Mortgage advice for a 36yr old, never had one before man,,,and a bit of other .....

hI ALL,  this website has really helped me, and reading your articles and gaining advice from everyone is making my move to Spain easier.  So thanks.  Last night i listened to the interview with Patrick Robinson, ( mortgage advisor), there was so much info there i didnt know existed, and if anyone has reservations of any kind regarding a mortgage, check it out.  So thanks Eye on spain. Ok... to my poin, im 36, and moving to spain with my girlfriend, I do not have  a healthy credit history in the UK, from 10 years ago, ( but it has affected me and i have never had a mortgage), so as you can imagine i have paid a lot out in rent.  I have never thought about a mortgage, "  thats what together people do", although, after listening to PR  last night, perhaps there is hope for me, after all,!!     maybe indeed i can actually own a set of door keys, which im sure would surprise my Dad, ..The UK is funny place reeally, you make a few mistakes, financially, when your young, and the system seems to never forgive you...Im a good payer, rent always comes first, so mt priorities are in order, i have an income certainly enough to pay a mortgage.   Im moving to  a flat ( july) in Marbella, Laz Terreraz, Marina, ( if anyone knows it)  im moving there in July, paying EUR 850 a month, is that a good deal anyone????
first though me and the girlfriend are moving to Elviria, nice apartment , 2 bed, EUR 850, ok price i think,....
If anyone has any advice on a first time mortgage, please shout, ( i have been reading other articles), also we need a good second hand car!  max £ 50.00, as long as it has a seat im ok, she can sit on the roof!
no, ummm, about max  EUR 5000.... well i guess thats it from me,...also if anyone knows of a good standard Spanish  language school, which doesnt charge over the earth please advise, also i have heard that the local council has some places cheap???  does Marbella have this opportunity for residents?
o well im off to do some more reading, and increase my heart rate and blood pressure, and wait patiently for my other half to retutn, leading to increased blood pressure.....

 

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Marbella may be a bit more up market than the CB but €850 pm for a long term rent seems a bit excessive.  Long term rentals on 3 bed (non luxury penthouse) apartments here are around €650 pm plus utilities.  I would be grateful for €500 pm on my 2 bed top duplex on a long term (6 months or longer) let.

You'd be able to get a really good place on a mortgage of that  amount per month.  Of course, you'd need the deposit and up front fees (10 - 12% of cost) in the first place.  A mortgage of €200,000 would require about €40,000 at a start and a repayment mortgage would be about €850 per month (obviously depending on how long you take the mortgage out for).  Pop into a good bank (Halifax has been recommended a lot of times because of the links with UK) and see how much they'd charge.  MIght save you a lot in the long run.  Some mortgage companies still offer 110% mortgages to cover fees and taxes but they work out a lot more expensive.  Don't forget taxes on top 

This message was last edited by bobaol on 4/1/2007.

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Thanks bobaol, very much, I will look deeper into the mortgage pool, i shall swim deeply for information  >) , i thought that EUR 850 was an ok price in Marbella, ...but i still have time, im not moving to Marbella until July, and i havent signed anything yet for that apartment.....but hey, its local, near to the shops, and 100 m from the beach, but if i can find somewhere more cheaper, similar quality then id probably go for it,,,,,

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Just be careful how you time things Jeff - if you move here and dont have regular provable income the very maximum mortgage you will get is 65% of value - rates will not be favourable and start up costs high. If you apply before you leave the UK and income is ok you can get up to 80% of value subject to status. Rent at 85o a month for a two bed in Marbella is reasonably good - can get cheaper but maybe not as good and area

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Jeffco - Im in marbella and based in Banus. You have a good rate for in the port, they used to rent at 1500 euros and more long term.

I know las Terrazas de Banus and its a very nice complex, make sure you have a car space underneath. 850 for a 2 bed is good in the Marbella area - you are not being ripped off. Just make sure whichever agent you go through that you do not pay THEM a fee. Many ask for 2 months rent, deposit and a finders fee but there are lots of units around lying empty so there is choice for you. Try to pay 1 rent, deposit and no more.

Re mortgages, you can email patrick AKA Smiley on patrick@marbellamortgages.com and he will advise you fully.

Re the car, for 5000 euros you can pick up a nice car, only a few years old and a deisel is your best bet. There are plenty around and certian roads in Marbella have them with cards in the windows. Also there are all the car forecourts with good deals on.

Dont hesitate to PM me if you want any other info.

Good luck and perhaps we will meet you at one of our meetings when you are over.

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Thanks Smiley and Rixxy...
 .... I will be careful and no need to rush things,  im glad to hear we are not being ripped off or paying too much, basically we will be relatively new to the area, my Danish girlfriend has lived there before, but i certainly need to get accustomed to the area, hence why i wanted to be very local to a town, and of course once we seriously settled, then we can move out a bit....
and yes i will email Patrick, once i have worked out what i need etc for a mortgage, its so comforting to know and really helpful people are there for help and guidence and of course sound advice!

thanks kindly  >)

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Hi

Bobaol, you said that a repayment on a 200,000euro mortgage would be about 550 a month with start up costs of 40,000.

Can you clarify for me is that a property worth 240,000 - putting down 40,000 and having 200,000 to pay off or the property worth 200,000 and having a mortgage of 160,000 to pay off at 550 a month?

Hope that makes sense. I'm just trying to get an idea of how much repayments would be so I can work out what we could afford on my Spanish salary.

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No, its on the balance of 160,000.  And I think I was being a bit generous there, even with the lower interest rates in Spain.  More like the 850 I quoted earlier and that's over a long time.  The advantage is the property is yours rather than rental money which pays for nothing except a place to live.  See a good bank or mortgage broker before committing and, remember, interest rates in UK are going up all the time. 

Have a look here to give you an idea

http://www.andalucia.co.uk/channels/tools/free.mortgage.calculator.php

 

Have a look here

This message was last edited by bobaol on 4/1/2007.

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Hi Jeffcoo,

Halifax would not be a good starting point if your credit histroy in the UK is not good - a good mortgage broker would be able to point you in the right direction, specific to your criteria and requirements.

Rgds

sharon

sharon@tmasspain.com

 

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hi thanks for that Sharon......    >)

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