A Spanish Mortgage for Non-Residents
Not everyone buys their Spanish home with cash. Spanish banks also lend to non-residents, although different conditions apply than for Spanish residents. In this article we explain the main points.
How much can you borrow?
As a non-resident you usually finance up to around 60 to 70 percent of the valuation or purchase value, depending on the bank and your profile. So count on a deposit of at least 30 to 40 percent, plus the additional costs of roughly 10 to 13 percent. Preparing your own funds well is therefore important.
Interest and term
You can choose between a fixed or variable rate; the variable rate is linked to Euribor. The term is often shorter for non-residents than at home, with a maximum age at the end of the term. The bank looks at your income, your fixed expenses and your payment history to decide what is responsible.
Which documents do you need?
Banks usually ask for:
- Your NIE number and a valid passport.
- Proof of income: payslips, annual statements or, for the self-employed, annual figures.
- An overview of your assets and current loans (a kind of credit summary).
- Recent bank statements and often proof of taxes paid.
Good preparation pays off
With a mortgage agreement in principle from the bank, you know in advance what you can spend and you negotiate from a stronger position. Real Estate G. Jimmink works with trusted mortgage advisers and is happy to put you in touch, so your financing runs smoothly. Feel free to contact us.
