Youth Mortgages: Finding the Best Conditions for Home Ownership

The mortgage loan is a key moment in the economic life of any person. For many it is the biggest debt they will incur in their life and the objective is to find the best conditions for your mortgage. Specifically, the amount of the debt, the expiration term or the interest rate that are signed must be taken into account.

Las mortgage conditions will vary according to personal, work and economic circumstances of those who request it. The bank seeks the greatest stability to minimize the risk of non-payment. That is, the higher the risk, the higher the interest required. In addition, in general, mortgages offer a mortgage of up to 80% of the amount of the mortgaged house. Therefore, to be able to access it, you will have to have savings.

Given these demands and the escalation of house pricesfor young people it has become a problem that prevents or hinders access to a home owned. However, it is a part of society for which banks offer special conditions through the so-called youth mortgages for minors up to 35 years of age.

With discounts for young people

Among the current offers, for example, the Kutxabank Youth Mortgage –for people between 18 and 34 years old- allows you to choose between a fixed or variable interest rate. In the case of the variable interest rate, it offers Euribor plus 0.39% or plus 1.39%, depending on whether it is subsidized or not. For those over 35 years of age, 100 more points are added to the differential. For benefit from the bonus, a salary of at least 3,000 euros per month must be domiciled and take out home insurance and a pension plan. Of course, during the first year the interest will be fixed at 2.53% TIN.

The Cajasur Young Mortgage offers the same variable interest rate with and without a bonus. In addition, in this case it allows you to apply for the loan up to the 95% of home valuewith a maximum term of 30 years.

In the case of the youth mortgage that offers bankinter, you will be able to have up to 90% of the value of the home if you opt for interest at a fixed rate. The entity explains that “the lowest value between the purchase price and the appraisal value” will be taken as a reference. Another option available is to pay it in up to 40 years. It is intended for under 36 years of age -at least one of the holders- whose mortgage is allocated to the habitual residence. In addition, it requires that the joint minimum income of all holders must be greater than 2,000 euros per month. The interest rate will be Euribor plus 0.7% or plus 2%, depending on whether the bonus conditions are met. A fixed or mixed interest rate is also available.

At a fixed rate above 3%

For his part, Unicaja Bank They offer an interest rate for the variable mortgage for young people of Euribor plus 0.6% for subsidized mortgages and plus 1.6% for non-subsidized ones. It also offers the mortgage at a fixed interest rate of between 4.24% and 4.5% APR. Among its conditions, it includes a term of up to 30 years to repay your mortgage -as long as it is the habitual residence- and financing of up to 80% -in Castilla y León it will be possible to finance up to 97.5%-.

Another option is the young mortgage of Santander Bank that allows financing the purchase of a home with up to 95% of its value and with a term of up to 30 years. You can request the mortgage at a fixed or variable rate.