A list of the most common questions we get asked
Frequently Asked Questions
When buying a property in Spain, it is normal that you might have some questions.
As a non-resident, you can get a mortgage from a Spanish bank to buy a property in Spain.
An NIE number is a fiscal identification number that all foreigners must have if they buy a property or pay any kind of tax in Spain.
Typically, up to 70% of the property value but the best offers are available on mortgages of around 60%.
No, the mortgage amount is based solely on the property value without including any of the taxes or costs.
Spanish banks don’t offer agreements in principal but our Mortgage Review can tell you if your proposed mortgage is viable and how much you can borrow.
The whole process from applying through to completion usually takes around 4-6 weeks.
It is advisable for the mortgage to be in the same currency as the purchase price of the property, to avoid shortfalls due to fluctuations in the exchange rates.
An English speaking solicitor will guide you through to completion, check all the documentation is correct and translate when needed.
However, a solicitor is not obligatory, and the banks will perform many of the tasks of the solicitor when taking out a mortgage.
Purchase costs are between 10-15% of the purchase price depending on the region in Spain.
Under the new law recently passed by the Spanish government, the banks must pay the mortgage stamp duty.
Buy-to-let mortgages aren’t available in Spain but you can let your property out after obtaining a license from the local town hall. This is a simple procedure.
Some estate agents will include a “subject to funding” clause in the reservation contract which offers peace of mind when paying a holding deposit.
Most banks will insist on life insurance and the premiums vary a great deal. It is advisable to check all insurance requirements carefully before accepting a mortgage offer.
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