Mortgages are available for mainland Spain as well as the Canary and Balearic islands.
Eligibility and criteria
- Mortgages are available in Euros and Sterling
- Available on a Capital & Interest repayment basis (Interest Only is available but on limited schemes for a maximum of 5 years).
- The maximum loan to value for a purchase is 65% for resale properties and 'new build' properties (up to 80% if property is to be main residence).
- The maximum loan to value for a remortgage and equity release is 60%.
- The maximum term of any mortgage is 35 years (to age 70 maximum) however this varies depending on the type of loan.
- The minimum loan amount is €30,000 with no maximum.
Affordability
To qualify for a mortgage in Spain, a calculation is used to establish whether you can afford to maintain the mortgage repayments. This will automatically happen when you complete our enquiry form and we will not charge you for this service.
Your existing liabilities, including your UK mortgage or rental payments, loans, credit card payments and maintenance are taken into account, together with the proposed Spanish mortgage payments. All this must not typically exceed 35% of your monthly net income. For example if your net joint monthly income is £2,500, 35% of this equates to £875. If your only liability is your current UK mortgage payment of say £300 per month, this would leave a balance of £575 for your Spanish mortgage repayment.
The amount you can borrow is also restricted by the maximum loan to value as mentioned under Eligibility and Criteria.
Proof of income requirments
If you are employed:
Your last three month’s payslips
Your latest P60 and Employers Reference
Your last three month’s personal bank statements
If you are self-employed:
Your last two year’s Audited Accounts and Tax Returns
Your last three month’s personal bank statements.
Other documents will be required and will be confirmed when application forms are sent to you
Max term 35 years
£ 26,400 minimum loan
Repayment and Interest only mortgages
