One of the main questions we get asked by clients looking to buy Valencia Property is why they need to open a Spanish bank account. Spanish banks aren’t known for being easy to deal with and they are certainly going to charge you commissions for just about everything you want to do, and for the mere fact of the existence of the account, so why on Earth would anyone want one. In today’s post we are going to let you know why and what to expect.
For everyone you want to get the most Valencia Property for your money especially if your currency has tanked before you get here. (Yes, I’m looking at you Britain). Therefore, it’s always good to be reminded about the ways Valencia Property helps you to make the most of your moneyContinue reading
The Spanish property purchase is not overcomplicated but there are a couple of things that can get complicated at times. For example when you’re buying a property you buy it with clear title. What does that mean? Well, it means that the property has no debts on it when it is sold.
This of course means clearing the old mortgage. So the process is as follows. You get in touch with the bank a couple of weeks before the property purchase and you say;
The military operation that was Monday came off quite well. This is what happens when there is a signing. The organization required depends on many factors of course; Easyjet arriving on time, the banks having all of the cheques ready and, in this case, making sure that people do not get locked in their toilets, cars starting up and working properly, everybody turning up at the Notary at the right time and having the right paperwork in place, the lawyer having done his or her job and so many other little things to arrange.
Yesterday I was in the Santander bank with a client opening a bank account. The reason we finished up there involves the incompetence of another bank, Banesto, of which you can hear more about here “Why There Is No Hope For Some Spanish Banks”. Anyway something really funny happened. Or rather it is funny if you know anything about Spain.
Up to now if you couldn’t pay your mortgage in Spain you had three months and then the bank would start proceedings to embargo (Repossess) your property. The process would usually take around a year and at the end of the year when nobody bought it at auction because of the debt on the property, original mortgage debt plus around 35% costs on top, the bank would adjudicate it to themselves at 50% of mortgage value, sell it onto an investor, usually another financial institution, and then start the process of recouping the money from you for the rest of time, they could embargo a percentage of your wages above 648 Euros per month.
The latest podcast has finally arrived. The last one doesn’t seem that long ago, at least for me, but it was in May. Anyway the latest podcast talks about banks in Spain and the lending criteria and my conspiracy theory.
Yesterday after working closely with some banks for a few weeks on some mortgages I thought it was time to give an update on what is going on and what is available. Watch the video right to the end and you will find out what we are getting for our clients at the moment.