variable mortgage bbva – idealista / news

BBVA joins the long list of entities that offer a variable mortgage with a differential of less than 1%, although with conditions.

Your 30-year home purchase loan establishes a fixed interest rate for the first 12 months, which stands at 1.99%. After that first year, the bank offers the customer the possibility of reducing the rate up to Euribor + 0.99% (1.42% APR), as long as some bonuses are applied.

Specifically, that domicile sus ingresos (with a minimum of 600 euros for an employee, 300 euros for a pensioner or the self-employed quota in the case of self-employed workers), who hires a home insurance (with an Allianz policy) and that you purchase a loan repayment insurance that covers at least half the amount of your mortgage. In the event that this 50% exceeds 150,000 euros, it is enough that the insurance covers that amount. In addition, for the differential to remain below 1% during the life of the mortgage, it is necessary that said insurance be in force and up to date with payment.

In the event that the client does not want to direct income or take out this insurance, the interest rate of the variable mortgage rises to Euribor + 1.99% (2.52% APR).

Other conditions of this loan is that the age of the client plus the life of the loan cannot exceed 70 years, and that it is only available to people who live in Spain and have their income and assets in euros.

It should also be taken into account that the entity establishes commission for early termination, either partial or total: if the disbursement occurs in the first five years of the mortgage, the penalty is 0.15% of the amount amortized ahead of time. As of the sixth year (inclusive), this commission disappears, as dictated by the mortgage regulations that came into force in June 2019. Amortizations must always be at least 300 euros.

However, this variable mortgage It has no opening commission and allows you to finance both the acquisition of a habitual residence and a second residence. In general, the bank grants the lower of these two amounts: up to 80% of the purchase price or the appraised value of the first home and up to 70% in the case of a second home.

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