Costs and documents required for purchase mortgage
Documentation required for a mortgage for property purchase if you are employed:
- Last 3 months bank statements
- Last 3 months pay statements
- Employers reference confirming your role, length of service and salary
- Latest P60
- Credit Report from Experian or Equifax for UK applicants or the ICB for Irish applicants
- Occasionally you may be asked for a bank reference
Costs involved in a mortgage for property purchase:
Total costs typically amount to between 10% and 12% of the purchase price. Costs vary slightly for new build properties and there is also slightly less tax to pay in the Canary Islands than in mainland Spain.
An approximate breakdown of costs:
- IVA (Tax) 5.5%
- Mortgage deed tax 1.8%
- Notary & Registry fees 1.25%
- Bank Arrangement fee 1%
- Lawyers fees 1%
- Stamp duty on new build 0.5%
- Valuation fee € 300
Translator
By N2H