How much can be raised?
As a rule up to 50 % of the bank valuation (in Spain the tasación) — not the ratio that applies on a purchase. On an existing property no price confirms the value, hence the larger margin.
Capital release · across borders
Spanish property equity release: can the capital fund a purchase in another euro country?
The debt-free property sits in Spain, Portugal, Germany, France, Italy or another euro-area country — the purchase is in a different one. The security stays where it is — the capital may travel. From around €500,000 of loan.
Can I release capital from a mortgage-free Spanish property and use it in another euro country?
Yes. The security is a debt-free property in Spain, Portugal, Germany, France, Italy or another euro-area country, and the capital may go into a property project in another euro country — in several of them, not in every one; which ones is clarified in the call. That removes the condition on which the classic Spanish capital release usually fails: there the money has to stay in Spain. The rest of the frame is unchanged. As a rule up to 50 per cent of the tasación is possible — not the ratio that applies on a purchase, because on an existing property no price confirms the value. The property must be free of charges, or the residual balance is redeemed as part of the new financing; the 50 per cent is then calculated on the unencumbered property. The capital-release loan should be at least around €500,000, and processing takes from a few days to several weeks.
In short
Equity release on a debt-free property — up to 50 % of the valuation
Where may the capital go?
Into a property project in another euro country. The security sits in Spain, Portugal, Germany, France, Italy or another euro-area country; the project being financed does not have to sit in the same country. It works in a number of euro-area countries, not in every one — which ones is clarified in the call.
What must the property bring?
It must be free of charges — or the residual balance is redeemed as part of the new financing. The capital-release loan starts at around €500,000.
The difference from capital release inside Spain
Releasing capital through a Spanish bank exists — it is narrow, but it exists. Its hard limit is not the amount, it is the place: the use has to be in Spain and has to be evidenced, and the funds may not leave the country. Anyone who wants to buy in another country fails on that condition, not on the valuation.
The route on this page lifts exactly that condition. What is charged is a debt-free property in Spain, Portugal, Germany, France, Italy or another euro-area country, within the same frame: as a rule up to 50 % of the valuation. The capital released may fund a property project in another euro country. That holds for a number of euro-area countries, not for every one — which ones is clarified in the call. The minimum is higher on this route: around €500,000 instead of around €300,000. Everything else — valuation, land registry, underwriting — runs as it does on any other mortgage.
For comparison, to show how narrow the Spanish route is: of 15 to 20 lenders approached there, two will lend against a non-resident's debt-free property. A no is therefore nearly always a statement about the house saying it, not about your case.
What the property and you have to bring
Free of charges — or the balance is redeemed
The 50 per cent is calculated on the unencumbered property. A small residual balance is no obstacle: it is redeemed as part of the new financing and only reduces the capital released.
From around €500,000
That is the loan, not the property value. If the use stays in Spain, capital release starts at around €300,000; if the capital goes into another euro country, it is around €500,000.
A parent's property works too
A third party's property can be charged. The owner on the title takes out the loan; anyone named as a borrower needs at least 10 per cent of the title on the relevant property.
Repaid by 75
With two borrowers the younger one's age counts. A partner ten years younger adds ten years of term and lowers the instalment accordingly.
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Monthly instalment, total cost and the equity needed for your own figures.
What this is not
- The classic German route. A debt-free German property goes up to 80 % of the lending value, without a tied purpose — a different product from the structure on this page. The two can be combined.
- Capital privado. Anyone promising money against your property within 72 hours is private capital, and it costs a multiple. We arrange private lenders from €500,000 — and only once the bank route has been tested.
- Selling. The usual route costs tax, commission and the appreciation you would otherwise have kept. Releasing capital leaves the property exactly where it is.
- A commitment. Whether the chain holds is decided case by case — valuation, credit standing and both financings together.
Frequently asked questions
I own a mortgage-free property in Spain and want to buy in another euro country. Does that work?
Yes — that is the point of this structure. The security is a debt-free property in Spain, Portugal, Germany, France, Italy or another euro-area country; the capital released may go into a property project in another euro country. It works in a number of euro-area countries, not in every one — which ones is clarified in the call. The rest of the frame is the same as on any capital release: as a rule up to 50 per cent of the valuation, the property debt-free or the residual balance redeemed as part of the new financing. On this route the loan starts at around €500,000.
How is this different from capital release inside Spain?
Only in where the money may go. On the classic route through a Spanish bank the use has to be in Spain and has to be evidenced — the funds may not leave the country. Here the capital may go into another euro country — into a number of them, not into every one; which ones is clarified in the call. Loan-to-value and the free-of-charges condition are identical, the minimum amount is not: around €500,000 instead of around €300,000.
Does it also work with a property outside Spain?
Yes. The security can sit in Spain, Portugal, Germany, France, Italy or another euro-area country — it works in several of them, not in every one; which ones is clarified in the call. Spain and Portugal are treated alike across these special structures in any case.
Why 50 per cent and not 70 % as on a purchase?
On a purchase a price confirms the value — somebody is paying it right now. On an existing property there is only a valuation, so the safety margin is larger.
My property is not fully paid off. Does that rule it out?
No. Either it is free of charges, or the residual balance is redeemed as part of the new financing. The 50 per cent is then calculated on the unencumbered property — the smaller the residual balance, the more of the released capital remains.
Can my parents' property serve as the security?
Yes. A third party's property can secure the loan. The owner on the title takes out the loan and is liable with their property for their share; in practice this usually results in several separate loans. Anyone named as a borrower needs to hold at least 10 per cent of the title on the relevant property.
Is there a minimum, and how long does it take?
The capital-release loan should be at least around €500,000 — more than on the route where the money stays in Spain, which starts at around €300,000. Processing takes from a few days to several weeks depending on the case. The age rule applies here too: repaid by age 75 — with two borrowers, the younger one's age counts.
What if the security is in Germany?
Then there are two routes, and they belong to different lenders. The classic one: a debt-free German property can be charged up to 80 per cent of the lending value, without a tied purpose. Or it is the security on the route described here, when the capital goes into another euro country — then as a rule up to 50 per cent of the valuation, from around €500,000. The two can also be combined.
The security is in one country, the purchase in another
Send us the key figures of the mortgage-free property and of the planned project. We will tell you whether the chain holds — before you file an application anywhere.
Discuss the caseRelated: capital release used inside Spain · all structures