The remortgage package, branded Lloyds TSB and available through branches and brokers, means clients owning Spanish property can remortgage, with Scottish Widows Bank picking up the notary and registry fees.
The lender also allows clients to add fulfillment and valuation fees to the loan.
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. 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.”
According to Datamonitor, 540,000 people owned holiday homes in Spain in 2004 and Scottish Widows believed a significant number could benefit from remortgaging.
The lender believed it would be helped by the fact it is a recognised UK brand and it is able to help support the whole buying process.
Adrian Holland, international sales manager at em-international, said: “The remortgage market in Spain has been non-existent up until the last few months and of the three offerings currently available, this Scottish Widows product is the strongest by far. They have spent a bit of time researching with brokers to find out what they want and this product will be very useful. I expect it to do a lot of business.”
