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Good News for Spanish Estate Agents

Good News for Spanish Estate Agents, Spanish banks are lending again, thanks to the demand in Real Estate in Spain again. Now we can see an increase in property sales and mortgage lending is now on the up. The construction industry is back in the game and they have been holding back since 2007. Before they were responsible for 10% of Spain’s GDP, just now is indicating figures of around 5% and growing.

Good News for Spanish Estate Agents

The reality is no longer building ‘CASTLES IN THE SKY!’ Construction Workers can get out of the clouds now.

The forecasting for Spain looks good over the next two years and they are leading the growth in the Eurozone at 2%.

The only other countries growing more and with predictive growth for the following years are the USA by 3.6%, the UK by 2.7% and Canada by 2.3%

Good News for Spanish Estate Agents

This is great news for first time buyers who will have been sitting patiently to get on the property ladder and become the owner of their dream home, or at least own a home!

The new lending hasn’t stopped there, not only are individuals able to borrow, it has been extended to developers as well.

Joan Bertrán, Director of Real Estate Investment from Sabadell has said that “in the last six months we have seen the recovery of the Spanish property development sector”.

Of course no one is expecting the big construction and property boom as seen before, but it is promising news to see a turnaround after such a long spell of uncertainty.


Recovery has begun and for the first time since the recession hit us we are seeing a rise of 3.5-4%, according to Bankinter’s Jesus Amador.

Sabadell can offer foreigners mortgages in real estate purchases. They can expect to borrow 70% of the purchase price, over a maximum of thirty years. The interest on the loan will be fixed at 3% in the first year and reviewed every year. Euribor’s official rate of interest is +2.75%

Santander is approaching a bit differently and has laid out some ground rules:

  • Salary: €2000 per month
  • Pay three bills every quarter through your account
  • Use your credit/debit card at least three times a quarter
  • Covered by the banks home and life insurances

For first time buyers its good news as they will cover 80% of the loan of the property and it can be paid over 30 years. The interest rates are lower than previously set out, now coming in at 2.45% in the first year and then 1.69% thereafter at this fixed rate.

Santander are placing their mortgage offer on the leader board with the likes of ING and Deutsche Bank who themselves have attractive rates of 1.69% and 1.59% after the 1st year of the standard Euribor official rate.

See more at: http://www.auraree.com/real-estate-news/santander-adds-fuel-mortgage-war-driving-differential-1-69/#sthash.uNstvKCv.dpuf

Their new mortgage approval terms has increased acceptance by 73%, their stocks are rising and its clear to see why people are leaning towards them as their preferred choice, regardless of the extra demands they have added to their terms and conditions of their mortgages.

In the overall picture approval in mortgages has raised by 18% and it´s a trend that looks to continue. Every month there is advancements.


The Spanish bank ‘La Caixa’ is charting the growth and the forecast is looking good for Spain in the Eurozone, this graph is showing a slightly higher than 2% growth rate.

How much will it cost to get a Spanish Mortgage?

To understand what you will need to pay you can make calculations based for example on notary fees, registration fees, commissions and add around 10% VAT, you will come in somewhere at around 15%.

To acquire your loan the following languages are openly accepted, otherwise you will need to make translations of your paperwork.





So if you are looking to buy on the Costa del Sol and need a Mortgage get your documentation in place and present it to the bank.

What documents will the bank need for your Spanish Mortgage?

  • Identification – Passport and your NIE number (this is your personal number given to you in Spain)
  • Proof of income – salary and position for the last two years.

PIT-2 Employed – supported with a letter from your employer and evidence of the two prior years.

PIT-3 Self Employed – certificate of registration of your business and the annual balance of accounts for the previous two years.

  • Credit history report
  • Three months of bank statements

The usual bank paperwork will apply; you will complete an application for the purchase of your new home and fill out the mortgage application.

Then you wait for approval.

….and the Spanish Coastline awaits your property dream.


Your Home on the Costa del Sol can offer you views like these!

Beautiful tranquillity and idealistic landscapes no longer need to be such a dream.

What Should Property Developers Expect in Spain in 2015?

There are some new updates for Developers in 2015. If they are looking for bank finance they have to meet the new regulations:

  • Half of the properties must be sold off-plan.
  • They must purchase the land themselves.
  • They must invest 50% of the capital into the building costs

This is a more sensible approach especially here on the Costa del Sol, where developments were started and then abandoned. This is too much of a risk when the country is trying to make a positive recovery.

It will even out the balance for property that has been waiting in the portfolios of Estate Agents. The new build will commence, but not on the scale we have seen before the collapse of the economy. This is good news if you have been trying to sell in recent years.


Published in Costa del Sol Property News |