Advice needed re: First Occupation License

Hello all, I'm hoping for a bit of advice and your experience on this.....

We are supposed to go to the notary to sign for our property on the 6th May (just 2 weeks away!!).  After reading about the first occupation license on this board, I emailed our solicitor to confirm it was all in place etc - I have receievd a response today to say that the FOL has been applied for but as yet it has not been "physically obtained" by our builders. 

So, would you complete?  I can literally feel my hair falling out at the moment with all the stress of this move and I don't know whether to laugh or cry at the crapness of it all.  From what I gather, I shouldn't complete without it - right?

Our solicitor has agreed that she can postpone the signing until the license is in place, but there are no guarantees on when this will be - it could take months apparently.  Although she has reassured me that there has never been a problem in obtaining the FOL, I am very reluctant to sign without one.  Why do I find this out only 2 weeks before completion?  The FOL was applied for on 16th January 2008. 

Also is the FOL the same thing as the certificate of habitation?  Sorry if that's a stupid question, but I need to clarify.

Thanks, Jenna

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Hi Jenna

Is the FOL the same thing as the certificate of habitation. Yes they are the same.

 

Having said that we completed without it  three years ago yesterday but we had no idea we needed one. Nobody had told us about it like they hadn't mentioned many other things we should've been made aware of. We had no knowledge through forums as you have, fortunately. We were illegal for two years.

Do NOT complete without your habitation licence. I realise this may cause you problems but nothing like those you could encounter without it.

I am sending you a PM.

This message was last edited by morerosado on 4/21/2008.

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Jenna,

If you click on 'Articles' at the top of this page it will lead you to lots of information on the buying process. Here, to help you, is a direct link to the info, about the 'Occupation License':-

http://www.eyeonspain.com/Secure/articles/article.aspx?article=/licence-first-occupation.aspx

 It is now illegal for the notary to allow a completion to take place or to occupy a dwelling without one.

 There is the problem of getting your services connected. The various utility companies will not connect where the License has not been issued. Also, if there is still work to do in completeing your purchase and the builder/developer goes bankrupt before the license is issued then who will complete the work and at whose cost? 

Regarding the application having being made in January 2008. It can take months for your local Town Hall to issue the licence. 

 Maria de Castro the lawyer who contributes invaluable information to this site and it's members advises NOT to complete without the FOL/LFO/ Habitation License or whatever you choose to call it.

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Hi Jenna, I understand completely your predicament as I was in the same situation myself last June. In my case I was getting a mortgage and I felt that if the bank were prepared to put up the money as they said the builder was very reliable, I decided to take the risk. I had to sign a disclaimer with the solicitor which was a bit scarry. As it turned out the licence was issued the week I completed, hence no free builders electric/water! Luckily it worked out ok for me.

Really only you can make the decision after weighing up all the pros and cons, although the official advice would be to wait for the licence to be issued.

Julia

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We took the risk and completed without the F.O.L. in October 2007. We were phase 4 of the 170 villas on our estate. We are on builders electricity and water as the town needs a new transformer which is being installed. Some people have occupied their houses for 2 years. Unfortunately everyone is at the mercy of the Town Hall regarding the habitation certificate.  Torre Pacheco council are as far behind as Cartagena council, which is saying something.  Among other things, this is also directly linked to power and water supplies which will be installed once the council have completed their work and issued the certificate. 

F.O.L. has been applied for but who knows when it will be granted. We are not too concerned.

What we are delighted about is all the news on Eye on Spain about the abolition of Wealth and Inheritance tax. What a relief!

 

 

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Lifeline, inheritance tax has not been abolished, or have I missed something ?

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More,

We looked up your reference on TAX PRECISION re Wealth tax. Went to Tag at bottom- SPANISH TAX RESIDENT AND NATIONALITY and scrolled down to

INHERITANCE TAX ABOLITION not for all of Spain but some areas! Wow! Would you agree that it reads that way?

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Thanks for all of your replies, everyone here is so helpful and I'm glad to see that things have worked out for other people when signing without the FOL.  However, I don't think I'm willing to do this.  I contacted our ever-helpful aftersales department this afternoon and asked to confirm that everything was in place ready for our completion, to which the guy replied "yes, of course"  I then asked him we they have failed to notify us why the FOL has not yet been granted.  To which he promptly got off the phone to "look into it". 

He phoned me back and confirmed that the application has been made, we are just waiting for the town hall to grant it, and the application in itself was "as good as having the actual license".  He told me that 99% of people who sign without the FOL in place encounter a smooth moving process.

So, I have told him that I will not be signing until I see the license myself,  because I'm not going to be one of the 1% who encounter problems.  He has phoned me since to tell me that the license will be there by the time we are due to sign at the notary, but I can't see how he can guarantee this unless there are strings they can pull to get the FOL sorted now that I've told them I'm not signing until it's there.  I think the aftersales guy hates me  I don't know who from aftersales will be assisting us when we come over to Spain in May but I reckon they're drawing straws over who gets lumbered with my little family because all I've done in the last week is bombard them with questions and complain that they are not doing what I'm paying them for.  I reckon they'll have a photo of me as a dartboard in their office soon, lol!!!

So now I'm just keeping my fingers crossed that everything will fall into place ready for us to complete in a few weeks, but I'm prepared to not sign.  I've waited nearly two years to get to this stage, so a few extra months won't hurt too much....

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Hi lifeline

I've just looked at the bit you told me about, hadn't seen that.

You mean THIS below, I assume.. it does read that Comunidad Valenciana has abolished IHT.  I think Maria should advise on this. She had advised previously on Inheritance Tax & I seem to recall she said it had been reduced but I'll post this on wealth tax site & she'll pick it up in there.

---------------------------------------------------------------------------------------------------------

From INTERNATIONAL TAX FORUM FOR PRIVATE CLIENTS

Inheritance Tax abolition in Spain.

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I think I have asked this before but still need an answer if anyone out there can help please.

Some people on our urb believe we have 'partial' or 'temporary' FOL. We have mains water, gas, electric and pay our local council taxes to the council. 

Is there such a thing as a 'partial' or 'temporary' FOL?

Thanks.

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Hi Poppyseed

When you get your LFO you are given a form with details on like date & address so if you haven't this then you won't, presumably, have your LFO. Surely if you are on main water etc you have your LFO ? You cannot get water or electricity contracts without it.

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Hi Morerosada,
Glad you enjoyed your hols. We definately didn't get the FLO on completion in 2004 and everyone said for years there weren't any. There is an ongoing court case against the developer and I think there is something in that about this too (as well as lots of other stuff) I agree that it seems odd to have all the services etc. but the latest 'rumour' is these temporary or provisonal FLO's have been issued. The AGM is in August so we could ask the president then, if we can get a word in!
By the way More, you once berated me for not having a Nationwide Flex account, well we do now!!!!!!!!!!
Regards, Poppyseed.

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Hi Poppyseed.. By the way More, you once berated me for not having a Nationwide Flex account, well we do now!!!!!!!!!!


Moi, berate you ?  I think I just get far too passionate about trying to help others to see the light & that's why I'm like a dog with a bone. (Apologies, but it worked,  & the rates we got last week were 1.260 & 1.264  using our Nationwide Flex account debit card).

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Hi,
We have been in our apartment now for nearly 2 years.
Still on builders supply for electric, paying our own bills
for water. Have just been advised that our habitacion
certificates are ready to be collected at our local town hall,
can anyone advise me as to what documents I will need
to take with me to collect this certificate . 

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Passport and private contract should suffice.
Best,
Maria

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Hi Maria,
Thanks for reply. I will go to town hall tomorrow.Will let
you know how I get on.

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Wonderful. Please let me know.
Best,
Maria

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Hi Maria,
Went to our town hall this morning to get
LFO, took items you recommended and HEY
PRESTO I now have 2 copies of my
habitacion certificate. MUCHAS MUCHAS GRACIAS.
(hope I have spelt THANK YOU correctly)

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I am so glad everything went fantabulous!! ( a friend of mine from Uganda, who was a classmate in the US, created that word!!
Congratulations!
Maria

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