As you might be aware since recent times there have been already several court decisions declaring null and void the minimum interest rate clause in the Spanish mortgage contracts as mortgages with the interest linked to the Euribor should fluctuate (that is the so called “hipotecas con cláusulas suelo” or “floor level mortgages” in which it is stated that the interest could not fall below a certain level unjustly). The main consequence is that the banks affected have already started procedures to speed devolutions to their clients in order to avoid large and expensive lawsuits.
But this is not the only good news for mortgage holders as now the Spanish High Court in a historic resolution has established last 23rd of December 2016 that also all expenses directly related with the mortgage – that were always assumed by the borrower – from now on should be always been paid by the lender.
Which are these expenses? The expenses included are all related with granting the mortgage public deed and its recording in the Property registry in favour of the mortgagee, that is, the bank: the notary fees, land registry fees, the valuation of the property by expert chartered valuation companies and the stamp duty tax. Although with the stamp duty there might be some doubt if the mortgage holder is entitled or not to recover the tax paid, there are enough arguments to defend that if the borrower acted as final consumer and not entrepreneurial also the stamp duty tax should be included and paid back.
As this Court resolution is quite recent there are still no banking arbitration procedures for devolutions established yet as it happens in most bank entities with the “floor level mortgages”.
In any case these are very good news for bank clients. Remember that n order to enforce both claims you must be aware that you just need copy of the mortgage public deed (or property purchase deed, if the mortgage was incorporated upon the property purchase).
However an in order to provide you with an accurate advice on your potential claim do not hesitate to contact us.
Would be great if you could also include underneath the article my logo of IURISNAUTIC in burgundy or in blue (see attached in .jpg and .cdr.)
