Author: E.C.

Source: El Confidencial

I am interested in buying a loft on industrial land in San Sebastián de los Reyes, for which I have already paid 33,000 euros to the agency for a rental with an option to buy. It does not have a habitability certificate but does have a first occupancy license. The problem arises when trying to obtain a mortgage, as all banks are placing obstacles. They only offer 50-60% or at most 70% of the mortgage. I have a stable job with over five years at my current company and share my salary with my partner. What can I do?

Industrial land, whether urban or developable, is where municipalities house industrial parks, business parks, or factories. Generally, constructing residential properties in industrial zones is prohibited.

Once the town hall confirms that residential use of the industrial space in question is permitted, a technical project to change the use from industrial to residential must be completed and signed by an architect.

Although municipalities and autonomous communities have different urban planning regulations and rules regarding housing occupancy, all are governed by the Building Regulation Law 38/1999 (LOE). In all cases, a first occupancy license is essential, meaning you cannot legally live in the property without this license.

This document ensures that the property is fully completed, all work has been carried out as specified in the plans and construction project, which led to the granting of the construction license.

It is important to highlight that without the first occupancy license, you cannot obtain the habitability certificate. The latter is the document that allows habitation of the property.

Therefore, although it may sometimes be possible to live in a property without these documents, this situation is not legally compliant and may cause long-term legal and administrative issues.

Additionally, the habitability certificate will be necessary to connect utility services (electricity, water, and gas). Hence, if the property is currently being rented out without this document, the owner might face fines.

Lastly, it is highly likely that you will not be granted a mortgage without the habitability certificate, as buying a property without this certificate is neither legal nor secure. No financial institution will grant a mortgage for a property lacking the habitability certificate because its absence significantly reduces the property’s appraisal value, possibly failing to cover the loan amount requested.

Therefore, it is advisable to check the actual status of the property before signing the purchase agreement and request the habitability certificate from the relevant authorities.

To obtain this, you will need an architect or a surveyor to inspect the property and issue a certificate, which must be submitted with the habitability certificate application.

With all documentation in order, you will be able to finalize the purchase and apply for the mortgage without complications. You may reach an agreement with the current owner where they commit to obtaining the habitability certificate by a certain date, and upon obtaining it, the purchase can be finalized with access to financing.