To begin your application click the ‘start application’ button below.

You can borrow:

Maximum 70% if you pay tax outside of Spain
Maximum 80% for Spanish taxpayers (70% on second homes)

The value of the loan will be based on the property valuation or the property price, whichever is lower.

• Copies of your Passport / NIE (for all parties that will be on the mortgage)
• Your most recent tax declaration or P60
• Your last three payslips
• Details of other properties you own including any potential rental income
• A bank statement of the last 6 month
• An Experian credit report

Anybody can apply for a loan in Spain over the age of 18, regardless of where you earn your income, pay taxes or live.

The amount you can borrow depends on your income – debts. Most Spanish lenders will not lend money if your combined outgoings (mortgages & loans) add up to more than 40% of your total net (after-tax) income.

We have an in-house risk assessment team, that can help you understand what you can borrow. Get in touch here

Income
Banks in Spain will only accept income that can either be shown on a tax return or comes from earnings from a property with rental agreements in place.

Bonuses can be included however proof needs to be shown to confirm that income is consistent.

You will need to show at least 2 years of income.

Debt
Credit cards, any loans & mortgages. You also need to include your future Spanish mortgage payments for the mortgage on the Spanish property (use the Spanish mortgage calculator to get this figure).

Payments on groceries and other household income are not part of your debts.

Once you have submitted your application, the Foxes risk team will create a lender report for the banks.

Assuming we have all the necessary paperwork, then you can expect to receive an offer in around 7-10 working days. It is possible to receive an offer quicker but it depends on how busy the lenders are and how complicated your application is.

If the lender requires further paperwork then any delay in sending the paperwork will affect how long it takes to get an offer.

We are dealing with 3rd party banking institutions and have no control over their procedures, but our team will do everything possible to ensure a timely application.

Once you have identified a property it is advisable to remove the property from the market while you carry out your legal checks and valuation. This process normally takes around 30 days, if there are legal issues with the property then this can be extended.

Deposit
Most agents will accept 3,000 Euros, although for properties over 300k they may ask for 1% of the purchase price?

The following are reasons why a deposit would be refundable:

• Subject to finance. You can include a clause that in the event you cannot purchase due to issues with a mortgage, the deposit can be refundable.
• Valuation. If the valuation on the property is below the asking price, you can get a refund or negotiate the price.
• Legalities. If there are any legal issues with the property, debts, licencing issues etc

Each of these clauses should be included in the reservation contract. If they are not included then your deposit may be at risk.

Before moving forward with the purchase, you need to ensure you are buying a legal property, these checks should be carried out before moving to the next stage.

• Check the title/ownership of the property
• Check that the property has all the relevant licences
• Complete and/or check the private contract detailing the terms and conditions of the sale of the property
• Complete purchase before a public notary, either on your behalf or with you in person (this may incur extra costs depending on location)
• Register/Check cadastral
• Check cadastral and land registry for any discrepancies
• Tax Registration
• Check for debts – community, utilities, townhall sanctions

If you are purchasing the property with a mortgage then a valuation will need to be performed by a 3rd party company which the bank accepts.

The amount the bank lends will be based on the valuation if it is lower than the purchase price.

Valuations can take between 7-14 days to complete, our team can request this on your behalf.

Contrato de Arras is a private purchase contract between you and the property owner.

You will be required to pay 10% of the purchase price upon signing to the owner.

Once signed you and the owner are locked into the purchase.

If you do not complete the purchase then you will lose the 10% and your original deposit. If the owner does not complete the sale, then depending on the contract terms you would receive a full refund + a further 10% or whatever was negotiated.

The purchase will be completed in a Spanish notary, your lawyer will be in charge of booking the notary and liaising with the different parties (bank, sellers, agent etc). If you are unable to attend the purchase, then your lawyer can represent you (with Power of attorney).

Once all the contracts have been signed and the checks distributed (the checks will be brought by the bank for the mortgage, deposit and taxes) you will receive a copy of the deeds and keys to the property.