A region with diverse and eclectic landscapes, rich culture and history, and the best climate any homeowner could wish for is why Mallorca is the best choice for investing in property, whether for a holiday home to retreat to during the summer months or to eventually enjoy full-time as you retire for your golden years ready to soak up the 300 days of sun, Mallorca has to offer.
Mallorca is picturesque and equally as beautiful as we see in travel magazines and brochures as it is, only now, by owning a home there, you get to feel the soft sand of one of the 200 tranquil beaches underfoot as you stroll along the shoreline feeling the crisp ocean air against your skin. This sounds like a dream, but is life not worth living to the fullest? And with a mortgaged home, you can have peace of mind that you always have somewhere to escape when the hustle and bustle of life seems overwhelming, right?
Well, chatting to mortgage brokers is the first step. For Spain and the Balearic Islands, companies like Lionsgate Capital, considered the leading mortgage brokers for the Spanish region, are a top choice to help you get the ball rolling. We have also curated the top tips on how to go about navigating the world of mortgages and what to look for during the process so you don’t get caught off-guard.
First, you will need to be as timely as possible; terms and conditions, available properties, and most importantly, interest rates are significantly different in Spain to other countries and could be the difference between being accepted or declining a mortgage.
Once you have a concrete idea of when you want to begin the adventure of applying for and (ideally) getting accepted for a Mortgage in Mallorca and are financially capable, the next step would be to chat to your broker consultant or financial advisor. They will hand you all the necessary paperwork to fill out (don’t we love paperwork) required by the banks to ensure your income-to-debt ratio is feasible and you can afford to take on the loan. Finally, a risk assessment is then carried out.
It does sound like a lot of work, and we aren’t going to deny that it is, but with well-known companies advising and guiding you along the way you won’t have anything to worry about. Finally, once a property valuation has been completed and your affordability has been ticked off, most banks allow you to borrow up to 70% of the lower price – between the purchase price and valuation.
Lastly, a certified tasador (surveyor) will value the property, and the bank will issue the formal offer. With your NIE (Spanish Identification Number) and on the day of completion, the mortgage, including funds necessary to cover taxes and fees, must be readily available. The mortgage and purchase deeds will then be signed and witnessed by a notary, and all you need to do is plan your first Spanish summer BBQ with family and friends.
While the overall process does take time and patience, like with all great things, a mortgage application and becoming a homeowner in one of the most idyllic locations in Europe is well worth it. Mallorca offers the best of life’s loves you could want, world-class cuisine, near year-round sunshine, and a culture that welcomes and embraces you into their families.
Working with professionals like Lionsgate Capital in the mortgage and property business makes homeownership much more pleasurable; heeding their advice and taking care of every step makes the journey a joy. And then, to top it off, ultimately purchasing a gorgeous Spanish property is where dreams genuinely come true.
Life in the sun brings a certain magic, a calming presence that makes all the daily problems we think are too much to handle seem mere hurdles to hop over. Who knew a mortgage teamed with the perfect location could be just the solution we need for a blissful life, win-win?
