Mortgages

Home loans (Hipotecas) are available from Spanish banks (both for residents and non-residents). Interest rates are currently offered at around 4.5% and Tropicana Properties SL can assist in obtaining a mortgage decision within 24 hours subject to status. You do not need to purchase a property through Tropicana Properties SL to acquire a preferential mortgage rate. To help establish your mortgage status in Spain, please complete the brief questionnaire below and you will be contacted shortly.

In Spain, it is customary for a property to be held as security for the loan, i.e. the lender takes a charge on the property, which is recorded at the property registry. If a loan is obtained using a Spanish property as security, additional fees and registration costs are payable to the Notary (Notario) for registering the charge against the property. In this instance the fee calculated is included in the anticipated 10% costs of your purchase. To obtain a mortgage from a Spanish bank, you must provide proof of your monthly income and all outgoings, such as mortgage payments, rent and other loans or commitments.

Note that if a property has a mortgage attached then it can also be passed on to you, the new owner, when that property is sold. This is subject to your status and you will be liable to pay the transfer costs of approximately 1% of the mortgage as a fee to the bank at the signing over of the property at the Public Notary office.

Mortgages are granted on a percentage of a valuation. The maximum mortgage in Spain is usually around 70% of the bank evaluation, and the normal term is 10-15 years but the repayment period may be shorter for non-residents. Repayment mortgages are the only type in Spain.