No, we are not a bank, but we help you secure the best mortgage from the banks.

When you apply for a mortgage pre-approval with us, we take your application to the banks we cooperate with and negotiate a pre-approval for you. Our long experience with the mortgage process and our great relationship with Spanish banks enable us to negotiate loan promises with fair and secure terms.

With THARROS Legal, you will have one of our skilled lawyers to assist you, including in the process of obtaining an NIE number. However, you do not need an NIE-number to get a free pre-approval.

NIE-number is an identification number used in Spain for foreign citizens. To be able to buy a property in Spain, you need to have an NIE-number.

The importance of working with a legal representative from our legal team

This is simply a tax identification number for internationals. Also referred to as Número De Identidad De Extranjero

To borrow money from a bank in Spain, you need to

• Be at least 18 years old.
• Not be older than 75 years old.
• Not have any payment remarks.

The banks we work with assess the information you have provided about your financial status in your mortgage pre-approval application. The assessment determines whether you can borrow money and how much they are willing to lend you. Once the assessment by the bank is completed you will be presented with an (AIP). Agreement in Principle, which essentially is a mortgage offer.

A mortgage pre-approval is valid for 6 months.

The answer varies based on your preferred location and the property's condition. In order to be eligible for a mortgage with our collaboration, the minimum purchase price for your property should be €50,000.

The mortgage process is highly complex, and obtaining a mortgage abroad on your own can be very challenging. That is why we layed the foundation to create Tharros, to simplify and offer a streamlined experience for our clients through our modern technology and expertise in mortgages. As our client, you will not even need to travel to Spain where you intend to buy your property. We handle everything along each step of the way.

To obtain a mortgage abroad on your own can be a long process, which can take between 8-16 weeks. With our premium service, "Tharros Advantage", we can shorten that time frame to just 4-6 weeks.

With our help, we can make that process easier and faster, and you avoid having to communicate and negotiate with the bank on your own.

When you have received a mortgage pre-approval and have found a property you want to buy, the banks in Spain hire an appraiser to evaluate the property. If the bank's valuation is lower than the sales price, your mortgage is calculated on the bank's valuation of the property.

You can count on some extra costs to get a mortgage from a bank in Spain. Costs and tax for a mortgage are generally between 10 and 12 percent of the property's price.

Here we list some examples of costs for buyers:

Valuation of the home

The bank will request a professional valuation of the property you are interested in buying. A valuation usually costs between 400-600 euros. You, the buyer, pay for the valuation.

Registration performed by a notary

All mortgages in Spain must be registered in a real estate register and become public documents. The mortgage also needs to be signed before a notary. The cost of the notary and registration is usually about 1 to 1.5 percent of the loan amount.

Setup fee for the mortgage

The bank will charge a setup fee for your mortgage. The setup fee is usually about 1 percent of the loan amount.

Home insurance

The bank requires that you have home insurance. That is because they want to be sure that they get their money back in case the home should be destroyed or damaged. Home insurance costs approximately between 50-150 euros a month. Depending on the value of the property.

Life insurance

In some cases, the bank requires that you have life insurance linked to the mortgage. That is because they want to be sure they will get their money back in case of your death. The cost of a life insurance policy depends, among other things, on the insurance amount and your age. Life insurance costs approximately between 50-75 euros a month.

Nearly everyone consults a lawyer for housing transactions in Spain. Having one guarantees a smooth process without expensive mistakes - especially when you are not familiar with local bureaucracy and laws.

Tharros Legal gets you a lawyer that will help you with everything, for example:

• Ensures you get an NIE number.
• Ensures the seller actually owns the property.
• Ensures the property's certifications and building permits are legal.
• Ensures the property does not have any outstanding debt.
• Reviews all contracts and agreements, so you do not sign something you do not need to.
• Drafts new contracts for you.
• Signs all contracts for you, saving you time and travels.
• Ensures you do not lose your reservation and deposit fee "Contrato de arras", if the purchase falls through.
• And much more.

How much you can borrow depends on how much income you have and if you have any loans and credits. It also depends on the country in which you are registered:

• If you are registered in the population register in Spain, you can borrow up to 80 percent of the value of the home you want to buy.
• If you are not registered in Spain, you can borrow up to 70 percent of the value of the home you want to buy.
• You need to have the remaining percentage in cash deposit, i.e. in your own money.

The interest rate on your mortgage depends on which bank you choose, how much income you have and if you have any loans and credits. Based on that information, the bank assesses your creditworthiness and repayment ability. The better repayment ability the bank deems you have, the lower the interest rate on your mortgage.

Yes, we can help you hire a notary and lawyer. With our service Tharros Legal, which you can choose after you have received your pre-approval, you can get assistance from one of our experienced lawyers. With us, you can benefit from several advantages, including:

No language barriers

Our team can communicate in multiple languages to ensure that you understand and are understood.

Minimise the risks

All efforts are managed by us until the purchase is finalised, which means you do not risk losing reservation fees or down payments.

Simplify the legal process

We can act as your Power of Attorney to simplify legal processes.

Under one roof

As everything is handled within the same organisation and under one roof, you can expect a more efficient and smoother experience when you get assistance from our lawyers.

Valuation fee

The cost of a property valuation typically ranges from €300 to €1,000. Note that the amount is based on factors such as the price and size of the property and might therefore be greater than €1,000.

The bank's opening fee

Some banks charge a fee when they open a bank account for you to initiate a mortgage. In such cases, the fee typically ranges from 1% to 2% of the loan amount.

Tharros's Advantage fee

According to the Tharros's Advantage agreement, Tharros charges a fee of 0.75% of the loan amount for you as an Advantage customer. The invoice will be sent to you once you have accepted a mortgage offer.

Notary fee

The notary charges a fee to review the agreement between all parties and produce the final mortgage agreement. The fee usually ranges from €900 to €1,500. Since the fee is based on the property price - it might be greater.

Land registry fee

The land registry charges a fee for registering the change of ownership and assets. The fee usually ranges from €500 to €800. Since the fee is based on the property price - it might be greater.

Taxes

If you are buying a new built property in Spain you have to pay Value-Added Tax, or VAT. The tax amount is 10% of the purchase price.

If you are buying a second hand property in Spain, you will need to pay taxes on the transfer of assets. The tax amount varies depending on the region where the property is located. The fee ranges from 4% to 10% of the purchase price.

Andalucia - 8.0%

Aragón - 8.0%

Asturias - 8.0%

The Balearic Islands - 8.0%

The Canary Islands - 6.5%

Cantabria - 10.0%

Castile-La Mancha - 9.0%

Castile and Leon - 8.0%

Catalonia - 10.0%

Ceuta - 6.0%

Madrid - 6.0%

Valencia - 10.0%

Extremadura - 8.0%

Galicia - 10.0%

La Rioja - 7.0%

Melilla - 6.0%

Murcia - 8.0%

Navarre - 6.0%

The Basque Country - 4.0%

1. You pay for Tharros's Advantage fee.

When you select a mortgage offer, you will be invoiced for our advantage service fee. We will of course continue to be by your side until you have the keys to your new property.

2. The property gets valued

When you have paid the Tharros's Advantage fee, we will contact an appraiser who will provide a cost proposal to valuate the property. As soon as we receive the cost proposal, we will send it to you via email.

After you have approved and paid for the cost proposal, the appraiser will begin the process of valuing the property. It usually takes 5 business days from when the appraiser has received the payment until the property is valued.

3. The bank prepares FIPRE

FIPRE, "Ficha de información precontractual", is a document from the bank that provides essential information about the mortgage and its conditions. The purpose is to enable you to make an informed decision before entering into the agreement. FIPRE is non-binding.

After the property has been appraised, the bank prepares the FIPRE document. It usually takes 1 week for the bank to prepare and send the document to you for signing.

4. The bank prepares FEIN

FEIN, "Ficha Europea de Información Normalizada", is a document from the bank that, like FIPRE, describes the mortgage and its conditions. The difference is that FEIN binds the bank to the offer, which means they cannot make any changes to the offer.

When the bank has received your signed FIPRE, they start preparing the FEIN document. It usually takes 1 week for the bank to prepare and send the document to you for signing.

5. You sign the mortgage

After the bank has received your signed FEIN, they send your application to the notary. According to the law, the application needs to rest at the notary for 10 days. During this period, the notary prepares the Acta previa. You can book an appointment with the notary during this time to sign the Acta previa.

Acta previa serves as a preliminary agreement that establishes the conditions that you and the bank have agreed upon.

When at least 10 days have passed and the "Acta previa" is signed, you meet the bank at the notary's office to sign the final mortgage agreement.

6. Enjoy your new home

After the mortgage agreement is signed, you will receive the keys to your new home. Congratulations!

Banks in Spain usually use the French Amortization System. This means that you amortize and pay interest throughout the loan period. Initially, the interest rate is higher but decreases with each month. When the interest you pay decreases, the capital you pay increases. This is because the bank calculates the interest based on the part of the loan that you have not yet repaid. Therefore, paying the instalment every month reduces the debt and thus the interest. The fixed amount of your payment is typically reviewed every year on the anniversary of the opening of the mortgage.

You only pay the Tharros Advantage fee when we have helped you secure a mortgage, and you have accepted an offer from the bank.