Equity Release in spain

With Equity Release you can:

  • Receive a tax efficient lump sum
  • Complement your pension
  • Remain living in your family home

Equity Release in Spain Explained

Equity release is generally designed for homeowners aged 65+ and involves a division of the ownership of the property rights into two separate elements to be held by a “usufruct holder” and a “bare owner.

In most cases, the bare ownership of the property will be sold for a percentage of the current market value of the home in exchange for an instant cash lump-sum or monthly payments and the retention of the usufruct.

Usufruct Holder

The usufruct holder has the right to use and enjoy the property, i.e., the right to use it and earn the income from it.

This means the right to live in it or to rent it out. The usufruct holder has no power to sell the property.

The maximum duration of usufruct generally corresponds to the usufruct holder’s lifetime – but options are available to set an agreed term (eg.10 years).

Bare Owner

A bare owner has the right of virtual ownership.

In other words, the bare owner of a property has no right to occupy it or rent it out.

However, when the usufruct holder dies (or the agreed term of the usufruct finishes), full ownership of the property is carried over to the bare owner.

Why Equity Release?

There are many reasons why our clients have chosen our equity release solutions. Here are a few of them:

  • Remain living in the family home and avoid having to downsize or move areas.
  • Alleviate financial stress and enjoy a more comfortable lifestyle in the retirement years.
  • Clear existing debt.
  • Gift to heirs early, therefore minimising inheritance taxes in the future.
  • Minimising the size of the estate which could be assessed by the Spanish government for a contribution to any long-term health care that may be required later.
  • Other personal, financial circumstances – with equity release, bad credit, debts and loans are not a deciding factor for eligibility, only the value of the property.
  • Non Lucrative Visa – in order for non-residents to be able to stay for periods of more than 90 days (180 annually) this visa is now required. Furthermore, many clients are freeing up capital from their homes to be able to prove their financial viability to the Spanish authorities.

Which Option is Best For You?

Firstly, we have developed Equity Release models to suit different scenarios. We work with you to provide tailormade solutions to suit your individual circumstances.

In order to do so, one of our friendly team will offer free advice and talk you through each of the options available before you decide how you would like to proceed.

Moreover, we can also talk to your family and/or financial advisor to clear up any issues regarding equity release.

To sum up, our services include bare ownership, annuity deals, sale and rent back, private loans and business loans.

Bare Ownership

Get A Lump Sum Payment


Get A Monthly Income

Sale and Leaseback

Become the tenant of your home

The equity release options we can offer individuals are calculated taking into account numerous factors, the most important of which are the market value of the property itself and the life expectancy of the homeowner(s), in accordance with the official tables of the Directorate General of Insurance and the National Institute of Statistics.

General Disclaimer: The results are not guaranteed and they may vary from person to person.

Contact Us

Speak to one of out friendly team – all estimates and proposals are free of charge.

(+34) 910 259 324

Phone number