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Spanish residential mortgages fell for the 21st month in January as the euro area's fourth-largest economy edged toward a recession and banks reined in lending amid a surge in bad loans.
The government’s new ‘Code of Good Practice’ for mortgages has now been agreed by most Spanish high street and savings banks.
With millions now out of work and the Spanish economy contracting, one of the country's biggest problems is the vast number of people who now cannot afford the repayments on their mortgage.
Mortgages issued in Spain plummeted to their lowest level on record in July, according to the country's National Statistics Institute.
There have been protests taking place all over Spain against evictions being carried out because homeowners have fallen behind on mortgage payments.
Spain will ease conditions for people who can't pay their mortgages as floating interest rates rise and unemployment remains the highest in the European Union, the government said on Thursday.
The number of mortgages issued for Spanish homes in April registered a drop unseen since the end of the housing boom, confirming the weakness of a real-estate market that is penalizing the country’s banks and growth.
Spain’s Parliament rejected a law that would have eased the effect of mortgage foreclosures for home-owners unable to meet payments.
Spanish developers and their funding banks have been successful in selling off key ready apartments with a killer combination of hefty discounts and 100% mortgage offers... But now the banks are starting to withdraw their best Loan-to-value deals.
Bridging loans can help you snap up a bargain holiday home, but it's important to be aware of the risks.
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