When we consider the request for a mortgage, before even entering repayment terms, the possibility of considering the different mortgage models based on interest rates, repayment terms, the possibilities of grace periods, expenses, etc.; actually, it is more than likely that the first question that does not arise is about the convenience of approaching mortgage proposals through the Internet, since it is universally accepted that they are cheaper.
And despite the fact that in recent months the spreads on online mortgages have been dangerously approaching the spreads on conventional mortgages, the truth is that yes, they are still cheaper on average.
There is no mystery behind this cheapest mortgage option. Logically, online contracting exempt the lender from expenses that conventional contracting does not, but, in addition, the very policy of granting mortgages on the Internet, limited to low-risk economic profiles for the entity, allows exactly what it does lower costs.
Of course, another of the important advantages that this type of mortgage presents is the fact of the agility in contracting and processing. Actually, the lion’s share of contracting these mortgages can be forged from the comfort of our own home, which we will only have to leave for the notarial signature; in addition, it is true that once the initial procedures have been approved and the mortgage has been granted, the speed The average concession is higher than that of the conventional mortgage.
But not everything is rosy; in the first place, the online mortgage is much more restrictive (as if that were not enough) than the conventional mortgage; it is only shown to be of interest to clients with minimum risk profiles in payment. Therefore, the tightening of the minimum concession conditions is really remarkable.
In the same way that we are offered a fast and agile contracting model, the elimination of the concept of intermediation, or its reduction to a minimum, means that we are faced with a proposal in which the margins of negotiation are minimal, certainly unlike contracting a conventional mortgage where personal intermediation theoretically provides a greater contracting margin.
Likewise, on average, these capital one mortgages are more rigid in terms of maximum financing limits and repayment terms.
In summary
The truth is that the way things are presented today, and with mortgages with increasingly lower spreads regardless of whether the contracting is done in person or online, we cannot establish great differences between some options and others; even more, some online entities maintain differentials even above those that we can find in some face-to-face offers.
Therefore, the conclusion to this question, to this debate, at least for now, is that we are not going to find substantial differences beyond the particular tastes or the desire of the user’s contracting model, since what enhances a value as a model, is compensated with its shortcomings and vice versa in the opposite case.
Or put another way, in the process of lowering the price of mortgages, if you want to find a cheap mortgage online, you will talk about finding and if you want to do it in person, you will also do it, the differences between the two is really insignificant.
