Looking for a Spanish mortgage? Mortgage Direct offer a professional, straightforward service with no hidden costs. If you require a mortgage in Spain or Spanish mortgage, contact Mortgage Direct.
With access to every Spanish mortgage product, Mortgage Direct can offer unique mortgages in Spain, tailored to your specific requirements.
They work with all Spanish and UK banks, as well as the offshore banks in Gibraltar, giving you access to every mortgage option.
With interest rates as low as 2.1% and Spanish mortgage terms from 5 to 40 years, now is a great time to arrange your Spanish mortgage with Mortgage Direct.
Contact Mortgage Direct for further information or get a no-obligation personalised quotation today!
Mortgage in Spain
Calculate your monthly payments using the Spanish mortgage calculator from Mortgage Direct.
Although the Spanish mortgage calculator displays accurate monthly repayments, all Spanish mortgage offers are subject to status. For a swift, confidential and no-obligation quotation please complete this quotation form and an adviser from Mortgage Direct will respond shortly.
Spanish Mortgages
These are the most frequently asked questions we receive about Spanish mortgages which have been answered by Mortgage Direct. If you have a question that is not covered here, please contact us for a personal and swift response. If you would like to receive a personal, no-obligation quotation, please complete this quotation form.
Why choose Mortgage Direct?
As independent mortgage brokers, we have access to a wide range of lenders, many of which have specialist schemes and special deals. We provide guidance on the legal and technical aspects of property purchase in Spain and review all the available financial options to ensure that you are fully informed when making such an important decision.How much can I borrow?
In general, we can arrange a Spanish mortgage up to a maximum of 70% for non-residents and 80% for Spanish residents (usually this is of the lower of purchase price or valuation). There are considerable differences between lending abroad and raising finance in the UK. Whilst the UK system applies income multiples (e.g. 3 x your gross income) the European method is based on your ability to repay the loan.
Most European banks lend on the basis that your total monthly repayments (capital and interest) should not exceed between 35% and 50% of your net monthly disposable income. Please do not hesitate to contact us for further details.
How much will it cost?
As a general guide, the cost associated with the purchase of a property is approximately 12%. This can vary depending on factors, such as whether the property is second-hand or a new build. Our systems can calculate the cost more accurately by using information on the property value and Spanish mortgage required.
Please feel free to contact us for further details.
How long does it take?
Each individual case is different however, you should allow between four and six weeks from mortgage application to the funds being available. Why not complete a quotation request today? Obtaining a no-obligation Spanish mortgage quotation will give you a clear picture of how much you can afford to spend on a property. Armed with this knowledge when searching for a property will save you time, money and frustration and assist in eliminating costly delays, the potential for losing your property, your cash deposit and gazumping.
Can I have a buy-to-let Spanish mortgage?
Buy-to-let Spanish mortgages are now available as a specific product in the Spanish market, although the affordability calculations are based on a client's net income after tax and not the future rental income of the property. For this reason alone, these new products aren't nearly as attractive as they sound. Mortgages can be arranged that allow existing rental income to be taken into account when working out how much you can borrow, but this has to be coupled with a client's employed or self-employed income (that isn't property related). Please contact us for further information regarding buy-to-let Spanish mortgages.
Can I have a Residents Mortgage?
You will normally need to be living and working in Spain to obtain a residents mortgage. Lenders require you to reside in Spain for a minimum of 6 months to qualify, but more typically 1 year. These mortgages will typically allow loans of 80% or more of the value of the property with terms up to 40 years.
Can I Re-mortgage?
Due to the costs and government taxes in re-mortgaging we advise our clients to obtain the most suitable mortgage for their needs for the term of the loan. Re-mortgage costs can typically be 4-5% of the loan amount. Mortgage Direct is able to offer re-mortgage and equity release products with minimum costs or even fees free, including lenders fees and valuations. We can make a no obligation check to see if a re-mortgage is a suitable and viable option.
What about Developers Mortgages?
We always recommend you check the details and costs of the mortgage offered to you by a developer. Typically the developer can subrogate (transfer) the existing loan on the property to the buyer. However, the development will have the same mortgage product for each property – which may not be suitable for all purchasers. We offer a no obligation search against the whole of the Spanish non-resident mortgage market to ensure you are able to select the most appropriate mortgage product for your needs.
What supporting documents are required for a Spanish mortgage?
As a basic guideline the following documents are required to verify your income:
- A copy of your last P60
- Copies of your last 3 payslips
- Copies of your last three months' bank statements
- Experian report (credit agency reference confirming if you have any debts)
If you are self-employed you will need:
- Copies of the last two years' annual accounts
- Copies of the last two years' Income Tax Calculations issued by the Inland Revenue
- Copies of the last three months bank statements
- Experian report (credit agency reference confirming if you have any debts)
This is not an exhaustive list and additional documents may be required. Also, Spanish mortgages are available that require less documentation.
Got another question?
Contact Mortgage Direct for further information or get a no-obligation personalised quotation today.
Is any property below €50,000 a cheap Spanish property? Are cheap Spanish properties only to be found at auction or as bank repossessions? How much below market value does a Spanish property need to be to be considered cheap?
Continue reading: What IS cheap Spanish property?
