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Spanish mortgage deals 2020

Spanish mortgage deals for Q4 2020: There is a good choice of properties and mortgages from Spanish banks and with more building starts – and restarts of recession troubled sites – from developers for any year in the last decade Spanish property buyers are returning to the market despite the impact of Covid-19. Plots in prime locations are well-priced and 100% mortgages on the building costs are available. 

Best buys – New apartments and villas from leading banks who have taken charge of developments under construction where developer loans are in default. Brand-new, some with years of construction guarantees, these homes are excellent value with peak to present discounts around 35%.

  • Resale homes can generate up to 70% LTV and brokers are offering rates for high rated clients from 1.5% fixed for up to 20 years. Interest rate from 1.3% variable up to 30 years. On 500K plus 9% purchase tax.
  • New build development, finance depends on the current specific deals from the developer or as above. On new properties 10% VAT.
  • Plot to build: client buys plot outright with cash, becomes the promoter and has the selected villa built to turnkey project for the price all included. 21% vat on plot and 10% on the build. Up to 100% finance for building costs is possible. 

With mortgage deals from the vendor banks around 3% APR and now fixed interest for 20 years from Hola Bank, the English speaking specialist, property buyers are being tempted to buy a property in Spain once again. Best interest rate for Q4 2020 is 1.9% variable for a 60% loan or 2% for 70% loan. buyers can be pre-qualified for their Hola Bank mortgage as part of a Purchase Ready service that smooths the way to a successful purchase and the most suitable mortgage.

Offers – Spanish banks want the properties off their books and will listen to realistic offers. These are formally submitted to special committees that meet weekly and will generally provide an answer with two weeks. However, as the selected property remains on the market, there is the chance it may sell directly off the website or through a higher submitted offer.

Legal – All bank controlled property is fully legal and as such qualifies for generous mortgages as shown here. However, we advice all buyers to hire their own independent Spanish solicitor to check all paperwork, undertake conveyancing and registration and assist with utility provision etc. We can provide firms who have assisted previous buyers successfully.

Endeudamiento/DTI – This is the debt-to-income ratio, and is the percentage of your net income which your total mortgage and loan payments will represent. For example, if your net income is 3000 Euros per month, you already pay 750 Euros per month for your existing mortgage, and the mortgage applied for will have repayments of 250 Euros per month, your Endeudamiento/DTI will be (250+750)/3000 = 33%.  NB – if you are renting out a property longterm, some banks may also include part of your rental income in this calculation.

:  : All offers subject to buyer status and availability.

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On-trend penthouses in Spain with free sports and spa

Penthouses in Spain sell quickly, especially any topping an exciting upmarket resort and urbanisation that is setting the new standards for innovative design and build quality along the Costa del Sol.

True to form, penthouses in different sectors of the avant-garde Reserva del Higuerón have sold quickly offplan as they were announced. Any remaining unsold during the construction period have been subsequently ear-marked by international buyers arriving late to the party. Contract signed, deposit made, await keys in Q4 2018.

It is rare that penthouses are still available at the key ready stage of the construction cycle and this can be due to a variety of causes:

  • The buyer, having made the reservation deposits, has had a change of mind – or circumstances.
  • A professional relocation to a distant part of the planet would curtail a buyer’s use of the penthouse;
  • A dip in income negates that generous mortgage offer from the Spanish lender;
  • The proposed penthouse sharing partner has run off with a Strictly Come Dancing contestant?

For whatever reason, there are two absolute gem penthouses available at Reserva del Higuerón, a fully landscaped resort that links verdant hillside to the beach and marina at Benalmádena. One of them is at the top of the resort and the other is halfway down, an easy walk to the beach or a free ride on the resort’s own road train.

The first penthouse on offer is at Altos de Higuerón, located at the upper level of Reserva del Higuerón, and provides stunning views of sunsets and the Med. It provides a generous 150m2 of living space with a large solarium terrace. Brand-new duplex 3-bed, 3-bath and key ready €537,000 with all required paperwork in place.

Midway to the beach is the best selling Hill Collection condominium, where the other penthouse shares the same vistas. It offers 3-bed, 3-bath, 2-terrace configuration and 141.57m2 of living space – plus 171.65m2 for the rooftop terrace. Key ready price is €949,000 and all paperwork ready for quick purchase.

Each penthouse offers huge amounts of space, including terraces for pampering essentials like hot tubs, BBQs. There’s garaging for two cars, storage for jet ski and golf buggy and the household is fully automated – air-con, lights, hot tub and coffee pot controlled from a smartphone.

On-trend apartments at Altos de Higuerón

“An entirely avant-garde urban development with innovative architectural design woven into a natural environment, on-trend apartments and bespoke villas offer a unique blend of privacy and state of the art service, not to mention ample parks, green zones, beauty and health facilities, sports complexes and 24-hour security.”

Reviewed in Daily Telegraph, London

International brokers, Walker Property Spain are offering the last of the penthouses with optional fixed interest mortgages and first year free membership of the onsite sports club and spa where La Liga soccer stars arrive to be recharged and repampered.

More :: Buy before Brexit to beat Spanish residency lock-out  | Image :: Sunset from the Hill Collection, Reserva del Higuerón