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FAQ |
1) Do I have to have life insurance when raising a mortgage?
- No, it’s not
necessary in Spain.
2) When calculating the % of the selling price bank will
lend against, is VAT or a transfer tax included?
- No, you can only
lend against the purchase price without the legal costs.
3) Resident of UK, thinking of buying home in Spain in
the range €130k-€150k.
How much cash would I need to put up and as result what
is the max mortgage I could borrow?
- The maximum you
can borrow is 70% of the purchase price as non-resident.
4) I am buying a new build property near Alicante which
is due to be completed in May 2010. How far in advance
can I apply to you for a mortgage? As the property in
question is still in the early stages of construction |
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- When you buy off
plan the mortgage can only be raised by completion. The
only way to secure a mortgage in Spain is against the
property and as long as the property is not completed
we can't secure the mortgage. You can apply already now
and have the mortgage approved in writing but we can’t
do the survey until 1 month before completion.
5) I am interested in buying a property in Spain - holiday
flat - but have been told about an NIE (?) form which
I believe is needed before I can do anything - Mortgage
included - is this true??
- No,
you can purchase and apply for a mortgage but you will
need a N.I.E number by completion which will be your
Spanish
tax number in the future.
6) I am about to buy a property in Spain which will require
stage payments, can you supply a mortgage that allows
stage payments?
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- Yes, if the land and all the licenses are in your
name we can do an interest only mortgage with stage
payments.
7) How long does a mortgage take to organise?
- It takes approximately
2 weeks to arrange the mortgage from the day we have
all the requested documents.
8) I am 54 years old, what is the longest period you would
grant a mortgage for?
- All Spanish banks
want the mortgage to be paid off before you are 80 years
old so the answer to your question is 26 years.
9) We have chosen a property on the Costa del Sol and
want a buy-to -let mortgage,is there such a thing in Spain?
- In Spain we don’t have “buy to
let” mortgage but a normal interest only
mortgage will allow you to rent out your property.
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