Planning to buy property in Almeria or elsewhere in Andalusia? Be vigilant: a significant proportion of detached houses in 'rustic areas' (suelo rústico) have been built in the past without proper permits.
Buying a property in Spain's interior offers peace and quiet, but comes with specific legal risks. In this article, we analyse the situation of illegal building in Almeria, explain the need for the AFO procedure out and provide a concrete roadmap to secure your investment.
The Problem: Illegal Dwellings in Rustic Area
In Andalusia, there are an estimated 300,000 homes built illegally in agricultural or rustic areas. Although many building violations are time-barred, the property remains legally 'out of use', leading to limitations in renovation and marketability.
Until about 15 years ago, in regions such as Almeria, people frequently built without planning permission on land not intended for that purpose (rústica). Many buyers are unaware of the legal status of these properties.
"Just because a property has been there for 20 years and is connected to water and electricity does not automatically mean it is legal.”
The consequences of illegal status are concrete:
- You cannot do major renovation work.
- Connection to utilities (water, electricity) may be refused or disconnected.
- The resale value drops significantly as banks often do not mortgage these properties.
The Solution: What is the AFO procedure?
The AFO procedure (Asimilado a Fuera de Ordenación) is a special administrative route in Andalusia that allows owners to regularise the legal status of an illegally built property, provided the building violation is time-barred.
By obtaining the AFO certificate, the property is officially recognised by the municipality. The property is then no longer illegal, but is given a tolerated status. This is crucial for the value retention of your investment.
The benefits of a successful AFO process:
- Access to utilities: You will have the right to a legal connection to the water and electricity grid.
- Right to renovation: Necessary maintenance and conservation works will be allowed (however: no extensions).
- Registration: You can correctly register the property in the Property register (Registro de la Propiedad), which is essential for a legal title.
Cost of the AFO
Keep in mind that an AFO procedure requires a significant investment. You need to take into account municipal taxes (often a percentage of the construction value), architect fees and required modifications to the property.
- Technical adjustments: A modern septic tank often needs to be installed or solar panels regularised.
- Total cost: Count on a minimum of €15,000 for the full track.
Roadmap: Buying safely in Spain
Never sign a purchase agreement for a rural property in Spain without a prior legal audit ("Due Diligence") by a specialised lawyer.
Monitoring should take place before you are legally committed. Practice shows that sellers often do not take action until a buyer is found.
1. The Reservation Contract
First connect a reservation contract off. This acts as an option: the property is taken off the market, and you buy time (say 30 days) for your lawyer to check the legality of the property with the municipality and the land registry.
Read more about the reservation contract.
2. Strategy in ongoing AFO proceedings
Does the inspection reveal that the property does not yet have an AFO certificate? Then we recommend the following mandatory measures in the buying process:
- Suspensive condition: The sale will proceed only if the AFO is granted.
- Extension reservation: The deadline will be extended until the procedure is completed.
- Financial retention: A substantial amount (e.g. €20,000 - €30,000) is withheld from the purchase price at the notary. This amount is not released to the seller until the AFO is final and all costs have been paid.
It is recommended that you know the legal condition of your future home before you buy. Based on our checks, we will assist you with buying safely in Spain.
Frequently asked questions (FAQ)
What is the difference between an illegal dwelling and one in AFO regime?
An illegal dwelling has no permit and is at risk of sanctions or demolition (if not time-barred). An AFO-regulated dwelling is a formerly illegal dwelling that has been regularised by the municipality. Its existence is tolerated, and you are entitled to utilities and registration, but you are not allowed to increase the volume of the dwelling.
Can I buy a house in Andalusia without an AFO certificate?
Yes, you can, but it is strongly discouraged. Without an AFO, you are buying a property with legal defects. You risk fines, problems with water/electricity and a lower resale value in the future. If you do buy, negotiate a lower price and make sure you budget for legalisation afterwards.
How much does it cost to make a house legal in Spain through AFO?
Costs vary by municipality and house size, but on average you should expect to pay at least €15,000. This amount includes municipal taxes (often the biggest cost), the architect's fee for the technical report, and physical modifications to the house (such as a septic tank).
Is an AFO procedure mandatory when selling?
Legally, the seller is not always obliged to arrange the AFO for sale, but as a buyer, you should demand it. A property with AFO papers offers much more security. Banks are also increasingly demanding this document for granting a mortgage.
About the author: Glenn Janssens is a lawyer specialising in Spanish real estate transactions and tax regulations. Since 2017, he has been helping Belgian and Dutch individuals and entrepreneurs to safely purchase and structure real estate in Spain. He guides files from A to Z: from due diligence, ownership and tax control to estate planning and optimisation for residents and non-residents. Thanks to his years of experience, hundreds of handled files and focus on transparent communication, Glenn makes complex Spanish legislation understandable and practically applicable for every property buyer.
