WHAT IS AN UNREGULATED PROPERTY? CAN IT BE SOLD?
In highly sought-after areas of the Costa Blanca such as Altea Hills, Mascarat or El Albir, it is relatively common to find properties classified as “unregulated”. This type of property raises many questions for both owners looking to sell and buyers seeking property opportunities.
At ALTEAINVEST, experts in the property market of Altea and the Costa Blanca, we explain everything you need to know to make an informed decision.
Find out what a non-compliant property is in Altea and the Costa Blanca, whether it can be sold, its limitations and investment opportunities.
What is a non-compliant property?
A non-compliant property in Altea or on the Costa Blanca is one that was built legally at the time but no longer complies with the municipality’s current town planning regulations.
This usually occurs when:
A new General Urban Development Plan (PGOU) is approved.
Land use changes.
Permitted building lines, heights or densities are modified.
New green spaces, roads or public infrastructure
New coastal or landscape protection regulations.
Reorganisation of residential or rural areas.
It is important to emphasise that a non-compliant property is not an illegal property, but rather a property that does not comply with current regulations, and has therefore come to be in a special planning situation.
Is it common to find properties that do not comply with planning regulations on the Costa Blanca?
Yes, particularly in areas with a historical development or close to the coast, such as:
Altea
Altea la Vella
Sierra de Altea
Albir
Benidorm and the surrounding area
This is due to changes in planning regulations, particularly in areas where building was previously permitted with greater flexibility.
Can a property that does not comply with planning regulations be sold in Altea?
Yes, it is perfectly possible to sell a property that does not comply with planning regulations in Altea or anywhere else on the Costa Blanca.
There is no legal prohibition on the sale, but there are key aspects that must be taken into consideration:
The buyer must be clearly informed.
The planning status must be reflected in the documentation.
It may affect the price and the buyer profile.
Some financial institutions may be more restrictive when granting mortgages.
At ALTEAINVEST, we handle these types of transactions with full legal certainty, facilitating the sale even in complex cases, and we recommend always acting with complete transparency, including this information in the transaction documentation.
Restrictions on a property not in compliance with planning regulations
Before buying or selling a property not in compliance with planning regulations, it is essential to be aware of its restrictions:
1. Restrictions on building works and renovations
Only maintenance and upkeep works are permitted.
No extensions or increases in floor area may be carried out.
Structural renovations are highly restricted.
2. Potential future impact
Some properties may be located in areas earmarked for future infrastructure or conservation.
In specific cases, in the medium to long term, they could be subject to demolition or compulsory purchase.
3. More stringent financing
Some banks consider these properties to be higher risk. This may result in:
- Mortgage refusal
- Lower loan-to-value ratio.
- More stringent conditions.
4. Downward impact on market value
- They are usually priced lower than similar properties in a standard planning situation.
- They may represent an investment opportunity on the Costa Blanca depending on the buyer’s profile or objective.
A practical, real-life example in Altea
Let’s imagine a sea-view villa in the old town of Altea built in the 1970s. Over time:
Planning regulations change
The property becomes non-compliant.
Result:
It can be sold without any problem.
It is priced more attractively than other similar properties in the area.
Extensions are not permitted, but maintenance is.
Premium location with sea views
Great potential as an investment as it allows for demolition to build a block of flats
This type of property can be ideal for buyers looking for a second home in Altea at a good price with the possibility of building a block of flats in the future.
Is it a good opportunity to buy a property that is no longer compliant with planning regulations on the Costa Blanca?
It can be an excellent option if you are looking to:
Invest in properties in Altea at a competitive price
Buying a charming property in prime locations
Generating rental income
Enjoying a second home without the need for extensive extensions or renovations
It can also be an excellent investment if new planning regulations allow for increased building volume by bringing the construction into line with current standards, for example by converting an old villa into a block of flats
This type of property is ideal if:
You do not need to carry out extensions or structural alterations
You are looking for rental income or holiday use
You want to buy below market price
Conclusion
Non-compliant properties form part of the property market and should not be automatically dismissed, but they do require a clear understanding of their implications.
· They can be sold
· They are not illegal
· They have significant planning restrictions
That said, it is always essential to seek specialist professional advice on legal and planning matters specific to the local market in Altea or the town in question.
At ALTEAINVEST, we help you assess each property with rigour and transparency, so you can make confident and well-informed decisions.
Do you want to sell a property that does not comply with planning regulations in Altea?
If you are a property owner, you should know that:
- There are buyers for this type of property
- An appropriate strategy is essential
At ALTEAINVEST, we offer you:
- Free professional valuation
- A fully transparent explanation of the situation
- We maximise the value of your property
- A personalised sales strategy
- Access to national and international buyers interested in this type of property
- Advice throughout the entire process, from start to finish
Contact ALTEAINVEST now and sell with complete confidence
Are you looking to buy an off-plan property on the Costa Blanca?
We can help you:
- Find exclusive opportunities
- Analyse risks and benefits
- Negotiate the best price
- Advice throughout the entire process, from start to finish
Discover unique opportunities in Altea and other towns on the Costa Blanca with our team
Contact ALTEAINVEST
At ALTEAINVEST, we specialise in managing unique properties in Altea and the Costa Blanca, including off-plan properties, with extensive and proven experience in:
Off-plan properties
Unique properties
Property investments
We know how to market and sell these types of assets effectively.
If you have an off-plan property and wish to sell it, or if you are looking for a property investment opportunity in Altea, Albir or the Costa Blanca, our team is ready to help you.
Contact ALTEAINVEST today and discover the true value of your property or the best investment opportunity for you.
