Guide to Buying Property with a Spanish Mortgage in Tenerife

Documents needed for people who are employed are as follows: - Copy of your passport. - Last three wage slips. - Last P60. - Last three months bank statements. - Experian Report. - Any other proof of income or holdings, ie. investments, title deeds, mortgage   statement, etc..

Documents needed for people who are self employed are as follows - Copy of your passport. - Last three months bank statements. - Last three company bank statements (if applicable). - Last Tax Return. (company & private). - Last company Audited Accounts (if applicable). - Last company balance (if applicable). - Certificate of incorporation (if applicable). - Experian Report. - Any other proof of income or holdings, ie. investments, title deeds, mortgage statement, etc...

Costs associated with Spanish Mortgages: - 6.5% Transmission Tax for re-sale properties or, - 5% I.G.I.C (VAT) for new build properties, usually payable in stages throughout the construction process. - Notary Fees x 2. Both the Escritura (Title Deeds) & Mortgage Deed have to be notarised. - Registration Fees x 2. Title Deeds & Mortgage Deed have to be registered in the Property Registry. - Plus Valia Tax (Tax on the increase in the value of the land since last sold). - Administration Fees. - Mortgage Opening Fees. - Stamp Duty on the value of the mortgage, approx. 1.25%.