Mortgages in Tenerife
Do you dream of buying the perfect home in Tenerife but are confused about how to raise the capital? Wady Properties can assist you in all aspects of arranging a mortgage from opening a bank account to receiving the mortgage to find your property purchase making it possible to turn your dream into reality!
We can arrange mortgages with many Spanish lenders and below is a table which has been designed to give you a guideline as to the cost per month or a mortgage obtained here. Mortgages are available for both residents and non-residents of the Canary Islands. A bank here will typically lend up to 70% of the property valuation to non-residents with loans of up to 100% for residents.
Banks here do not value the properties in the same way as in the UK and the bank valuation may not always reflect the actual purchase price.
As in the UK, you will be asked to provide the bank with evidence of proof of income along with your outgoings to show that you will be able to meet the monthly mortgage repayments. Usually this is provided in the form of P60´s, bank statements, wage slips, business accounts and previous mortgage statements or Self Assessments in the case of being self employed.
When purchasing a property in Spain by way of a mortgage you are provided with two Deeds (Escritura). One Deed is for the mortgage and the other Deed is for the purchase which you will be given upon completion of the property sale at the Notary.
Your Spanish property will be held as security against the loan and a charge will be registered at the local Property Registry.
For any further information in relation to mortgages or a detailed breakdown of the cost of a mortgage over a particular property then please contact a member of the sales team here at Wady Properties for a free, confidential and no obligation consultation.