EU Property Solutions- Experts in all Spanish property issues

We recently hosted a webinar back in July in respect of Interest-Only mortgages. We have had quite a bit of interest in this very niche subject, especially as it is becoming more and more relevant as time goes on.

We have seen and helped hundreds of clients who had taken out Interest-Only loans who are now paying the hefty price.

This type of mis-sold mortgage issue is something that we’re seeing with our borrowers. They come to us after realising their 15-year Interest-Only period is coming to an end. We had a recent client who found out that his monthly repayments would go from €250pm to €2,150pm; an extremely high spike in payments that would very quickly become unfeasible. One that brought it to a head was literally a ten-fold increase in the requirement for the monthly payments.

When it comes to loan sales, they are very often sold to vulture funds. They are different animals completely and these situations are becoming more prevalent. Last month a Spanish bank even sold a performing loan book. Everything was up to speed and good, but they still sold it on so be careful of that backdrop.

Undoubtedly many people were mis-sold properties however, they will not win that argument or that war. There is one bank in Spain that has sold a lot of these Interest-Only mortgages but there are other banks involved too. If people, try to do direct approaches respectfully we suggest don’t. In this webinar, Terry goes through why you shouldn’t do that and how we can attack the problem.