The spread is the value the bank adds to Euribor and corresponds to the the gain of the bank. The spread is variable and you should consult your financial institution to know the value applicable to your specific case.

Spread on a mortgage loan is equivalent to the percentage gained by banks with a given credit. The total interest rate of a bank loan consists of two major parts; the Euribor and the Spread, on top of the Euribor rate the Spread is added.

The cost is variable. One should ask the bank what is the applicable cost. All banks require a bank valuation of the property for the purpose of mortgage loans. A real estate appraiser will provide the bank the value of your property so that the bank takes it into account in the loan process. As a benchmark we indicate between 150 and 300 Euros.

The expected value of a bank evaluation for approval of bank credit is determined by a professional evaluator of properties which takes into account a number of parameters such as the market value per square meter m in this particular location, properties under equivalent conditions. Also will consider parameters such as gross area and dependent gross floor area, the footprint of the property, the total land area, year of construction, plus certain coefficients of quality and comfort such as the location, closed condominium, existence of garage, pool existence being it collective or individual, if there are elevators, the condition of the property, the existence or not of porches and balconies and other variables deemed important by the evaluator.

Yes You should ask to banking institutions which is the base spread value and what products could one get to lower the spread.

It is fixed as long as the contracted conditions remain intact.

No. The spread reflects the risk assessment of the credit requested, taking into account multiple variables such as per example the percentage of funding required for the value of the property, normally called Loan To Value (The loan-to-value (LTV) ratio is a financial term used by financial institutions to express the ratio of a loan to the value of an asset purchased) , the duration of the loan, the monthly income of the household and the stability of income, existence of other credits and heritage. Those who present a lower risk to the bank should benefit from a lower spread.

Banks can reduce the spread depending on certain items that will lower the risk to the bank and also providing the bank additional revenue sources. The domiciliation of salary, the clearance of payment of services (water, electricity, gas and telecommunications) and procurement of other banking products such as debit card, credit card and other financial products marketed by the bank such as mutual funds, retirement savings plans, will make the bank lower the spread of its bank loan.

Yes However in many cases the bank has in its group insurance companies and in this case may suggest you to make the insurance on these insurers indicating that it will be beneficial to lower the spread of your bank loan.

For review and approval of a housing loan there are personal and property documents that must be submitted: Personal documents are usually personal identification documents such as Citizen Card or identity card, passport for citizens of another nationality than Portuguese and identification card (s) of applicant (s); last IRS / Tax income statement and respective notice of settlement; and whenever it applies  an income Statement from the employer stating the employment relationship (s) of applicant (s), salary receipts or receipts green of services in case of an independent professional from the last 3 months and proof of household expenses (bank statements).

The documents concerning the property are the certificate content of the Land Registry ( Certidão de teor da conservatória do Registo Predial) , the building register ( Caderneta predial) , plant location, the floor plan and technical housing and habitation license. If you have already made a CPCV, preliminary contract of sale (sale agreement) should also submit this document. If you are requesting credit for construction then a budget must presented together with an approved construction project, specifications, description, building permit, and yet the CPCV, sale agreement contract if you are also acquire land for construction.