The UK verses Spanish mortgage is one we have been dicussing lately too. Unfortunately I think it is too early to make a decision. I think the Euro mortgage will prove the best option for us for two reasons. Firstly I think the Euro rate will be the more competative over the longer term, secondly the rate of exchange is against the Sterling mortgage, unless you intend to get significant rental income from UK people that pay in Pounds Sterling..
I fear the Pound Euro rate will force us to suplement the cost by renting to the Euro market (something we did not want to do). In short with the current exchange rate of 1.18 to the pound it does not make sense to send Stirling out to Spain at the moment. Who knows what will happen in the next couple of months.
Those are our thoughts, would be interested to know what everyone else is thinking of doing.
Regds
Nigel
www.arcos.me.uk