Young people and families with dependent minors are closer to having their own home. Isabel Rodríguez, Minister of Housing and Urban Agenda, announced that the guarantees from the Official Credit Institute (ICO) for mortgages will be approved in February. "We are in the final stage of the procedures," said the minister.
From the financial comparator HelpMyCash.com they point out that this measure will make it easier for thousands of young people and families with dependent minors to access their first home, even if they have not managed to save the necessary amount that banks usually require to grant a mortgage.
"It must be taken into account that the Government will guarantee 20% of the mortgage loan, thus allowing beneficiaries to access mortgages with 100% financing," explain sources from the comparator. Although some requirements must be met.
Until now, it is known that young people aged 35 or younger and families with dependent minors will be able to opt for these guarantees, regardless of their age. In addition, an annual gross income limit of 37,800 euros is required, although HelpMyCash clarifies that, in couples, this figure applies individually to each member, with an addition of 2,520 gross euros for each dependent child. Single-parent families also have an additional increase of 70%.
Experts warn, however, that all applicants for these guarantees must have minimum savings equivalent, in general, to 10% of the price of the property. "This money will be used to pay expenses and taxes derived from the sale," they say.
With these requirements, it is possible to anticipate what the maximum budget that can be allocated to the acquisition of the new home will be. "If we count a couple, where each one has a gross income of 37,800 euros per year in 12 payments, the maximum amount of the property would be 314,688 euros," say the comparator specialists.
This is because banks will only approve the mortgage if no more than 30% of the monthly net salary is allocated to paying the installments. An average interest of 3.5% and a term of 30 years are also contemplated, conditions that are currently found in the market.
But these figures vary depending on the individual situation of each person, so HelpMyCash suggests using the budget calculator to determine the maximum amount of the home based on personal and family income.
It is also important to mention that several autonomous communities, such as Madrid, Murcia and the Balearic Islands, already offer guarantees and public aid for mortgages aimed especially at young people. Others, such as Catalonia, offer reductions in sales taxes, which means that the savings necessary to request ICO guarantees could be less than the usual 10%.
"Those who meet the requirements and have this savings base to cover expenses, we recommend that you start comparing mortgages. Although ICO guarantees can represent an interesting alternative, it is important to do your research until you find the mortgages that best fit to your needs", conclude from HelpMyCash.
