# VPO's



## kencats (May 11, 2013)

I have a flat in Fuengirola with a 50 year VPO(Vivienda protecion oficial) on the escritura. Next year the flat will be 25 years old and I have been told to wait till then to have the VPO lifted. Has anyone any experience of having had a VPO taken off their escritura. I should not have bought it but in 2001 that was not pointed out by my legal advisor who I still use. I would like to sell the flat but this is stopping the process.


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## snikpoh (Nov 19, 2007)

kencats said:


> I have a flat in Fuengirola with a 50 year VPO(Vivienda protecion oficial) on the escritura. Next year the flat will be 25 years old and I have been told to wait till then to have the VPO lifted. Has anyone any experience of having had a VPO taken off their escritura. I should not have bought it but in 2001 that was not pointed out by my legal advisor who I still use. I would like to sell the flat but this is stopping the process.


Do you know yet how much you will have to pay to be released from the VPO? Have you made enquiries?

As I understand it VPO's are subsidised housing where the local Government make a contribution to allow low income earners to own a property.


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## gus-lopez (Jan 4, 2010)

snikpoh said:


> Do you know yet how much you will have to pay to be released from the VPO? Have you made enquiries?
> 
> As I understand it VPO's are subsidised housing where the local Government make a contribution to allow low income earners to own a property.


It obviously varies from region to region. The requirements here are that you must not have owned a property previously, be registered on the padron in the area.
Anyone, including foreigners are entitled to apply & there is no requirement on income.
I've never seen one with a 50 year protection on it around here. Even the new ones are either 20 or 25 years & the originals were only 10.


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## Chopera (Apr 22, 2013)

In Madrid there are various types of VPO,and they generally have restrictions on income and age (under 35). They are yet another state backed property scam. Those entitled to a VPO put their names down, and they literally draw lots to see who gets a subsidised flat. A friend of mine from a well to do family was fortunate enough to be given a subsidised flat in Pozuelo - one of the poshest areas around Madrid. They are barely means tested and it is down to luck as to whether you get one. While the build quality on VPOs might not be the best, many have pools and gyms these days (we're not talking grotty housing estates here).

Those fortunate enough to get a VPO are not allowed to sell or sublet them for 50 years, and in fact they shouldn't buy another property either. Of course lots of people break the rules (especially with subletting) and make plenty of money from them.

Of course another side effect of VPOs is they are using taxing payers money to prop up the housing market by placing an artificial floor on prices, and also the financing comes from the banks, but is underwritten by the council (the tax payer again). So (as usual) the banks are onto a winner by being able to hand out 50 year mortgages, subsidised and guaranteed by the tax-payer, in a scheme that helps inflate house prices for everyone else. Which is fine if you own property but for the many who didn't get VPOs it means they got completely shut out of the property market during the boom, and now prices have crashed they find they are too old to qualify.


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