Gran Canaria property: debt-free home in Germany kept, €896,000 for San Agustín
A couple from near Cologne did not want to move their centre of life entirely to Spain. Instead, both planned to spend around seven months a year on Gran Canaria and the rest of the time in Germany.
Why do buyers keep their debt-free home in Germany and finance San Agustín separately?
Many buyers keep their property for family or personal reasons and finance the purchase in Spain independently of it. In this case all work was completed directly after the purchase, so later additional financing was avoided. We arrange the financing and approach 30+ banks per case. The first call is free.
Key figures: €1,280,000 price, €896,000 loan, €688,400 equity
- Purchase price: 1,280,000 €
- Financing required: 896,000 €
- Equity: 688,400 €
Anonymised case figure · not a binding statement for other projects · §34i GewO
Two centres of life can be a good decision
After numerous viewings they chose a modern villa in San Agustín. Decisive were the quiet residential setting, the proximity to the sea and the excellent links to Maspalomas and Las Palmas.
The home in Germany was to remain deliberately in family ownership.
The German house stays, the villa comes on top: The buyer owned an engineering firm; his wife worked as a dentist. Both had stable incomes and a debt-free detached house in Germany.
Because the house was not to be sold, the financing of the property on Gran Canaria had to be sustainable entirely from existing own funds and current income.
€1,584,400 total, €138,000 for pool, solar and garden
The total investment was 1,584,400 €, including 138,000 € for pool, photovoltaics, air conditioning and outdoor areas, with 688,400 € of equity and 896,000 € of financing required.
Purchase price: 1,280,000 €; Additional costs: 166,400 €; Renovation (pool, photovoltaics, air conditioning and outdoor areas): 138,000 €; Total investment: 1,584,400 €; Equity: 688,400 €; Financing required: 896,000 €.
The financing share corresponded to around 70 % of the purchase price.
Renew pool, air conditioning and garden, keep reserves: The villa was built to a high standard, yet the buyers planned various improvements.
The existing pool was to be modernised, a photovoltaic system installed, the complete air conditioning renewed and the garden redesigned.
At the same time, the buyers wanted to keep enough financial reserves, even though a debt-free property in Germany already existed.
The maths for the years after working life
Before the purchase, all planned investments were calculated in detail and considered together with the purchase price and additional costs.
In addition, the long-term household budget was drawn up. A particular question was how the financing would develop after the gradual withdrawal from working life.
The buyers deliberately chose against selling their German property, as it was to continue to be used by the family.
70% loan-to-value, costs and works from own funds
The financing was set at around 70 % of the purchase price.
The additional costs and a considerable share of equity were paid from existing funds.
All modernisation measures were also fully included in the overall plan. This meant the work could be completed directly after the transfer of ownership.
Winters on Gran Canaria, summers at the German house: Today the couple uses both properties in line with their life plan. While the winter months are spent mainly on Gran Canaria, the house in Germany remains the centre for family celebrations and longer summer stays.
Thanks to the early modernisation, the villa already meets the requirements of a permanent residence.
Two home bases can be financed for the long term
Buying a property abroad does not necessarily mean giving up the previous home. Many buyers deliberately choose two centres of life and align their financing accordingly for the long term.
Villa in San Agustín: financing two permanent homes at once: Buying a villa in San Agustín shows that property financing should always fit personal life planning. Anyone who wants to use two residences permanently should reconcile purchase price, modernisation, equity and long-term financial security early on.
Similar cases by region and price band: Cases with a comparable region and price band — for context, not a promise of the same outcome.
Apartment in Playa del Inglés — case report: Anonymised case from Gran Canaria: apartment in Playa del Inglés. Mortgage financing for non-residents.
Frequently asked questions
Is sufficient liquidity important despite a high equity ratio?
Yes. Financial reserves create security and make it possible to respond flexibly to future changes.
Which improvements did the buyers plan for the villa in San Agustín?
The existing pool was to be modernised, a photovoltaic system installed, the complete air conditioning renewed and the garden redesigned. The work could be completed directly after the transfer of ownership.
How did the financing for the villa in San Agustín take retirement into account?
The long-term household budget was drawn up before the purchase. A particular question was how the financing would develop after the gradual withdrawal from working life.
A similar situation in Spain? Let's talk.
Every financing in Spain is an individual case. In a free initial consultation we will tell you honestly what is feasible and which bank fits.
Anonymised individual case, not a binding statement for other projects · Brokerage under the §34i GewO licence held by Olga Nikushkina (D-W-132-ZUCB-95); Siegfried Perini registered as directly involved person (§11a GewO) · no tax or legal advice · no financing commitment; conditions depend on creditworthiness, loan-to-value and bank
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Content by Siegfried Perini — local brand representative since 2019, active in real estate since 1992, entered in the German intermediary register (§ 11a GewO) as a person directly involved in brokerage and advice. Point of contact for German-speaking buyers in Spain and Portugal. Brokerage by Olga Nikushkina, mortgage credit intermediary under § 34i German Trade Regulation (GewO); in Portugal through a locally licensed intermediary.