You are here: Home >> Lenders >> Commercial Mortgages
Spanish Commercial Mortgages
Do you have a dream of owning you own bar in Spain? Maybe you prefer the idea of an internet cafe or maybe you would like to buy offices for the new Spanish branch of your business. Most people wil have had this dream at some point during their lives but actually arranging such a dream can be quite difficult.
Commercial mortgages in Spain are not quite on a par with the UK or the rest of Europe. Generally, the banks or lending companies in Spain will only lend money against a fixed asset and not the turnover or projected turnover of a business.
This basically means that when you approach the Bank for a Spanish Commercial mortgage you must be buying a Freehold Property. You will also be expected to put up a deposit of at least 40% and in many cases 50% of the value of the property.
If it is a Spanish Leasehold property then you will be required to place a separate guarantee with the Bank. For most people the only way or raising enough money to use as a deposit is by using their home in th UK as security or by remorgaging their existing home in order to raise enough capital for a commercial property in Spain.
As with Residential mortgages in Spain Commercial Motgages are for a pre-determined time period at an interest rate that is set against the Euribor. The Euribor is the rate of interest as set by the European Money markets. Spanish mortgage lenders are able to provide mortgages on Bars in Spain, mortgages on Hotels in Spain, mortgages on Offices in Spain, mortgages on Restaurants in Spain, Motgages on Hostels in Spain and mortgages on Developments in Spain.
View a full list of items you will need to complete your Spanish mortgage by viewing our Spanish Mortgage Checklist.