Enlargement of free mortgage
The government has approved a decree that allows the free enlargement of the term of the mortgage loans for anyone that requests it any time the contracting bank gives his assent. This enlargement of the term of the mortgage it will be possible to request, without any cost, from May for two years. Nevertheless, this measurement raises someone questions that it is convenient to clarify.
To lengthen the term of the loan has a direct effect in the monthly quota that we pay. To reduce this monthly quota is for what one looks when it considers to lengthen period, but this measurement does not turn out to be a solution to the problems of the price of the housing or of the free increase of the Euribor. To lengthen the term of a loan of 150.000 from 30 to 40 years will allow us a reduction of less than 100 euros of monthly quota. If we lengthen a mortgage of 40 years up to 50 the reduction of the monthly quota does not come not to 50 euros. It seems neither just nor profitable to stick to the payment of the mortgage for ten more years for so small benefit.
This minimal reduction in the quota is due to the fact that when the term of the mortgage is extended what more it increases there are the interests that the bank takes. If we extend the term we will pay interests during more time and we will be late more in beginning to amortize the debt to the bank.
To lengthen the mortgage from 30 to 40 years, or from 40 to 50 years for example, has another consequence easy to calculate day by day: to bear the tensions, the economic problems, the increases of the extra Euribor for ten years weighs more than a reduction for 50, 70 or 90 euros. The worst thing is that the government tries to sell it like solution to an economic crisis that he needs much more than an enlargement of free mortgage to be solved.
at 9:36 am
Do I see it esperpentico, also, if the financial situation then av to better and you want to amortize mortgage must pay loq ue they "gave" you like expenses … certainly, fond it is measured to the housings of vpo that have the discounted interest rate?? (perhaps to these if they were interested in)
at 5:48 pm
Since that thing about the VPOs if that it would be interesting to know it. Is it supposed that not, that if you do an enlargement in the first 5 years you lose the helps, no? I am thinking about having heard something like that, or perhaps it depends on the clauses of every community (autonomous, not of neighbors).