Carlos Baos – Protected Housing In Spain

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Protected Housing in Spain. Can I sell my property? Am I forced to inform first the Valencian Government? Legal requirements. Spanish Lawyers in Costa Blanca. 

Government subsidised housing is a type of property that has very special characteristics, the most outstanding being that it is marketed at a much lower price than the market price. So that everyone (especially people with few resources) have access to them and can acquire them at a reduced price.

However, this type of housing comes with a number of limitations under their belt. In this week’s article we analyse its main characteristics and issues to consider if you want to sell, gift or buy a house of this type.

First, the maximum price. One of the most common limitations that this type of housing has (to compensate for its reduced price) is that it cannot be sold or rented above a certain amount. This is intended to avoid fraudulent practices (acquiring the property at a low price, to later resell it for a higher amount).

Secondly, the right of first refusal of the Generalitat Valenciana. How does it work exactly? The Valencian public administration, depending on the circumstances, may have the right to acquire that property before any other person. How is this articulated? If you have a property that is social housing and you want to sell it, you will probably be obliged to inform the competent Valencian authority. Who is going to purchase it. Price of the operation. Conditions. Etc. And the administration, if it wishes, could buy the house with preference. It is also important the deadline within which this communication must be made to the Generalitat Valenciana. Since the administration has up to 60 days to answer, it is better to be cautious and notify the authorities as soon as possible.

Many  sellers are unaware of this, which can be a problem, since the penalties for failing to comply with this duty of communication are quite high. The limitations, right of first refusal and right of withdrawal, will depend on the protection regime. To know the protection regime, it is necessary to study the law (state, autonomic or both) under which the property was approved.

At White Baos Lawyers we are experts in conveyancing. If you want to buy, sell or gift a property to a loved one, and the property in question is labelled as “Social housing”, do not hesitate to contact us. We will offer you expert legal advice on these and other issues related to Real Estate Law.

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Carlos Baos (Lawyer)

White & Baos.

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Written by

Carlos Baos (Lawyer)

Lawyer Carlos Baos has been advising on variety of expat-related legal issues for years and weekly column offers free weekly insights.