Perils of buying in Spain

Hi,

I have read this message board with interest as a prospective owner of a property in Spain but sorry folks, I realise that many of you feel that the media is too negative about buying abroad but I am one of many who are experiencing real problems and would appreciate any advice you 'old hands' can supply.  My developer has apparently gone bust, the apartments are as far as I am aware completed except for installation of light fittings and furniture.  I visited my completed apartment in December 2007 but was told that the developer would not be attending any signings at the notary until the end of January.  Constant inquiries from my lawyers failed to obtain a signing date until the end of March.   The day before the signings were due to take place I discovered on the eyeonspain website that the developer Idearco stated they had gone bust.  The electricity and water were turned off for a week because the developer had not paid the bills.  The administrator appointed by Idearco together with the permanent residents and other owners who could get over set up a community.  

I am having great difficulty getting any information as to where I stand with regard to my property (a situation which is shared by a number of other people who have paid a very large deposit).Spanish lawyers do not seem to be as informative as English ones as to the law in these circumstances, there must be a procedure as this is surely not the first developer to go bust.  Can anyone out there shed any light on this aspect of buying in Spain.   I would also be interested to know what qualifications an administrator has to have, if any, and what they can be expected to do and the costs involved.  I am sure that this has happened many times before and in a way it will help create a community spirit because of adversity but at the moment my dream of a spanish hideaway where I could relax in the sun has turned into a bit of a nightmare.  Any advice would be greatly appreciated.

Regards,

Safia

 Spam post or abuse? Please let us know

Hi Safia.  That sounds absolutely dreadful.  I'm sure people will help all they can.  For your legal queries I suggest contacting Maria de Castro.  Maria is a Spanish lawyer and regular contributor to EOS.  Unlike other lawyers I've come across, Maria offers terrific help.  If she hasn''t seen this yet try contacting her through the personal message facility on EOS.  Good luck,  Jane.

 Spam post or abuse? Please let us know

Hi Safia,

Are you in Algrofa or Almoradi.. I have been dealing with Juan Carlos on the problems with the electricity supply which does affect the water to the properties as the pumps are run with electricity. I understand that with regards to Vegamar in Almoradi, the liquidator has been on site to assess just what is left to do and I would suggest that he would be looking to finish the properties which are closest to completion so that he can get money in to pay for other work to be done.

Fontana in Algorfa had the electricity turned off by someone, it is not known by whom, but it is back on now and all working fine. Juan Carlos has the habitation certificates so that will allow him the get the meters fitted.

If you are close to completion, then I do not think it would be long before you are able to take advantage of your property, just be patient and wait just a little longer, I think it is all in hand. There is a lot going on on other forums to tell you just what is happening.

Good luck, you will enjoy when you complete, we do.

Dave

 Spam post or abuse? Please let us know

I wld b interested to get an update on idearco too, we have friends that r in the same position and I said I wld try and c if I cld get any help on this They completed over one year ago but still don't have their habitation licence so were still on builders supply Rgds

 Spam post or abuse? Please let us know

Hi saznaz

We completed two year ago and have still not got it, but the certificates are issued when all the electrics are complete and have been tested and certificates of compliance have been issued, you can then apply for a meter, it is much like in the UK. You can of course say you will not complete until they are issued, but with a complex, you could be waiting a long time.

All the correspondence is shown on the Algorfa forum part of the village web site. But with regards to Idearco, they stopped trading on 2nd April 2008 and the liquidators are involved.

Dave

 Spam post or abuse? Please let us know

I recommend that you do not complete on your building until you know for sure that your attorney has paid the connection fees for the water and electricity.  We have been left for over six months since completing without either.  Snagging hasn't been completed and the places are filthy.  ** EDITED - Please respect forum rules ** pressured us into completing and now we have paid six months mortgage and cannot rent or sell. 

** EDITED - Please respect forum rules ** have done nobody any favors and you have to take care of yourselves and if you are unsure about any event in the whole process do not complete but contact your Spanish attorney.

 

This message was last edited by EOS Team on 4/7/2008.

 Spam post or abuse? Please let us know

Do you know if the bankruptcy has been already approved by the Judge? I could know if you sent to us the name of the developer.

 Spam post or abuse? Please let us know

Hi,

The Company is Idearco, who I understand are based in Alicante.

Dave

 Spam post or abuse? Please let us know