Sabadell mortgage for non-residents. Everything you need to know

If you're living abroad and considering accessing a mortgage to buy a property in Spain, Banco Sabadell could be an option worth considering. 

Continue reading to learn about eligibility criteria, required documents, and costs when choosing a mortgage at Sabadell. 

The digital service Homevest can help you save time by preparing the necessary documents and submitting them to banks in a single move.

What are the mortgage options Sabadell offers for non-residents looking to buy a property in Spain?

Non-residents interested in accessing financing at Sabadell can choose between a fixed mortgage and a variable mortgage.

The mortgage terms are highly flexible, providing a wide range of options from 3 to 25 years and a minimum loan amount of 70.000 EUR.

It’s worth mentioning that non-residents who receive their salary in EUR, CZK, DKK, NOK, SEK, CHF, GBP, USD, HUF, RON, BGN, MXN, JPY, PLN, and UAE are considered eligible for financing.

What are the Sabadell mortgage rates for non-residents?

Sabadell offers an attractive starting interest rate of 2.55% nominal interest rate (NIR) for the first year, followed by Euribor + 1.85% NIR for the remaining years. 

The variable mortgage option offers a 6.04% annual percentage rate (APR), allowing for potential adjustments based on market fluctuations.

If you want to pay the same every month, a fixed mortgage is a choice worth considering. Sabadell offers a fixed mortgage option with a 4.95% nominal interest rate and a 5.42% annual percentage rate.

What are the eligibility requirements for a Sabadell mortgage for non-residents? 

To obtain a Sabadell mortgage while living abroad, you must fulfill several standard conditions:

• Permanent employment 
• Minimum 6 months employment tenure
• Monthly net income ranging from 2000 to 2500 EUR
• Indebtedness requirements, meaning your monthly living and loan expenses cannot exceed 40% of your monthly net income
• A minimum 30% deposit
• A clean credit history without any negative records

If you are self-employed, having a strong industry background with at least 2-3 years of experience is essential.

What documents are required for a Sabadell mortgage in Spain? 

When you want to expand your budget for a property by accessing a Sabadell mortgage in Spain, it is important to prepare the following documents:

#1. Identification documents

• Passport or National Identity Document
• Foreigner Identity Number (NIE)

#2. Proof of income

• 2 last salary slips
• 2 last year's income statement (P60 if you’re working in the UK)
• Bank statement for the last 6 months
• Credit Report
• Proof of deposit (savings or investment account)
• Proof of other income (dividends, lease contracts if renting out property)

If you already own a property in Spain or elsewhere, you need to provide the following documentation:

• 2 last mortgage statement
• Lease contract
• Land registry title (if no mortgage is left on the property)

What documents are necessary for a self-employed non-resident to apply for a Sabadell mortgage?

When applying for a Sabadell mortgage as a self-employed individual, you must provide both company and personal information, including:

• National ID and NIE
• Income statements for the past 2 years
• Annual accounts for the past 2 years
• Accountant's reference (the letter must indicate the name of the company, the sector of operation, registry details, confirmation of turnover, and corporate profit for the last 2 years, including salary, dividends, and bonuses)
• Bank statements for the past 6 months
• Credit report
• Annual VAT return (P45 if you're working in the UK)

Whether you're self-employed or permanently employed, the great thing is that Sabadell accepts documents in English, French, and German without requiring translation.

Homevest assists non-residents in securing a mortgage in Spain while living abroad

Homevest is a digital service for cross-border mortgages, offering a seamless and convenient experience for applying and receiving mortgage offers from local banks.

The platform offers centralized document management, eliminating the need to upload the same documents repeatedly for each loan offer. Rest assured that your documents are securely verified and promptly sent to Sabadell and other eligible banks in Spain.

When you turn to Homevest, your case is handled by people who understand your situation and recognize the challenges that can arise with banks when living abroad. 

Explore Sandra's experience, one of Homevest's customers who successfully purchased a property in Spain from France using this platform.

Sabadell mortgage for non-residents: pros and cons

When it comes to obtaining a mortgage as a non-resident, Sabadell offers several advantages worth considering. One notable pro is the relatively quick and straightforward application process. Additionally, there is no need for document translations if your documents are in English, French, German, or Spanish.

Sabadell does not charge any administration or property registration fees, reducing the overall cost associated with obtaining a mortgage. They also offer a variety of options, including both fixed and variable rates, allowing borrowers to choose a mortgage solution that aligns with their financial goals.

However, it's essential to be aware of a potential con. Sabadell requires a minimum property purchase of 150,000 EUR. If your desired property falls below this threshold, you may need to explore alternative mortgage options.

The maximum loan-to-value ratio for non-residents is 70%, meaning a larger down payment may be required.

If you want to explore additional options available in the market, discover the best mortgages in Spain for non-residents and learn how Homevest can assist you in comparing the available mortgage offers.

Sources used and checked in July 2023:

1. Sabadell Mortgages for non-residents
2. Sabadell Home-buying guide

We recommend obtaining professional or specialist advice before taking or refraining from any action based on the content in this article. The information in this article does not constitute legal, tax, or other professional advice from Homevest Limited. Prior results do not guarantee a similar outcome. We make no representations, warranties, or guarantees, whether express or implied, that the content in this article is accurate, complete, or up to date.