Prices of houses in Camposol

As a none Resident of Spain your chance of getting a Spanish mortgage will be slim ...if you do get offered a mortgage you will be asked for a 40% up front payment of the agreed asking price... don't forget that you need to factor in atleast 10% on top of the asking price for legal fees & taxes ...so you are looking at paying half the agreed asking price up front before a mortgage is granted...as for getting up to 10% off the asking price this will be down to you and the owners of the property you fancy ... personally I think a €10,000 reduction is to much to ask for on a property that's on for €100,000 ..but it's a good starting point and you never know they might... Banks very rarely give reduction on asking prices  ...good luck .

Frequent Flyer thank you for the quick response.  

Its an exciting time for us and coronavirus has slowed us down.  We are checking with banks at the minute but apparently the sum we are looking for is not of interest to most of them :-)  We would prefer a small mortgage and keep some cash aside for furnishings etc.. but we will see how we get on.  I agree 10% reduction for what you can get in camposol seems excessive but we will wait to see what is on offer, the prices vary quite a bit.

Again thanks

Karen

Of course you can try to get a 10% discount, there is certainly no harm in asking.

There are always people that a desperate to sell.

It is something I would do.

Always worth a try, we managed a 14% discount on an already reduced asking price, more than covered the costs involved 😀. It had been on the market for a long time so assume seller was keen to sell. You might be hard pushed to get 7k off a 70k Rebecca that is new to the market though.

Apart from Bank repossessions, I would suggest starting at 10% under the asking price and then negotiate as you would do normally. As per other comments, sellers want to sell for a whole variety of reasons and it's a competitive market, so there is usually a deal to be done.

I am a non-resident - I have a holiday home in the countryside north of Lorca - and had no problems getting a Spanish mortgage. It will all be down to your personal circumstances. You will need a minimum of 30% deposit, although you may be asked for more; and you should allow 10%-12% on top of the purchase price for your costs - the main one being the purchase tax, which is 8% of the purchase price (compared to 1.5% average for Stamp Duty in the UK). As with other mortgages, they will need to know your income & outgoings - e.g. if you still have a mortgage on a property at home, then this will impact how much they will lend. At the other end of the scale, if you're only looking, for example, for a £15k mortgage on a £100k home, then the bank may think it's not worth the hassle for the returns they'll receive. I used a broker who confirmed the amount I could borrow and approximate costs before I chose the property.

As per other posts on here, you should check that any property you are looking at has a certifcate of habitation, as that is a legal requirement and you would be very unlikely to get a mortgage without one. There are others on this forum that will suggest that this isn't the case and provide examples from Camposol where properties have been bought without them, but you should take advice from your solicitor and bank on that.

Hope this helps!

Thanks Rich.. 

This is very useful information.

 Have a lovely weekend.

Karen

In answer to your Q1:  use the 10% as a the 'minimum' figure under the asking price that you want to end up with.   I'll guarantee the seller has already factored this in. Most, if not all of the replies you have are from property owners in Spain,  no disrespect guys but that's the brutal reality of selling and buying!  Good luck to you, now I'll prepare for some flack on your behalf. 😀

Hi Karen,

We are hoping to make the move with our 17yr old daughter, but are feeling a bit unsure with regards the taxes (CGT, wealth tax) as we will be selling our home in UK and buy a property and have cash in the bank. Maybe invest in a couple of appartments to rent. Have you sort any advice about this? If so any recommendations?

Regards Karen