Habitation Licence Time Frame?
#1
Habitation Licence Time Frame?
Hello everybody. This is my first post so any help would be gratefully accepted.
We have recently had an offer accepted on a property in the Algarve. It came to light that an extension was built without a licence (which I gather is not unheard of in Portugal). The seller has had the Camera round who have said that it is possible to obtain a licence provided all the paperwork etc. is completed by an engineer/architect. The seller is going to take care of this but we don't want to complete the purchase until it is all done.
This leaves us somewhat in limbo. Does anybody have any idea how long it takes to get a licence retrospectively? Are we talking weeks, months or years?
Thank you in advance for any advice or experience you may have.
We have recently had an offer accepted on a property in the Algarve. It came to light that an extension was built without a licence (which I gather is not unheard of in Portugal). The seller has had the Camera round who have said that it is possible to obtain a licence provided all the paperwork etc. is completed by an engineer/architect. The seller is going to take care of this but we don't want to complete the purchase until it is all done.
This leaves us somewhat in limbo. Does anybody have any idea how long it takes to get a licence retrospectively? Are we talking weeks, months or years?
Thank you in advance for any advice or experience you may have.
#2
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Joined: Mar 2013
Location: central Portugal
Posts: 4,111
Re: Habitation Licence Time Frame?
It'll depend on the individual Camara etc but whatever you do, do not under any circumstances sign anything or part with a cent until all paperwork including licences is correct.
#3
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Joined: May 2007
Posts: 370
Re: Habitation Licence Time Frame?
We renovated a property and for some reason that required a new habitation licence even though one already existed, before the renovations were approved.
It has taken a very long time (years) to get the new habitation licence.
My advice is the same as Mfsherne. Until the correct and complete licence is in place, pay nothing and sign nothing.
It has taken a very long time (years) to get the new habitation licence.
My advice is the same as Mfsherne. Until the correct and complete licence is in place, pay nothing and sign nothing.
#4
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Joined: Mar 2013
Location: central Portugal
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Re: Habitation Licence Time Frame?
I should perhaps elaborate on my previous comment.
If you sign & pay you obviously commit to buy & if the permit then fails to arrive for whatever reason & you feel compelled to pull out you lose your deposit.
If you sign & pay you obviously commit to buy & if the permit then fails to arrive for whatever reason & you feel compelled to pull out you lose your deposit.
#5
Re: Habitation Licence Time Frame?
Thanks for the replies. The Camera is Silves.
We haven't signed anything yet but are about to sign the Promissary Contract. This has a clause which says that if the licences have not been issued in 10 months we have the right to pull out and get our deposit back. The seller is not willing to spend the money to get the licences unless we commit to the purchase by signing the contract.
We are prepared to wait 10 months as we really like the property but 'years' is not an option.
Does any of this sound unrealistic? We don't want to get into a situation of being 'nearly there' for an indefinite amount of time, hence the get out clause. It would still be frustrating to wait 10 months only to have to start looking again for a different property.
We haven't signed anything yet but are about to sign the Promissary Contract. This has a clause which says that if the licences have not been issued in 10 months we have the right to pull out and get our deposit back. The seller is not willing to spend the money to get the licences unless we commit to the purchase by signing the contract.
We are prepared to wait 10 months as we really like the property but 'years' is not an option.
Does any of this sound unrealistic? We don't want to get into a situation of being 'nearly there' for an indefinite amount of time, hence the get out clause. It would still be frustrating to wait 10 months only to have to start looking again for a different property.
#6
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Joined: Oct 2012
Posts: 26,724
Re: Habitation Licence Time Frame?
Thanks for the replies. The Camera is Silves.
We haven't signed anything yet but are about to sign the Promissary Contract. This has a clause which says that if the licences have not been issued in 10 months we have the right to pull out and get our deposit back. The seller is not willing to spend the money to get the licences unless we commit to the purchase by signing the contract.
We are prepared to wait 10 months as we really like the property but 'years' is not an option.
Does any of this sound unrealistic? We don't want to get into a situation of being 'nearly there' for an indefinite amount of time, hence the get out clause. It would still be frustrating to wait 10 months only to have to start looking again for a different property.
We haven't signed anything yet but are about to sign the Promissary Contract. This has a clause which says that if the licences have not been issued in 10 months we have the right to pull out and get our deposit back. The seller is not willing to spend the money to get the licences unless we commit to the purchase by signing the contract.
We are prepared to wait 10 months as we really like the property but 'years' is not an option.
Does any of this sound unrealistic? We don't want to get into a situation of being 'nearly there' for an indefinite amount of time, hence the get out clause. It would still be frustrating to wait 10 months only to have to start looking again for a different property.
This is the best incentive you can give the seller to get a move on.
Given current market movements prices may well have increased by the time you are back in the market if you wait 10 months and they still do not have legal paperwork.
#7
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Re: Habitation Licence Time Frame?
This is where we differ.
If it's in the promissary contract and all signed by both parties, what's the problem? You want the house, they want to sell. If it's signed, in front of your solicitor/notary, no problem, if you're not in any rush.
We had similar ish, problem on our part, as our buyer had to get people from Brazil and England over, but we all signed, no problems and we signed and paid on the agreed date.
If it's in the promissary contract and all signed by both parties, what's the problem? You want the house, they want to sell. If it's signed, in front of your solicitor/notary, no problem, if you're not in any rush.
We had similar ish, problem on our part, as our buyer had to get people from Brazil and England over, but we all signed, no problems and we signed and paid on the agreed date.
#8
Re: Habitation Licence Time Frame?
Hi
It's OK " We can always get our deposit back " Yes but you try and get your deposit back and that can take years.
Ask a real estate agent and they will tell you that a property can't be advertised until all paperwork is complete.So the question is why was this offered for sale without all papers being correct??? This is the advice a friend just got from her lawyer as she was about to sign but has now pulled out of the purchase.
Peter
It's OK " We can always get our deposit back " Yes but you try and get your deposit back and that can take years.
Ask a real estate agent and they will tell you that a property can't be advertised until all paperwork is complete.So the question is why was this offered for sale without all papers being correct??? This is the advice a friend just got from her lawyer as she was about to sign but has now pulled out of the purchase.
Peter
#9
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Joined: Mar 2013
Location: central Portugal
Posts: 4,111
Re: Habitation Licence Time Frame?
This is where we differ.
If it's in the promissary contract and all signed by both parties, what's the problem? You want the house, they want to sell. If it's signed, in front of your solicitor/notary, no problem, if you're not in any rush.
We had similar ish, problem on our part, as our buyer had to get people from Brazil and England over, but we all signed, no problems and we signed and paid on the agreed date.
If it's in the promissary contract and all signed by both parties, what's the problem? You want the house, they want to sell. If it's signed, in front of your solicitor/notary, no problem, if you're not in any rush.
We had similar ish, problem on our part, as our buyer had to get people from Brazil and England over, but we all signed, no problems and we signed and paid on the agreed date.
My advice would be not to touch it with a 10 foot bargepole, let alone sign or pay anything until all the paperwork is absolutely correct & if your lawyer suggests otherwise, you need a new lawyer.
#10
Re: Habitation Licence Time Frame?
Good point. Our lawyer has reassured us that we can get the deposit back if the deal falls through due to lack of licences. However, as you say she didn't say how long this was likely to take.
I have read somewhere that it is possible to buy the property but keep a retainer back which will only be paid when all licences are issued. Does anybody know anything about that?
I have read somewhere that it is possible to buy the property but keep a retainer back which will only be paid when all licences are issued. Does anybody know anything about that?
#11
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Joined: Oct 2012
Posts: 26,724
Re: Habitation Licence Time Frame?
Good point. Our lawyer has reassured us that we can get the deposit back if the deal falls through due to lack of licences. However, as you say she didn't say how long this was likely to take.
I have read somewhere that it is possible to buy the property but keep a retainer back which will only be paid when all licences are issued. Does anybody know anything about that?
I have read somewhere that it is possible to buy the property but keep a retainer back which will only be paid when all licences are issued. Does anybody know anything about that?
Legally it should not even be on the market with a licensed agent.
#12
Re: Habitation Licence Time Frame?
Thank you for the advice everybody. We are now having a serious rethink about going ahead with this. The agent who is selling it is properly licensed but that doesn't seem to have protected us as much as we thought it would.
#13
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Re: Habitation Licence Time Frame?
Absolutely correct & if your lawyer is trying to convince you to go ahead without ALL the correct paperwork in place you definitely need to replace him because he/she undoubtedly has a hidden agenda.
#14
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Re: Habitation Licence Time Frame?
Well, all I can say is that we were very lucky, and a second buy in the country too.
No problems with the habitation licence , just signing for this house, before we signed for our house in the Algarve. It was all in the promissary, all agreed with our buyers, us and the vendors for this.
No problems with the habitation licence , just signing for this house, before we signed for our house in the Algarve. It was all in the promissary, all agreed with our buyers, us and the vendors for this.
#15
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Joined: Oct 2012
Posts: 26,724
Re: Habitation Licence Time Frame?
No sale no money.