We are always asked “How much can I borrow?” Good question!
For Spanish residents, banks usually offer to lend 80% of the purchase price (excluding fees).
For non-residents, the maximum loan to value banks offer at the moment is 70% of the purchase price. The percentage can vary depending on the country in which you reside/declare your taxes. 70% is the maximum but it depends on the strength of your economic profile. More usual is 65%.
It is important to note that banks do not factor in buying costs when buying with a mortgage and so the client needs to budget for these in case. They tend to be around 14-15% of the purchase price and so the total cash requirement is around 40-50% of the purchase price made up of 35% deposit plus costs.
For a personal analysis of what level of finance can be obtained and how we can help you, why not get in touch with us today.