Mortgages involve a person guaranteeing the payment of a debt or obligation with an asset, usually real estate, so that if the debt is not satisfied, the asset can be auctioned. They allow individuals to obtain financing for their needs. The person establishing the mortgage always has the right to choose the notary who will advise them.
Required Documentation:
ID card (DNI), passport, NIE, or residence card of the individuals establishing the mortgage, or documents proving the identity and representation of legal entities.
Title proving ownership of the property subject to the mortgage or a note from the Property Registry.
If necessary, for example in a consumer mortgage, the prior material transparency certificate must be processed.
Mortgage Cancellation:
This consists of registering in the Property Registry that a mortgage debt has been paid, so the property appears free of that charge in the future.
Requirements:
Request from the financial institution that granted the mortgage a certificate confirming that the mortgage debt has been paid.
At the signing at the notary, only the representative of the financial institution attends, who must prove their authority according to general corporate representation rules.
Novations and Subrogations:
These are modifications of a mortgage that may vary in content. For example, there may be changes in the mortgage debtors (adding or increasing their number), changes in the creditor entity, extensions or reductions of term or principal, or adjustments to the interest rate.
Requirements:
Generally, both the financial institution and the individuals remaining on the mortgage must sign. This requires physical persons to present their ID, passport, NIE, or residence card, and legal entities to present documents proving their identity and representation.
In some cases, a prior material transparency certificate must be processed (it is free).
Prior Material Transparency Certificates:
These are notarial proceedings related to consumer mortgages, allowing the client to review the future mortgage with the notary calmly and without pressure, as only the client and the notary are present. The person establishing the mortgage always has the right to choose the notary. This is a free notarial service.
Requirements:
The client(s) must inform the bank of the chosen notary.
The bank sends a series of documents electronically to the notary, and in Catalonia, the mortgage cannot be signed until 14 calendar days have passed since the sending, or 10 days if the client waives the extra period established by Catalan law.
The client goes to the notary, who will explain all the documents personally. After that, the mortgage signing date can be scheduled.
Deeds in Payment (Daciones en Pago):
These are contracts in which an asset is delivered in exchange for the extinction of a previous debt, thereby releasing the former debtor.
Required Documentation:
ID card (DNI), passport, NIE, or residence card of the individuals, or documents proving the identity and representation of legal entities.
Title proving ownership of the property being delivered in payment.
Identification of the debt to be extinguished.