Latest mortgage news in Spain
News Article Date: Tuesday 02nd of December 2008
The Spanish mortgage market is in a curious state right now. The Spanish mortgage market has always been a few years behind the more sophisticated and mature markets of the UK and US. In hindsight this has helped the Spanish banks somewhat, as they were far less exposed to the toxic assets coming out of the USA, and in terms of their domestic mortgages, the Loan to Value ratios are far lower, particularly in the non-resident, holiday home market. Generally, clients buying off-plan property have put in 20 or 30% deposits, and the most common mortgages available have been around 70%.
In recent years the lenders had started to introduce more 80% loans, and also more flexible interest only terms etc.
Since the credit crunch has taken hold though, the market has contracted significantly, and typical "best buy" Spanish mortgage terms and conditions are as follows;
Loan to Value
At the moment we can arrange 70% of valuation with 1 year of interest only, at a rate of Euribor +0.95%.
Long term interest only at 65% of purchase price, 1% opening commission and a rate of the quarterly Euribor +1.25%.
Contact us now for a personalised quote :- http://www.europamortgages.com/spanish-mortgage-enquiry.htm
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