Bank criteria for approving a mortgage in Spain
Are you planning to start your mortgage application process in Spain? Do you want to understand what banks look at to consider you eligible for a mortgage? Spanish banks follow a comprehensive underwriting procedure before they can offer you a mortgage. In this article, we will explore what factors banks take into account as part of the mortgage underwriting process in Spain.
Can I still get a Golden Visa if I need a mortgage?
The good news is yes, you can… Providing you invest €500,000 in the property itself (not including costs), you can then apply for a mortgage to cover the rest of the purchase and still be eligible for a Golden Visa in Spain. By way of example, here is a simulation complying with the required investment […]
Mortgage Pre-Approval – The green light to making an offer on a property in Spain
If you are planning to buy a house in Spain and require financing to do so, it is undoubtedly a good idea to get pre-approval for a mortgage before you start seriously looking at properties to buy. In Spain it is possible to get a mortgage pre-approved, or a mortgage in principle, without actually having […]
How much of a deposit do I need to buy a property in Spain with a mortgage?
This will depend on the percentage of LTV – Loan To Value – the bank is willing to offer to finance your purchase, and the costs of buying. If you obtain a mortgage offer for: 60% LTV – You will need 40% of the property price, plus the taxes and other costs of buying. […]
What is the maximum LTV (Loan to Value) I could get?
For non-residents, you could borrow up to 70% of the purchase price of the property. In case you are eligible for a resident mortgage, the banks will normally offer 80% LTV. In some exceptional cases a higher % can be achieved. To be eligible for a resident mortgage your income must be generated […]
What is Loan to Value (LTV)?
Loan to value is the percentage of the property price the banks will be willing to finance. This percentage applies only to the purchase price and it does not consider other costs, such as taxes or notary fees. This percentage will be set by the banks on your application, and this will be the […]
How much can I borrow?
How much banks will be willing to lend you will depend mainly on 2 factors: Your finances – Banks need to make sure that you are not stretching your finances too much! The main indicator they use for this is what they call the repayment effort. Banks will accept clients whose repayment effort is […]
Can I get a mortgage in Spain as a non-resident?
Yes, you can get a mortgage in Spain if you are a non-resident. For more information, please go to our page for non-residents mortgages. Go back If you have not found the answer… Ask us! We will get back to you as soon as possible
