Mortgages in Spain and COVID-19
The current times are worrying for everyone around the world
During the last weeks we have had several telephone calls from Spain lovers about mortgages. People who had a home in mind or had the idea to purchase a home in beautiful Spain within a certain period. To be used as a holiday home, as a main residence or as a rental home. People who have been dreaming of moving to Ibiza after their retirement, young families who wanted to buy a holiday home in Marbella, you name it. Usually they asked us whether the banks are open at all, whether the notaries are working or whether we could help in the mortgage process during these COVID-19 times. The answer to this is “yes”! Everything just continues, although it is a bit slower because many bank employees work from home and the notaries often only work by appointment.
One of our services is making a feasibility test, our Mortgage Quick Scan, for our customers. This is the first step where we can calculate within 2 days what your maximum mortgage in Spain can be. If you do not have a house in mind yet, you will know in which price range you can search based on the outcome of this test. If you have already found your dream home, we can calculate what is possible and what the monthly costs for the mortgage would be. Your file will be presented to the bank completely pre-chewed (we only present those files of which we are sure that there will be acceptance from the bank).
Your documents do not need to be translated
You read that right! We do this free of charge within the application for your mortgage in Spain. This is an exclusive service from WeCare Mortgages. You do not need to have the documents translated, which saves you a lot of money! Thanks to the experience of our mortgage specialist Martin – he was a bank manager at Banco Sabadell – we know exactly which documents are needed and how to explain them to the Spanish bank so that their Risk Department approves the file. WeCare Mortgages is aware of all laws, rules, regulations and options offered by the Spanish banks.
Arrange your mortgage application yourself?
The price of our Mortgage Quick Scan is € 100 and is without any obligation.
It is also possible that you go to the bank yourself for a mortgage application. Most banks require you to have all documents translated. Then you will have to negotiate interest rates, bank commissions, life insurances and notary agreements yourself. We know from experience that you will not hear from the bank for weeks and that is why it may just be that the house you had in mind was hijacked in front of you!
On average, we receive the final approval (not the provisional one!) within 10 – 12 working days. The banks have known us for more than 15 years and know that the mortgage applications that come from us are perfectly in order and ready to receive approval.
Most notaries are currently open, often with shortened opening hours, for signing mortgage deeds. The appraisers also offer their services where necessary and always in accordance with the required conditions in the Corona policy.
Our mortgage advisor has obtained his LCCI certificate, as required by the new Spanish mortgage law. He will provide neutral advice and will negotiate on behalf of customers with the banks to obtain the best deal. Nowadays we see mortgage advisers who introduce the customer to a certain bank and from that moment it is the bank itself that has contact with the customer. With all its consequences; you will get the mortgage that the bank chooses with expensive products with fine print.
We hear from our network of lawyers and brokers that they expect that after this crisis there will be a wave of foreign buyers who will flood the market. House prices are likely to drop slightly soon. Potential buyers will come straight to Spain whenever possible with the aim of purchasing a home. That is why it is useful to go to Spain prepared. If you know in advance exactly what your maximum mortgage can be and what your costs will be, you can purposefully search for a home. And once it has been found, it is nice and soothing for all parties involved to know that the mortgage is arranged for.
Our mortgage adviser will have your file completely ready with the necessary documents and papers that the bank needs for the application. You have already been able to collect and request this back home. Once in Spain you can only focus on finding a suitable property instead of worrying about whether you qualify for financing. You also have a stronger negotiating position and your down payment is insured. Due to the excellent track record with the major Spanish banks, we can negotiate exclusive conditions. So, be well prepared. We take all your worries off your hands and are a transparent party. Would you like more information about taking out a mortgage or do you have other questions about the mortgage process? Please do not hesitate to contact us on +34 952 26 30 23.