ECB Reduces Interest Rate - Lower Mortgage Rates
2 May 2013
: The ECB cut Euro interest rates today from 0.75% to 0.5%. It's great news for new mortgages in Spain as it's likely to lead to even lower mortgage rates in the coming year. The best deals are currently with banks who own properties - bank repossessions. These new properties are offered through several banks we deal with at typically Euribor + 1.25% mortgage rate. This is a tracker rate at a very low margin. The current mortgage rate would be under 2.0% pa. Being a tracker rate it means the buyer can keep this low margin rate for the length of the mortgage - typically 25 years. That is a mortgage rate just 1.75% above the European base rate for the period of the mortgage. It's lower than the typical market rate for mortgages in Spain by around 1.5% - 2.0% each year. And of course the bank properties are priced to sell quickly so the buyer gains a double benefit - a lower price and a lower mortgage rate. Please call our UK office on +44 208 429 7115 for more information.
NEW! 110% Finance on Apartments and Villas.
13 April 2013: It is rare to find 110% finance in Spain (or anywhere!). Typically resale properties attract no more than 60% mortgages for applicants approaching a bank for finance. Some banks offer up to 70% on their repossessions. The government run bank is still undecided for international buyers. Banks have been cutting back on their mortgage offering for their own repossessed properties. We know of one bank that offers 110% and we have a selection of their properties for sale across several resorts. Buyers need a good credit record and proof of income. Follow these links to view the options:
Free Spanish Energy Performance Certificate for Sellers
11 April 2013: From 1st June the Spanish government is introducing legislation that requires every owner advertising a property for sale to be in possession of an Energy Performance Certificate. Such certificates typically cost upwards from €250 depending on the size of property. If you already have your property listed through another agency that is not complying with this law then you are at risk. Please contact us as you may qualify for our free certificate service.
Are Prices Rising? Read More....
19 March 2013
: We have seen unprecedented demand from overseas buyers in the last six months. Some of the best deals have sold out and whereas before Xmas it was still possible to buy at €40,000 - €45,000, now the starting price is typically €55,000 or above. Putting this into perspective these are prices that are one third to one quarter the peak prices of 2007. So picking up a property at 67% discount rather than 75% then our buyers are still getting a tremendous deal. But the trend is starting to become clear and the market is moving in a direction that we haven't seen for over six years. There is a stark reduction in the availability of bank properties in certain areas and the banks are now reluctant to cut their prices further when demand has been suficient to buy up stock.
IMPORTANT UPDATE! Waiting List Now in Operation for Hacienda Riquelme
30 Nov 2012
: CAM bank properties offered on the resorts of Hacienda Riquelme and Condado de Alhama have now sold out. Waiting lists are now in operation for both these resorts for any cancellations that may arise in the coming months. However buyers keen to secure a bank property are encouraged to look at Terrazas de la Torre
where we still have bank stock with 100% mortgages starting from €62,000 or Mar Menor Golf Resort
where higher mortgages are also available. These are the only two resorts now with new bank repossession properties.