It seems that mortgages are back, or at least that is what emerges from the information campaigns of certain financial institutions, whose radio spots announce to great fanfare that in 2014 credit will be granted again. Indeed, it may be great news that the banks give credit again and that their resources are allocated to the real economy, as long as it is carried out under the parameters of a correct risk analysis, whose non-compliance has been, in my opinion, the cause of the brutal crisis we are experiencing, and from which, despite what the government says, we still have a long way to go.
From this crisis we have all learned many things, and among them, what and how is the relationship that we must have with financial institutions. In the same way that they analyze us before granting us any operation, the client must assess all those aspects that may affect him, before contracting any financial product.
Through this and other entries we are going to analyze the different expenses that a mortgage loan generates. The expenses that originate in a mortgage loan can be broken down into financial and non-financial. The first are those that imply a remuneration for the bank and the second are the payment for the services of those professionals who may participate in one way or another in their hiring.
The financial expenses are remunerative interest, default interest, the opening and/or study commission, the cancellation or withdrawal commission, the subrogation commission (either due to a change of bank or change of debtor) and the other commissions that are It can be established depending on the financial entity, such as the issuance of debt payment certificates.
Non-financial expenses are the appraisal of the home, notary and registry fees, payment of the documented legal acts tax and agency fees. With a character, in my malicious opinion, it is customary to say that the sum of all these expenses are the notary expenses.
I do not include in these packages of expenses, others that could be derived such as home insurance or life insurance, which may be required by some banks, although it is convenient to take them into account, because in the long run, they are expenses that also cut our money for other activities.
In this post I am going to refer to notary expenses, with practical examples. In the first place, it is convenient to highlight that notarial fees are regulated by a Royal Decree, the application of which is complex, and which makes it very difficult to give an exact estimate of a deed, before signing it, because there are elements that influence its cost. , which are only known once the document is signed.
The notarial fee has two aspects, in the case of mortgages: an amount is charged for the amount of the matter and other complementary amounts, for pages, copies, testimonials and output. In addition, the expenses made by the notary on paper (which is a tax) and for the information to the property registries or to some public administration will have to be reimbursed.
A.- AMOUNT OF THE MATTER
The amount of the matter is not the amount that the bank leaves us, but the amount guaranteed with the mortgage, which is what is called mortgage liability. Setting this amount depends on each financial institution. Let's see some concrete examples, obtained from my professional practice.
BBVA MORTGAGES. About 68% more than the loan.
CAIXA MORTGAGES.- About 36,25% more than the loan.
SANTANDER MORTGAGES.- about saying a 70% more than the loan.
SABADELL MORTGAGES.- About 58% more than the loan.
POPULAR MORTGAGES.- About 80% more than the loan.
All this is important in the notarial bill, although not as much as it might seem at first glance, since mortgages, when they fall on housing, are highly subsidized in tariffs. Let's see some concrete examples:
Mortgage of 100,000 euros of responsibility. Fees 151.40 euros.
Mortgage of 150,000 euros of responsibility. Fees 178.12 euros.
Mortgage of 200,000 euros of responsibility Fees 191.55 euros.
Mortgage of 250,000 euros of responsibility Fees 204.91 euros.
B.- DOCUMENT PAGES.
In addition to the rights for the amount of the matter, additional amounts are charged for the extension of the matter, at a rate of 3.06 euros for each written side, from the fifth page inclusive. This is the aspect that makes mortgages more expensive, since they are very extensive documents. Likewise, it depends to a large extent on the minutes of each bank, but it is also true that in this aspect, a way of working sensitive to people, can limit it as much as possible, on the basis of not incorporating any document that is not strictly necessary. . Depending on how each notary works, you can get price differences over 150 euros.
C.- COPIES OF THE DOCUMENT.- Once the document is signed, the copies must be issued, which are charged at the rate of 3.05 euros for each page or part of it and from the twelfth page inclusive, half of the previous amount, in the case of authorized copies and 0.60 euros per page, in the case of simple copies.
The normal thing is to issue an authorized copy and two simple ones. Its price, as can be seen, depends to a large extent on the length of the document and the appreciations that we have said regarding the charge per folio is extensible to copies. Therefore, depending on how each notary works, you can obtain price differences of more than 50 euros.
D.- The other aspects that influence the draft are essentially expenses made by the notary and that have repercussions. In any case, they are small amounts, which can amount to approximately 30 euros in total.
Let's put a price comparison based on the way the different entities act, minuting two simple copies and one authorized copy.
LOAN FOLIOS NOTARIAL COST
BBVA 45 100,000 587.98 euros
LA CAIXA 30 100,000 472.81 euros
SANTANDER 40 100,000 575.98 euros
SABADELL 38 100,000 493.13 euros
POPULAR 35 100,000 526.07 euros
With this it turns out that the notarial price of a mortgage depends on the amount of the matter, the documentation provided by the Bank to the Notary and the way each Notary works. Before signing any mortgage operation, our advice is to ask directly at the Notary for an estimate, at least approximate. A conversation at the notary's office, prior to the signing and with a willingness to advise, will open up many unknown aspects. For the rest, our advice is never to leave the choice of notary in the hands of the Bank.