THE MORTGAGE PROCESS
Here is a simple step-by-step guide to how the mortgage process works with Mortgage Direct.
STAGE 1
Contact Mortgage Direct
Complete the Enquiry Form online, or alternatively contact us by phone and we can assist you in completing the form. Of course, if you just want to call us for an informal discussion, please do not hesitate to do so. The Enquiry Form is designed for speed and efficiency to enable us to find the best mortgage for you with the most appropriate bank. We will not ask for unnecessary information at this initial stage.
STAGE 2
Mortgage Proposal
After receiving a completed Enquiry Form, a fully qualified adviser will contact you within 24 hours and a Mortgage Proposal will be sent shortly therefater. This is a professional document showing you what mortgage you can expect, including monthly payments, level of borrowing, interest rates, fees etc. and it will be based on a verbal agreement from a bank.
STAGE 3
Documentation
If you wish to proceed and have found a property, or wish to finance an existing property, you will need to send copies of various documents to us. A list of these documents, such as the Escritura and Nota Simple, will have been included in the Mortgage Proposal. You will normally need to sign a Purchase Contract and pay a reservation fee the estate agent usually arranges this part of the process. At this stage, you will also need to send us a signed copy of our Terms & Conditions and arrange payment of our Administration Fee.
STAGE 4
Lawyer
At this stage, we strongly suggest you appoint a Lawyer to protect yourself against the pitfalls of buying property abroad. They will ensure all the necessary checks on the property are carried out, including a full search report and checking the legal status of the property. Also, completion of the mortgage is not possible until you have applied for an NIE number, which your Lawyer can help obtain for you. We have a Lawyer that we highly recommend, should you not have access to your own.
STAGE 5
Valuation
Mortgage Direct will open a bank account in your name with the chosen bank. Your future monthly mortgage payments will be paid from this account and funds to cover the Valuation Fee will need to be transferred into it. Once the Valuation Fee is deposited into your account, the valuation will be instructed and a valuation report will follow.
STAGE 6
Final Offer
On the strength of the value of the property and the documentation provided, the Head Underwriter of the appropriate bank will provide the final mortgage offer. Once it has been agreed how the mortgage funds will be distributed, the bank can arrange the necessary movements of these funds for the purchase to take place. The Notary or your Lawyer will confirm these cash distributions to you in writing.
STAGE 7
Exchange & Completion
Your Lawyer will arrange an appointment at the Notary´s office to sign the deeds. Both the buyer and seller will be present, unless one part is represented by a Power of Attorney. Once the Escritura has been signed, the lawyer will arrange to transfer all utilities into your name. You will also need to pay the outstanding Arrangement Fee for Mortgage Direct.
Congratulations!
You are now the proud owner of your property in Spain.
We anticipate the above process will take between 4 and 6 weeks.
|
