Spanish property Questions

Frequently Asked Questions About Buying Property in Spain

We have compiled a list of questions most frequently asked by our foreign resident enquirers who are not sure of the local property buying procedures, requirements and laws. If you have any questions, please feel free to contact any one of our staff for further information.

Q: How much can I borrow in relation to the value of the property I am purchasing?

A: It is generally the case that the banks will lend 70% of the value of the property for a non-resident. However in certain cases it is possible for you to raise 100% mortgage, depending on the bank's valuation.

Q: Up to what age can I have a mortgage in Spain?

A: The Spanish banks will lend up to age 70. So if you are aged 55 and your partner is aged 51, they will lend for up to 19 years (taking the youngest partners age into account).

Q: I am buying a new build property in Spain that will not be completed for 18 months. Can I arrange a mortgage in Spain now?

A: The Spanish banks will only release mortgage funds when the property is completed. By releasing equity in your UK property, however, you can pay for your Spanish home as required, and then arrange a Spanish mortgage approximately one month before completion.

Q: Do I have to take out life insurance to cover my Spanish mortgage?

A: No, this is not a requirement in Spain. Although we can arrange a very competitive quotation for you, if you would like cover.

Q: Why should I use an agent instead of going directly to the developer?

A: The prices are fixed by the developers, and are exactly the same as what are offered by an agent. The benefits of using an agent are they are impartial to what they show you, and they offer a full after-sales service.

Q: Can I have an interest only mortgage in Spain?

A: Yes, some lenders will allow you to pay interest only for up to 10 years, and then convert to repayment for the rest of the term.

Q: We would like to buy a holiday home in Spain to let out. Can we have a buy to let mortgage?

A: Spanish mortgages will allow you to rent out your property at normal rates, but are granted solely on the client's ability to cover repayments.

Q: Can I get a mortgage on a resale property as well as a new one?

A: Yes, we can arrange mortgages on both old and new properties.