After you have found your dream home the next decision must be made on how to pay for the property, 100% cash or with a mortgage?
Today many buyers are mortgaging, regardless of whether they need the funds or not, and this is not surprising due to the low interest rates available, being able to diversify investments and the tax advantages you can benefit from.
A competent mortgage advisor will help you obtain the most competitive rates and conditions whilst making the whole process easier and quicker so you can complete your purchase.
4 steps to buying a property in Mallorca
Buying a property in Mallorca means understanding the Spanish administration system and getting all the necessary documentation. Find out what you need to do here!
Tips and tricks to getting a mortgage in Mallorca!
1. Start your research early in order to see what the best option is for you as the types of mortgages available, terms, conditions and costs are different in Spain to those in other countries. It is important your timing is right as you will need to produce various documents to process your application and find out how much you can borrow.
2. After an initial conversation with your advisor to find out exactly what you are looking for and what the best mortgage for you is, they will provide you with an application form and a list of supporting documents required by all banks.
3. Your debt to income ratio will be calculated and a property check will ensure the property can be mortgaged.
Enjoy slow living at its finest at this beautiful property in Sóller on the market with Living Blue Mallorca. On sale now!
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Even by the high standards of its prime Son Vida neighbourhood, this new-build designer villa represents luxury living at its finest.
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Blending the spirit of a traditional Mallorcan finca with swish modern interiors, this unique luxury villa is as cosy as it is contemporary.
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Set in the historic centre of Sóller town, this luxury apartment combines 17th-century touches with elegantly updated interiors and a community pool.
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Set a stone’s throw from Sóller’s main square, this bright and modern townhouse comes with indoor pool, rooftop terrace and air of serenity.
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With its hilltop setting in Bendinat village, this luxury villa combines stunning views with lots of space and airy, minimalist styling.
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Set just steps from Sóller’s bustling central square, this neatly modernised duplex property combines period charm with panoramic valley views.
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Blending the old world with the new, Posada de Balitx combines modern luxury living with 17th-century charm in the historic heart of Sóller town.
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Located in the centre of Sóller, this grand historical mansion features an enchanting pool garden and includes the neighbouring modernised guest house.
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Set alongside Santa Ponsa’s golf course, this strikingly designed family villa balances open alfresco living with intimate, cosy spaces.
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Completed by top building firm Alibaz Construcción, this luxury top-end villa boast sea views from exclusive Costa d’en Blanes neighbourhood.
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Set up on the hill overlooking Cala Llamp, this top-end villa justifies its big price tag with numerous luxury-level features and stunning views.
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Perched overlooking the mouth of Port Andratx harbour, this top-end villa boasts sea-views from both an infinity swimming pool and sauna.
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Located a short walk from Sóller centre, this 18th-century country home features a secluded pool, 360-degree views and heaps of rustic charm.
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Set on a tree-lined street in central Sóller, this cosy turn-of-the-century townhouse is full of period features, with a pretty courtyard and attic studio.
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This newly built luxury villa overlooks an especially pretty stretch of Alcúdia Bay, steps from the beach and with lovely views from a rooftop jacuzzi.
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Set in the tranquil and exclusive Alcanada neighbourhood, this charmingly traditional waterfront townhouse features stunning views over Alcúdia Bay.
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Petit Deià is a charming family home in the heart of the Tramuntana Sierra, full of old-fashioned Mallorcan touches and just 10mins from Cala Deià.
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This gorgeous designer villa is set overlooking scenic Cala Llamp bay, and boasts spa facilities, high-tech touches, and sea-view infinity pool.
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The majestic twin peaks of the Alaró mountains provide the backdrop to this magnificent villa set in landscaped grounds co-ordinated by Morgan & Morgan.
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A heated infinity pool and modern design with local materials make this Son Vida Villa a gem, but the master bedroom will take your breath away.
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Close to Port d’Andratx, this Mediterranean-style villa combines a range of luxury features with spectacular views over picturesque Cala Llamp bay.
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With a view of two mountains peaks and a 67,000sqm plot, this traditional farmhouse property near the town of Alaró is an inland idyll.
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E5 Living have transformed a run-down property in Old Town Palma into a super-swish townhouse, now for sale.
Read More →4. Once your application is presented to the banks, the banks will carry out a risk assessment, studying your affordability ratio and confirming the approval of the mortgage subject to the property valuation.
In general terms you can borrow up to 70% of the lower of the two values, between the purchase price and the valuation. Other terms and conditions depend on each client´s personal circumstances and also vary from bank to bank.
5. A certified surveyor (tasador) will value the property and, all being well, the bank will be able to issue the formal offer.
6. You will need to apply for a Spanish identification number (NIE), which your lawyer can arrange.
7. On the day of completion the mortgage must be available together with sufficient funds to cover the various fees and taxes (between 12% and 14% of the purchase price). Completion is witnessed by a notary and two deeds will be signed, the mortgage deed and the purchase deed.
Where to buy property in Mallorca
Finding your dream Mallorca couldn’t be easier with Helen Cummins’ selection of the best places to buy property on the island.
There are many factors that can influence such an important decision and these are just a few points to consider. Please contact an expert for further advice and to help guide you through the process.
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