Scottish Widows Bank launches Own Overseas remortgage product
21 November 2006
Scottish Widows Bank has announced an enhancement to Own Overseas, its service for UK residents wishing to buy a property in Spain.
The service, which is branded Lloyds TSB and administered by Scottish Widows Bank, offers a range of flexible Spanish mortgage options and a complete service to navigate buyers through the entire buying process.
To make the service accessible to both current and new Spanish holiday homeowners, the direct bank has announced a remortgage package which offers customers a competitive alternative to their existing Spanish mortgage arrangement.
Customers who remortgage to Own Overseas will have the choice of adding the fulfilment and valuation fees to the loan. Although customers will be required to pay the stamp duty costs, Scottish Widows Bank will pay both the notary and registry fees.
The Bank has also introduced a tiered fee structure as well as a new tiered rate for customers taking out a variable rate Euro or Sterling mortgage. In addition to this, the proposition offers customers the choice of an interest only or a repayment mortgage, giving them the flexibility to reduce payments if desired.
Gordon Bowden, Business Development Director at Scottish Widows Bank, commented: “Despite the significant size of the market, remortgaging isn’t common in Spain - largely due to a lack of attractive remortgaging packages from lenders. According to Datamonitor in their 2004 Buying Property Abroad report there were approximately 540,000 Britons who owned a holiday home in Spain. Within this group, there is likely to be a significant number of people who could benefit from a more competitive deal.
“The Scottish Widows Bank Own Overseas remortgage package offers a cost-effective solution to existing owners and investors looking to remortgage on their Spanish properties. By covering the notary and registry fees and allowing customers to add the valuation and fulfilment fees to the loan, our remortgage package aims to make the transfer to a new lender as easy as possible.
“Customers will also benefit from the familiarity of dealing with a UK based lender who will help to navigate them through every aspect of the process.”
