When buying a property in Spain, it's easy to focus on what you can see immediately: the location, the view, the terrace, the pool, the square footage and the price.

But when purchasing, especially on the primary market, documents are equally important.

One of these is the License for Initial Occupation, often abbreviated as LPO. This document is related to the initial occupancy of a property. In simple terms, it confirms that the building has been completed in accordance with the design, permit, and technical requirements, and that the property can be used for its intended purpose.

On the Costa Blanca, or in the Valencian Community, you may also encounter the term "declaración responsable de primera occupación" (responsible property declaration). The official Valencian City procedure describes it as a declaration confirming that the work has been carried out in accordance with the project and the proper legal title, and that the property meets the conditions for use and occupation.

Sounds formal? That's why you don't have to analyze it yourself. When purchasing from Baju Baju Properties, the documents are reviewed by a lawyer working with us, so the client knows what they're signing and what legal stage the property is at.

What will you find in the article?

What is licencia de primera ocupación?

Why is it also called declaración responsable on the Costa Blanca?

What is this document needed for?

LPO a cédula de habitabilidad

When is the document required?

Who checks the LPO upon purchase?

What to watch out for on the primary market?

What to watch out for on the secondary market?

FAQ

What is licencia de primera ocupación?

Licencia de primera occupación is a document related to the approval of real estate for use after construction is completed.

This isn't just about the fact that the building is physically standing. It's about confirming that the investment was completed in accordance with the design, permit, and technical requirements, and that the premises can be legally occupied.

This is an important difference.

The building permit says it was OK to build.

The first use document states that after construction is completed, the property may be used for its intended purpose.

Why does the declaración responsable appear on the Costa Blanca?

In the Valencian Community, the procedures related to the first use of a property are now often carried out by means of a declaración responsable, i.e. a declaration of responsibility.

In practice, this means that the promoter or relevant entity submits documentation and declares that the property meets the requirements for use. The office can then verify the documents and the facts.

This is important because a client might ask, "Is it an LPO?" and see a different name in the documents. This doesn't necessarily mean a problem. On the Costa Blanca, what matters is not the colloquial term itself, but whether the property has the proper documentation or title allowing for legal use.

Why do you need an LPO or declaración responsable?

The first use document may be important in several very practical situations.

Media

For new properties, it is important to switch from construction or temporary utilities to final contracts for electricity, water and other services.

The City of Valencia indicates that the procedures for the first or subsequent occupation are related, among other things, to documents confirming the possibility of using the property and to the services specific to the apartments.

Loan

If the purchase is financed with a loan, the bank may require documents confirming that the property is legal, completed and ready for use.

The bank doesn't just look at price and creditworthiness. It also analyzes the documentation surrounding the property itself.

Transaction security

The LPO, or the relevant declaración responsable, is one of the documents that helps confirm that the property is not only attractive in the photos, but also a safe purchase from a formal perspective.

Tourist rental

If the property is intended for tourist rentals, the occupational status is also important. The registration procedure for tourist rentals in the Valencian Community requires a declaration that the property holds a primary or secondary occupational license, or an equivalent title, as provided for in Decree 12/2021.

LPO a cédula de habitabilidad. Is this the same thing?

In Spain, you may come across the concept of cédula de habitabilidad, which is a document confirming that the property meets the conditions for living.

The problem is that names and procedures vary from region to region.

On the Costa Blanca, i.e. in the Valencian Community, it is crucial to check the documents related to the first or subsequent occupation, and not to forcefully look for a document with a name known from another region.

In practice, the client should ask not only: "Is there a cédula?", but rather:

Does the property have a license for primary occupation, a declaration of responsibility for primary occupation, a second occupation or another document required for this type of property in the given municipality?

And this is what a lawyer should verify.

When is the document required?

The topic most often arises in the primary market, i.e. in new investments.

After construction is completed, the developer should initiate the first occupancy procedure. Depending on the municipality and the type of development, this may be a traditional license or a responsible declaration.

The document may also be important for:

major reconstruction,

building rehabilitation,

change of use,

a premises that was not previously an apartment,

another occupation on the secondary market,

planned tourist rental.

There's no single answer for the entire Costa Blanca, as details vary by municipality. The procedure may be different in Alicante, Torrevieja, Orihuela Costa, Guardamar, Calpe, or Jávea.

Who checks the LPO when purchasing a property?

This is very important: the client should not be left alone with this.

When purchasing real estate in Spain, a lawyer should review the documents. They verify that the property documentation is complete, consistent with the offer, and that there are no significant risks at any given stage of the transaction.

At Baju Baju Properties, clients receive support throughout this process. Our lawyers assist with document review and formalities, ensuring that purchase decisions are made consciously, not on a whim.

The client doesn't need to be familiar with Spanish construction law. But they should have people around them who know what needs to be checked.

Who arranges LPO when purchasing from a developer?

On the primary market, the first use procedure is usually handled by the developer or the investment promoter.

However, the buyer should know what stage the documentation is at.

It is worth establishing:

whether the investment has already completed the first occupation procedure,

whether a declaración responsable was submitted,

whether documentation is available for verification,

whether it is possible to sign targeted media contracts,

whether the bank will accept the loan documentation,

whether the property can be legally used after receipt.

These aren't questions a customer should ask themselves at the office. However, they are issues that should be verified before finalizing the purchase.

What documents may be needed?

The scope of documentation depends on the municipality and the specific investment. Initial occupation procedures may include:

the declaración responsable form or the appropriate application,

technical documentation,

certificate of completion of works,

installation documents,

energy efficiency certificate,

media confirmations,

documents confirming compliance of the execution with the design.

However, the most important thing for the buyer is not to complete the documents himself, but to have a lawyer check whether everything is correct.

What to watch out for when buying from a developer?

The biggest mistake is assuming that just because the building looks ready, everything is formally finished.

On the primary market, it is worth checking:

whether the developer has a building permit,

whether the construction was carried out in accordance with the design,

whether documentation of first use has been submitted or obtained,

whether target media is available,

whether the property description matches the documentation,

whether terraces, gardens, solariums, parking lots and storage rooms are properly covered,

whether the documentation is sufficient for the bank if the purchase is financed by a loan.

These are the issues that a lawyer should verify before signing the most important documents.

What to watch out for on the secondary market?

On the secondary market, it is not enough to look at the title deed and photos.

It is worth checking whether the property has the correct occupation document and whether its current condition matches the documentation.

This is especially important if:

the terrace was built up,

a room was added,

the layout of the apartment was changed,

the commercial premises were converted into an apartment,

major renovation was carried out,

the property is to be intended for tourist rental.

On the secondary market, some formal problems only arise when the owner wants to sell, rent for tourist purposes, transfer utilities or obtain financing.

That is why verifying documents before purchasing is so important.

Does the declaration responsable mean that the office no longer checks anything?

NO.

Declaración responsable does not mean that the office “gives up” on the inspection.

This declaration is submitted by the responsible entity, but the administration may later review the documents and challenge the procedure if it finds any irregularities. The Valencia City Procedure states that the absence or inaccuracy of the required data or documents may result in the inability to exercise the right stemming from the declaration.

Therefore, when making a purchase, it is not enough to hear: "there is a declaration".

You need to check what exactly was submitted, when, and whether the documentation is complete.

FAQ

What is licencia de primera ocupación?

This is a document or procedure confirming that the completed property can be used for its intended purpose. On the Costa Blanca, you'll also often encounter a declaración responsable de primera occupación.

Is LPO checked by the buyer?

Not on their own. Buyers should know that such a document is valid, but its verification should be handled by a lawyer. At Baju Baju Properties, clients receive legal support throughout the purchasing process.

Can a deed be signed without an LPO?

This depends on the specific situation, property type, and investment stage. However, the lack of proper occupancy documentation can pose risks regarding utilities, mortgages, occupancy, rentals, or future sales. Therefore, it's important to verify this before making a decision.

Is the LPO the same as the cédula de habitabilidad?

Not always. Names and procedures vary depending on the region of Spain. On the Costa Blanca, the most important thing is to check the correct occupation document or declaration of responsibility.

Is LPO needed for tourist rentals?

When registering as a tourist operator in the Valencian Community, a declaration of possession of a primary or secondary occupational license or an equivalent document as provided for in Decree 12/2021 is required.

Who arranges the documents when purchasing from a developer?

Generally, this is the developer or project promoter. However, the buyer should have confirmation that the documentation has been properly prepared, submitted, or obtained. This section should be verified by a lawyer.

Does declaración responsable provide full security?

This provides a basis for action in a specific manner, but does not mean there is no control. The office may later review the documentation. Therefore, it is important that the documents are complete and factually accurate.

Summary

When buying a property on the Costa Blanca, especially on the primary market, it is not enough to ask only about the price, view and delivery date.

You should also check the documents related to the possibility of legal use of the property: licencia de primera occupación, declaración responsable de primera occupación or other relevant document required by the given municipality.

The good news is that the customer doesn't have to do it alone.

At Baju Baju Properties, we guide clients through the purchase of property in Spain with the help of a lawyer who verifies the documentation and helps them through the formalities step by step.

Because a good property is not only about beautiful photos, a terrace and a location.

These are also documents that provide peace of mind when purchasing, using, renting and selling in the future.