Apply for a mortgage in Spain: What is the age limit?

Without a doubt, it is increasingly common to take out a mortgage to pay for the purchase of your first home . Mainly, mortgage loans are the way to access a home for the youngest. Applying for a mortgage loan has to do with the years. But not only with how many years you are going to get into debt. The reality is that entities also take into account the age of their clients and there is a limit to request a mortgage in Spain. The banks, without a doubt, seek to recover their money and charge it with interest. Today, even more so, since the Euribor has risen significantly. So, what happens if at you want to sign a -year mortgage loan? Age and mortgages The definition of a mortgage, according to the Bank of Spain, is a loan whose payment is guaranteed by the value of a property. Age is, with other variables, an element that banks will take into account when requesting a mortgage. There is no regulation regarding the maximum age to request a mortgage in Spain.

Age limit to apply for a mortgage in Spain

Generally, the age limit is close to years, however, this will depend exclusively on the will of each bank and its policy in this regard at all times. This limit is closely linked to the health and survival risk associated with advanced age, which implies Peru Phone Number List a greater risk of non-payment. What calculation do banks make? Banks usually make a sum when deciding whether or not to grant a mortgage. It’s about taking your age and adding it to the term of the mortgage loan . The result cannot be older than years. In other words, if you are years old, you will have years to pay back your mortgage loan . If you are years old, you will only have years to pay it. You must analyze, if you are in this second population group, if you have the possibility of affording it. It is true that the law does not establish a general rule for the age limit to apply for a mortgage in Spain, in addition, each bank has its own criteria, however, its objective is to ensure that the money borrowed is returned to you.

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Points to consider

The most advisable thing is to take into account two different. Limits regarding the repayment period of your mortgage loan. On the one hand, a maximum term linked to each type of specific mortgage offer, for example, fixed mortgages Cayman Islands Phone Number List generally do not exceed years and variable mortgages can reach up to years of financing. On the other hand, even though the offer gives you a maximum of years as a mortgage repayment period. Your age will act as an extra limit . This means that you can shorten this maximum and place it at the time when you turn. In addition to being a risk factor for non-payment , the age of the applicant determines the repayment period of the mortgage loan. This means that, the larger the applicant, the lower the accepted repayment. Period will be , and therefore, the more expensive monthly installments will have to be paid . On the other hand, it is also possible that banks may require you to take. Out life insurance, or provide collateral to a minor who can prove a certain level of income.

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