Cancellation of the mortgage on your home in Spain

13.11.2022

Do you have a mortgage on your property in Spain? Here we would like to briefly explain the steps you need to take to formally cancel a mortgage loan once it has been paid off in full.

After the debt with the bank has been paid off, this burden should no longer be on your home, because this could jeopardize your interests in the future, such as when you sell your home.

The economic cancellation of the loan is not equivalent to the automatic cancellation of the mortgage on your home and therefore also not to the cancellation of this charge from the property register.

Take the following steps to cancel your Spanish mortgage at the registry:
1º.- You must contact the bank-creditor who granted you the loan so that they, through their representatives, go to the notary's office to have the deed of cancellation of the mortgage executed.

2º.- Once this deed has been executed, it must be submitted to the relevant Settlement Office, with exemption from Stamp Duty, within a period of thirty days from its execution.

3º.- After the liquidation, it must be submitted to the property register of the municipality where the house is located, so that the mortgage can be canceled.

These formalities must NOT be carried out by the bank, but by yourself in such a way that the house is free of charges. The costs arising from the cancellation are also for your account.