Question 1

What are the minimum deposit requirements when applying for a mortgage in Spain?

Homevest · Accepted Answer

Non-residents typically need a minimum deposit of 30% of the property price, although this can vary depending on the intended use of the property.Spanish citizens living abroad can usually finance up to 80% of the property’s value with a lender, meaning they would need a 20% deposit. Being a foreign expat may allow you to qualify for similar conditions as a local buyer.

Question 2

How to apply for a mortgage in Spain with Homevest?

Homevest · Accepted Answer

Homevest Spain connects you with local mortgage brokers who can help you build your application and send it to the banks that best match your profile. They act as financial consultants, guiding you every step of the way.Here’s what you need to do to get started:1. Head to the Homevest Spain homepage and select Apply for a mortgage button2. Complete the form by following the steps and providing all the requested details about your situation. This should only take about 7 minutes. 3. Specify in the form if you’ve already applied through other brokers or directly with banks. This information is crucial, as banks do not accept duplicate applications, and the mortgage broker may choose not to proceed if you’ve already pursued other options.4. Once submitted, your case will be assigned to a case manager who will get in contact with you.While we are not a mortgage broker ourselves, we partner with licensed brokers in Spain who have excellent connections with leading Spanish banks that cater to non-residents.

Question 3

What is the Spanish NIE number and how can I get one?

Homevest · Accepted Answer

The "Número de Identidad de Extranjero" (NIE) is an all-purpose ID and tax number in Spain, required to buy property and get a mortgage in Spain.When living abroad, you have three ways to apply for the NIE number:1. In person in Spain2. In person via a Spanish Consulate abroad3. Through a representative in Spain (someone that does it for you that is physically in Spain).You'll need these documents when applying for the NIE number:• Two copies of the Ex-15 application form filled out and signed (found on the website linked below).• An original document (and extra copy) that explains the reason for applying for an NIE number, e.g. a purchase contract for a property, or a mortgage application.• Passport and a photocopy of the main page of your passport (the page with name, photo etc.).If you want to read more about the NIE number application you can find information here: NIE application information. We recommend you to get in touch with your local consulate before proceeding to check the latest guidelines regarding applying for the NIE as processes and instructions may change over time.

Question 4

Which income currencies are accepted when getting a mortgage in Portugal?

Homevest · Accepted Answer

Most Portuguese lenders are open to accepting almost all types of foreign income. The notable exception is for applicants residing in and earning income from countries facing international sanctions.

Question 5

How long does it take to get a mortgage in Spain as a foreigner?

Homevest · Accepted Answer

Getting a mortgage in Spain usually takes about two months. Here's the process in a nutshell:• Pre-approval and offer: About 14 days after applying, you'll get a formal offer from the bank.• Negotiating the offer: You'll have around 15 days to negotiate for better rates or terms.• Submit the application: Once your mortgage documents are ready, you can submit your official application. This takes about a day.• Risk approval: The bank will take around 14 days to review your application and decide whether to approve your loan.They assess your ability to repay by looking at your credit score, income, employment history, and the property's value. They also consider your down payment and the current economic conditions.• Property survey: The bank or an appraiser will check the property, which takes around 5 days.• Sign the formal offer: After reviewing the bank's terms, you'll sign the offer. This usually happens in a day. This binding document (oferta vinculante) details the loan's interest rates, repayment terms, duration, and any associated fees.• Gestoría: A gestoría helps with paperwork and translating. This takes about 10 days.• Receive the FEIN: The bank will provide you with a document (FEIN) outlining the loan details, usually within a day. Once you sign it, it becomes official, and you'll enter a mandatory reflection period before the mortgage process advances.• Cooling-off period: You'll have 10 days (sometimes 14 in certain areas) to think things over and withdraw without penalties.• Signing at the notary: Finally, you sign the papers at the notary's office, and the bank transfers the money to the seller. You officially own the property!

Question 6

Is Homevest a bank?

Homevest · Accepted Answer

Homevest is neither a bank nor a lender.Homevest is a digital service designed to simplify the mortgage experience for non-residents. We provide accurate budget estimations, and connect you with dedicated brokers to guide you through the mortgage process, and support you every step of the way.Our services are currently available in Spain, Portugal, and Romania.

Question 7

How does residency status impact your mortgage eligibility in Spain?

Homevest · Accepted Answer

Residency status plays a significant role in determining your mortgage eligibility in Spain.For non-residents, the loan-to-value (LTV) ratio is typically lower, ranging from 45-60%, and interest rates might be slightly higher due to the perceived risk of lending to someone outside the country.If you’re a resident in Spain, you’ll generally have better access to mortgage options, including a higher LTV ratio—up to 80% of the property’s value. Spanish citizens living abroad may also benefit from similar terms when purchasing property back home.Foreign residents in Spain can often qualify under the same conditions, as they are integrated into the system, pay taxes, and have stable jobs.

Question 8

Is the Homevest service free?

Homevest · Accepted Answer

Homevest is a free service designed to ensure you secure the best market price for your mortgage. There are no hidden fees or charges for processing and submitting your documents to the banks.When your mortgage is completed, Homevest receives a commission from the bank. This fee varies by bank, but it does not increase the cost of your mortgage.

Question 9

What documents are required when applying for a mortgage in Spain from abroad?

Homevest · Accepted Answer

When buying a property and getting a mortgage in Spain, you’ll need to provide the following documents:• Copy of Spanish National Identity card or Passport• NIE number - Número de Identidad de Extranjero • Payslips for the last 3 months• Annual tax payments and deductions (P60 Form in the UK)   • Last 3 years' financial records for sole traders• Last year's tax return• Proof of your main residence   • For homeowners: Land Registry title  • For renters: Lease Agreement• Employment contract (including all annexes)• Bank statements from the last 6 months• Statements of savings and investments (to verify the source of the deposit)• Credit report In some cases, additional documents may be required by the banks to assess eligibility. This is evaluated on a case-by-case basis.Read on to discover the documents checklist for a non-resident to apply for a Spanish mortgage.

Question 10

What are the costs of buying a property in Spain?

Homevest · Accepted Answer

The costs of buying a property in Spain depend on several factors, such as the location or whether you are buying a new property from a developer or a resale property from an individual.Here are some expected costs associated with obtaining a mortgage in Spain:• transfer taxes: 6-10% of the purchase price (second-hand properties)• value added tax: 10% of the purchase price (new properties)• stamp duty (AJD): 0,5-2% of the purchase price (new properties)• notary fee: around €700• registration fee: around €350• consulting fees: around €450• property appraisal: €300-€600These fees are indicative and the value of the property, location of the property, entities you conduct the mandatory dealings with, and other factors will affect the costs of the fees.Keep reading a guide that covers everything you need to know about taxes when buying a property in Spain as a non-resident.

Question 11

How does Homevest work in Spain?

Homevest · Accepted Answer

Homevest is a digital service that offers two ways to support you on your property journey in Spain: budget estimation and mortgage brokerage.If you’re still exploring how much you can afford and want to understand how mortgages work in Spain, the Homevest budget estimation tool can help. It provides insights into how much you can borrow from Spanish lenders and helps you determine a realistic price range to guide your property search.If you’ve already found your dream property, we’ll connect you with experienced Spanish mortgage brokers. They’ll assist you in building your application, securing the best terms, and providing support throughout the entire process.

Question 12

How does Homevest keep my data safe?

Homevest · Accepted Answer

We prioritize the security of your data by storing it on our servers, located within the EU. All traffic is encrypted, and you have the option to delete your documents and account at any time.To ensure a high level of security, any documents uploaded to your Homevest account that remain unused for over 3 months will be automatically removed after this period.

Question 13

What is a contrato de arras in Spain?

Homevest · Accepted Answer

Contrato de arras is a reservation agreement between the buyer and seller of a property where key terms of the purchase are agreed upon.In combination with the arras signing, the buyer also agrees to pay an initial reservation fee that is usually between 5-10% of the purchase price. The contract outlines the fundamentals of the purchase and sale, including:• timeline• sale conditions• price• the amount of the reservation depositLearn why you need a Contrato de Arras when buying property in Spain and how this agreement protects your interests and simplifies the buying process.

Question 14

What are the property taxes for new properties in Spain?

Homevest · Accepted Answer

When buying a new-build property in Spain, two taxes apply: VAT (IVA) at 10% of the purchase price and stamp duty (AJD) ranging from 0.5% to 2%. Stamp duty varies by region, e.g., 1.5% in Madrid.Learn more about the taxes involved in purchasing a resale in Spain.

Question 15

Which banks offer mortgage loans in Spain for non-residents?

Homevest · Accepted Answer

Sabadell, Cajasur, Unicaja, Bankinter, BBVA, Santander, Caixa, and UCI are some Spanish banks that provide mortgages for individuals with foreign income.Discover the best mortgages in Spain for non-residents and learn how Homevest can assist you in comparing the available mortgage offers.

Question 16

Will my application on the Homevest platform affect my credit score?

Homevest · Accepted Answer

No, a mortgage review is not affecting your credit score.

Question 17

Can a US citizen get a mortgage in Spain?

Homevest · Accepted Answer

US citizens can obtain mortgages in Spain without residency. However, the requirements and conditions may vary depending on the lender and individual circumstances.Sabadell, Santander, Cajasur, and Bankinter are among the Spanish banks open to applicants of various nationalities, including citizens of the United States.

Question 18

What tax form do you need to apply for a mortgage in Spain from abroad?

Homevest · Accepted Answer

Those with an employment contract in the UK require the P60 tax form. Similarly, in Italy, you will need the Certificazione Unica, while in France, it's the Avis d'impot, and in Germany, it's the Einkommensteuererklärung.It's worth noting that the tax form is an essential document for calculating the credit offer. Each form contains information about the income received in the last year, taxes, and contributions paid.

Question 19

Can a UK citizen get a mortgage in Spain?

Homevest · Accepted Answer

Yes, UK citizens can still access a mortgage in Spain even after Brexit.As with any mortgage application, you must meet certain criteria set by the lender to be eligible for a mortgage in Spain. Here are some key factors to consider:• Minimum 30% deposit towards property price• Maximum mortgage term of 30 years• Minimum property value of 100,000 EUR• Property or land should not be in a rustic area (Suelo Rústico)Keep reading to learn about the process of getting a mortgage in Spain from the UK. Fortunately, several Spanish banks provide mortgage financing for UK citizens seeking to expand their property investment.

Question 20

Is the Homevest service free?

Homevest · Accepted Answer

Homevest is free for customers interested in buying property in Spain. We receive a commission from the banks once the mortgage is completed.

Question 21

Who is behind Homevest?

Homevest · Accepted Answer

Petru Dimulescu and Erik Edin founded Homevest in 2021 to simplify the complex process of buying cross borders properties. Homevest Limited is registered in the United Kingdom with Company Number 13802806. Our address is Regus Offices, 167 City Road, London, EC1V 1AW. We are compliant with EU GDPR & UK DPA.

Question 22

Why do I need to upload my documents on the Homevest platform?

Homevest · Accepted Answer

You can upload your documents on our platform to prepare and manage better your credit file. We take care of the security of your data and use these documents only to check and evaluate if you are eligible for a mortgage loan.If the provided documents are in order, we will forward them to the right banks without being needed to be reuploaded on the platform. Afterward, you can compare mortgages from different banks and find something suited to your needs.After submitting the application file, the interested banks will contact you within 10 working days to provide details about the available offers.

Question 23

What is the mortgage offer reflection period?

Homevest · Accepted Answer

The mortgage offer reflection period, usually between 10 to 14 days, allows you to review the terms, seek advice, or withdraw from the agreement without penalties.In most of Spain, this period is 10 days, but in Catalonia, it is 14 days due to regional laws. The reflection period ensures that you fully understand your commitment before proceeding.

Question 24

Which income currencies are accepted when getting a mortgage in Spain?

Homevest · Accepted Answer

If you are planning to get a mortgage in Spain, the currency in which you earn your income is an important factor for the banks. If you earn your income in EUR, you have the biggest selection of banks available, as this means the least risk to the banks.If you earn your income in GBP, CHF, SEK, DKK, NOK, USD, or CAD, you also have a big selection of banks to choose from.If you earn your income in PLN, CZK, BGN, HUF, HRK, SGD, ILS, AED, QAR, SAR, MXN, JPY, NZD, or AUD, you can still qualify for a mortgage in Spain, but there might only be one or two banks available. If you are getting a larger mortgage, you'll have more choices too.If you earn your income in RON, CNY, INR, COP, ARS, TRY, THB, or some other currency not listed, you can usually still get a mortgage if you first incorporate a company in Spain that will be the property's owner. With legal support, this can be a simple process.

Question 25

What is Nota Simple?

Homevest · Accepted Answer

Nota Simple is an essential property report for anyone considering purchasing a property in Spain. It provides an officially verified description of the property and crucial information about its legal status. The report includes details about the registered owner, property description, registered charges or restrictions, purchase date, outstanding debts, boundaries, land area, property use, and any communal costs.Nota simple is issued by the Land Registry (Registro de la Propiedad) and can be requested from the seller of the property or directly from the registrar.

Question 26

Do I need an NIE to start the application or to get pre-approval?

Homevest · Accepted Answer

You can start the process without an NIE, but getting it as soon as possible is better. Spanish banks use the NIE to input your details into their system, especially when moving toward a binding pre-approval. Non-formal offers can be processed without it.

Question 27

What is the maximum LTV for purchasing a second property in Spain?

Homevest · Accepted Answer

The maximum loan-to-value (LTV) ratio for purchasing a second property in Spain is typically 50% for applicants already owning properties there.However, depending on the case, some banks may offer up to 60% LTV.A lower LTV means a larger down payment will be required.

Question 28

What is the minimum income required for a non-resident mortgage?

Homevest · Accepted Answer

The minimum income required varies depending on the bank. Generally, you can expect a minimum net monthly income requirement of €1,500. However, some banks may have higher thresholds to determine your eligibility.For example, if your income is in a currency other than the euro, certain banks might require a minimum equivalent of €4,000 to qualify for a mortgage.

Question 29

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

Homevest · Accepted Answer

The eligibility requirements for a mortgage in Spain can differ among lenders, especially for non-residents. Key factors considered include:• income stability• employment history• credit score• residency status• debt-to-income ratio• down payment capability• property valueLenders prioritize reliable income sources and steady employment to assess repayment capacity, and they also evaluate creditworthiness based on your credit score, even for non-residents.

Question 30

Is there a minimum property value for non-resident mortgages?

Homevest · Accepted Answer

Yes, banks in Spain typically impose minimum property values for mortgage approval. If the property’s purchase price is below 100,000 euros, the banks will unlikely prioritize the application.

Question 31

Can I get a 100% mortgage in Spain?

Homevest · Accepted Answer

It is rare for a foreigner to get a 100% mortgage in Spain. However, it is possible if a bank owns the property. In such cases, banks may offer 100% financing for their own properties, as they are eager to sell them quickly.

Question 32

Does Homevest help me find a property?

Homevest · Accepted Answer

Although it's not our primary focus, we can connect you with real estate agents who will help you find a property that suits your needs.

Question 33

What are the property taxes for resale properties in Spain?

Homevest · Accepted Answer

When purchasing a resale property in Spain, the main tax is the transfer tax, known as Impuesto de Transmisiones Patrimoniales or ITP. The amount payable depends on the property price and is calculated on a sliding scale. The Property Transfer Tax varies by Autonomous Community, ranging from 6% to 10% on the property price. On the Costa del Sol, all properties have a flat rate of 7%. Read more about the taxes you need to pay when buying a new property in Spain.

Question 34

Can EU citizens get a mortgage in Spain?

Homevest · Accepted Answer

EU citizens can obtain mortgages in Spain even without residency. However, mortgage eligibility criteria vary among lenders and depend on individual circumstances. Discover more information about mortgage eligibility, requirements, and opportunities for EU citizens interested in investing in the Spanish property market.

Question 35

Which banks offer mortgages in Portugal for non-residents?

Homevest · Accepted Answer

Millennium BCP, Banco Santander Totta, UCI, Novo Banco, BPI, and Crédito Agrícola are some Portuguese banks that provide mortgages for individuals with foreign income.Discover the best mortgages in Portugal for non-residents and learn how Homevest can assist you in comparing the available mortgage offers.

How can we help you?

Frequently asked questions

What are the minimum deposit requirements when applying for a mortgage in Spain?

How to apply for a mortgage in Spain with Homevest?

What is the Spanish NIE number and how can I get one?

Which income currencies are accepted when getting a mortgage in Portugal?

How long does it take to get a mortgage in Spain as a foreigner?

Is Homevest a bank?

How does residency status impact your mortgage eligibility in Spain?

Is the Homevest service free?

What documents are required when applying for a mortgage in Spain from abroad?

What are the costs of buying a property in Spain?

How does Homevest work in Spain?

How does Homevest keep my data safe?

What is a contrato de arras in Spain?

What are the property taxes for new properties in Spain?

Which banks offer mortgage loans in Spain for non-residents?

Will my application on the Homevest platform affect my credit score?

Can a US citizen get a mortgage in Spain?

What tax form do you need to apply for a mortgage in Spain from abroad?

Can a UK citizen get a mortgage in Spain?

Is the Homevest service free?

Who is behind Homevest?

Why do I need to upload my documents on the Homevest platform?

What is the mortgage offer reflection period?

Which income currencies are accepted when getting a mortgage in Spain?

What is Nota Simple?

Do I need an NIE to start the application or to get pre-approval?

What is the maximum LTV for purchasing a second property in Spain?

What is the minimum income required for a non-resident mortgage?

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

Is there a minimum property value for non-resident mortgages?

Can I get a 100% mortgage in Spain?

Does Homevest help me find a property?

What are the property taxes for resale properties in Spain?

Can EU citizens get a mortgage in Spain?

Which banks offer mortgages in Portugal for non-residents?