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Last week saw the much awaited audit of the Spanish Banking system and figures came in at the lower end of expectation. Whether the markets believe these figures remains to be seen. For non residents buying in Spain requiring a Spanish Mortgage the issues with the Banks is less profound than for those residents. The […]

An article in Reuters today outlined the issue relating to a widening gap in the interest rates being paid by buyers in Southern Europe like Spain and the Northern Europeans highlighting in particular Finland. Whilst a few years ago margins charged by Spanish Banks averaged for Residents between 0.50% to 1% above Euribor and 1% […]

Mortgages in Spain why high rates With interest rates falling across the world it can be difficult to understand why Spanish mortgage rates are not lower than they are. The issue lies in the cost of funds for Spanish Banks, the fact they are almost precluded from the wholesale money markets, and the cost of […]

Yesterday saw the announcement of a € 30bn rescue package from the Europe for injection directly into the Spanish Banks. As part of the negotiations The Spanish Government has agreed to hand over regulatory powers from the Bank of Spain to the European Central Bank. It is difficult to argue that the supervisory powers should […]

There is much in the press over the last few days in terms of what the Spanish Government will do with the Banks and their exposure to real estate. Whilst some positive measures, that should have been implemented many months if not years ago, are now happening some fundamentals to help ease the situation are […]

Reports out today have confirmed the situation on lending in Spain has deteriorated further. Despite taking advantage of the European Central Banks cheap bonds issued over the last few months the Banks in Spain have chosen to buy sovereign debt with these funds rather than to lend to the residential and commercial sectors. Data shows […]

The Bank of Spain has announced its intention to continue to look at the possibilities of their new mortgage index the IRS, which replaces and combines the Caja and the Banks IRPH mortgage index, as the preferred index for all Spanish loans. The view of the Bank of Spain is that the IRS will provide […]

In an environment of very difficult lending it would appear Ubiquitous Mortgages are able to buck trend and completely outprice all the major banks in world. While other lenders have withdrawn from the European market with many French Banks closing the doors to international clients, Spanish Banks doing the same and many international lenders like […]

This week has seen the markets in turmoil. The downgrading of a number of Spanish Banks, Spain itself and the previous weeks downgrading of a number of UK Banks who lend in Spain has seen a very quick increase in margins across the board. Even Banks like Barclays who missed the downgrades this time round […]

Sabadell Group which includes Sol Bank have increased margins above Euribor to 1.90% as a minimum from their previous 1.25%. The margin includes taking life cover as compulsory and in a move which show another change to their strategy for the first time Sol Bank will differentiate rate based on loan to values. The increase […]