Welcome to the Spanish Mortgage section of our site. As the best part of our site is dedicated to the purchase of Spanish properties we have decided to complete the service by also offering you a top-quality home loan service in Spain. If you are buying a new house in Spain mortgage options are quite varied, depending on where you acquire your Spanish mortgage. We can arrange a Spanish home loan for you, through our network of quality Spanish mortgage brokers. If you are simply searching for information on mortgages in Spain then you might find our Spanish mortgage FAQ section helpful. If there is anything you are unsure of in our mortgage section then please get in touch with us and we ill do our best to help you.
About Spanish Mortgages
Getting a mortgage in Spain is not particularly difficult once you observe the system and provide the correct assistance. Keeping in mind that mortgage lenders make a good profit from mortgages, if the circumstances are right, it is they who will be eager to give you the mortgage. Listed below are some of the the different types of mortgage available in Spain.
As you can see the Spanish mortgage options are quite varied, allowing each individual to be assessed by their mortgage broker in Spain to ensure that he/she gets a quality Spanish home loan quote that everyone can be satisfied with. Of course there are many different mortgage lenders in Spain. In Spain mortgage lenders are there to assess whether or not you fit the criteria to given a mortgage for a period of up to 30 years.
The Mortgage Process
So how does the Spanish mortgage process work when applying for a mortgage Spain? We will run through the process here to give you an idea of what to expect when applying for your Spanish home loan.
The first step is of course for you to signal your interest in receiving a quote for a Spanish mortgage. This can begin with an online application for a mortgage on a website such as our own. You fill in the application and send it off to our mortgage specialists. Once our Spanish mortgage brokers receive your mortgage application they begin to piece together the necessary documentation that will be required to submit the mortgage application to the lender.
The mortgage broker will then contact you to request the necessary documentation (usually passport, bank statements, proof of income, any other equity etc.). Once you have collected the documentation required then you submit this to the mortgage broker. Once the Spanish mortgage broker is satisfied that he has all the required documentation he can begin the mortgage application process by contacting one or more mortgage lenders in various banks and lending institutions around Spain. In Spain mortgage brokers need to have patience but while patience is a virtue, it is also very important to keep the mortgage application process 'alive' by continuous contact with the client and the mortgage lenders.
After some deliberation by the mortgage lender, it is common practice for the mortgage broker to receive an informal yes or no on the mortgage to allow the process to continue in the case of affirmative or to be scrapped in the case of a no. Should the mortgage application be successful then the mortgage broker will contact the client, in Spain or in the UK, to inform them of the progress in the mortgage application.
At this stage the mortgage application has entered a new phase, an acceptance phase where actions can be carried out on the understanding that there is currently nothing to stop the lender from approving the mortgage application. Spanish mortgage procedure would now be for the bank or mortgage lender to determine for themselves the value of the property in order to determine the amount of money they will be required to loan the client in order to finance their home loan.
This is called a valuation and it will be carried out by an independent property valuation company at the behest of the bank or mortgage lender. The valuation company will determine the value of the bank separately from the property owner or the client in order that no misjudgment may be made. At this stage any big difference between the expected value of the property according to the client and the valuation carried out by the bank could be a potential problem and should be resolved as we are moving closer to the final stage in the process.
Once the valuation of the property has been sorted out and all parties are in agreement as to the current value and selling price of the property the next step is where the real binding paperwork is carried out. At this stage the bank and the clients solicitor will carry out a request for a meeting with the Notary, the person responsible for ensuring all necessary documentation has been filled out and all funds have been paid to the appropriate parties. Not until all these steps have been completed successfully will the notary sign over the property and hence the mortgage. Once the notary signs over the property from the property owner to the mortgage person will the sale be completed and the property ownership transferred.
That was a general overview of a typical Spanish mortgage application in Spain. It is of course clear that this process can vary according to different Spanish mortgage lenders and that some variations in the timing and steps taken will occur. If you are interested in obtaining a Spanish mortgage then please click here for our Spanish mortgage form.
