Alba-gu-brath

Hi I have been told that you can get small mortgages without proof of income is this true ?

leighbloke

We talking in the UK or Spain??

In the UK you can even get a big mortgage with no proof of income - just go to a mortgage broker.

If you're after a small mortgage, have you considered a Loan? cheaper set up costs and now often not such a big difference in interest rate.

Alba-gu-brath

Hi i was talking about spain as i plan to buy a cave house (just sold my house in UK) and thought that getting a mortgage may help keep some cash in the bank

Dxf

Hi,
You should watch Martin's Money tips. He had a lovely sketch two weeks ago, basically by leaving the money in the bank, you are lending the bank the money to lend back to you and you are paying for the priviledge. The rate you receive and the rate you pay makes big fat directors!
Dave

spain

there are people around who will do this, not sure if it is legit though, a couple of years back a solicitor/gestor or someone (cant remember) got done big style and all their paperwork for the last however many years proved they had been "sorting" illegal mortgages - I think they basically put in ficticious earnings

have a look in the costa blanca news, there used to be someone in there advertising it

Splatt

Thanks to the credit crunch most if not all self certification products have been withdrawn, so you need to be showing a healthy income to cover the mortgage. You are only talking about a 'small' mortgage though so as long as your income is above 50% of your proposed monthly repayments you should be able to source one.

I'm guessing that you want to leave your sterling in a UK bank in the hope that exchange rates return to something like normal, then you can pay off the mortgage?

Good luck!

Ste.

lcortez

You can get self certification mortgages in Spain,but like the above poster said they are prob on the way out owing to the "credit crunch",so I would move quickly!

Be aware of the deposit req in Spain which I believe are about 20%,plus approx 11% legal fees etc.With regard to the cave house,what sort of condition is it in?,If its a total reform,you've got no chance! As a min it needs to have access,eletricity & water.
The best way to go for an unreformed cave house would be a secured loan, as you can pick these sort of places up for as little as £15,000, saw a place in Granada,totally unreformed for £13,000,with discounts if you brought more than one!!!!

tim hortons man

the real question is why would you want to buy a house now that the bubble has burst, prices can only go one way and that's down.

just a thought

bil

I think that the smaller the house, and the less land it has, the more it's price will drop.

The better the house, the smaller and slower the drop.

I did hear that some areas away from the costas are talking of banning all new builds to preserve the ambience.

Prices there are a lot less likely to drop IMO.

Alba-gu-brath

A mortgage was only a thought , as soon as i get the money from the sale of my house here i can buy a cave house outright but im just looking at all my options

leighbloke

If you want another option?
Don't sell up in the UK - rent it out and rent in Spain.

matt begley

yep - usually cheap as chips to rent long term in Spain whilst in UK rental returns are heading North as people sit the market out.