HE reference index mortgages of spain At the same level as 15 years agobefore the epidemic occurred Financial Crisis. In conclusion, loans mortgage variable rate shows a significant increase. In this case, there are different aids to alleviate the effects of a disease. illegal euribor.
State aid: Code of Good Practice for Banks
Royal Decree No. 6/2012 of 9 March on urgent measures for its protection underfunded mortgage borrowerscreated the Code of Good Practices, which includes recommendations to facilitate the payment of loans. Moreover 50 financial and credit institutions They participated voluntarily.
The government is evaluating defenseless people inside exclusion threshold those that meet the following scales: family unit they are not superior 29,400 euros per year and her mortgage burden It increased more than 20% or suppose 30% of net income from family.
Another option is for family unit members’ income not to exceed the limit of three times the Multiple Impact Public Income Indicator ().IPREM) payment of fourteen annual payments. In 2023 it is 8,400 euros per year, so the maximum income in this case should be: 25,200 euros. In addition, the monthly mortgage payment must have increased by at least 50% in the last four years.
The government also determines benefits according to the following provisions: mortgage terms: The loan must be for habitual residence and must not initially exceed 300,000 Euros. Another condition is that the organization with which the letter of credit is signed must be among the organizations participating in the Code of Good Practice.
What do regulated institutions offer vulnerable borrowers?
Organizations adhering to the Code of Good Practice offer three steps of action depending on each situation. The first, for vulnerable borrowers, lack of capital depreciation until the expansion total payback period (up to 40 years)also a interest rate reduction for five years.
Second, if the previous restructuring was not sufficient, organizations can make an offer. erases all your debt. Finally, if neither of the previous two measures succeeds in reducing affordable mortgage efforts, financial viabilitydebtors may request Settlement It should be accepted as a sure way to get out of debt and organizations should accept it.
In the second case, families stay yourself living space for a period of two years Affording an acceptable income.
What do the rules offer the ‘middle class’?
In case of assistance to family units annual gross income is less than 29,400 eurosAssistance to be provided for loans whose burden is over 30% and increases by a minimum of 20% is as follows:
They can happen freezing monthly loan payment For one year, remaining at the amount they paid in June 2022. interest rate reduction for the same 12 months and seven year repayment period The total maturity of the loan is not to exceed 40 years.
ICO guarantee line for new mortgage holders
Since May 2023, the Government has been providing ICO guarantees. 20% of the mortgage to young people under 35 and families with young children in their care, without age restrictions. Administrator of this grouphave the ability to pay and have the financial capacity to purchase a home, but They do not have the savings required to log in“.
In addition to age or minor dependent child requirements, each applicant earns less than 37,800 euros per year, 4.5 times that of IPREM. If there are two people, this limit is multiplied by two.
The house in which the person concerned must have permanent residence, minimum energy degree D. Interested parties can request this assistance directly through the financial institution to which they gave the mortgage.