Despite the collapse of the Spanish property market in recent years, and contrary to what many press reports would have you believe, it is still possible for foreign buyers to secure a mortgage loan in Spain, depending on the financial circumstances.

What is true is that Spanish banks, like pretty much most banks around the world, are being extremely cautious when it comes to lending money at the moment.

But let’s suppose you do need to obtain a mortgage to buy in Spain. The most important criteria for any Spanish bank when studying an application for a mortgage are:

Your personal financial circumstances/debt ratio

When applying for a mortgage from a Spanish bank, they will examine the difference between your net monthly income and your monthly fixed loan payment obligations to determine whether or not they’re willing to lend you money. They will not grant you a mortgage if the ratio between your net income and outgoings falls between 33% and 40%.

Finance percentage

Getting a 100% mortgage in Spain has become increasingly difficult in recent years, especially for foreign buyers.

That’s because when evaluating any mortgage application, Spanish Banks make a clear distinction between resident and non-resident mortgage applicants.

For residents they typically will grant up to 80% – 100% of either the value of the property as stated in the property deeds, or the bank’s valuation of the property, whichever is the lower figure. For non-residents they’ll only lend a max. 70%.

Introductory interest rates

Typically, Spanish banks offer mortgages with an introductory initial interest rate which is charged during the first fixed period of the mortgage, normally the first 6 months or the first year.

Revision differential

After the initial period of interest mentioned above, the bank will then apply a new rate of interest to the outstanding amount of your mortgage.

That will be calculated as the EURIBOR rate at that particular moment in time, plus an additional % on top, which is effectively the bank’s profit margin.

Purchase and mortgage fees

One thing that is very important to bear in mind when working out your budget to buy a property in Spain with a mortgage is that you’re looking at paying between 10 – 11% of the value of the property in fees and taxes on top of the price of the property.

These costs break down like this:

On the day you actually buy the property, you or your legal representatives will need to be present at a local notary where two written documents will be signed – the title deeds of the property and the mortgage documents.

For each of these documents, you will need to pay virtually identical costs. These costs cover the fees charged by the Notary, the property registry and your financial consultant along, with a tax paid to the Spanish inland revenue.

The costs you’ll have to pay to the Notary, the Property Registry and your financial advisors are standardised costs calculated as a percentage of the value of the property as declared in both the title deeds and the mortgage documents.

Taxes

Regardless of whether you’re a Spanish national or foreigner, when you buy a property in Spain you’re required by law to pay a tax to the Spanish government.

This tax is called ‘Impuesto de transmisiones Patrimoniales (ITP)’, and is calculated at 7% of the value of the property in the case of purchasing a second hand property, and 1% if you’re buying a brand new property from a developer.

Also, if you take out a Spanish mortgage you are required to pay an additional tax to the government to cover Judicial Act Documents (‘AJD’).

Special tax breaks for residents under 35s

Spanish residents under 35 buying their first primary residential home for under 130.000€ are only required to pay 3.50% for a second hand home and 0.50% for a brand new build.

In this case, the ‘AJD’ tax is also reduced to 0.36%

VAT

VAT (or IVA in Spanish), is only paid on new build properties and is charged normally at 8%.

However, in an attempt to kick-start the property market, the Spanish government has temporarily halved the amount of IVA payable to just 4% for the rest of 2012.

Bank fees

On top of the Notary and Land Resgustry fees etc, you’ll also be charged with certain bank fees including a Mortgage Opening Fee (charged somewhere between 0% and 2%), and an Official Valuation Fee.

This additional % can be negotiated down if you also sign up for more of the bank’s products, such as insurance policies and standing order payments etc.

For non-residents, however, the banks are not usually open to negotiation.

Another thing to bear in mind is that as things currently stand, the Spanish banks have increased the % they add to mortgages after the initial interest period to counterbalance the fact that the EURIBOR is currently at a very low level, thus maintaining their profit margins.

At the moment, as a resident you’d get somewhere between EURIBOR + 0.80% to EURIBOR +2.75%.

Non-residents would be looking at paying at least EURIBOR plus 1.50%.

Base mortgage rate

This is a minimum type of interest rate that some banks may charge you to guarantee their profits against further reductions in the EURIBOR rate and it is something which should be avoided at all costs.

Call now for free Spanish mortgage advice

Our mortgage broker partners Cred & Gest Intermediaciones have advised and successfully arranged Spanish mortgages on behalf of many of our foreign buyers.

The feedback we get is that their level of professionalism is second to none, which makes what is essentially a complicated process as stress free as possible.

What’s more, they’ll only charge a fee for their services once your mortgage has been approved and the deeds to your Spanish property have been officially signed.

If you’d like free advice about any aspect of applying for a Spanish mortgage, please just call us on either of the following numbers:

00 34 952 80 18 71
00 34 676 42 32 20

Alternatively, you can email us at info@inmo-andalucia.com

As a standard part of our overall sales package, we’ve teamed up with one of the most respected legal firms on the coast to offer the best legal advice possible to anyone buying a property through us. They’ve helped many of our clients successfully acquire property in the Costa del Sol over the years and what’s more, I’ve negotiated a minimum 20% discount in their fees for anyone who hires their services.

So why do you need a property lawyer in Spain?

There are many issues a good lawyer will help you with when buying your property in Spain.

Not least, they’ll explain the various legalities involved in the buying process here, which are quite different from that of many other countries.

They’ll handle the deposit paying process on your chosen property, carry out the due diligences required and advise you of any outstanding debts or legal issues on the property.

They’ll also prepare and present all the documentation required to complete the transaction, and be there when you sign the title deeds.

If you’d like more information about our legal partners and how they can help you negotiate the purchase of a property in Spain along with details of their discounted legal fees, please just call us on either of the following numbers:

00 34 952 80 18 71
00 34 676 42 32 20

Alternatively, you can email us at info@inmo-andalucia.com

Whether it’s giving your place a thorough clean before and after you or your guests visit, or having someone to keep the grass cut, the pool clean and to check on the house a couple of times a month to make sure all is well…there are so many things about your new Spanish property which you’ll need to keep on top of to make sure it’s in tip-top condition when you want to use it.

And doing all that if you’re based abroad and only visit the place a few times a year is a tough call.

So as an integral part of our after sales service, we offer our clients a full property management service, which they tell us is worth its weight in gold.

Our Property Management services include:

• Looking after a set of your keys for you so you never get locked out.

• Cleaning your place from top to bottom before you and/or your guests arrive and depart.

• Visiting the property twice a month while you’re away to checks all is well and sending an email report to you.

• Basic cleaning every 2/3 months in order to keep your property ship-shape when you’re not using it.

• Emergency property checks following bad weather.

• Handling your post for you.

• Watering your interior plants.

• Minor and major emergency repairs.

• Welcome pack on arrival.

• Baby sitting and child minding.

• Checking to make sure your car starts.

• Being there for you to deal with the utility and service suppliers.

Property maintaince may sound like a bit of an extravagant  luxury in this day and age, but believe me the cost is a price well worth paying.

And if you buy your property through Inmobiliaria Andalucia, we’ll throw in two months worth of free property management.

So call for a free quote now.

To get a free property management quote, just call us  on either of the following numbers:

00 34 952 80 18 71
00 34 676 42 32 20

Alternatively, you can email us at info@inmo-andalucia.com

Spain’s Costa del Sol is a fabulous place in which to buy a holiday property or a more permanent home. But the area stretches from the coastal town of Nerja in the east, to Sotogrande in the west and way up inland into the mountains near Ronda to the north, so if you don’t know its many different towns and residential areas and developments that well, you might like to take advantage of our ‘Try Before You Buy’ rental service.

Basically, this service does exactly what it says on the tin – you let us know when you’d ideally like to ‘road test’ the coast and we’ll find you a good quality rental property at the best possible price via our partnerships with local property rental agencies so that you can spend some time in an area or a specific development to see exactly what it’s like before making a decision to buy.

You could also take advantage of our ‘Orientation Tours‘ and let us drive you around the coast so that you can get familiar with all the areas and complexes there are available.

If you’d like more information about renting a property on the Costa del Sol before buying, please call us on

00 34 952 80 18 71
00 34 676 42 32 20

Alternatively, you can always email us at Info@inmo-andalucia.com

That’s all follks,

Jesus.

Our partners ID Latinia are an interior design company based here on the coast that have completed interior design projects for many of our clients – everything from private family homes to holiday rental properties.

As well as helping our clients , they’re the team responsible for the new showflat at the prestigious Doncella Beach development and the El Campanario Golf and Country Clubhouse.

So if you’re looking for a company you can trust, that speaks perfect English and has a proven track record of getting the job done on spec and on time that are able to handle everything from an entire renovation project from scratch to adding a few special decorative touches to spruce up your property, they’re the ones to call.

A personal service

IDLatinia are one of the only design companies on the coast that have grasped how important it is for people who’ve just bought in Spain to find someone they can really trust to do a great job – especially for those that are based abroad and not always around to supervise things.

In that respect, we can’t recommend them enough.

And because they’re a small company, they offer a uniquely personalised service and will be there every step of the way to manage your project for you, no matter how large or small, from start to finish so you don’t have to worry.

So, what’s the process involved?

The first things is, we’ll introduce you to Maria, ID Latinia’s main designer so she can get to know you and understand exactly what you’re trying to achieve and, more importantly, how she can maximise your budget to create the most stylish and inspiring interior space possible.

We’ve heard from our clients that Maria and her team go to great lengths to make sure the whole process as stress-free and fun as possible!

To help them do this, they count on a great team of professional trades people, including:

•    Builders
•    Carpenters
•    Painters
•    Electricians
•    Upholsterers
•    TV, satellite and home cinema installers
•    kitchen and bathroom specialists
•    Interior and exterior furniture suppliers
•    Lighting experts and more…

And in a country that’s admittedly earned a reputation for its often frustratingly laid-back, relaxed approach to business, they’ll give you a realistic completion date, and finish your project on time and on budget.

And of course, with them being fluent English and Spanish speakers, communication won’t be a problem. They’re only a phone call away and will keep you informed of progress at all times.

Call for a free quote now

To get a free interior design quote, just call us  on either of the following numbers:

00 34 952 80 18 71
00 34 676 42 32 20

Alternatively, you can email us at info@inmo-andalucia.com

If you’re thinking about buying a property on the Costa del Sol, but don’t really know the area well enough to decide where exactly you’d like to buy, then we’re here to help.

As a standard part of our service, our sales guys regularly take clients who don’t really know the area well on extensive ‘Orientation Tours’ before they even show them any properties – just so they can get familiar with all the different towns and sub-areas and hopefully find the residential development that ideally suits them.

After all, choosing the right area is paramount when it comes to buying any property.

But more than that, if you’ve got kids, we’ll introduce you to the best schools in the area and both set up and accompany you to meetings with them to help you get your kids enrolled.

So whether you’re looking for a beachside apartment, a golf apartment, a country property or a large luxurious villa, from Elviria on the eastern side of Marbella, right up to Sotogrande to the west and all points in between, our sales guys know the area and the various developments like the back of their hand and are always happy to pass on the benefit of their knowledge to anyone who needs it.

And it’s easy to set up a tour.

Just give us a call on either:

00 34 952 80 18 71
00 34 676 42 32 20

Alternatively, you can always email us at Info@inmo-andalucia.com

That’s all follks,

Jesus.

In Spain, education is obligatory between the ages of 6 to 16 and the schools here are generally of a higher standard with relatively fewer discipline issues than those found in many other European countries (including the UK).

But it’s a daunting prospect for most new arrivals trying to find a school for their kids in Spain, partly because it’s hard to know where to start and which schools are best, especially if you don’t speak a word of Spanish.

But fear not!

As a standard part of our after sales service, Inmobiliaria Andalucia will be on hand to help you find the right school for your kids.

Unlike other estate agents on the coast, though, we won’t just point you in the direction of the best schools and then let you get on with it – we’ll actually set up appointments with the headmasters or admissions departments and personally accompany you to the meetings.

How’s that for service?

Private international schools

The most obvious option for a lot of new foreign arrivals is to send their kids to one of the many international schools located up and down the coast.

The Costa del Sol has a wide choice of international nursery, junior and secondary schools that take children from as young as 2 years-old right up to university age.

All of them are private, fee paying schools with the fees varying depending on the school.

They teach classes either exclusively in a foreign language – there are English, German, French and Swedish specialist schools on the coast – or they offer a bilingual education with Spanish, which is a great way to get the kids speaking the lingo quickly.

The advantage of most private schools is that they tend to have far fewer students per class and the facilities are far better.

British Schools

The British schools on the coast typically stick to the UK curriculum and offer GCSEs, A/S and A levels, whilst others also offer the internationally-recognised International Baccalaureate diploma as an alternative to A levels.

Spanish state schools

Sending your kids to a Spanish school is actually a great way to get both them and you integrated into the Spanish-speaking community quickly.

Spanish state education is totally free and available for all European Union citizens from pre-school age right up to 18.

Although there are no fees, parents are required to pay for books, materials and any extra-curricular activities, such as school trips.

It’s important to bear in mind that secondary schools do have a specific catchment area, which will probably influence where on the coast you buy.

Private Spanish schools

In addition to state-run Spanish schools, there are a number of private Spanish schools on the Costa del Sol too.

Again, like the private international schools, they offer a higher standard of education than state schools, a lower student/teacher ratio and better facilities.

How the Spanish school system works

Pre-school education (Educación Infantil) is divided into two 3-year stages (0-3 years and 3-6 years) and although it’s not compulsory, it is free from the ages of 3 to 6 in state-run schools.

Compulsory Education is between the ages of 6 to 16 and consists of 2 stages: primary education (Educación Primaria) from the age of 6 to 12 and lower secondary education (Educación Secundaria Obligatoria – ESO) between the ages of 12 to 16.

Something that comes as quite a shock to foreign parents is that if a child does not pass their end of year exams in at either primary or secondary levels, they must repeat the entire academic year again.

Non-Compulsory Education is between the ages of 16 to 18 and consists of either upper level of secondary education (Bachillerato) or vocational training.

The upper level of secondary education prepares students for university, whilst vocational training prepares them for specific workplaces with work experience placements where possible.

Applicants for Spanish universities normally take the ‘Selectividad’ entrance exam in their final year of secondary school.

As far as universities go, the Costa del Sol is a bit spoiled with several good universities within a couple of hours drive, including in Malaga, Cordoba, Granada and Seville.

Private English schools

Aloha College

The British School of Marbella

English International College

Swans School International

Sotogrande International School

Benalmádena International College

St. Anthony’s College

Laude San Pedro International College

Private Spanish schools

Colegio San José

Colegio Alboran

Colegio ECOS

Private Swedish school

Svenska Skolan

Private German school

Deutch shule Malaga

Private French school

Lyceo Francais Malaga

The villas for sale in La Zagaleta are renowned as the most exclusive and luxurious villas eavailable to buy in the whole of Spain and as a former private hunting estate set amongst over 900 hectares gorgeous woodland and mountainside, the estate is home to only a priviliged few with superb facilities at their disposal, including 2 x 18-hole private golf courses, an equestrian centre and a heliport.

Click here to read in more detail about the La Zagaleta residential estate.

Click here for full details of a 4-bedroom villa for sale in La Zagaleta with 1.6M Euros discount from the original asking price.

If you’d like more information about this villa or the other villas we have for sale in La Zagaleta, please call me, Jesus Garcia on either of the following numbers:

00 34 952 80 18 71
00 34 676 42 32 20

You could also do a free search through our Inmobiliaria Andalucia property database.

That´s all for now,

Jesús

The homes for sale in La Zagaleta are without question some of the most exclusive and luxurious properties eavailable to buy in Spain, perhaps even in the whole of Europe. As  a former private hunting estate blessed with over 900 hectares gorgeous woodland and mountainside, the estate is home to only a priviliged few with incredible facilities at their disposal.

Click here to read more about La Zageleta.

Click here to see full details of a 7-bedroom home for sale in La Zagaleta.

If you’d like more information about this mansion of the other villas we have for sale in La Zagaleta, please call me, Jesus Garcia on either of the following numbers:

00 34 952 80 18 71
00 34 676 42 32 20

You could also do a free search through our Inmobiliaria Andalucia property database.

That´s all for now,

Jesús

La Zagaleta is without question, the most exclusive luxurious residential estate of private villas  in Spain, perhaps even in the whole of Europe. It’s  a former hunting estate that occupies over 900 hectares of beautiful wooded valleys and mountainside and is home to only the priviliged few – including heads of state and a few internationally famous personalities.

Click here to read about the La Zagaleta residential estate in more detail.

Click here to see full details of the 6-bedroom mansion for sale in La Zagaleta.

If you’d like more information about this mansion of the other villas we have for sale in La Zagaleta, please call me, Jesus Garcia on either of the following numbers:

00 34 952 80 18 71
00 34 676 42 32 20

You could also do a free search through our Inmobiliaria Andalucia property database.

That´s all for now,

Jesús