Looking for a Mortgage
Posted: Sat Jun 15, 2019 4:06 pmNo, I'm not looking for one but a new law in Spain may affect the way those looking to buy a property in Spain could be affected.
The new law covers the way contracts are laid out, penalties on both sides and so on but the main point is that if you apply for a mortgage, you will need to make two appointments with a notary.
At the first appointment, the notary must be satisfied that the mortgage conditions are clear and the client taking out the mortgage is fully aware of the way it works and what penalties may either be charged or claimed such as early payment penalties, late payments and so on.
Once that is done, the person taking out the mortgage must take all the details and will have 10 days in which to study it, consult a solicitor or whatever and decide if they wish to continue with the mortgage.
After that 10 days, the person taking out the mortgage must once again have an appointment with a notary and sign to say they are fully aware of the implications. The mortgage can then go ahead.
I believe this new law takes effect from 1st July so just arranging a mortgage with a bank and doing the may now take longer than previously. Not sure if the mortgager can use a solicitor as power of attorney but it doesn't look like it as the notary must be satisfied the buyer is fully aware of the details. This could mean having to spend a couple of weeks here to get it all arranged.
What is good is that it lays down what the bank providing the mortgage must pay for and this includes the gestor fees, the notary fees and the registration fees (previously paid for by the mortgager).
Those taking out a mortgage will be responsible for the valuation fee and the opening or arrangement fee
You can read more about it here
Spanish Mortgages
The new law covers the way contracts are laid out, penalties on both sides and so on but the main point is that if you apply for a mortgage, you will need to make two appointments with a notary.
At the first appointment, the notary must be satisfied that the mortgage conditions are clear and the client taking out the mortgage is fully aware of the way it works and what penalties may either be charged or claimed such as early payment penalties, late payments and so on.
Once that is done, the person taking out the mortgage must take all the details and will have 10 days in which to study it, consult a solicitor or whatever and decide if they wish to continue with the mortgage.
After that 10 days, the person taking out the mortgage must once again have an appointment with a notary and sign to say they are fully aware of the implications. The mortgage can then go ahead.
I believe this new law takes effect from 1st July so just arranging a mortgage with a bank and doing the may now take longer than previously. Not sure if the mortgager can use a solicitor as power of attorney but it doesn't look like it as the notary must be satisfied the buyer is fully aware of the details. This could mean having to spend a couple of weeks here to get it all arranged.
What is good is that it lays down what the bank providing the mortgage must pay for and this includes the gestor fees, the notary fees and the registration fees (previously paid for by the mortgager).
Those taking out a mortgage will be responsible for the valuation fee and the opening or arrangement fee
You can read more about it here
Spanish Mortgages
