Mortgages in Spain can be arranged for up to 40 years and at attractive rates in many cases. Frequently, up to 90% of the property cost or value can be borrowed although it is rare to be able to borrow on off-plan property until the building is complete as legal ownership of the property cannot be transferred until this point.
Mortgages will not be formally granted until the property is completed and a valuation has been conducted by the bank. Arrangement fees will var from institution to institutio but should not exceed 1%. In addition, there is likely to be a fee for the notary to witness the signing of the ortgage contract and this may add another €200 to €300.
Life insurance and property insurance are normally obligatory. In order to assess the financial viability of granting a mortgage, the bank will require proof of the client’s financial position, and will want to see...
1. Income Tax Returns.. . Form P60 or Inland revenue Tax Bill
2. Proof of earnings, usually last three pay slips, Inland Revenue Self Assessment Form, or Pension Statement
3. Copy of Passport
4. Copy of Purchase Contract
5. Details of amount and the loan period.
Contact us to find out more about available mortgages as the available mortgage deals can vary over time. For example, OPC though its partners can currently offer an attractive Revolving Credit mortgage where borrowers can re-draw amounts previously paid off rather than having to arrange a fresh mortgage.
There are a number of bank and
specialist currency providers, here are a few to choose from:
Solbank - (Solbank offers
mortgages up to 90% LTV) 0034 915 389 001
Banco Halifax Hispania; 01422 333868
Barclays, 020-8298 3223
HSBC, 0800 0858887
Leeds BS, 00350 50602
Lloyds TSB, 01624 638119
Norwich & Peterborough BS, 01733
372006
RBS International, 00350 44166
Conti Financial Services, 01273
772811, www.mortgagesoverseas.com
Propertyfinance4less, 020 7594
0555, www.propertyfinance4less.com
USHE Overseas 0845 2300 787 www.usheoverseas.com/index.php