GASCÓN BERNABÉU ABOGADOS
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SPEAKING SPANISH LAWYERS
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MORTGAGE SETTLEMENTS
Mortgage Settlements in Spain (Dación en Pago)
For many property owners in Spain, keeping up with mortgage payments has become increasingly challenging in recent years. Changes in personal circumstances, rising living costs, or the end of an interest-only period can all lead to financial strain. If you’re facing difficulties with your mortgage, you should know there are legal solutions that can help you move forward. At Gascon Bernabeu, our team of English-speaking solicitors in Spain specialises in assisting clients through this process. We bring together legal knowledge and a hands-on approach to help reduce the stress of handling mortgage arrears, all while working to safeguard your financial future.
How English-speaking solicitors in Spain can help you
Every mortgage situation is unique, and there is no single solution that works for everyone. At Gascon Bernabeu, we start by reviewing your circumstances in detail so we can identify the most effective approach. Our English-speaking solicitors in Spain are highly experienced in negotiating directly with banks and mortgage lenders, working to secure the best possible settlement for our clients. In many cases, this means helping you dispose of the property in a way that fully resolves your debt. This can involve either a legal arrangement where the property is returned to the bank in full settlement, known as a dación en pago, or a managed sale to a third party. Each route has advantages, and we can guide you through the process from start to finish.
Understanding the dación en pago process
A dación en pago is a legal mechanism that allows you to hand back ownership of your property to the bank in exchange for the complete cancellation of your mortgage debt. This option is particularly helpful in cases of negative equity, where the property is worth less than the remaining mortgage balance. Completion takes place before a notary in Spain, making the agreement binding and final. You do not need to be in Spain to complete the process; our English-speaking solicitors in Spain can arrange a Power of Attorney so we can sign on your behalf. At Gascon Bernabeu, we’ve helped many clients settle their debts through dación en pago agreements. This means they can walk away without any debt and without worrying about legal or financial issues in the future.
Managed sales as a practical alternative
While dación en pago is an effective option in many situations, the most common resolution we arrange for clients is a managed sale of the property to a third party. In this process, the property is marketed with the cooperation of your mortgage lender. In some cases, the bank will agree to accept less than the outstanding mortgage balance to allow a sale at the current market value. This benefits the bank too, as selling to a buyer means they avoid paying the taxes they would incur if they took ownership via a dación en pago. Our team will handle every stage of the process, from liaising with estate agents to securing the lender’s consent, ensuring the sale proceeds smoothly and your financial obligations are settled.
Why choose Gascon Bernabeu for mortgage settlements in Spain?
At Gascon Bernabeu, we’ve negotiated settlements for hundreds of clients over recent years, working with all major Spanish banks. This experience means we understand how each lender operates, the solutions they are likely to accept, and how to present your case in the strongest way possible. We’re committed to achieving the most favourable outcome for every client, whether that involves a dación en pago, a managed sale, or another tailored settlement option. When you work with our English-speaking solicitors in Spain, you’ll receive friendly guidance, straightforward advice, and a direct line of contact every step of the way.
Take the first step towards resolving your mortgage problems
If you’re finding it tough to keep up with your mortgage payments in Spain, it’s really important to reach out for help as soon as you can. The earlier you get advice, the more options you’ll have to sort things out. At Gascon Bernabeu, we’re here to support you with a free, no-obligation review of your situation. We’ll walk you through the different solutions available and help you find what works best for you. Whether you’re considering a dación en pago, a managed sale, or talking to your lender about better terms, our friendly English-speaking solicitors are ready to assist you.
You can get in touch with us by phone at +44 (0)20 3137 1320, via email at info@gbabogados.co.uk, via WhatsApp, or through the contact form below. We’re always on hand to help.
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