The dream of any Spaniard is finish paying the mortgage. But, when the total amount is delivered to the bank and it can be said that the house is already owned, an important procedure must be carried out to end the process.
As published by the Bank of Spain in the blog on its website, to put the icing on the cake, you have to carry out different steps that the payer must face to put an end to your mortgage.
Even if the loan has been paid, the debt continues to appear in the Land Registry. At the initial moment of the acquisition of the house, both the deed of sale and the loan were signed before a notary, and both were registered in the Registry.
Although the registration cancellation of the mortgage is not mandatory, it is convenient. The buyer can personally take care of the procedures and save the agency fee, or entrust it to the bank with which he had the mortgage.
Notary and registry expenses
Mortgage cancellation expenses are regulated by Royal Decree-Law 18/2012, of May 11. The exact amount will depend on the amount of the loan.
Agency fees
They will depend on the rates applied by each agency, since they are not limited by law.
Mortgage early repayment commission
During this year, the early repayment of variable-rate mortgage loans is exempt from commissions, according to Royal Decree-Law 19/2022Opens in a new window, which includes aid for citizens with mortgages.
For fixed-rate loans (and from next year for variable rates if the standard falls), in the event of early repayment, the entity may apply a commission, which will vary depending on the date of contracting, before or after June 16 of 2019.
2023-07-01 07:47:39
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