Euribor

Does anyone know what the current 12 month Euribor ate is (or as at 11.09.2008). I am just checking to see if my Spanish lender has it correct and not trying to add a few percentage points.

How easy or not is to switch mortgages in Spain?

euribor data can be found at

http://www.euribor.org/html/content/euribor_data.html

cheers

andy

They tell me re- mortgaging is not easy in Spain, especially in this climate. You need to take into account all the fees, it is not as simple as in the UK. You have all the notary fees to pay again, set up fees and I believe you will also have to pay the stamp duty on the mortgage again. Don't forget any redemption penalitiesthat may be levied by your existing lender. Last year, some banks were offering fees paid re- mortgages, but I think most of them have now been withdrawn. If you post on the main forum, there are independent mortgage advisors that may be able to give you more info.

Mark

Hi neatrees,

Mark is right, re mortgaging is a costly exercise in Spain and fees can amount to 5-6%!!!  Another way of switching your mortgage is to subrogate to another lender (literally offer your mortgage to another lender) for better conditions. The fees involved in doing this are far, far less - as long as the mortgage amount and term remain the same, the objective is to have better mortgage conditions than your current lender can offer you. If you wanted to increase your mortgage amount then stamp duty is only payable on the increased amount.  To be applicable for this your monthly repayments should be without defaults and provable by providing the last 3 payment slips.   

 

Wow, I didn't know you could subrogate your own mortgage to another lender, tat is handy to know (but not for another 4 years!!)

Mark

Hi Mark,

This is a government subsidised facility, hence the reason the fees are much less. This is quite a regulated exercise as law dictates that the current lender has a timeframe of 7 days to equal or better the proposed new lenders conditions - it may therefore end up with you staying with your current lender after going through this exercise.

Hi all,

We have 3 properties with mortgages in Spain,one with Caja Sur which we are happy with as we pay Euribor + 1% for this.Unfortunately we have been unfairly sold 2 Mortgages with Caja Madrid both of which were developer mortgages.
We were promised Euribor + 0.75% for one and Euribor+ 0.9% for the other but in fact the solicitor signed the deeds for Euribor BOE ANOS + 0.75%  and Euribor BOE ANOS + 0.9% without noticing the difference. Therefore we are paying 6.11% and 6.25% instead of  5% and 5.15% respectively.This means we are paying significantly more for our 2  mortgages.
Caja Madrid calculates its mortgages using this method and will not tell you that you will be paying this extra amount,only that they offer a better deal on completion costs.
We recommend that any further persons completing do not use Caja Madrid  to mortgage there properties as they use sharp practices to entice customers who will then pay through the nose.
HIdden in the Spanish deeds is the calculation which you would only see on completion and cannot change at the last minute!
We will be complaining to the solicitor and the Spanish bank regulators about this disgracefull practice!