Many people in Spain want to buy a home, as buying and becoming a property owner is still more common than renting property. If it is financially wiser to buy than to rent an apartment, you should check your options on how to go about it. Of course, the majority of home owners need a bank to help them out by granting them a mortgage, as buying property does not come cheap.
And as many people wonder what banks require when it comes to granting a mortgage, today this blog article by ShBarcelona focuses on exactly that.
Related article: Choosing a Bank in Barcelona
If you have found the house of your dreams, and you need to apply for a mortgage in order to be able to pay for it, it is important to keep a few things in mind to know your possibilities with a bank.
When a bank considers granting you a mortgage, one of the key requirements is having a stable job. This generally means you must have an indefinite contract and a certain length of service. This is one of the most important elements for a bank to assess your creditworthiness.
Related article: Buying Housing In Barcelona
If a bank assesses you do not meet the minimal requirements for granting a mortgage, which might be for a variety of reasons, they may require you to provide extra guarantees. This is when guarantors come in handy: family members or other people you trust. Guarantors already have property, and this means the bank is always assured it can collect its mortgage payments, so they will have no problems granting you the mortgage. Guarantors should always thoroughly analyse the details of the risks they take, as circumstances may influence their assets.
If you want to find out more about applying for a mortgage, we advise you to consult different banks. Although everything that is written above is what is generally required by banks, some can be more flexible than others.
Have you applied for a mortgage in Spain? What advice do you have?
Undoubtedly, the importance of sustainability has become fundamental in all areas, and a clear example…
Formula 1 arrives in Barcelona, this year the city is preparing to receive the best…
Whether you're a property owner or a tenant, you've probably wondered at some point, what…
The Technical Inspection of Buildings (ITE) emerges as a fundamental pillar in the management and…
Barcelona attracts visitors from all over the world every year, and exploring this metropolis can…
The Plaza España in Barcelona is one of the most iconic places in the city.…