Meeting discount conditions2
From 1.30% NIR2 (1.50% APR5).
Arranging for your salary to be paid into your account and taking out Home Insurance through Openbank3.
The applicable interest rate varies depending on the term you choose.
Without meeting discount conditions2
From 1.70% NIR2 (1.70% APR5).
The applicable interest rate varies depending on the term you choose.
No valuation fees
We cover your mortgage valuation fees1. No arrangement, partial prepayment, subrogation or change in conditions fees.
Applicable full prepayment fee*.
Instant pre-approval and assistance from a personal mortgage advisor
Quickly and easily calculate your mortgage payment. You'll know right away if your mortgage is pre-approved4
You will be assigned a personal mortgage advisor who will assist you throughout the whole process until you purchase your home.
If your Open Fixed-Rate Mortgage is higher than €150,000, you might be eligible for 0.15% reduction on the interest rate (subject to meeting the following requirements):
- Provide supporting documentation within 10 days following submission of the application.
- Request through Openbank or submit the appraisal and land registry extract within 20 days following submission of the application.
Offer valid until 30 September 2021. Conditions apply*
|Applicable interest rate||
Up to 15 years
|Subject to discount conditions||1.30% NIR2 (1.50% APR5)||1.40% NIR2 (1.60% APR5)||1.45% NIR2 (1.64% APR5)||1.50% NIR2 (1.69% APR5)|
|Not subject to discount conditions||1.70% NIR2 (1.70% APR5)||1.80% NIR2 (1.80% APR5)||1.85% NIR2 (1.86% APR5)||1.90% NIR2 (1.91% APR5)|
*Applicable full prepayment fee:
2% of the remaining mortgage balance repaid early (full prepayment) during the first ten years of the mortgage term.
1.5% when the full prepayment is made after the first 10 years.
The amount charged for full prepayment will not exceed financial loss6.
Applying for your mortgage is simple
Calculate your mortgage repayments
Without meeting discount conditions or meeting discount conditions2 to improve your interest rate, if you arrange for your salary to be paid directly into your account or take out home insurance through Openbank3.
Find out instantly if it is pre-approved
Fast calculation. You will know right away if your mortgage has been pre-approved4 .
Your mortgage is approved!
We analyse your details and if everything is in order, we approve your mortgage.
Time to sign
You sign for the mortgage loan at a notary's office. It's now time to enjoy your new home!
Want to learn more about the Open Fixed-Rate Mortgage?
Who can apply for the fixed-rate mortgage?
Any person who is over 18 years old and a resident in Spain. The sum of the applicant's age and the term of the mortgage must not exceed 80 years. You can apply for it following a simple registration process and with no need to open an account.
What happens with the fees and charges?
No matter which option you choose, Variable, Mixed or Fixed:
Openbank covers the valuation fees for your mortgage.
That's it. Forget about valuation and land registry report fees.
In order for us to pay the valuation and land registry verification fees, you must have requested them through our us and take out the mortgage loan with Openbank. In this case, Openbank will return the corresponding amount, after signing, when the mortgage file is settled.
Please note that these fees refer to the signing of the mortgage loan agreement and under no circumstances to the home purchase process.
- arrangement fees.
- partial prepayment fees.
- subrogation fees.
- fees for amending conditions
Applicable fee for full prepayment:
- 2% of the remaining mortgage balance repaid early (full prepayment) during the first ten years of the mortgage term.
- 1.5% when the full prepayment is made after the first 10 years. The amount charged for full prepayment will not exceed financial loss.
If the Euribor goes up, will my mortgage payment go up?
With the Open Fixed-Rate Mortgage, you will pay the same amount every month, regardless of whether the Euribor goes up.
How is the application process?
It's quick and simple. You can apply on the website by filling out your information and uploading documents, etc. You'll also be assisted by a personal advisor throughout the whole process, making sure everything runs smoothly.
How many holders can the mortgage have?
Up to two holders per mortgage.
What is the minimum and maximum amount you can apply for?
You can apply for up to 80% for a primary residence and 70% for a second residence. This percentage will be applied to the lowest of the following amounts: valuation price or purchase price.
Is it cumpulsory to take out Home Insurance marketed by Openbank with my Open Mortgage?
Taking out Home Insurance with Openbank is not cumpulsory, but if you arrange for your salary to be paid directly into your account and take out a Home Insurance policy from Zurich Insurance plc3 and marketed by Open Bank, S.A, Linked Bancassurance Operator, making sure that all payments are up to date, you will pay less on your mortgage.
What is home insurance?
It is the insurance that covers the risks your home may suffer from, for example: secondary effects from electric short circuits, pipe breakages, miscellaneous failures, domestic accidents, accidents caused by weather, theft, etc. It also covers civil liability caused by damage or injuries to other people or their property, such as falling objects from windows or balconies, flooding on lower floors, etc.
With which insurer do you take out the Home Insurance marketed by Openbank?
Coverage and guarantees for this insurance are insured by Zurich Insurance PLC, Spanish Branch, whilst Open Bank S.A, Operador de Banca-Seguros Vinculado, with NIF (Tax ID Number) A28021079, acts as an insurance mediator through its distribution network. It is registered in the Directorate General of Insurance and Pension Funds with No. OV-0081 and has current agency contracts with Zurich Insurance plc, Spanish Branch and Zurich Vida, Compañía de Seguros y Reaseguros, S.A.
Civil liability and financial capacity covered under existing legislation.
What happens to my Discounted Open Mortgage if I cancel or do not renew my Home Insurance marketed by Openbank or cancel the direct deposit for my salary into Openbank?
The interest rate will vary. If you cancel the direct deposit for your salary, an additional margin of 0.30% is added to the discounted annual nominal interest rate; if you do not renew the Home Insurance marketed by Open Bank, S.A., Operador de Banca-Seguros Vinculado, or it is not up to date with payment, then 0.10% is added; and in the event you have not arranged for your salary to be paid directly into Openbank and have not taken out home insurance with us, 0.40% is added to the nominal interest. You can meet or fail to meet conditions throughout the term of the mortgage, and we will adapt the interest rate to what you decide at any time.
What is the difference between meeting or failing to meet discount conditions?
Meeting discount conditions improves your interest rate and helps you save on your monthly payment as you have set up a direct deposit for your salary or pension and you have insured your new house with the Home Insurance by Zurich Insurance plc3 and marketed by Openbank.
Failing to meet discount conditions means you do not need to set up a direct deposit for your salary or take out any insurance; however, in exchange, you will not be eligible for a discount on your mortgage. In other words, it is not cumpulsory to set up a direct deposit for your salary or take out the home insurance through us.
And if I already have a mortgage, how can I switch it to Openbank?
The first step will be to provide the necessary documentation. Your personal advisor will get in touch to let you know which documents are required to switch your mortgage to Openbank.
What's more, Openbank bears the administration, notary and registration fees arising from the cancellation of the current mortgage at another bank and the arrangement of the new mortgage if the product you are going to take out is the Open Fixed-rate Mortgage or Open Mixed-rate Mortgage. Plus, if you qualify, by arranging for your salary to be paid directly into your account, and by taking out Home Insurance marketed by Openbank, you will be eligible for a 0.40% discount on your mortgage rate. Openbank will not cover the possible cancellation fee applicable at your other bank7.
For mortgages that are at least 1 year old. The mortgage holder must have a minimum monthly income of €1,500 (1 holder) and €2,000 (2 holders).
1 Openbank will bear the valuation and land registry verification fees (land registry report) as long as they are requested through Openbank and the mortgage agreement is ultimately signed with the bank. These expenses will be paid by the customer in advance and will be refunded by Openbank, after signing, once the mortgage file settlement has been completed. The abovementioned expenses relate to the arrangement of the mortgage loan and under no circumstances to the home purchase transaction.
In addition, Openbank will issue a rebate of €230,70 for customers who provide a valid valuation by an appraisal firm accredited by the Bank of Spain, provided that the mortgage agreement with Openbank is signed before 31 December 2021 (included), the valuation has not been requested through Openbank and the loan is ultimately signed with the bank. This rebate will be equivalent to the valuation fees as if it had been requested through Openbank (€230.70 excluding VAT) and will be made, after signing, when the mortgage file settlement has been completed. See the terms and conditions of the promotion here.
2 Interest rates subject to the following discount conditions: (i) Primary home: a salary, pension or any other type of periodic state benefit must be paid directly into Openbank. Second home and/or self-employed: a salary, pension or any other type of periodic state benefit received by transfer must be set up with Openbank, or a deposit must be made from another bank into Openbank each month. For a single holder, the amount of any of the above items, both for a primary home and for a second home and/or self-employed, must be equal to or greater than €900 per month. If there are two or more holders, the minimum amount is €1,800 per month (ii) the property/properties subject to the mortgage must be insured with the Home Insurance marketed by Openbank, S.A., Linked Bancassurance Operator.
If you do not meet any of the above discount conditions, the applicable interest rate that arises from failure to comply will vary and will be the result of an additional margin of 0.30% being added to the discounted annual nominal interest if you do not meet the discount condition (i), 0.10% if you do not meet the discount condition (ii) and 0.40% if you do not meet either of the above conditions to be eligible for the discount. All holders must have their tax residence in Spain and be the holder of a current account in Openbank from which repayments of the mortgage loan will be made. No arrangement or maintenance fees. Mortgage subject to Openbank's approval.
3 Home Insurance provided by Zurich Insurance Plc, Spain Branch, marketed by Open Bank, S.A., Linked Bancassurance Operaror, with Tax ID Number (NIF) A-28021079, through its distribution network. Open Bank, S.A., Linked Bancassurance Operator is registered in the D.G.S.F.P. [Directorate General for Insurance and Pension Funds] Registry, with nº OV-0081 and has valid agency contracts with Zurich Insurance Plc, Spain Branch; and Zurich Vida, Compañía de Seguros y Reaseguros, S.A. Civil liability and financial capacity covered pursuant to the applicable law.
4 Pre-approval will be issued on the presumption of the accuracy of the information provided to date and will be subject to the subsequent performance of a comprehensive risk analysis by the Openbank risk department, once the necessary information and supporting documentation has been obtained. Accordingly, pre-approval is of an indicative nature and does not in any event constitute a Binding Offer nor a confirmation of granting the mortgage loan. Accordingly, Openbank shall not be liable for the final rejection of the mortgage loan or the terms of a subsequent Binding Offer other than those described depending on market conditions or having obtained additional information about their preferences and financial conditions; therefore, the applicant or any other recipient must take all necessary precautions before using the data contained in the pre-approval letter, which they use at their own risk.
5 The APR has been calculated for a representative example of a total mortgage loan of €150,000 over 15, 20, 25 and 30 years, to be repaid in 180, 240, 300 and 360 monthly payments, respectively, and under the assumption that the mortgage agreement shall be in effect for the agreed period of time and that Openbank and the applicant will fulfil their obligations under the conditions stipulated in the contract. Furthermore, the following has been considered for the calculation, to meet the discount conditions: (i) home insurance marketed by Openbank S.A, the Linked Bancassurance Operator, based on an estimated premium of €153.79 euros on a 100 m2 property located in Madrid, with a total value of €87,800.00 euros and a contents value of €22,000.00 euros (the premium for the first year was taken as a reference. Insurance premiums corresponding to the following annuities will be updated on an annual basis, as set forth in the individual terms of the applicable policy). Taking out the insurance is optional; however, policyholders will be eligible for more beneficial conditions.
This shall be a fixed-interest rate loan for the entire term of the loan for a 1st or 2nd house purchase. The interest rate will vary based on the term of the mortgage. The total payable amount indicated in the representative examples includes: capital, interest and insurance premium, the latter in order to meet discount conditions. The total cost indicated in the representative examples includes all expenses, including interest, fees, taxes, and any other type of expenses that you have to pay in relation to the loan contract and that are known to OPENBANK.
Representative example for a mortgage of €150,000 over 15 years:
There would be 180 monthly payments, the first 3 of which would be at 1.30% NIR: monthly payment of €917.67. If you do not meet discount conditions, the following fixed rate would apply to the remaining 177 payments: 1.70% NIR (1.70% APR), with monthly payments of €944.24, the total cost of €19,884.27 and the total amount payable of €169,884.27. If you do meet discount conditions, there would be 180 payments at the fixed rate: 1.30% NIR (1.50% APR), with monthly payments of €917.67, the total cost of €17,487.84 and the total amount payable of €167,487.84.
Representative example of a mortgage of €150,000 over 20 years:
There would be 240 monthly payments, the first 3 of which would be at 1.40% NIR: monthly payment of €716.94. If you do not meet discount conditions, the following fixed rate would apply to the remaining 237 payments: 1.80% NIR (1.80% APR), with monthly payments of €744.37, the total cost of €28,565.69 and the total amount payable of €178,565.69. If you do meet discount conditions, there would be 240 payments at the fixed rate: 1.40% NIR (1.60% APR), with monthly payments of €716.94, the total cost of €25,141.44 and the total amount payable of €175,141.44.
Representative example for a mortgage of €150,000 over 25 years:
There would be 300 monthly payments, the first 3 of which would be at 1.45% NIR: monthly payment of €596.39. If you do not meet discount conditions, the following fixed rate would apply to the remaining 297 payments: 1.85% NIR (1.86% APR), with monthly payments of €624.62, the total cost of €37,299.86 and the total amount payable of €187,299.86. If you do meet discount conditions, there would be 300 payments at the fixed rate: 1.45% NIR (1.64% APR), with monthly payments of €596.39, the total cost of €32,760.86 and the total amount payable of €182,760.86.
Representative example for a mortgage of €150,000 over 30 years:
There would be 360 monthly payments, the first 3 of which would be at 1.50% NIR: monthly payment of €517.68. If you do not meet discount conditions, the following fixed rate would apply to the remaining 357 payments: 1.90% NIR (1.91% APR), with monthly payments of €546.73, the total cost of €46,736.03 and the total amount payable of €196,736.03. If you do meet discount conditions, there would be 360 payments at the fixed rate: 1.50% NIR (1.69% APR), with monthly payments of €517.68, the total cost of €40,978.61 and the total amount payable of €190,978.61.
Interest rates offered for mortgage loans intended for house purchases.
French repayment system, whereby the loan principal and interest are repaid through regular scheduled monthly instalments, i.e. of the same amount, provided that the interest rate applicable during the settlement period does not change and no early repayments are made. Since interest accrues on the outstanding principal amount, as time passes the amount of the instalment used to repay the principal increases, while the interest payment portion will decrease, as the outstanding principal is reduced.
The following mathematical formula is used to determine the amount of each monthly payment:
P= (i x c) x (1-(1+i)-n)-1, where "p" is the monhtly payment, "i" the annual nominal interest rate divided by 12, "c" the outstanding principal of the mortgage loan and “n” the number of outstanding months of the repayment period.
We use this formula to calculate interest on outstanding capital: I= (i x c), where "I" is the interest, "i" is the annual nominal interest rate divided by 12 and "c" is the outstanding principal of the mortgage loan.
The amount repaid by customers is the monthly payment minus interest.
6 The financial loss suffered by OPENBANK, if any, shall be calculated, in proportion with the reimbursed capital, by a negative difference between the outstanding capital at the time of the early redemption and the present market value of the loan.
The present market value will be calculated as the sum of the current value of the outstanding fees up to the next interest rate review and the current value of the outstanding capital at the time of the review had it not been cancelled early. The update interest rate will be the market rate that applies to the remaining time period until the next review. The applicable index for calculating market value will be the Interest Rate Swap (IRS) at 2, 3, 4, 5, 7, 10, 15, 20, and 30 year periods that will be published by the Bank of Spain and which a spread will be added. This spread will be fixed as the existing difference, at the time the transaction is signed, between the transaction interest rate and the IRS at the next closest installment to that time, until the next interest rate review date or until its maturity date.
The reference interest rate of the above that is closest to the outstanding period of the loan term from the early termination until the next interest rate review date or until its maturity date shall be applied.
The amount will be paid to Openbank when the reimbursement is formalised.
If you decide to pay the loan off early, please contact us in order to determine the exact level of compensation at that time.
7 Openbank will bear the notary, administration and registration fees arising from the cancellation of your mortgage at the other bank provided that the new mortgage is signed at Openbank before 31 October 2021 (inclusive). Openbank will not cover the possible fee for cancelling your current mortgage, although it may be financed by Openbank.
*Percentage applicable to new Open Fixed-rate Mortgage applications for a main or second home, and applications to switch your mortgage to Openbank (at least 1 year old) submitted between 17 June 2021 and 30 September 2021 (both inclusive).
To be eligible for the reduced interest rate, the following conditions must be met:
- Customers must provide all documentation requested by Openbank to analyse the risk of the loan application within a maximum of 10 days following request. Provided this requirement is met, a reduction of 0.10 percentage points will be applied to the prevailing interest rate.
- Customers must request the appraisal and land registry extract through Openbank or provide a valid appraisal within 20 days following submission of the application. Provided this requirement is met, a reduction of 0.05 percentage points will be applied to the prevailing interest rate.