Documentation that must be submitted with a Spanish mortgage application

Spanish lenders are keen to work with our Spanish Mortgage Department because of the way we organise our clients’ applications and ensure our clients submit full, clear and therefore very strong applications. We do not submit half-hearted applications that will automatically be refused by every lender and will waste everyone’s time. Our reputation is based on our ability to explain to clients exactly what they must provide within a Mortgage Application, assisting them with providing these documents and then presenting them in a professional manner to our lenders.

The documents that must be provided with the application will vary from bank to bank but as a general guide, Spanish lenders normally require:

1. Personal Details
   • All borrowers’ passports.
   • A recent utility bill/council tax bill.
2. Property details
   • A copy of the signed preliminary purchase agreement will be required as soon as it is available.
     If you are buying through Assetz Spain, they will provide us with a copy of the above purchase agreement if you require.
     If you are buying through another Estate Agent, you must either personally provide us with this purchase agreement or must give us the contact details of your Estate Agent so that we can contact them and ask them for it.
   • Some lenders may also require a copy of the updated land registry documents (for re-sale properties), or a copy of the first occupation license (if the property bought is new build).
3. Income
   For employed borrowers :
   • Last 2 or 3 months consecutive payslips or /and, depending on the lender,
   • a copy of your most recent P60 (for tax year ending April 2007 if possible, or ending April 2006 if not applicable).
   For self-employed borrowers :
   • The last 1, 2, or 3 personal tax returns.
   • The last 2 or 3 audited accounts for your self employed activity, certified by your Accountant.
   • A letter from your accountant certifying the amounts on your tax returns.
   • Sometimes but not normally a copy of your latest business current account statements.
4. Financial details
   • The last 1-6 months current account statement(s), depending on the lender, in order to show income paid in each month and financial commitments paid out each month.
   • A credit search will be carried out by most lenders or you will be asked to provide a credit search that you have applied for yourself.
   • Some lenders require the last mortgage statement for the mortgage on your home if any, or the rental agreement if you rent your home.
5. Other

   Some lenders will require a statement from the applicant giving owned property values, amount of mortgages outstanding, monthly mortgage repayment figure, and monthly rental income if any.

   In some cases a reference letter from your home bank or a letter of authorisation allowing the Spanish bank to contact your home bank may be required.

   When carrying out any sort of economic transaction in Spain, such as the opening of a bank account, applying for a mortgage or a property purchase, it is necessary to apply for an NIE (Numero de Identificacion de Extranjeros). This can be done via your chosen solicitor or in any of the UK Spanish General Consulate offices, and we can advise you further on this.

   Other useful information

   Some lenders require supporting documentation to be certified as true to the originals.

   If you cannot provide the above documentation we may be able to make an application for you using slightly different documentation.

   Although, normally self-cert mortgages are not available in Spain we do have one or two lenders that will accept applications with limited paperwork. Equally we deal with one lender that recognises that not all income is declared on tax returns (that tax returns do not always give a true picture of an applicant’s situation) and can offer mortgages on a more self-cert basis.