Glossary of Terms relevant to Spanish Mortgage

Ayuntamiento
Local town hall
Cancelacion
Redemption of mortgage
Carencia
Grace period/interest only
Comision de apertura
Bank arrangement fee
Contrato Privado
Private contract
Cuota
Monthly mortgage payment
Escritura
Deed
Euribor
European bank base rate
Hipoteca
Mortgage
IAJD (Impuestos Actos Juridicos Documentados)
Tax on raising a mortgage charged at 0.5% of mortgage liability
IBI (Impuestos de Bienes Inmuebles)
Local annual property tax
IRPH (Indices referencia de prestamos hipotecarios)
Spanish average mortgage rate over the last 3 years
ITP  (Impuesto sobre transmisiones patrimoniales)
Tax on capital transfers, paid by the buyer at 6% or 7% depending on the region
NIE
Foreigner’s identification number. Every foreigner must have this in order to enter into a legal transaction in Spain.
Nota Simple
A report taken form the Property Register confirming the description, ownership and debts associated to the property
Licencia de Obra
Licence to build granted by the local town hall
IVA
VAT on new properties at 7% except in Canary Islands where it is 5%.
Novacion
Change to the terms of a financial agreement
Oferta Vinculante
Binding mortgage offer
Plusvalia
Capital gains tax
Registro de la Propiedad
Property register
TAE
Annual Percentage Rate, APR
Tasacion
Lenders Valuation
Tipo de interes
Interest Rate
Amortización
Capital & Repayment Mortgage
Cancelación anticipada
Early Repayment or Early Redemption
Cancelación Registral
Register Discharge
Carga
Encumbrance or Registered Charge
Cédula de habitabilidad
Occupancy Certificate
Gestoría
Solicitor
Verificación registral
Land Register Check
Subrogación de deudor
Re-mortgage of the debtor)
Subrogación
Re-mortgaging with another lender
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