Malcolm

We are buying a duplex on Phase 2 of Al Andalus Thalassa and intend to raise a mortgage for approx 60% of the purchase price based on an interest only payment with full repayment in 3 to 5years. To date we have been given a rate of Euribor + 2% can anyone provide details of a better deal ?

One more thing. AVOID INTERMEDIARIES. GO DIRECTLY TO THE BANK.

Reputable intermediaries can save you money by negotiating the rate down as well as ensuring attached policies are not enforced.

Not all banks are reputable and people walking in off the street will automatically be offered the higher more lucrative deals.

I only know as it happened to me!

Hi there! I TOTALLY agree with Rixxy.  Find yourself a good mortgage advisor! We can be of great help. In my personal opinion there is no need for the broker to charge the client any fee either as banks already pay good commissions. However I totally respect those brokers who do...

A 60% mortgage enables you to have very low & competitive rates. Banks favour these mortgages as the risk here is much lower for them. Euribor +2 is a horredous rate! It depends on what you are looking for, but for borrowing this percentage you can have a rate as low as Euribor + 0.68 for a non resident mortgage.

Also watch arrangement fees... A standard arrangement fee is 1%. No more should be charged.

marta@easy2loan.com

Although a lower LTV can dictate more favourable conditions, I think the product Malcolm was talking about (correct me if I am wrong!) is a FULL term interest Only and on a Self Cert basis.   This is an expensive mortgage e.g. arrangment fee and interest rate (but not E +2!) but very popular as there is no need to prove income. Hence the higher conditions.   

Rgds

Sharon

sharon@tmasspain.com

Hello Sharon! Sorry it was late last night & being new to the forum it's difficult to catch up with all the comments ...had no idea that they were talling about a self.cert. Yes that mortgage does exist but definately not at Euribor +2!! Euribor +1.75 is more like it. But I do you agree with you in that it is very popular. It makes me very happy to see that banks in Spain are slowly beginning to change & offer more innovative products! It is easier to work this way... Marta xx

marta@easy2loan.com