Save money on your property purchase or sale in La Cala de Mijas.
At Bona Fide Costa (Real Estate Mijas), our main goal is to streamline and optimize the process of buying or selling properties in La Cala de Mijas.
We understand how important it is for our clients, many of whom are from the UK and other parts of Europe, to manage their investments efficiently, especially when it comes to exchanging Pounds to Euros on the Costa del Sol.
That’s why we collaborate with one of the most reputable companies, LumonPay, a trusted partner that offers much more than just a currency exchange service. Thanks to this collaboration, they will help you securely transfer money across borders while providing advice on local processes and regulations, so you don’t have to worry about the details.
Step 1:
Register for an account with us. It’s quick, secure and free. Do this online or speak to a currency specialist.
Step 2:
Purchase your currency at a bank beating exchange rate with no hidden fees.
Step 3:
Send us the funds for your currency purchase.
Step 4:
Let us know who and where you’d like your payment to go to.
Paso 5:
We’ll take care of the rest! We’ll transfer your money to the right account, at the right time so you can rest easy.
Advantages you’ll enjoy by registering with us
By registering through Real Estate Mijas, you will benefit from exclusive advantages and personalized advice in the following:
- If you’re buying a property: You’ll save on your Pound to Euro transfers by securing a competitive exchange rate, allowing you to purchase a home on the Costa del Sol more profitably using Pounds.
- If you’re selling a property: We will help you repatriate your money or transfer the funds you need, maximizing the value of your investment.
- Payment of living expenses abroad: If you reside or plan to reside in Spain, LumonPay makes it easy and hassle-free to pay your regular expenses.
- Payment for international goods and services: Whether you’re purchasing furniture, hiring services, or managing cross-border payments, you’ll have access to a fast and efficient service with the best exchange rates.
How to Buy a Property on the Costa del Sol: Steps to Follow
When buying a property on the Costa del Sol or elsewhere, choosing the right financing method is crucial and will depend on your individual circumstances.
Below, we provide an overview of the most common ways to finance a property purchase on the Costa del Sol to help you decide which option best suits your needs.
Buying with cash
Buying a property on the Costa del Sol with cash eliminates the need for loans. This can give you a competitive advantage over other buyers, especially if the seller is looking to close the sale quickly.
Additionally, you may be able to negotiate a more favorable purchase price. However, when buying with cash, it is crucial to secure a good exchange rate before transferring large sums abroad in order to optimize your budget.
| Advantages: | · Saves time and money by avoiding loans · More attractive to the seller due to the quick availability of funds
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| Disadvantages: | · You must secure a good exchange rate for large transfers |
Mortgage through a UK Bank
Another option is to arrange a mortgage for the overseas property with your bank in the UK, as long as they offer services in the country where you plan to buy.
This option has several advantages: you can manage the mortgage in your own language and avoid translation issues, saving on associated costs. Additionally, a UK bank already has access to your credit history, which can speed up the process and improve your chances of approval.
| Advantages: | · Manage your mortgage in your own language · Faster process if done with your current bank |
| Disadvantages: | · It may be a slow process due to the country’s bureaucracy. |
Home Equity Release
If you already own a property, you might consider releasing some of the accumulated equity by refinancing it.
By doing so, you can obtain a lump sum of cash that can be used to finance your purchase abroad. It’s important to remember that by refinancing your home, monthly payments could increase, and you may face early repayment penalties depending on the type of mortgage.
However, you might also gain access to better interest rates on your new loan, and the process could be easier if you manage it with your current lender.
| Advantages: | · Access to a potential improvement in your current interest rate |
| Disadvantages: | · Increase in monthly payments depending on your mortgage contract |
Mortgage with a Foreign Lender
It is also possible to obtain a mortgage with a bank in Spain or through a specialized broker. These lenders often have a better understanding of the local market and may offer more competitive interest rates.
However, as a foreign buyer, securing a mortgage may be more challenging.
Additionally, keep in mind that when making payments in a foreign currency, you will be subject to exchange rate fluctuations, which can affect the final cost of your monthly payments.
| Advantages: | · With the right broker, you can access very good interest rates. |
| Disadvantages: | · Exchange rate fluctuations if not signed quickly |
Helpful Tips for Buying Property on the Costa del Sol in 2024
Purchasing a property in another country can be an excellent opportunity, whether for investment, as a holiday home, or for a potential future move.
However, this process comes with specific challenges that require careful planning and well-informed decisions.
Here are some of our top tips for buying property abroad:
- Learn about local laws: Research the property regulations, taxes, and laws of the country. Hire a local lawyer to ensure you comply with legislation and protect your investment.
- Consider the exchange rate: Fluctuations in exchange rates can affect the total cost. It is advisable to work with a currency specialist to secure better rates and manage fees.
- Account for additional costs: Beyond the purchase price, include extra expenses in your budget, such as taxes, legal fees, and ongoing property maintenance.
- Research the real estate market: Analyze local market trends and work with a trusted agent to help you make an informed decision.
- Visit the property: It’s essential to visit in person to evaluate both the property and its surroundings, ensuring it meets your expectations.