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Spanish Mortgage – What documents do I need?

When applying for a mortgage in Spain, it’s critical to provide the full, correct set of documentation. If not, alongside delaying the process significantly, your Spanish mortgage application will likely result in an outright rejection.

In many ways, Spanish banks work differently to those in other countries. It may seem that a lot of documentation is required and you may question its necessity, but the documents discussed in this article are always required (subject to personal circumstances). Furthermore, the format in which the documents are submitted is very important. In summary, providing the correct set of documentation is key when applying for a mortgage in Spain. Make sure you have all the required documents in the correct format to avoid any delays or rejection.

Preparing the full set of documents may seem daunting and timewise, this is the biggest effort asked of you during the application process. But with the right support and preparation, it will be worth the effort. So start your journey today towards living your dream of owning a home in Spain.

Required Documents

This is a general overview and the actual documents required will depend on your personal situation. If you have any doubts please get in touch and we will be able to advise.

Identification documents

  1. Passport – valid and current
  2. NIE – although not needed to start the mortgage application process, it will be required ahead of completion. It’s also important that the NIE is correctly registered at the Spanish tax office in order to be able to complete on the purchase.

Financial Documents

  1. Credit report – if you are a non-resident, you will be required to source this yourself in your home country. Get in touch with us if you have any doubts about. If you are a Spanish resident, the banks will request the credit report on your behalf and check the Spanish credit register (CIRBE)
  2. Personal bank statements – 3 months
  3. Personal tax returns – usually 2 years although some banks may request 3
  4. Evidence of funds to cover the deposit and purchase taxes – this may be shown in the bank statements but if you have additional funds to prove financial solvency, this may strengthen your application.

The above points are always required by all banks. Without all of them, there is slim chance that your mortgage application will be approved.

We now consider the documents that vary depending on individual circumstances.

If you receive income from employment

  1. 3 months’ payslips supported by bank statements showing the pay arriving in your account
  2. Work contract or letter confirming the date you joined the company, your current income/bonus and the fact that you are on a permanent, indefinite contract.

If you are self-employed

  1. 6 months’ business bank statements in addition to 3 months personal statements
  2. Business tax returns for the past 2 years (some banks may request 3 years)
  3. Business accounts for the past 2 years (some banks may request 3 years)
  4. Accountant’s letter – detailing net profit and any other supporting information (not 100% necessary but may strengthen the application).

If you receive rental income

  1. 3 months’ bank statements proving the income
  2. Rental contract(s).

It’s also important to note that many banks will not accept income from holiday rental lets. A legitimate rental contract is normally required, along with clear evidence of the rent being paid into your bank account. Without this, the rental income may not be included as part of the bank’s affordability calculations.

Details of any debts (other mortgages, rental payments, personal loans, alimony/maintenance, school fees, etc)

  1. Bank statements showing the payments
  2. Formal documentation (such as updated mortgage statement, rental contract, loan statement, school contract, etc).

Spanish residents

Additional documentation may be required depending on your personal circumstances and the bank considering your application. This includes the Certificado de Retenciones, Vida Laboral and various tax modelos. These documents vary depending on whether you are employed or self-employed. Please get in touch with us and we will be able to advise further.

Evidence of assets

Although not a requirement, submitting evidence of assets to demonstrate financial solvency can add weight to applications and increase the chance of acceptance. This could be evidence of stocks/shares/pensions, or ownership of property or other objects of significant value.

Other documents

Although not 100% required for the pre-approval, we strongly recommend submitting these documents if you have them.

  1. Idea of property – If you have not yet reserved a property, it can help if you send us some weblinks to properties that you are considering. This will help us give the banks an idea of the type of property that you wish to purchase.
  2. Reservation agreement/’contrato de arras’ – once you have found a property and signed the initial reservation agreement or arras contract, please send this to us.
  3. Nota simple – Spanish land registry document. This will eventually be required to organise the property valuation.
  4. Information on the other real estate professionals you are working with, such as your estate agent and lawyer.

Document Format

Here are some examples of document formats which will not be accepted.

Screenshots from your phone, tablet, or other portable device Documents need to be official and screenshots are usually rejected. For example, the credit report must be a complete PDF document (normally downloadable from the credit company’s website). A print screen of the score, no matter how positive it is, will not be accepted.

Bank statements that have lines deleted or hidden In effect, this delegitimises the bank statement and the bank would also want to know the reason for the redaction.

Bank statements without official header, date, name, address and bank logo For example a bank statement downloaded as a spreadsheet.

Unofficial tax returns or other official documents The tax returns must be official copies of the accepted returns as issued by the tax authority. If you have an online account with the relevant tax authority, you may be able to download the report directly. The process for obtaining copies of tax returns varies from country to country. If you are unsure, get in touch with us and we may be able to advise.

Final Points

It makes the application process faster and more efficient if the documents are correctly named and grouped into minimum attachments. Using a document sharing program such as Google Drive or Microsoft OneDrive to send us the documents keeps them in one place and makes them far easier to process than sending as attachments to multiple emails.

Please send all documents in pdf format; many banks to do not accepted documents in any other format (e.g. JPEG and PNG).

Mortgage Direct

Since 2006, we have been using our expertise to help simplify what can be a complex mortgage application and real estate buying process.

Mortgage Direct’s multi-lingual team of qualified advisers provide unrivalled personalised advice on Spanish mortgages with exclusive mortgage conditions – ensuring your money is safe as well as profitable!If you have any questions surrounding the documentation required for a Spanish mortgage or would like to discuss a tailor-made solution for yourself, please get in touch with me today.

Will Roberts Mortgage Adviser

Originally from the UK, Will has been based in Barcelona since 2019. He holds a diverse range of financial qualifications and has experience in numerous international roles in the financial sector, along with a managerial position in a FTSE 100 organisation. Fluent in English & Spanish.

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Mortgages taken out in currencies other than the currency in which you earn are considered Foreign Currency Mortgages. Changes in the exchange rate may therefore increase the equivalent value of your debt. Under the Mortgage Law 5/2019 banks in Spain have introduced mechanisms to protect consumers from exchange-rate risk. For more information, please speak to your broker.

Mortgage Direct, S.L. is a company registered in the Registro de Intermediarios de Crédito Inmobiliario del BdE with the nº D108.

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