The mortgages renegotiation increases in the families
30.04.2008
More than 1.200 families have signed last February the change of conditions of his mortgage, what supposes a growth of 22 % with regard to the same month of 2007. This number can increase significantly in the next months because the departments of Economy and Treasury Department and Justice have signed with representatives of the financial system, notaries and registrars I agree one to facilitate the enlargement of the mortgage period without any cost. Any person who wants to benefit from this measurement will have until April 22, 2010 to ask for the enlargement of the pay-off period of the loan.
The agreement will allow the enlargement of the pay-off period of the mortgages without any cost when agreement exists between the credit company and the client. This way, the credit companies will commit themselves from which they do not receive commissions in this type of operations and the notaries and registrars to which the notarial tariffs reverberate either and register them.
Also, the General Administration of the State (AGE) will not apply the tax of the Tax on Acts Juridically Documented (AJD) for the public writing that refer to this type of operations.
It is important to bear in mind what supposes extending the free mortgage
Route | ABC
To extend the free mortgage can bear a sobrecoste of up to 57 % of his value
29.04.2008
According to the web finanzas.com the Spanish who extend the pay-off period of his mortgage loan without any cost will be able to save themselves up to 1.000 euros, according to the realized calculations of the Government, nevertheless, in the long run they will have to face a sobrecoste that they can reach 57 % of the initial value of the credit hired due to a major payment of interests.
Practical example
In case of a mortgage destined to finance the buy of a habitual housing for 149.000 euros, within a period of 26 years and a variable interest rate of 5,3 % (according to the April Eurí-bor), the cost of the monthly quota would amount to 880,79 euros. Nevertheless, the enlargement from the term until 40 years would reduce this load to 748,33 monthly euros, approximately 130 euros less.
If at the time of realizing this enlargement, the user was coming to an agreement with his credit company it might see his economic situation vented on having saved itself up to 1.000 euros in ‘clauses‘ and on having had 130 more euros every month.
As soon as the credit was amortized it will have happened of paying 274.806 euros to 359.198 euros, that is to say, he will have supported a sobrecoste of up to 84.392 euros, 56,6 % of the value of the employed mortgage (149.000 euros).
This way - it points out, for example, that, if the period of the mortgage loan to be extended are already long, the decrease of the quota “can be reduced” and the loan will be paid for more years, “included interests”. For it, the guide advises to the user to "reflect" and allow to take advice for his credit company before taking any decision.
The euribor rubbed today 5 % after marking another annual maximum
26.04.2008
The index continuous Euribor with his valuable upward climb from the beginning of the year and it registered the eleventh consecutive annual maximum on having been located in 4,964 %, for lack of a few days of bank activity so that April finishes.
Of finishing this way - the month, the average Euribor would settle in 4,798 %, what implies an increase of 0,545 basic points with regard to the indicator of April of last year.
With the Eurí-bor in 4,798 % and in an average mortgage for 150.000 euros and in a term of 25 years, the monthly quota would see affected with an increase for 47 euros the one who touches him the annual review in April. A year, the user would pay 572,28 more euros. If the same mortgage is checked every half year, the monthly quota would increase in 13,35 euros, and in 80,1 euros the annual one.
According to the experts consulted by Europe Press, the Eurí-bor, which closed in March in 4,59 %, will be supported up to the next summer in high levels, since it is difficult that the BCE centred on the alertness of the prices, cuts the types away up to the second semester of the year.
The most conservative banks due to the crisis of the mortgages
21.04.2008
Due to the economic crisis the banks and savings banks have become more demanding at the time of giving money. After years of economic fair weather and with a spiral of growth of the mortgage value of the apartments, now one has returned to the philosophy of giving alone money to the good clients.
For the banks there has always been valued very much the capacity of amortization that they have of the clients, the problem is that now no bank wants to assume risks. This although Spain has the surest and stable financial sector of Europe. At present, the banks are sufirendo a problem that has come of out, especially motivated by the easy authorization of the mortgages in the United States.
Today in day the banking institutions have granted 1,699 trillion euros in credits and loans, of which the Spanish Bank thinks that a 1 % they will be of doubtful cashing.
Although the index has increased a tenth in the last month, it is still very far of his worst records, and is that in 1990 it went over to an index of slowness of 8 %. It is not necessary to forget that the price of the money has not stopped rising in these years: the Eurí-bor, the principal reference to the mortgages, is to 4,5 % and has doubled from 2004.
The Government facilitates to extend free the pay-off period of the mortgage loans
18.04.2008
Finally there has taken place the measurement for that many families were waiting inside the ‘plan of shock’ prepared by the minister Solbes, it is the one that will allow to any that one to need it, to extend without costs the pay-off period of the mortgage on the first housing, revbajando thus the quantity that monthly they pay to the bank. This initiative will come into force in May and will have a maximum duration of two years.
Initially, the Department of Economy and Treasury Department had announced that in this measurement the families might take refuge with special difficulties, but finally from her there will be able to benefit all the physical persons who want to lengthen the term of his mortgage credits.
Both the Spanish Bank and the minister Solbes have demonstrated in diverse occasions against the mortgages of long duration, that is to say of those that they overcome 40 years, recommending those longer than 25 years. The crisis through that there lives the real estate sector and the increases of the interest rates, they have forced the Government to assume that the mortgaged ones have to lengthen the life of his credits to avoid to fall down in the slowness.
Another measurement for that the real estate sector was waiting of the today Cabinet is the enlargement of the public guarantees for the promoters who choose to construct social housings, a measurement advanced in January for Of the Vega and approved the beginning of the month for the Executive. The Institute of Official Credit (ICO) will put on the market 2.000 million euros more, that they are added to the line of 3.000 million passes then.
Route | The World
The OCU warns on what supposes extending the term of the mortgage
18.04.2008
The OCU in declarations has indicated to Europe Press that to extend the term of the mortgage to pay less monthly quota can be the solution for the families with serious problems in his home economics due to his payment obligations.
“It can be the solution if the family is much drowned by the increase of the Eurí-bor, but it is not any magic formula and it must not be used, in any case, like system to pay things as the holidays or the communion of the children”, told the spokeswoman of the OCU.
The spokeswoman of the OCU highlighted that to extend the term of the mortgage must be the last alternative, because it bears an important increase of the interests to be returned to the bank.
According to information provided by the OCU, to extend the term to a mortgage for 120.000 euros from 20 years until 40 years, with the current interest rates, he supposes happening of paying 791 monthly euros to 578 euros. In this simulation, the person who extends the mortgage will have to return to the bank 86.000 more euros. A quantity much siginificativa, for it it is necessary to value if really we need to extend the mortgage loan
“The consumers must think it long before extending the mortgage, it is not the panacea to recover acquisitive level, but a measurement to which to take refuge if one is already very drowned and he gets ready of no other maneuver margin”. ”The banks are pleased with this measurement, because for them it means to have many years more a client who is returning him a few very important interests”, insisted the spokeswoman, who qualified the measurement like “a bad minor”.
Route EUROPE PRESS
The bank sector will assume the cost of lengthening the amortization of the mortgages
18.04.2008
The banks and savings banks of the country, perhaps seeing what comes to them above, would be ready to help the Government in the measurements that he tries to use to reduce the cost of the mortgages in those cases in which the families that could not confront the payment as a result of the worsening of the economic situation.
Miguel Martí-n, president of the Spanish Association of Banking (AEB), has announced that the associate entities will collaborate with the families that need to extend the term of his mortgages to confront his payment, and it did not discard the possibility of “assuming costs”. In the same line, the savings banks showed his disposition “to collaborate with the Government to help the families with difficulties to renegotiate his mortgage”.
Although at the moment the economic impact of these helps is not needed and how will they be carried out. The financial institutions “it is already lengthening the period” to the one who needs it, added the proper Martí-n in a few financial days that were celebrated yesterday in Madrid.
To allow the families with special difficulties to be able to renegotiate the term of his mortgages without any cost is part of the measured anticrises that the Cabinet will approve this Friday. In the same financial days, the economic vice-president, Pedro Solbes, said yesterday that the intention is “to facilitate that the families lengthen his mortgages, to try to prevent the problems of liquidity from earning in problems of solvency”.
Collaboration with the government
Solbes announced in February that it would request to banks and boxes, this way - how notaries and registrars that they were helping the Administration in the financing of the above mentioned cost. In that moment, from the Executive the average saving was quantified in approximately 1.000 euros by every mortgage novation. The reality is that that, with the last mortgage reform approved by the Executive, the costs of these changes have lowered significantly and are located in slightly less than 400 euros for the average mortgage (of 150.000 euros).
It remains for clarifying the " concept “with special difficulties to attend to the payment of the mortgage” to which the Government refers and if there will be born in mind variables as the level of revenue.
In general, the banking institutions are ready to assume a part of the cost, if other agents – notaries, registrars and Government – do the proper thing.
Route | elperiodico.com
It gives his house for not being able to attend to the mortgage
15.04.2008
One shows more of the economic crisis through that we are living in Spain, the newspaper online ADN does to himself echo of a released announcement that in a well-known place of classified announcements, a resident in Barcelona there is I decide to give his apartment change that the new owner takes charge of the payment of the mortgage of the housing. The seller makes sure that he cannot take charge of his payment because it has serious economic problems.
The owner tells that they stay for 265.000 pays to‚ ¬ of the 322.000 to‚ ¬ that cost the house placed in the locality of Ripollet, in Barcelona. Because of 1.200 euros a month, 34 years stay to finish the mortgage.
“The idea is to give it to the one whom he is interested in, we do mortgage transfer and we are in peace”, it details in the announcement. “You save yourself 57.000 to‚ ¬, that is what I have already paid”
The housing has four rooms and it was acquired by the seller 15 months ago.
The Perfect Mortgage of Freedom Finance
13.04.2008
Freedom Finance Spain has put on the market the ‘perfect mortgage’, a financial product that more 0 % allows to the client to choose between a mixed or variable type from Euribor during the first 6 months, and be like that - protected before possible increases of the index, reported today the financial broker specializing in reunification of payments and debt consolidation.
This product also allows to select the system of standard amortization, increasing quota, postponement of 25 % of the amount of the principal one to the expiration or a combined form of increasing quota and postponement of 25 % of the principal one to the last quota.
The mortgage loan has no commission for partial cancellations of up to a maximum per year of 25 % and it is provided with an amortization period for debt consolidation of between 30 and 50 years.
The manager of the entity, íngel Bouzas, pointed out that this product allows that every client
‘be able to pay to his rhythm, be prepared before changes of the Euribor, and therefore avoid possible frights and burdens in order month for his changes of tendency’.
The idea of this mortgage arises from the need to create a flexible product that could be the ideal mortgage for a major number of persons because not the same products are convenient for all the persons.
The BCE supports the interest rates in 4 %
13.04.2008
The European Central Bank (BCE) supports the basic types of interest in the Euro area in 4 %, as it was waited from the financial markets.
The European Central Bank (BCE) has decided to support the basic types of interest in the area of the euro, in 4 per cent, as the financial markets were waiting.
The European institution supported also the marginal facility of credit, for which it gives money to the entities, in 5 per cent, this way - how the facility of deposit, for which it remunerates the money, in 3 per cent.
