shellou

Im hoping one of you might be able to help. My friend and her Husband have seperated and are financially unable to continue to pay their mortgage. They have been struggling to pay it for a while but obviously now they are no longer living together its now become impossible.

Does anyone know a good lawyer who is able to assist with advice on the best way to deal with this in the Denia/Calpe region?

Obviously they are considering putting the house on the market but it is very unlikely to sell for quite a while. They are going to speak to the bank but they have already been discussing ways to help manage their payments for a while and the bank so far havent been able to help very much.

I think they are considering cutting their loses and 'walking away' from the situation as the stress of this on top of the break down of relationship isnt helping. They really need to find out what would happen if they do. I have read the thread regarding repossession but wondered if there are other procedures in place if they went to the bank and literally handed the property over to them?

jdr

THIS may interest them.
Also I don`t think you can actually walk away from a mortgage, especially if the bank loses money on it.

Beachcomber

There is a procedure called 'dación' which is carried out before a notary to whom you hand over the keys.

Mitzyboy

I have a very good one in Gandia if thats any help
Walking away from the house could well effect their credit rating in future

shellou

Thanks for your replies.
Ill look into the 'dacion' and find out more about it.

I dont think they are so concerned about their credit rating as they are about being pursued for further debts. If the bank sold the house for less than they owe they they can be chased for that anywhere in the EU (as far as I am aware)..

Mitzyboy Ill pm you for the details if you dont mind...thanks

Beachcomber

There is some information in Spanish on Dación en Pago here:

http://www.anticrisis.es/2008/09/nue...n-en-pago.html

Sorry but I can't find anything in English.

Luz

A "Dación en pago" is deed of assignment in payment.
What the Spanish article is basically saying is that you can come to an agreement with the bank if you can't make the payments. The property will be valued and if it is valued at the mortgage price then there are no further payments to be made. If however it is valued at less than the mortgage then you will be liable for the difference.
Beware of the bank valuers - they may try to value at a lower rate.

betris

Thats sounds right.overvalue it and lend you the money.Then undervalue it and you now owe them a lot of money and they have got the house

Mark Paddon

Lawyer Martin Hayes of www.povedahayes.com (offices Javea) should be able to help.

pmitchell

You have probably sorted something out by now but I would recommend www.vivespons.com in Denia. They have acted for me as accountants, lawyers and architects for years (they are 3 brothers 1 of each profession practicing together) and unlike a lot of jokers here properly qualified and regulated in Spain. ps they all speak excellent English and have some British staff.

louise2012

Hi, I know of a really good lawyer in Javea. My friend split with his long term girlfriend and they had to split mortgage and everything, he sorted everything and did it at a really good rate. He is English but has been living in Spain for over 20years. Can let you have the details if your intrested?