How Spanish mortgage regulation affected home loan brokers in Spain
Spanish Mortgage regulation was introduced in 2019. Due to regulation changes Independent brokers on Spain have been reduced significantly. Spanish mortgages are now regulated.
The Spanish Mortgage market allows for two types of intermediaries but only one is truly independent.
Which Brokers can only give with limited advice and guidance in Spain
The first type of loan broker is only authorised to present a client to a specific lender. Whilst they are able to work with more than one lender. Also can explain the overall conditions of that lender. They cannot go beyond this.
General information of the Spanish Banks can be provided. Also criteria and Spanish loan process. However they cannot actively assist in the application process.
If a buyer wishes to make an application the broker may only pass the contact details to the Spanish Bank . Then the Bank themselves must then make direct contact. The Lender cannot, under the regulation, liaise with the broker at all. This is in terms of negotiating conditions, helping with paperwork or communication.
All aspects related to applications in Spain must be directly between the Spanish Bank and the applicant.
The broker will receive a payment from the lender at completion. For the introduction. Despite not assisting in the actual application process.
Which Brokers can provide a full Spanish loan application service
intermediaries who are regulated and authorised by the Bank of Spain.
This type of broker must have completed and passed the Bank of Spain exams in order to enable them to fulfil a more complete role.
They will be certified and registered by the Bank of Spain. In addition to initial exam must also continue to take updated courses as and when required.
Bank of Spain authorisation means that the broker can and must provide access to the majority of lenders in Spain.
This means they must demonstrate the ability to place an application from a variety of lenders. The individual or company are able to assist fully in the entire application process.
Therefore they can negotiate on pricing, so rates and conditions.
Benefits of a broker over direct mortgage applications to Spanish Banks
Most Spanish Banks do not have set products but adapt offering to the client profile. Brokers know how far pricing can be reduced. Therefore gain better terms and conditions.
Knowledge of a range of lenders, rates, and underwriting criteria can prevent wasting time. Therefore avoid dealing with lenders in Spain who cannot deal with the applicants particular situation.
Having someone who can help the Bank in Spain interpret the foreign mortgage application documentation in a timely and effective manner can speed up the process significantly.
Using a qualified broker to undertake the communication with a range of lenders will save time and ensure there are no mistakes due to language barriers.
IMS provide access to Spanish mortgage regulation for applications
Clients can be sure they will access fully regulated mortgage application processes. You will obtain access to a wide range of lenders. Negotiations will take place to secure the best possible terms and conditions for you.
Everything explained to in simple terms. Also by experienced professionals with many years working in the Non resident Spanish Mortgage market.
Submission of documents. Explanation of the documents. All communication with lender will done on your behalf. Saving time and money.
For the best possible support and services. To be sure you are obtaining the most cost effective Spanish loan possible. Contact us today.