Spanish Estate Agencies are now legally liable on offering properties without a Licence of First Occupation

Raymundo LarraĆ­n Nesbitt, December, 18. 2023

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18th of December 2023

In a new landmark provincial ruling from Alicante (Orihuela Costa) an estate agency, that mediated in a property sale without a Licence of First Occupation, has been found guilty and will have to pay the buyer a substantial amount in compensation.

This new ruling opens the door to litigate against real estate agencies for compensation when they intermediate on property sales that have not attained a Licence of First Occupation. The ruling goes on to expand that it is the duty of estate agencies to only sell properties which have attained a LFO.

A Licence of First Occupation is a critical administrative document that allows humans to live in new-build properties (off-plan) for the first time or in resales (after heavy property improvements & extensions).


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