Non euro earners and Spanish loans

New mortgage regulation in Spain affects non resident borrowers

Since the new regulation was introduced in Spain for lending more and more Banks have removed themselves from offering their full portfolio of offerings to those not earning their income in Euros.

This is due to the requirement under legislation to allow someone to request if FX rates drop by more than 20% that their loan is moved to the currency of their earnings.

Spanish Banks cannot offer all currencies

Many lenders are not in a position to move Spanish non resident loans to certain currencies and do not have the systems or the inclination to deal with more volatile and less traded currencies such as the Dirham.

All lenders in general have removed the access to fixed rates for non euro earners as the currency for the loan has to be bought in for the long term and the cost of any move would be sizeable.

Use a loan broker to find a solution

Whilst it is now more difficult to find providers from non euro earnings at IMS we are still able to place applications and can achieve variable rates for most nationalities.

Read the full article :- Certain non EU earners struggle to get a loan in Spain