mortgages
#1
mortgages
hi, wierd question, what happens in spain if you default on your mortgage but have equity in the property??
#2
Re: mortgages
If you mean that what happens if they take the property into possession? Then they will sell the property and you will get any surplus after they have taken their costs.
NB there may be equity now but the lender will only be interested in covering its costs and outstanding loan, so may accept a low offer for a quick sale, and in effect losing your equity.
LMJ
,
NB there may be equity now but the lender will only be interested in covering its costs and outstanding loan, so may accept a low offer for a quick sale, and in effect losing your equity.
LMJ
,
#3
Re: mortgages
thank you, we have had to come back to uk but have property in villalonga, now have mortgage and rent to pay, already had to fly back to spain as property broken into once, dont know how much money we should keep throwing at it.
#4
Re: mortgages
Hi I am sorry you gave up and returned to the UK, Spain needs nurses like you. I note as well your Daughter was picking up the language and settling in but the bar was a money pit. The problem is if they sell your house the bank will take the first offer that covers their outlay ie mortgage and any fees re selling etc.Spain have an agreement with the UK in that if the outstanding monies are large they can put charges over your UK property and take steps to recover their money. The banks in Spain at the moment will do all they can to assist you keep your house, In that they will try to offer you longer terms in order repossession is avoided,and your equity is not lost. You may wish to rent the property long term to cover your mortgage.Please seek professional advice. This subject has appeared on this forum before so a search of the threads may bring further ideas. Good luck in the UK, You gave it a try here if you hadn't you would have wondered the rest of your life what if only. I am sure you take back with you many happy memories apart from the bad times. You have your loved ones around you and they will give you strength.
Last edited by poshnbucks; Nov 25th 2008 at 11:17 pm.