Until the banks start lending again this situation will continue. You have to ask why would they? Their unsold stocks of property are still at record levels so why introduce market competition? They can charge what they like and offer built in mortgages with crazy conditions. Sabadell is currently offering 30 year interest only mortgages on their stock. 😯
The banks rule the Spanish market and as long as that situation continues the consumer will get a very poor deal indeed. Every investor knows interest hikes are waiting around the corner. The Euribor is bound to rise soon. Any on the ‘edge buyer’ will then find themselves in a very dark hole. All this crap should carry a health warning.
Financially savvy buyers would do well to keep away until all this stupidity is cleared from the market and financial norms return. My best guess 4-5 years. The market crisis is not all over.