Banco Santander reinforces its commitment to young people and expands from 1,000 to 5,000 The number of mortgages that it will offer to those under 36 years of age in which it finances 95% of the appraised value. Faced with average financing in the market of up to 80% of the appraised value of the home, Santander covers up to 95% with the aim that young people can face the purchase of your first home with less initial disbursement than in a standard mortgage.
The entity thus adjusts to the life cycle in the different groups, aware that the initial savings necessary to buy a home with a conventional mortgage often alienates young people from the real estate market and is one of the main causes of the delay in their emancipation.
Banco Santander launched the first phase of the program at the end of April last year with the offer of 1,000 mortgages under these conditions and in just eight months practically all the loans were sold.
To access these mortgages, the contracting party must have worked for at least one year and have a minimum net income (at least one of the holders) of between 1,600 and 2,200 euros per month, depending on the geography of residence. In addition, they have to provide a personal guarantee that will be in force during the first five years of the life of the loan. The maximum concession period is 30 years and the effort rate (percentage of monthly income that is used to pay the mortgage) must not exceed 30%.
The mortgage can be contracted at a fixed or variable rate, in some very competitive conditions. Clients and non-clients have all the product information on the website and in all the bank’s offices, as well as a young mortgage simulator with which they can calculate their installments.
Banco Santander has also adapted its mortgage offer to the new market situation with an improvement in the conditions of variable rate mortgages based on the loan and bonuses and an adjustment of the fixed rate.
