Spanish Banks and lenders for Non resident Spanish Mortgages
Overview of the key Spanish Banks, active in non resident mortgages in Spain. Use our services to ensure you have access to a wide range of lenders. We can help avoid language or communication issues. Obtain your Spanish Mortgage approval in the fastest possible time. For access to all the key Banks in Spain contact us today.
Sabadell
Sabadell have been active in the non resident mortgage market for many years. Banco Sabadell use an internal scoring system based on performance of their back book. The first stage of a Spanish mortgage application is the scoring. Therefore you profile will affect viability, loan to value and rates of your mortgage in Spain.
Non resident Spanish mortgage products offered by Sabadell Bank
- Variable and fixed rate Spanish mortgages offered, for all applicants with earnings in Euros
- Applicants with earnings in major currencies can obtain fixed or variable rates
- Variable rates for applicants in other currencies by exception, on a case by case basis
Underwriting criteria for Sabadell Bank
- Maximum loan to value 70%
- Affordability ratio 38% of net incomes based on a yearly incomes divided by 14 months
- Existing rental income assessed if on tax returns
- Dividends for self employed assessed based on an average over 3 years
- Interest rates client specific
- Term of loan 20 years or less
- Maximum age 75 years
- Spanish mortgages for property on Rustica land by exception only
Pros
- Offers provided in English
- Speed
- Competitive pricing for non resident mortgages in Spain
- No minimum loan size
- Wide range of nationalities covered
Cons
- Internal credit score penalizing certain client profiles
- Maximum 60% for certain nationalities
Bankinter
Bankinter operate regionally. Therefore there are differences between what regions will offer. Bankinter focus on medium to larger Spanish mortgages. They can be a good option for more financially complex applicants. In addition Scandinavian clients can obtain preferential pricing.
Products offered by Bankinter Bank
- Variable, mixed and fixed rate Spanish mortgages, for all applicants with earnings in Euros and Major cuurencies
- Mixed and variable rate products are available for applicants with earnings in Hong Kong dollar, Australian dollar
Underwriting criteria for Bankinter Bank
- Maximum loan to value 70%
- Affordability ratio 35% of net incomes based on a yearly incomes divided by 12 months
- Existing rental income assessed if on tax returns
- Dividends for self employed assessed based on an average over 3 years
- Interest rates client specific
- Term of loan 25 years or less
- Maximum age 75 years
Pros
- Spanish mortgage offers provided in English
- Speed
- Flexibility on criterias and pricing for complex high net wealth clients
- High level understanding of tax system and documentation for Nordic applicants
Cons
- Minimum loan and purchase price restrictions
- Lack of fixed rate offerings for earning currencies outside the Euro
- Geographical differences in offerings and process
- Don’t like investor profile
- Implement an overall debt level in addition to affirdability
UCI
UCI do not have a branch network. They are a lending arm of a joint venture between Santander and BNP Paribas. They are the only lender that can credit search an applicants directly. Registering the search on an applicants credit file. Also the only lender whereby the borrower can set up a bank account of choice in Spain.
Products offered by UCI
- Variable, mixed and fixed rates for all applicants with earnings in Euros
- Variable and mixed rates for all applicants with earnings in their listed currencies
Underwriting criteria for UCI
- Maximum loan to value 75%
- Affordability ratio cannot exceed 40% of net incomes, based on total family unit. Even if only one family member is applying
- Existing rental income assessed at 25% if on tax returns
- Dividends for self employed assessed based on an average over 3 years
- Interest rates are set products
- Term of loan up to 30 years
- Maximum age 75 years
- Self build loans offered
Pros
- Ability to select any Bank for linked products including bank account
- Provide self build loans
- 75% loan to value for all accepted nationalities
- Offer Feins in English
Cons
- Minimum loan and purchase price restrictions
- Affordability assessed on family unit
- Credit score directly, therefore searches shows on credit files
- Maximum loan sizes
- Uncompetitive fixed rates
- Buy to let holders profits assessed
- 5% reduction in income levels automatically deducted
Caixa Bank
Caixa Bank are very focused on medium to high end lending. For larger loans their products are very cost effective. For the lowest possible rates linked products are required. For smaller loans the cost of linked products outweighs benefit.
Products offered by Caixa Bank
- Variable, and fixed rates for all applicants with earnings in Euros
- Also provide Variable, fixed and currency mortgages for applicants with earnings in their listed currencies
Underwriting criteria for Caixa Bank
- Maximum loan to value 70%
- Minimum earnings 48k p.a
- Maximum affordability ratio up to 30% of net incomes
- Dividends for self employed assessed based on an average over 3 years
- Set products
- Term of loan up to 20 years
- Maximum age 80 years
Pros
- Offer 70% to all accepted nationalities
- 0% bank arrangement fee
- Low fixed rate with linked products contracted
Cons
- Minimum earnings of 48k
- Low debt to income ratios
- Cost of linked products outweigh benefits on rate and opening fees for smaller to standard loans
- Self employed owning less than 51% of shares dividends only assessed at 20%
- Very slow underwriting process
Caja Sur
Caja Sur operate regionally. Less focused than others on non resident lending they can however provide a good option to certain client profiles. Caja Sur have no minimum purchase price. Therefore can lend to buyers of smaller properties.
Products offered by Caja Sur
- Variable, fixed and mixed rates for all applicants with earnings in Euros
- Variable and mixed rates for all applicants with earnings in their listed currencies
Underwriting criteria for Caja Sur Bank
- 70% loan to value
- Maximum affordability ratio up to 35% of net incomes
- Dividends for self employed assessed based on an average over 3 years
- Term of loan up to 20 years
- Maximum age 75 years
- Rates heavily linked to currency of earnings
Pros
- Offer 70% to all accepted nationalities
- No minimum purchase price
- Flexibility on underwriting criteria
Cons
- Very slow underwriting process
- Process and terms vary from region to region
For full information on all Spanish Mortgage options complete our online form today.
Abanca and Targo Bank
Abanca still maintain Branch Manager mandates. Not all cases have to go to Head Office for underwriting. Therefore allows for a level of local knowledge to be applied to each application. Also local assessment of risk.
Products offered by Abanca
- Fixed rates for all applicants with earnings in Euros
- Offer fixed for all applicants with earnings in their listed currencies
- Variable rates are only offered on a case by case basis
Underwriting criteria For Abanca and Targo Bank
- Standard loan to value 60%. 70% offered by exception only
- Maximum affordability ratio up to 35% of net incomes
- Dividends for self employed assessed based on an average over 3 years
- Term of loan up to 20 years
- Loans up age 75 years
- Set products, however some negotiation is possible
Pros
- No minimum purchase price
- Flexibility on underwriting criteria
- Branch Managers hold mandates to a certain level
- Competitive pricing
Cons
- Very slow underwriting process
- Very limited currencies of earnings accepted. Sterling, Swiss Franc, US Dollar, Mexican peso
- 60% loan to value as standard
- Credit search directly so registered on credit files