Buying a finca or detached villa in the Spanish interior is a dream for many, but the legal reality in rural area (suelo rústico) is more complex than in urbanised zones. In a previous article we already discussed general pitfalls in domestic properties. This article specifically analyses the five biggest legal risks in single properties and how to proactively solve them.
1. No or Incomplete Entry in Land Registry and Registro
Direct Answer: A property that is not correctly registered in the Registro de la Propiedad (Property Register) and the Catastro (Land Registry) produces an incomplete title. This makes the sale legally questionable and often prevents bank financing.
In rural areas, it is common that physical reality does not match paper reality. A house may physically exist, but be legally 'inalienable' if, for example, the Obra Nueva (deed of new construction) was never signed.
- The corollary: You are buying land without an officially registered house. To regularise this, you need to engage an architect and notary and force its registration in the land registry.
- Financial impact: Allow for significant regularisation costs and a correction (increase) in municipal taxes and the IBI (Property Tax) retrospectively.
Read more about taxes on owning Spanish property.
2. Variations in Parcel Area and Easements
Direct Answer: The actual land area of rural properties is often smaller than advertised. This has a direct impact on pricing, building possibilities and the permitted use of the plot.
Estate agents often advertise with data from the Land Registry, which is not always accurate via satellite measurements. A recent case in Granada province painfully demonstrated this:
- Advertisement: 6,000 sq m of land.
- Topographic measurement: 3,000 sq m of actual land.
For buyers with commercial plans (such as a campsite or B&B), this can be fatal for the permit application. In addition, it often leads to lingering boundary disputes with neighbours.
Watch out for easements (Servidumbres)
Large plots often bear invisible burdens, such as a right of way (servidumbre de paso) for farmers or utilities. This is a legal restriction on your property rights that can significantly reduce your privacy and use.
3. Uncertainty about Utilities and Outstanding Debts
Direct Answer: In non-urbanised zones (suelo no urbanizable), connection to the public water and electricity networks is not guaranteed. You often depend on private water tanks or wells with limited capacity.
Security of supply is a critical issue during the Due Diligence. Water in remote areas is often supplied through a local irrigation association with a strict annual limit (maximum offtake).
Debt risk: In Spain, utility debts often rest on the property, not on the person. Properties that have been vacant for a long time may have unpaid bills outstanding for years.
- Action: The seller must prove that all invoices have been paid. If this is not the case, this must be offset in the purchase price, otherwise you as the buyer will inherit these debts.
4. Absence of the Certificate of Conformity (Cédula de Habitabilidad)
Direct Answer: Without valid Certificate of conformity (or Licencia de Primera Ocupación), a property may not be formally occupied and you cannot get a connection to utilities. Moreover, this document is strictly necessary for holiday rentals.
In rural areas, this attestation is frequently lacking. The document proves that the property meets minimum local housing standards in terms of hygiene and safety.
- Impact on returns: Are you planning to rent out the property to tourists through platforms such as Airbnb? Without this certificate (and subsequent registration with the tourism register), legal rentals are impossible. You risk heavy fines for illegal exploitation.
Read more about the conformity certificate.
5. Construction violations and the End of Statute of Limitations
Direct Answer: Building violations in rural areas are the biggest financial risk for buyers. Since legislative changes (including in 2019), serious building violations in protected rural areas no longer have a statute of limitations in many regions.
The idea that "everything is time-barred after 4 or 6 years" is a dangerous myth.
- Sanctions: Violations can lead to sky-high fines or, at worst, a demolition order (demolition).
- Regularisation: A property with active building violations will not get a certificate of conformity. You must first regularise the situation (if legally possible) through a procedure at the municipality (such as the AFO procedure in Andalusia). This costs time and money.
Crucial Legal Update (June 2019): For building violations on structures located in rural areas (especially in regions such as Andalusia under LOUA/LISTA legislation), for new violations or violations in protected areas, often no prescription possible. The government can act indefinitely over time.
Frequently asked questions (FAQ)
1. Can I buy a house in Spain without a conformity certificate? It is legally possible to transfer ownership, but it is strongly discouraged. Without this certificate, you cannot put new contracts for water and electricity in your name and you are not allowed to rent out the property on a tourist basis.
2. What is the difference between urban area (Urbano) and rural area (Rústico)? Ground in Suelo Urbano is zoned for residential development and has all facilities (sewerage, street lighting). Suelo Rústico is agricultural land on which building is strictly restricted or prohibited, unless it is existing, old properties that have been regularised.
3. Who is liable for building violations by the previous owner? As a buyer, you take over the property including the legal charges. If a case for building infringement is pending, liability (and the duty to repair or demolish) is transferred to the new owner. Thorough investigation by a lawyer is therefore essential.
4. How do I check the exact area of a plot? Do not rely solely on the Land Registry (Catastro) or the Property Register. The only watertight method is to have a topographic measurement by a licensed surveyor before the signing of the purchase deed.
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.
