Key Details:
- Client: Non-EU national recently relocated to Spain
- Challenge: Financing a self-build residence using investment income rather than traditional employment income
- Build Costs: Circa €1 million
- Loan Type: Spain self-build mortgage
A non-EU national who had recently relocated to Spain approached Enness Global seeking finance for the construction of a new main residence. The client was semi-retired and derived the majority of their income from investments rather than conventional employment, requiring a lender capable of assessing their wider financial position alongside traditional affordability considerations.
The objective was to finance the construction project, including core building costs, architect fees and associated professional expenses. The structure also needed to accommodate staged drawdowns in line with construction progress and provide an appropriate repayment profile during the build period.
The transaction presented several complexities. The client's non-EU status and investment-based income reduced the number of lenders able to consider the application, while self-build financing requires careful coordination of valuations, construction stages and drawdown requirements. The client also required funding covering the full build costs, including professional fees, subject to lender criteria.
Enness Global introduced the client to a specialist lending partner experienced in cross-border Spanish mortgages and self-build financing. A facility was arranged to cover the build costs, including architect and professional fees, without an assets-under-management requirement. The mortgage incorporated an interest-only period during the initial two years, subject to lender terms, allowing the repayment structure to align with the construction phase.
Following completion of the build, the facility was structured to transition to a capital repayment mortgage, subject to lender criteria and the agreed terms.
This case demonstrates how specialist self-build mortgage solutions can support international clients in Spain where residency status, investment-based income and the requirements of a construction project may fall outside conventional lending criteria.
Regulatory Notice
Finance secured against property in Spain may fall outside UK FCA regulation. Regulatory protections available for UK-regulated mortgage products may not apply. Lending is subject to Spanish and applicable local requirements, as well as individual lender criteria.
Disclaimer
This case study is provided for illustrative purposes only and does not constitute financial, legal, tax, investment or currency advice. The client scenario has been anonymised and certain details have been generalised to protect confidentiality. Finance is subject to status, underwriting, valuation, asset suitability, jurisdiction and lender criteria. Loan amounts, loan-to-value ratios, lending structures and outcomes are indicative only and may vary depending on individual circumstances. Enness Global acts as a credit broker and not as a lender.
Risk Warning
Borrowing against property carries risk. Failure to meet repayment obligations may result in the property being repossessed. Where borrowing or income involves different currencies, exchange rate movements may affect affordability and the cost of servicing the loan.
Information contained in our case studies is for market and illustrative purposes only. In some cases, these may be made up of multiple cases and are for illustrative purposes only.
Some case studies are made up of enquiries that have come into the business, not all business completes, and the posting of a case study does not represent a completed piece of business.
Property values can fall as well as rise, and you may not get back the amount originally invested. Property investments can be illiquid and may take time to sell. Where borrowing is used, your property may be repossessed if you do not keep up repayments on a mortgage or other loan secured against it.
