Spanish mortgages are offered by most developers when you purchase a Spanish property off plan, which is really what is called a subrogation Spanish mortgage where the developer has pre-arranged the Spanish mortgage with the bank that is funding the project. However these types of Spanish mortgages are rarely taken over by property purchasers due to the terms and conditions attached within the mortgage. Depending on your own personal financial situation and the purpose of your Spanish property purchase. We have various Spanish mortgages designed to suit your financial needs, whether you are looking for an Interest only Spanish mortgage we can offer you through our Spanish mortgage partner Halifax an interest only mortgage from 2 years to 15 years and the remainder of the mortgage is interest plus capital, which is an excellent option if you are looking to keep your repayments low during the first few years.

This type of mortgage is utilised by the majority of our investors clients who are looking to purchase the property off plan and when the development is due for completion they utilise the benefits of this interest only period as they are looking to resell the property after completion, it is also highly favourable to the property purchaser who is looking to purchase a resale property from investors as this type of mortgage is transferable to the new owner at only 0.5% transfer fee payable by the new owner and should the new owner decide the do not require a Spanish mortgage to purchase the property as they have the cash available, there are no early redemption fees payable by the property investor. Spanish mortgages offer one of the lowest interest rates, due to the low European base rate, by comparison to the high interest rates being offered being offered by financial institutions in the United Kingdom. All non Spanish residents can apply for a 70% loan to value of the official bank valuation of the property all relevant financial documentation is required. Listed below is a breakdown of the documentation required to apply for a Spanish mortgage. As a general rule, 35% of your net income should be sufficient to cover all existing outgoings and the Spanish mortgage provider verifies that your total monthly payments to be made should not exceed 35 % of your net monthly disposable income. 'Outgoings' that are taken into account are your existing debt and any other regular payments, such as any mortgage repayments at home, rent, personal loans and any other comparison to the high interest rates being offered being offered by financial institutions in the United Kingdom. All non Spanish residents can apply for a 70% loan to value of the official bank valuation of the property all relevant financial documentation is required. Listed below is a breakdown of the documentation required to apply for a Spanish mortgage. If you are in full-time employment, the Spanish mortgage provider will sanction the loan depending on your income from your last three pay slips and your last three bank statements a letter from your employer and your P60 documents. If you are self-employed income will be calculated as your average annual net income over the previous three years. You will require evidence to support this, as you will not be able to obtain a self-certification Spanish mortgage. In the past, self-Employed people have found it very difficult to find Spanish mortgage providers who are willing to sanction their loans without submitting their full statement of accounts. Self-employed applicants can now state their income level on an application form and supply all supporting documentation. this allows the borrower to state their total income rather than the figure which is finally presented to the Inland Revenue for taxation purposes. As a general rule, 35% of your net income should be sufficient to cover all existing outgoings and the Spanish mortgage provider verifies that your total monthly payments to be made should not exceed 35 % of your net monthly disposable income. 'Outgoings' that are taken into account are your existing debt and any other regular payments, such as any mortgage repayments at home, rent, personal loans and any other comparison to the high interest rates being offered being offered by financial institutions in the United Kingdom. All non Spanish residents can apply for a 70% loan to value of the official bank valuation of the property all relevant financial documentation is required. Listed below is a breakdown of the documentation required to apply for a Spanish mortgage. Once you have discussed your requirements with one of our mortgage specialists and you have decided that you would like to proceed on purchasing a Spanish property. We can send or email you a mortgage application pack and request a pre-approval on your Spanish mortgage so you are in comfortable position to purchase a Spanish property once you have arrived in Spain and have chosen the right property for you with your Spanish mortgage already approved.