Finance and Mortgage Advice
Most of the major Spanish banks on the Costa del Sol are keen to offer mortgages at very competitive interest rates to non-resident buyers, normally up to a level of 60-70%, and are able to process financial status enquiries and property survey valuations fairly quickly.
Some of them publish information booklets and Terms and Conditions in English, explaining the procedures, requirements and costs.
If you are considering applying for a mortgage in Spain, we can advise on all aspects of this and can introduce you to lenders in the area with whom we have successfully arranged many mortgages for previous buyers.
Timetable
It would be normal to allow 3-4 weeks from application to mortgage offer.
The first stage is the status assessment, which can only begin once the bank has all the required financial information.
From this point it would normally take 3-5 days for the loan to be approved subject to property survey valuation.
Once the financial status application has been approved it would normally take 7-10 days to arrange the survey and all being well receive the formal mortgage offer.
Come prepared
If you wish to shortcut the mortgage application process, it would be advantageous to bring with you on your viewing visit to Spain, the status information the Spanish banks will require ie:
1) a copy of your income tax returns for the last two years, or if self-employed, your last two years accounts
2) confirmation of current salary/income from employer/PAYE slips
3) a schedule of assets and liabilities showing free disposable income to cover the likely new mortgage repayments
4) a reference from your bank together with bank statements for the last three months.
New development mortgages
If you are considering buying a new property in a development project under construction or approaching completion, it is likely that the developer will be able to offer you an automatic bank mortgage for the balance of your purchase.
