Hi and thanks to all for your messages.
Ok, basically I can tell you now that the lvw-5005 plays perfectly PAL-N Dvds, I had a problem when recording from local TV (here as mentioned before we have PAL-N).
After trying many things what I did was:
Set the system to PAL when ready to record from TV, then my image on the TV shows in black and white, but after a few tries I realized that I was seeing in black and white but actually the DVD was been recorded in color with very good quality, so basically what I do now is :
When I record TV I set the system to PAL, and I press the "TV/VIDEO" on my TV to keep watching whatever I want, its basically a minor inconvenience that I didnt know how to work it out...but after realizing the DVDs get recorder in color and with the correct aspect ratio everything is ok.
So basically I can say now that it plays NTSC and PAL-N DVDs without a problem, and when recording there is only the inconveniece mentioned above that applies only if recording from the TV signal (PAL-N).
Best regards to all and many thanks to all for their help.