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100% LTV loans for Spanish property

02.12.2009

People seeking to a buy a property in Costa Brava or property in Costa Dorada will be keen to learn that local developers and mortgage lenders have struck an agreement to ensure that 100% loan-to-value Spain property mortgages are available to house hunters buying property in the region.

Furthermore, under the terms of the agreement, local developers will drop property prices on their schemes in the area by 20%.

The deal was agreed between the Catalan Federation of Savings Banks and the Catalan Federation of Developers and Constructors (FECAPCE), and only applies to new homes from local housebuilders who are a member of the Federation.

For a home to qualify for 100% mortgage finance, it needs to have been completed or be ready by Q1 2010.

Enric Reyna, President of FECAPCE, commented: "This agreement is very important because it will allow a significant number of families to participate and get better financing to buy a home."

Source: www.homesoverseas.co.uk/news

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