Mortgage in Spain for new-build or fixer upper

When buying property from abroad and applying for mortgages there might be several special circumstances affecting banksโ€™ willingness to lend, including your employment status and the type of property you wish to mortgage. Homevest are here to guide you towards the right options for your individual situation.

Nicholas Vinberg
Written by Nicholas Vinberg
Published at 2022/11/03 16:03
Readtime 5 minutes
Please read on to understand mortgage terms when buying property in Spain from abroad under special circumstances such as when you are self-employed, want to finance both land and new-build of a property, or plan to buy and refurbish a second-hand flat or house.

Also feel free to reach out to our team to discuss your specific situation and property purchase plans.


Financing fixer uppers and new-builds is possible with select lenders


Imagine having found the perfectly located apartment with your dream floorplan, but finding the furnishing and equipment outdated and dull. In this case, buying that second-hand property with the intention to refurbish, redecorate or renovate might be the best way to progress.

Feel safe knowing that Homevest can put you in touch with the select lender in Spain that offer financing for both the property and your planned alterations.

The terms for these, so-called "SUMA"-mortgages state that:
  1. The minimum purchase price has to be 150,000 euro
  2. Maximum renovation budget should not exceed 30% of the purchase price
  3. Mortgage term of up to 30 years and minimum required deposit ranging between 20-40% (read more about deposit requirements here)
  4. Freedom to choose between fixed, mixed or variable rate options.

Additional perks for SUMA mortgages include:
  • A complimentary grace period of up to 1 year during which only interest is paid,
  • Deciding on a renovation company of your own choice given that the project is given a green light by a certified architect.


Financing both lot and construction is possible with a select lender, even when applying from abroad


If your ultimate dream is to buy a plot of land and build the house of your dreams, finding a Spanish mortgage lender might prove to be difficult. Fear no more, Homevest can put you directly in touch with the go-to lender for new-builds. So do not waste your time, and get in touch with us right away.

Some general terms for a land + new-build mortgage include:
  1. The lender can finance 40% of land and 100% of build costs and expenses
  2. Land must be worth a minimum of 100,000 euro
  3. Loan will be paid out in installments, as the construction work progresses.
  4. Freedom to choose between fixed, mixed or variable rate options.

In the case of land + property mortgages, you can be eligible for an up to 2-year-long grace period during which only the interest is paid for the mortgage.


Other special circumstances


Please also notice that in all cases of property purchases in Spain, Green mortgages (for energy efficient certified homes) might result in better mortgage terms and lower prices.

Also, remember that self-employed applicants from abroad are more than welcome to apply. Accepted income for self-employed can include freelancer income as well as both monthly salary payments or dividends paid from an LTD. For self-employed applications mortgage terms will vary and each customer will be assessed on a case-by-case basis.


If this has sparked your interest to finally realize your plans of having the perfect home in Spain, do not hesitate to get in touch with our team to explore your mortgage options.

A platform for mortgages

Homevest is a pan-euroean mortgage and homebuying platform. We strive for bringing the mortgages in the 21st century.

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๐Ÿ‡ฆ๐Ÿ‡น Austria
๐Ÿ‡ง๐Ÿ‡ช Belgium
๐Ÿ‡ง๐Ÿ‡ฌ Bulgaria
๐Ÿ‡จ๐Ÿ‡พ Cyprus
๐Ÿ‡จ๐Ÿ‡ฟ Czech Republic
๐Ÿ‡ฉ๐Ÿ‡ช Germany
๐Ÿ‡ฉ๐Ÿ‡ฐ Denmark
๐Ÿ‡ช๐Ÿ‡ช Estonia
๐Ÿ‡ช๐Ÿ‡ธ Spain
๐Ÿ‡ซ๐Ÿ‡ฎ Finland
๐Ÿ‡ซ๐Ÿ‡ท France
๐Ÿ‡ฌ๐Ÿ‡ท Greece
๐Ÿ‡ฌ๐Ÿ‡ง United Kingdom
๐Ÿ‡ญ๐Ÿ‡ท Croatia
๐Ÿ‡ญ๐Ÿ‡บ Hungary
๐Ÿ‡ฎ๐Ÿ‡ช Ireland
๐Ÿ‡ฎ๐Ÿ‡น Italy
๐Ÿ‡ฎ๐Ÿ‡ธ Iceland
๐Ÿ‡ฑ๐Ÿ‡ฎ Liechtenstein
๐Ÿ‡ฑ๐Ÿ‡น Lithuania
๐Ÿ‡ฑ๐Ÿ‡บ Luxembourg
๐Ÿ‡ฑ๐Ÿ‡ป Latvia
๐Ÿ‡ฒ๐Ÿ‡น Malta
๐Ÿ‡ณ๐Ÿ‡ฑ Netherlands
๐Ÿ‡ณ๐Ÿ‡ด Norway
๐Ÿ‡ต๐Ÿ‡ฑ Poland
๐Ÿ‡ต๐Ÿ‡น Portugal
๐Ÿ‡ท๐Ÿ‡ด Romania
๐Ÿ‡ธ๐Ÿ‡ช Sweden
๐Ÿ‡ธ๐Ÿ‡ฎ Slovenia
๐Ÿ‡ธ๐Ÿ‡ฐ Slovakia