Mortgage first – secures Spanish property in 2020. The best way of securing your chosen property in Spain is to make sure you have a mortgage organised in advance. Money before bricks and mortar gives buyers more certainty and bargaining power.
Being Purchase Ready is becoming essential as the Spanish real estate market shows increased competition for the latest bargains in favourite Costas.
Getting a mortgage in Spain is not much different to other European countries. Applicants won’t a get a euro if they can’t prove they have a good credit record and afford the mortgage repayments. Securing a Spanish mortgage can be a little trickier because of the language differences, reflected in procedures and forms. But, with help from specialist brokers and a good Spanish solicitor, getting a mortgage approval can be quicker than in the UK and other countries.
The new Purchase Ready Service is welcomed by mortgage applicants and the Spanish banks because the go-between link can produce an approval in principle in 48 hours after depositing all the required data and supporting documents, like Experian credit reports. Spanish banks just love paperwork, some of them even more so. They all seem to have different ways of processing them. Purchase Ready experts in the UK and on the spot in Spain ensure everything required by specific banks is provided on time. And in the form demanded.
Before you book your flights get Purchase Ready. This can avoid disappointment if another buyer grabs your property while you scramble to get your mortgage paperwork together.
Support documentation – The bank will have to verify all your documentation (including three months’ bank statements, credit report, tax returns) for each applicant name going on the Spanish deeds. They will also want to inspect documents, such as an NIE number you need to obtain in Spain to be Purchase Ready.
Loan % – Check whether loan is against purchase price or a subsequent valuation as the difference can be vital. Bank-owned property has already been independently valued and is normally well below market value. The valuation figure becomes the asking price – or less, if they accept your serious offer. A valuation is necessary for property from non-bank sources. Any mortgage offer will be based on the valuer’s figure.
: : All offers subject to buyer status and availability.