We help you get your bridge mortgage in Malaga in the best conditions. We are in charge of filtering the mortgage market and negotiating directly with each entity to ensure the best conditions.
We process your bridge mortgage and help you sell your house
We process your mortgage for house change Free If you buy with us, and we will take care of selling your house so you don't have to worry about anything.
Thanks to our real estate and financial departments and our great teams of professionals, we will be able to give you a complete service from the beginning to the end of the process.
We will take care of selling your house while you are already enjoying your new home, and we will also get you your bridge mortgage in the best conditions.
We take care of everything for you to save you time and money. We assign you a personal advisor who will accompany you throughout the process and will keep you informed of each step.
Request your free financial advice and we will inform you of all the steps and requirements to obtain your bridge mortgage.
We will advise you on the conditions of your mortgage, installment, term and everything you need for your peace of mind. Our advice is completely free and is focused on guiding our clients.
Steps to obtain a Mortgage for house change
We explain the steps we take to get you the best mortgage for house change:
- Financial advice: We prepare your profile to indicate the requirements and conditions of the mortgage.
- Submit the mortgage: We present your mortgage in different banking entities in your name according to your needs.
- Negotiation of conditions: Once we have a response from all the banks, we negotiate directly with each one to lower the interest rate and ensure the best conditions.
- Choose your mortgage: All bank offers will be presented and explained to you so that you can choose the mortgage you want.
- Appraisal: we manage and accompany the appraiser
- Accompaniment to notary: On the day of signing before a notary, you will be accompanied by your personal advisor as throughout the process.
FREE FINANCIAL ADVICE
What is a House or Bridge Mortgage?
Normally, if you want to change houses, you sell yours and use the money to buy the other one and to pay off the mortgage you had outstanding. But what happens if you still can't or don't want to sell your current home? Hire a bridging mortgage may be the solution.
A bridge mortgage is a product that allows you to buy a home while the current one cannot yet be sold. The bank provides facilities to the client so that they can pay lower installments until they sell their current mortgaged property.
That is, requesting a bridge loan can be good for you if you have a house with an outstanding mortgage, you cannot (or do not want to) sell it yet and you want to buy a new home.
The bridge mortgage It is a very interesting formula, but, nevertheless, little known.
It is a loan that allows you to buy a home while the current one, which is also mortgaged, is sold. Starting from the initial mortgage, the amount of the loan is increased, incorporating a second guarantee that corresponds to the new home.
While the sales process lasts, it is usual to apply a grace period in which the client only pays interest. Once the home is sold, the outstanding amount corresponding to the first guarantee is paid, leaving the mortgage loan associated with the new home “live”.
How a mortgage changes house or bridge works
1. Contracting the bridge mortgage
The bank will grant you a mortgage loan on both homes; the one you will buy and the one you still don't want or can't sell. That is, you will have two houses mortgaged with the same credit. You will have to use the money he lends you to pay for your new property and to pay off the mortgage you had on your other house.
2. Payment of lower installments until a buyer is found
The entity that grants you the bridge mortgage will normally give you a margin of between six months and five years to sell your old property, depending on your policy and what you can negotiate. During that time, you will enjoy a capital gap, which means that your payments will only be interest (not principal). That is, you will pay very low monthly payments until you manage to sell your house.
3. Sale of your previous home
When you find a buyer within the period given by the bank, you will be able use the money from the sale to pay off part of the debt (the equivalent of the mortgage you had before) and free your old house from burdens. From that moment on, you will have a conventional mortgage on your new home and you will pay normal installments, made up of capital and interest.
Advantages and disadvantages of a Mortgage for house change or bridge
Advantage
More time to sell: You will be able to finance the purchase of a new home and you will have several years to sell your current property.
More facilities to pay: Until you manage to sell your old house, the bank will charge you very low installments, because it will apply a capital deficiency.
Disadvantages
It's more risky: If you don't manage to sell the house in the time the bank gives you, you will lose the grace period and will start paying very high installments. In the worst case scenario, if you cannot afford those monthly payments, you run the risk of losing both homes.
Your current home may lose value: If the economic situation worsens over the next few years, it is possible that your house will depreciate in value over time and you will be bought for less money than you had anticipated. That hurts you, because you will be able to pay off less debt after the sale and you will be left with a larger mortgage (and with more expensive payments).
Requirements to request a bridge mortgage
We are not going to lie to you: in the same way that a bridge mortgage solves your life if you want to buy a new house but you have not sold the one you already have mortgaged, it also involves its risks. Therefore, We only advise you to request one if these conditions are met:
- If your house is “saleable”: It is not advisable to take out a bridge loan if you are going to have difficulties selling your home because it is in poor condition or in a bad location, for example.
- If home prices are low: Thus, if you sell your house in a few years, you will have more options to get more money than if you sell it now.
- If you can pay the installments in case you cannot sell your house: Its amount without grace period should not exceed 35% of your net monthly income.
Request a bridge mortgage
We take care of processing your bridge mortgage and avoid travel and loss of time. Request your financial advice from our advisor and he will inform you of everything for free.
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