Villasol specialise in finding intelligent, effective and flexible solutions for people requiring a second home mortgage or Spanish mortgage. With access to a large panel of Spanish mortgage products and to every lender in the UK we are able to offer unique second home mortgage solutions to your specific requirements. There are many options available including sterling mortgages secured solely on a Spanish property, full term fixed rates and a potential borrowing of over 100% of the property value. With interest rates as low as 2.75% and Spanish mortgage terms from 5 to 30 years, there has never been a better time to arrange your Spanish mortgage with Villasol.
These are the most frequently asked questions we receive about Spanish mortgages. If you have a question that is not covered here, please contact us for a personal and swift response.
we have access to most UK and Spanish mortgage lender and a wide range of overseas lenders, many of which have specialist schemes and special deals. We provide guidance on the legal and technical aspects of property purchase in Spain and review all the available financial options to ensure that you are fully informed when making such an important decision.
In general, we can arrange a Spanish mortgage up to a maximum of 80% of the property valuation. There are considerable differences between lending abroad and raising finance in the UK. Whilst the UK system applies income multiples (i.e. 3 x your gross income) the European view is based on your ability to repay the loan. Most European banks lend on the basis that your total monthly repayments (capital and interest) should not exceed 35% of your net monthly disposable income.
As a general guide, the cost associated with the purchase of a previously occupied property equates to approximately 10% of its value. The cost associated with new-build property is approximately 12.5%. Our systems can calculate the cost more accurately by using information on the property value and Spanish mortgage required. Please feel free to contact us for further details.
Each individual case is different however, you should allow between three and seven weeks from mortgage application to the funds being available. Obtaining a no-obligation Spanish mortgage quotation will give you a clear picture of how much you can afford to spend on a property. Armed with this knowledge when searching for a property will save you time, money and frustration and assist in eliminating costly delays, the potential for losing your property, your cash deposit and gazumping.
Buy-to-let Spanish mortgages are not currently available as a specific product in the Spanish market. However, mortgages can be arranged that allow rental of the property and this income can be taken into account when working out how much you can borrow. Please contact us for further information regarding buy-to-let Spanish mortgages.
At the current time we do not know of any lender who will consider applications on this basis.However, every lender has individual requirements in terms of documentation with some requiring less than others. Please contact us for further information regarding non status Spanish mortgages.
As a basic guideline the following documents are required to verify your income:
If you are self-employed you will need: