How to Get a Mortgage in Aruba: Step-by-Step Guide
A practical guide to requirements, lenders, documents, costs, and timelines to finance property on the island.
Overview
Aruba’s mortgage market is competitive, reliable, and accessible to residents and non-residents alike. The process becomes straightforward when you understand the expectations: down payment, documentation, affordability, and the legal steps from purchase agreement to transfer at the notary.
1) Mortgage Basics in Aruba
Banks will assess your debt-to-income ratio, verify employment and income stability, and require a property appraisal. Non-residents often encounter lower LTV caps and higher down payment requirements.
- Typical down payment: 20%–40% (by residency/profile)
- Interest rates: global rates + local policy
- Common terms: 15–30 years
- Collateral: property and insurance coverage
2) Required Documents
Provide a clean, complete package to accelerate approval.
- Identification and residency status
- Payslips and employment letter / audited income (self-employed)
- Bank statements and asset/liability overview
- Credit information (local or international)
- Purchase agreement and property information
- Independent appraisal and insurance evidence
3) Getting Pre-Approved
Pre-approval helps define your budget and strengthens any offer. Provide income and asset proofs and request a bank letter indicating maximum loan amount and indicative rate/term.
4) Choosing a Lender
Compare beyond the headline rate. Look closely at fees, prepayment rules, required insurances, and foreign currency handling if you earn outside Aruba.
Compare
- Rate type and adjustment schedule
- Origination and admin fees
- Early repayment conditions
- Insurance and currency requirements
Evaluate
- Total cost over the full term
- Flexibility for extra payments
- Service quality and turnaround
- Digital process vs branch-only
5) Costs & Timelines
Plan for one-time closing costs (notary, transfer taxes, appraisal) and recurring costs (insurance, property taxes, HOA where applicable). With a complete file, approval often takes 2–6 weeks.
6) From Offer to Ownership
- Offer accepted and purchase agreement signed
- Bank final approval and conditions fulfilled
- Notary due diligence and deed preparation
- Funds disbursed, deed signed, and registered
Tips for Non-Residents
- Provide well-translated, apostilled documents if issued abroad
- Expect higher down payment and conservative affordability checks
- Use a local notary experienced with cross-border transactions
Summary
With a clear plan, complete documentation, and the right lender fit, obtaining a mortgage in Aruba can be smooth and predictable. Start with pre-approval, compare offers carefully, and partner with a reputable notary to reach the finish line with confidence.
Frequently Asked Questions
Can foreigners get a mortgage in Aruba?
Yes. Many local banks offer mortgages to non-residents and expats, subject to enhanced documentation and stricter loan-to-value ratios.
What down payment is typical in Aruba?
A 20%–40% down payment is common, depending on your residency status, income, and the property type.
How long does mortgage approval take?
Pre-approval can be issued within a few days. Full approval typically takes 2–6 weeks, assuming all documents are complete.
What documents will I need?
Expect to provide identification, proof of income, bank statements, credit information, property details, purchase agreement, appraisal, and insurance evidence.
Do I need a notary in Aruba?
Yes. Property transfers in Aruba are formalized by a civil-law notary who prepares the deed, performs title due diligence, and registers the transfer.
Can I finance land only, or must it be a built property?
Some lenders finance land-only purchases, but terms and LTV can be more conservative than for completed residential properties. Confirm product availability with your bank.