If you need to raise finance to purchase your property, there are several options available to you, both in Spain and the UK. The main difference between securing finance in the UK and in Spain is that, whereas the former can be arranged to finance stage payments, the latter is normally only available on completion, although some Spanish banks are now offering stage payment mortgages.
If you decide to raise the funds in the UK, you can do so either by re-mortgaging an existing property or, by taking out a personal loan. In either case, you will need to transfer the funds from a bank account in the UK to your bank account in Spain.
Alternatively, you may wish to consider raising the funds through a Spanish mortgage. Spanish banks offer competitive mortgages with low rates of interest, to both non-residents and residents of Spain. Typically the banks will grant up to 80% of their valuation of the property for a term of up to 30 years, for residents of Spain it is also possible to obtain 100% mortgages. Spanish banks offer several kinds of mortgages including fixed and variable interest rates, or indeed a combination of both. Interest only mortgages are also offered by some lenders.
The bank will need documentation from you to be able to consider your mortgage application including a bank reference, copy bank statements, copy income tax returns, copy salary slips or, copy accounts if you are self-employed.
In some cases the builder may already have a mortgage in place, which you can simply take over on completion, subject of course to your financial status.
UK high street banks including, Halifax, Barclays, Newcastle Building Society & Norwich & Peterborough Building Society have offices in Spain to assist with your financial arrangements.
Whatever your financial arrangements, we shall be only too pleased to discuss and assit you finding the best deal to fit your requirements.