Mortgage

Hi everyone

We are looking to get mortgage on our off plan property up to 80% of the purchase price. Can anyone recommend any bank who will lend us this amount?

Thanks

Hi Helia

We are in the same position, when we signed we expected to get 80% but now not so sure, might be 70%. For us this could mean a difference of aprroximately 20,000 Euros that we would have to find on completion, which could be the difference between going ahead or pulling out and losing our deposit.

Any information would be appreciated.

Alan

Hi Alan

We are exactly in the same situation. We don't know whether to pull out now or wait until completion. I have looked for few mortgage providers and it is possible to get 80% but we should find the right lender or a mortgage broker. apparently it only takes 3 to 4 weeks to get a mortgage from when people apply.

We need 20000 euros more now of what we anticipated. please be in touch if you hear anything.

regards

Helia

Hi everyone who are buying on phase two we all seem to be struggling to find the extra or pull out we are in the same boat so why dont we all get together as one and approach taray for help with the completion prices i.e a reduction would help everybody taray included, rather than lose sales i think he might help rather than have propertys sitting empty and having to sell them a lot cheaper. Has anyone had a valuation done on a proprty yet and did it meet the orignal price { i am intrested to find out what the propertys are worth now}. Any more ideas would be grateful.

                            Chris & Shirley

Hi Chris, Shirley & Helia

I can't see Taray reducing the prices or giving help on exchange rates but if you don't ask you don't get. We are over there for a few days from 23rd April so would be happy to put suggestions to someone at Taray. I will see if we can arrange an appointment beforehand.

Alan

Hi Alan, Chris and Shirley

We actually thought about this, talking to Taray. We believe we should do anything that we can in order to purchase our dream holiday so Alan could you please talk to Taray when you are out there. We certainly don't want to loose our property.

Thanks

Helia

If Taray has the good reputation with the banks as everybody indicated last year, then asking their advice as to which bank to approach for a mortgage sounds a good idea.

It could well be in the interest of everybody for Taray's bankers to grant a mortgage on the property so that everything continues to goaround and around.

Thanks Trevor and Jenny

That's a good idea too. Does anyone have the taray e-mail address. The one I am trying it keeps failing to send any messages.

Helia

hi everyone buying on phase 2 seems like  we are all in the same boat concerning the exchange rate and the final  price of our homes.i too would have to think about not completing and losing my deposit.It would b e nice to know the value of the properties today and if taray would meet us half way. Anything you can find out from Taray when your over in April ,Alan would be much appreciated lets hope they can see some way of helping its bette to take o lower price and sell than to have people pulling out and having property not sold and gettting nothing. 

We two are in the same postion as the rest of phase two buyers. If the exchange rate stays the same then we will have to lose our despoit on our dream home too.I am sure Taray do not want to lose all their buyers on this phase, so you never know they may be willing to help us and themselves as I am sure they do not want a wonderful development not sold and paid for in full.

Jane and Lee

We have also bought on Phase 2  (Quod)  and were told recently it would be ready in October, although our contract says Feb 2010.   We have paid 66,000 Euro so far and understand we would loose this if we couldn't complete.

I know the exchange rate isn't Taray's fault, but it would be nice to think they are sympathetic and would make some allowances in some way, as we are all in the same boat, and I am sure they do not want to loose a lot of  their buyers.

C & G

I find it strange and worrying that we are each told different completion date for phase2. Taray have told me June but burchelli was told October. Is this Spanishism  or Tarayism (is that a real word) again - June maybe July but add 3 months for delays give October but it really is June.

What is even more worrying is my solictor believes what Taray eventually tell him, I am continually telling him that Taray are the master of delays and lies. And for some reason Taray dont answer emails from my solicitor about the delays. Perhaps my solictor cant see the woods for the tarays.

I have been corresponding with Maria de Castro about Taray behaviour and a few interesting points have come out. As soon as Taray breach the contract in any way, the Bank Guarantee can be executed, Taray can not ask you to complete if they are in breach of contract and you have exercised your right with the bank guarantee. Also Taray's contract states if you cancel the fee is 25% of the total cost of the property but on one of Maria's comments that is against Spanish law. They should only charge 20% of the deposit. That figure is probably about only one third of the original amount - making cancelations a more attractive option.  

 Those that are thinking about canceling should maybe ask Maria about their options.

It will be a hard decision for many people to either pull out or struggle to complete and enjoy the Spanish lifestyle and hope for medium to long term improvement. There has been several comments from 'snagging experts' that Taray's properties have less issues than many builders and any snaggs are repaired very quickly ( perhaps those on phase1 can verify that?)  When completed, San Cayetano will be a desirable place to stay but phase2 is not going to be finished for several years yet. I dont expect Taray to be too sympathetic - if they honour the contract they will expect you too and pay on time.

June / October plus LFO may seem months away but it will soon come round.

Yes when we were last over in January Taray advised us that it would be ready to complete in October but Parador have advised that it will be ready be contract date ie June.  However I will not be completing until the ILo is granted so if that goes in the same time scale as phase 1 then should be about 9 months after Taray  have completed.  However would be very interested if Taray were able to offer any help re the price and completing we need to borrow 80% or don't know what we will do.  We have also lost out on the supply of electrical goods with Parador so it is just more expense and more.  Does anyone have mortgage in place and what % rates are on offer.  Money corp think that the euro will soon weaken so may pick back up to 1.25 by end of year.  Fingures crossed along with everything else.

Nikki

Hi,

       We have a mortgage with Banco Halifax Espania in Los Alcazares. It's good as we also have a bank account in the UK with the Halifax and transfer money between accounts free of charge. Not sure of the rate at the moment but all l I know is the monthly payment has been coming down and down over the past 6 months in line with the Eurobar rates.

Although the exchange rate is bad at the moment it's offset a little by the lower interest rates. I think the maximum you will get though is 70% from them.

Best regards Sicknote

Hi All,

60% lower of purchase price or valuation - for Halifax Hispania.

There are still a couple of lenders offering 70% but rates are not great.

Hi

Taray have mortgage arrangements already set up with banco de valencia.  I was told, by my solicitor, that taking this mortage will save me over 3000e in 'search' and other legal fees.  I haven't yet looked into the details of the mortgage and how it compares wth other lenders; but if you're struggling to find a lender willing to offer you a deal, this is at least an option.

On the exchange rate issue, I really can't see Taray moving at all.  Power to the people and all that, but we all signed up to the price in Euros.  Taray may be concerned if people drop out, but they've already got your 40% up front: that'll cover a large proportion of their costs I guess. I can't see it happening, but good luck in your quest!

mick. (manazana 8)

Thanks everyone

Please share as much info as you can. we just feel so powerless at the moment and any help would be much appreciated.

regrads

Helia

Hi Helia,

if you have come through Parador, contact Graham Martindale and he can arrange for Banco de Valencia to send you the mortgage details.  Otherwise I would ask your solicitor to contact Taray or you can e mail Banco de Valencia at

oficina1417@bancodevalencia.es

Like I say, I haven't read the papers yet so don't know how this deal compares.  My solicitor did say though that the original estimates of costs (purchase price plus 10% for legal fees and tax etc) does not include any mortgage arrangement fees.  The mortgage arranged by Taray carries no additional charges (as far as I am aware).

Good luck.

Mick and Chris

hi tthere

we have just completed on phase one and we were not forced to sign until the lfo was in place which was a year from our original completion date.

we got a mortage with bank inter of 80% but our solicitor said to us that as far as he is aware the banks in spain are now only pepared to go to 60% and even then it is very difficult to get approval.

we had to pull out of a bunglow we had a deposit on in phase one and we lost 35K we did get 5 back but despite maria de castro etc saying toray were in breech of contract etc when push comes to shove its a very expensive legal route you have to go down with no assurances of sucess i know a lot of people pulled out of phase 1 and lost their money, i dont know of anybody who got theirs back i would love to hear from somebody who did.

hope this helps

finn

Hi Finn,

When did you get your mortgage approval?   BankInter now offer 60% lower purchase price / valuation.   there is a lender offering 65% lower of PP / Val and it is a good product, rate wise too.  As I said previously there are a few lenders offering 70% but rate wise not very competative.