Requirements for a mortgage
Part of this payment will be used as rent and the rest will allow the user to increase his percentage of ownership in the house. “When the user has 15% of the property, we help him to obtain a mortgage for 85%-80% of the value of the house that remains to be paid,” explains the manager. Libeen’s objective is to “democratize the purchase of housing for everyone in an easy and simple way”.
If, at the end of the agreed term, the user decides not to buy the house, “we sell the house and give him the percentage that corresponds to him. In this case we share the risk, since it will depend on the market moment if he manages to recover the entire investment or even exceed it”. Likewise, if the tenant wants to leave before the contract expires, “we give him the opportunity to get someone to execute the purchase option; if he does not succeed, we return all the money minus 5% of what he has contributed”.
However, there are no exact formulas for granting this type of loan, since there are different customer profiles and different factors come into play. In general, banks require the presence of a guarantor in the following situations:
However, there is another figure, which is the non-debtor mortgagor. In this case, the guarantor would put as a guarantee a part of his own home if it is not mortgaged. Although it would not allow him to sell his home, this limits the liability since the bank would only demand the mortgaged part of the property and not the totality.
The figure of the guarantor requires a great responsibility and implies risking the present and future patrimony of the person who is responsible for it. To present this figure means to involve someone else in the banking operation and supposes an exercise of confidence. It is for this reason that, in most of the occasions, the guarantors end up being the parents. However, this is a risky option and it is possible to avoid it in some cases:
Requirements to obtain a mortgage loan in spain
Numerous clients are contacting us to manage the agreement with the vulture fund that is currently the holder of the debt they contracted with a financial institution, and that is why we are going to give a mini guide to understand how these funds work and our recommendation to put themselves in the hands of professionals like us.
Once exposed the attributes of our new enemy, the vulture fund that bought our credit to the bank that we owed it, and knowing that he is rich, that he bought us for very little price, and that he considers that our operation is “bad”, since that is why it was sold, it is necessary to lay some bases for the future negotiation, and that are the following:
Negotiating with a vulture fund requires specialization and experience, understanding how they work and having closed previous operations with them, so our advice is to put yourself in the hands of professionals in the negotiation, as is our office, and thus ensure reaching the best and most satisfactory agreement with them.
Partial mortgage guarantee
To get financing for your home you must know the mortgage requirements and meet them all. Here we explain all the conditions so that you can get the mortgage that best suits your needs.
The first requirement to apply for a mortgage and get approved in 2022 is to have sufficient savings. At the moment, banks do not finance the entire price of the house (unless you hire a broker, buy one of their apartments or have an excellent profile), but they usually cover up to 80% of the purchase price or appraisal value. Consequently, you will need to have the remaining 20% to pay for the rest of the new property.
If what you need are second home mortgages for a holiday home, the requirements that the bank will put on you will be more demanding: more job stability, minimum income of around 2,500 euros, perhaps other extra guarantees, etc. This is due to the fact that, in times of economic difficulty, you stop paying these installments earlier than those of a regular home.