The Spanish mortgage market does not stop advancing. The number of mortgages constituted on homes registered in the property registries was 29,287 in July, the highest figure in this month since 2011 and 14.6% higher than in the same period of 2017, according to the National Institute of Statistics (INE). Not only increases the number of mortgages, but also the average amount of loans, which increased by 2.1% compared to July 2017, to 125,120 euros, while borrowed capital rose 17% year on year. Even so, the average price is still below the highs of December 2008, when it reached 132,000 euros.
If you are also considering asking for a mortgage, what elements should you evaluate to know to what extent your profile will benefit you when negotiating the loan? What will the banks look at most about your situation?
The best job? Official
With regard to the labor situation, if the dilemma were to finance the acquisition of a home for a worker who has a temporary contract or a self-employed person, what would be the choice of the banks? "The self-employed worker can be an interesting profile, as long as there is seniority and a declaration of solvent income is made," explains the general director of the intermediary Your Mortgage Solution, Ricardo Gulias. "Some entities penalize temporary contracts a lot, so these citizens can have great problems to get financing, in some cases it is almost impossible mission," he adds.
"It is true that the entities seek job stability, but in this case they would prefer the worker with a labor contract," says Manuel Gonzalvez, director of mortgages for the iHard banking comparator. In this way, in a ranking ideal for workers who ask for a mortgage, banks would put officials at the top, "both for their continuity in the workplace and their income level", in the words of Gonzalvez. A place that also occupy the employees in companies of reputation, according to Gulias. "The bank investigates the companies of the mortgaged futures to find out their solvency and stability", says this expert.
Unemployed, the last
These workers are followed by those who have an indefinite contract greater than one and a half years, and indefinite contracts of more than six months. "As a fourth option would be temporary workers and then retirees," he adds. The profiles that are in the queue are, in their opinion, the self-employed and the unemployed. At the opposite extreme, and if the focus is on income, with a high level of income and the willingness to accept some products linked to the mortgage, such as deposits or insurance, better conditions can be obtained with respect to those of other users. .
"A client who earns more than 3,500 euros a month can get lower interest rates than one that charges 2,000 euros, and it is possible that they give more than 80% of the financing for their home," says Gonzalvez. A debt that does not exceed 35% of what you enter is another factor that banks will value when negotiating with your client, in the opinion of Gulias.
Boyfriends or marriage?
In the very common case that to ask for the loan are two people together, the relationship that exists between them will be of utmost importance to the bank: it is not the same being a married couple or presenting as a couple. Since, in exchange for the loaned capital, the primary objective of the entity will be to collect the monthly payment with the interest, the fact that the couple is a marriage will have priority. Once again, the conviction is that the marriage contract offers more guarantees of stability, since its legal framework configures a clear regulation in which each mortgaged person knows what to expect.
In the case of a couple, friends or family, it will be appropriate to "agree on rules between the borrowers and raise them to public deed, so that everyone knows their responsibility and what would happen if the relationship broke or someone died," suggests Gonzalvez.
First home, better
Most of the mortgages are contracted to acquire the house in which you want to establish the main residence, although the real estate portal Fotocasa records a clear increase in the purchase and sale of houses for second homes in Catalonia – where it has gone from 13% of the operations in 2017 to the current 15% – and in the Valencian Community – where it rises from 8% to 12% -. But among the actors in the market are not only private individuals, but also private ones that come together to invest in a real estate market in which the profitability of the rent does not stop growing.
However, "the bank likes the single more or the couple that acquires their first residence; the strange combinations in vogue in the past, like the friends or brothers who bought together to invest are very penalized, "says Gulias. In the same line, Gonzalvez states that "banks always prefer buyers who want the house as a first home or as a second home, in front of investors." The reason? "For the entities, the clients that live in the mortgaged house are more reliable when paying against those who have bought a house with the sole purpose of making a profit", says this expert.