How to get a mortgage in Spain
If you require a mortgage against your property in Spain, you are welcome to contact any foreign representative, bank and/or us if you want to discuss best possible options. If you are already making your own arrangements, a date by which you expect to have the funds available might be useful in the negotiations with the vendor.
As a non-resident purchaser in
Non-residents applying for a mortgage
You can apply for a mortgage in Spain in much the same way as you would do in your home country.
As well as the additional cost you will incur by paying your Spanish mortgage there will be an administrative cost which is applied by the mortgage lender, often up to 2% of the mortgage itself.
Key steps to signing a Spanish mortgage
Once you have decided you would like to apply for a mortgage and how much you need to borrow then the following process will begin:
1. You will need to provide basic information to the mortgage provider.
- The amount you would like to borrow
How long you would like to borrow it for
Your age, Your annual income
Your monthly expenditure on other mortgages or loans
2. The mortgage provider will then review your details and match them
You can expect it to take between one and two weeks for the income information to be approved. Once cleared, the property must be valued by the bank to confirm the purchase price.
Once the valuation has been made, the mortgage is ready to be signed
The signing of the Mortgage Deed in Spain takes place at the same time as the signing of the Title Deed. After the signing, the Notary will send an electronic version of the Title Deed and the Mortgage Deed to the Land Registry.
Cancelling a mortgage
If you find that at some point in the future you are in a position to pay off the mortgage, you should first check to see if there is an early repayment charge. Then the total needed should be transferred to the bank account and the bank informed that you wish this money to be used to repay the mortgage.
Once this has been completed there is an additional second step you must carry out. You will need to inform the Spanish Land Registry as if this doesn’t happen then it will still be registered on the Deed that you owe money against the property.
In order to be sure that the records are in order, you need a representative from your mortgage holding bank to sign the Mortgage Cancellation Deed at the Notary Office. This can then be sent to the Land Registry.
A good time to buy
The fact that mortgages are now more available has helped a blossoming property market. With
Do you have any questions feel free to contact us and we will get back to you shortly