Mortgages in Spain
Mortgages in Spain
Author
Discussion

Med1c

Original Poster:

1,127 posts

226 months

Wednesday 13th June 2018
quotequote all
We are starting the process to move to Spain in a years time.

Can anyone advise on the process of getting a Mortgage to purchase a property in Spain ?

What deposits are required ?

Does your credit rating in the UK make a difference to rates in Spain ?

We are looking at properties for 250,000 Euros.

Many thanks for any info.


Ian350

316 posts

208 months

Wednesday 13th June 2018
quotequote all
I know I'm not answering your question but hopefully this may be of some indirect assistance.

I took a small mortgage out when buying Spanish property over 10 years ago and it was remarkably easy. I'm afraid I can't remember any of the formalities but I do know I had just opened a current account there and that seemed to help. My mortgage interest rate is currently less than 1%.

My bank are Bankinter (a Spanish bank) and they are very easy to deal with. Their website and communications are in both English and Spanish. It might be worth you opening up a dialogue with them?


Med1c

Original Poster:

1,127 posts

226 months

Wednesday 13th June 2018
quotequote all
Ian350 said:
I know I'm not answering your question but hopefully this may be of some indirect assistance.

I took a small mortgage out when buying Spanish property over 10 years ago and it was remarkably easy. I'm afraid I can't remember any of the formalities but I do know I had just opened a current account there and that seemed to help. My mortgage interest rate is currently less than 1%.

My bank are Bankinter (a Spanish bank) and they are very easy to deal with. Their website and communications are in both English and Spanish. It might be worth you opening up a dialogue with them?
Thanks Ian

What sort of deposit is normally required in Spain when purchasing a house ?

Is it similar to the UK ?

Many Thanks Ian



tigerkoi

2,927 posts

228 months

Wednesday 13th June 2018
quotequote all
Med1c said:
Ian350 said:
I know I'm not answering your question but hopefully this may be of some indirect assistance.

I took a small mortgage out when buying Spanish property over 10 years ago and it was remarkably easy. I'm afraid I can't remember any of the formalities but I do know I had just opened a current account there and that seemed to help. My mortgage interest rate is currently less than 1%.

My bank are Bankinter (a Spanish bank) and they are very easy to deal with. Their website and communications are in both English and Spanish. It might be worth you opening up a dialogue with them?
Thanks Ian

What sort of deposit is normally required in Spain when purchasing a house ?

Is it similar to the UK ?

Many Thanks Ian
Hi there,
I’d strongly suggest you look back a few pages over the holidays and travel forum to find a really good thread of many of our experiences about owning there. Just by asking the one question - deposit etc - I’m sort of hoping you’re aware of all the *other* stuff. Seek out the thread, give it a read, I’m hoping it’ll help.

In answer to the deposit bit per se, off the top of my as a non dom, you’ll need 30%. But if you’re settled with documented status, you can find some who’ll lend at 20%.

Newky Brown

1,753 posts

258 months

Wednesday 13th June 2018
quotequote all
tigerkoi said:
Med1c said:
Ian350 said:
I know I'm not answering your question but hopefully this may be of some indirect assistance.

I took a small mortgage out when buying Spanish property over 10 years ago and it was remarkably easy. I'm afraid I can't remember any of the formalities but I do know I had just opened a current account there and that seemed to help. My mortgage interest rate is currently less than 1%.

My bank are Bankinter (a Spanish bank) and they are very easy to deal with. Their website and communications are in both English and Spanish. It might be worth you opening up a dialogue with them?
Thanks Ian

What sort of deposit is normally required in Spain when purchasing a house ?

Is it similar to the UK ?

Many Thanks Ian
Hi there,
I’d strongly suggest you look back a few pages over the holidays and travel forum to find a really good thread of many of our experiences about owning there. Just by asking the one question - deposit etc - I’m sort of hoping you’re aware of all the *other* stuff. Seek out the thread, give it a read, I’m hoping it’ll help.

In answer to the deposit bit per se, off the top of my as a non dom, you’ll need 30%. But if you’re settled with documented status, you can find some who’ll lend at 20%.
Have you a link? Thinking of moving out there in a few years.

Cheers

tigerkoi

2,927 posts

228 months

Thursday 14th June 2018
quotequote all
Newky Brown said:
tigerkoi said:
Med1c said:
Ian350 said:
I know I'm not answering your question but hopefully this may be of some indirect assistance.

I took a small mortgage out when buying Spanish property over 10 years ago and it was remarkably easy. I'm afraid I can't remember any of the formalities but I do know I had just opened a current account there and that seemed to help. My mortgage interest rate is currently less than 1%.

My bank are Bankinter (a Spanish bank) and they are very easy to deal with. Their website and communications are in both English and Spanish. It might be worth you opening up a dialogue with them?
Thanks Ian

What sort of deposit is normally required in Spain when purchasing a house ?

Is it similar to the UK ?

Many Thanks Ian
Hi there,
I’d strongly suggest you look back a few pages over the holidays and travel forum to find a really good thread of many of our experiences about owning there. Just by asking the one question - deposit etc - I’m sort of hoping you’re aware of all the *other* stuff. Seek out the thread, give it a read, I’m hoping it’ll help.

In answer to the deposit bit per se, off the top of my as a non dom, you’ll need 30%. But if you’re settled with documented status, you can find some who’ll lend at 20%.
Have you a link? Thinking of moving out there in a few years.

Cheers
https://www.pistonheads.com/gassing/topic.asp?h=0&t=1716528&r=37099687&hm=101632&mid=101632#37099687

Was the thread. I and a few others popped up to answer a few questions and I turned into sharing a fair amount if I think useful detail that colours in a lot of the things that you need to think of in a purchase like this. There’s cost, and then there’s *cost*.

A pleasure.

Med1c

Original Poster:

1,127 posts

226 months

Thursday 14th June 2018
quotequote all
tigerkoi said:
https://www.pistonheads.com/gassing/topic.asp?h=0&...

Was the thread. I and a few others popped up to answer a few questions and I turned into sharing a fair amount if I think useful detail that colours in a lot of the things that you need to think of in a purchase like this. There’s cost, and then there’s *cost*.

A pleasure.
That Link has superb posts and information - Thank you for sharing the link - It helps a lot.

d8mok

1,955 posts

235 months

Thursday 14th June 2018
quotequote all
Some fantastic info in the thread linked.

We will eventually move to Spain hopefully within the next 10years so made good reading.

tigerkoi

2,927 posts

228 months

Thursday 14th June 2018
quotequote all
Once again, a pleasure.
If it’s something that remotely tantalises anyone my suggestion is just to get going. We can all talk through the finer points of why something works and what doesn’t, before tipping the toes in. But on something like this I’d honestly say, getting out there, hooking up with a quality realtor who’ll run you around showing you dozens of properties, then sitting down at the end of each day and playing with the maths over a meal.....you soon start to really calibrate what you can afford, what you really want, and which direction you really want your life to go in. You won’t have burnt any money, you’ll likely enjoy the mini holiday and most vitally you’ll have a stronger sense of what is possible and what is not.

Enjoy. And best of luck to you all.

Med1c

Original Poster:

1,127 posts

226 months

Thursday 14th June 2018
quotequote all
tigerkoi said:
Once again, a pleasure.
If it’s something that remotely tantalises anyone my suggestion is just to get going. We can all talk through the finer points of why something works and what doesn’t, before tipping the toes in. But on something like this I’d honestly say, getting out there, hooking up with a quality realtor who’ll run you around showing you dozens of properties, then sitting down at the end of each day and playing with the maths over a meal.....you soon start to really calibrate what you can afford, what you really want, and which direction you really want your life to go in. You won’t have burnt any money, you’ll likely enjoy the mini holiday and most vitally you’ll have a stronger sense of what is possible and what is not.

Enjoy. And best of luck to you all.
Thanks Tigeroki - Very kind of you to take the time to help us.


Newky Brown

1,753 posts

258 months

Thursday 14th June 2018
quotequote all
Yes, thanks for the info tigerkoi.

I was thinking of buying out there in a few years to live permanently but reading your summary and others, may start looking earlier to use as a holiday home.

Med1c

Original Poster:

1,127 posts

226 months

Tuesday 19th June 2018
quotequote all
Newky Brown said:
Yes, thanks for the info tigerkoi.

I was thinking of buying out there in a few years to live permanently but reading your summary and others, may start looking earlier to use as a holiday home.
We are looking at this - Excellent value for what you get.

http://www.rightmove.co.uk/overseas-property/prope...

Just put house on market here so things moving quicker than expected !


Med1c

Original Poster:

1,127 posts

226 months

Tuesday 19th June 2018
quotequote all
Newky Brown said:
Yes, thanks for the info tigerkoi.

I was thinking of buying out there in a few years to live permanently but reading your summary and others, may start looking earlier to use as a holiday home.
Great idea as prices seem very good value for what you get here.

I have posted above a link to a house that is similar to where I live and the UK version is 3 million.



stut4

172 posts

177 months

Tuesday 19th June 2018
quotequote all
i used to arrange mortgages for brits buying houses in spain. typically it was 30% deposit needed, plus the ability to demonstrate affordability in continuing to pay your UK mortgage/debts as well as meeting affordability calculations for the new property you are buying. 5 years back, the Spanish banks were a little more conservative in their lending multiples than UK banks.

i no longer arrange these mortgages, but if you're looking, try an overseas broker - such as Conti Financial (others are available). i have no affiliation with Conti, but used to use them 5-10 years back if i got a mortgage for a country outside of spain when i couldn't deal direct.

Shnozz

30,648 posts

301 months

Tuesday 19th June 2018
quotequote all
Med1c said:
We are looking at this - Excellent value for what you get.

http://www.rightmove.co.uk/overseas-property/prope...

Just put house on market here so things moving quicker than expected !
That is some man maths above your original budget!

Shnozz

30,648 posts

301 months

Tuesday 19th June 2018
quotequote all
Must be something in the water at the minute.

I too am following this path. Just sold a property in the UK which is due to complete shortly and then will be seriously house hunting in the sun with a view to 50/50 living.

Med1c

Original Poster:

1,127 posts

226 months

Tuesday 19th June 2018
quotequote all
stut4 said:
i used to arrange mortgages for brits buying houses in spain. typically it was 30% deposit needed, plus the ability to demonstrate affordability in continuing to pay your UK mortgage/debts as well as meeting affordability calculations for the new property you are buying. 5 years back, the Spanish banks were a little more conservative in their lending multiples than UK banks.

i no longer arrange these mortgages, but if you're looking, try an overseas broker - such as Conti Financial (others are available). i have no affiliation with Conti, but used to use them 5-10 years back if i got a mortgage for a country outside of spain when i couldn't deal direct.
Thanks for the info Stut4 :-) Very helpful

We are moving completely to spain so selling up here so we don't have any property here once we move to Spain.

Will this affect applications if completely sold here in UK to move to Spain ?

Also thank you for the company info.


Med1c

Original Poster:

1,127 posts

226 months

Tuesday 19th June 2018
quotequote all
Shnozz said:
Must be something in the water at the minute.

I too am following this path. Just sold a property in the UK which is due to complete shortly and then will be seriously house hunting in the sun with a view to 50/50 living.
Reason we are going is that our son is moving to Spain to play football so we decided after looking the quality of property complete with lifestyle and hw expensive it is to live in the UK we could lead a better quality of life in Spain while supporting our son while he learns his trade.

When you see houses like this and just as long as it's not in a riot zone how bad can it be ! :-)


http://www.rightmove.co.uk/overseas-property/prope...

Shnozz

30,648 posts

301 months

Tuesday 19th June 2018
quotequote all
Med1c said:
Reason we are going is that our son is moving to Spain to play football so we decided after looking the quality of property complete with lifestyle and hw expensive it is to live in the UK we could lead a better quality of life in Spain while supporting our son while he learns his trade.

When you see houses like this and just as long as it's not in a riot zone how bad can it be ! :-)


http://www.rightmove.co.uk/overseas-property/prope...
Sounds like you can up your budget by a few million if your son is off to play football in La Liga!

In seriousness, sounds like a great plan. I have updated the "other" thread too as some great information on there but as I explained on that thread, I love the idea of just leaving the UK behind as and when I feel like it and having a ready-made home both sides with clothes in the wardrobe and my desk set up ready to switch on 5 hours travel door to door away. Home from home. But sunny.

Med1c

Original Poster:

1,127 posts

226 months

Tuesday 19th June 2018
quotequote all
Shnozz said:
Sounds like you can up your budget by a few million if your son is off to play football in La Liga!

In seriousness, sounds like a great plan. I have updated the "other" thread too as some great information on there but as I explained on that thread, I love the idea of just leaving the UK behind as and when I feel like it and having a ready-made home both sides with clothes in the wardrobe and my desk set up ready to switch on 5 hours travel door to door away. Home from home. But sunny.
He's still got a lot to learn but you never know !

Your idea is great - Brilliant weather over there as well :-)