Rachel crofts, www.scotsman.com

Lloyds TSB joined the race for a place in the sun today by launching a new service to help with property purchases in Spain.

The new service, Own Overseas, will provide mortgages and support to help buyers deal with local bureaucracy, and will ensure that everything goes smoothly and to plan, the bank said.

Annette Hawes, head of the new service, said: “Buying a home overseas is a very real and modern aspiration and Spain is certainly a favourite choice for Britons.

“Although exciting, it is a big commitment and, for many, a step into the unknown in dealing with local customs and laws.

“This service is not just about providing a mortgage. It’s far more than that – offering support, reassurance and expertise every step of the way to make sure that dream purchase remains exactly that.”

Own Overseas will be based in the UK and will offer mortgages on Spanish properties, in either pounds or euros, over a period of five to 25 years on a repayment or interest-only basis.

Mortgage payments will be taken from the customer’s UK bank account, avoiding the need for costly overseas money transfers.

In addition, Own Overseas will advise on the additional costs associated with buying a house in Spain, and will arrange the overseas transfer and the transactions needed to pay for the property.

The bank added that it will also help with the legal and administrative paperwork involved in the house purchase, an area perceived by many overseas buyers as complex and a potential “minefield”.