promoter on the licence the developer is the builder its all done under one company, it was explained to make the paperwork easier?
Regards Almond

I have heard this happening to others, quite unaware for some time that they were classed as ‘Developers’ on their Contracts.

On questioning their lawyer one was told that defining him as a developer rather than a purchaser would provide ‘tax advantages’, but this lawyer did not explain the numerous obligations now upon him as a ‘Developer’. I won’t go into all the problems & financial burdens placed upon him because of this, but he was later served notice of court proceedings by the Guardia Civil for allegedly illegal building. They were taken to Court nearly 2 years ago and are still waiting for the Judge’s Decision, so the case is currently unresolved.

If they were defined correctly on their Contract as ‘purchasers’ they would not have been taken to Court in this manner, & would not now be living in limbo everyday wondering what fate lies ahead of them 😡

Another disgraceful story of the result of the work many of us have paid for from ‘lawyers’ in Spain.

Be very very very careful almondgrove. All the best & get yourself another lawyer.

[Anonymous]

Hello Suzanne,
Thanks for your input,we are the purchasers on our contract and the developer is the promoter it was just the licence ,I think it would be the same if we had purchased a plot but had to apply for the licence in our name as a self build.

Our solicitor is independant- not the developers we felt that was important he should be acting on our behalf 100 %.

Regards Almondgrove

[Anonymous]

Hello Almondgrove 🙂

I may be be having a blonde day here 🙄 but find it difficult to see how you can be a ‘Developer’ on the Building Licence & then switch to being a ‘Purchaser’ on the Contract ❓
Very sorry if I’ve got it all wrong & added to your worries.

[Anonymous]

Hello suzanne ,well I am blonde (lol) the licence has PROMOTER just in my partners name and this could get more confusing now as the contract is in both our names we are joint purchasers .

contract is written we are the purchasers only ,rest is in the construction names.Maybe someone legal on here can help with advice.

😳

[Anonymous]

So, on paper, your partner is in-part buying it back from himself 😕 😕 😕 As you say, you need absolute & precise clarification from the Experts – Pronto.

[Author]

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