Spanish Mortgage Deal of the week
SPANISH MORTGAGE DEAL OF THE WEEK
|
EUROS |
Mortgage amount |
210 000 |
Interest rate FIXED |
2.10% |
Mortgage payment pm |
1072.33 |
Life assurance at normal terms (pm) |
58.80 |
Term in months |
240 |
APRC |
2.90 |
Background
- The purchase price of the Spanish property 300 000 Euros
- The mortgage represents a loan to value of 70% of the purchase price
- Whilst all long term fixed Spanish interest rates carry early redemption penalties equal to 6 months interest , (capped at 3% of the outstanding mortgage capital) , the bank agreed to waive the l early redemption penalties after an initial period ,enabling our client to repay capital, when it is convenient and when the funds are available to do so.
- The bank does not require a side investment
- The client is to take out a burglar alarm system
- The bank opened a Spanish bank account and provided a VISA card.
The savings
- At outset the bank was advertising a fixed rate of 2.75% over a term of 15 years
- The bank agreed to reduce this to 2.10% and extend the term by 5 years to 20 years
- The bank paid the mortgage registration fee of 2700 Euros
APRC (annual percentage rate of charge)
This calculation is based on estimated costs being calculated over the whole mortgage term . The table below summarises these :
Associated COSTS |
EUROS |
The bank arrangement fee |
1 500 |
Our fee |
1 380 |
Cost of burglar alarm |
295 |
Total cost of credit including life assurance |
59 872 |
Please contact us if you would like to discuss your mortgage requirements - mortgages@charleshamer.co.uk . Tel 01844 261886 / 218957