This rule regulates the figure of subrogation (together with the novation) specifically referring to loans and credits with mortgage guarantee, in both its substantive and fiscal aspects. This law was enlightened by the phenomenon (seen with perspective, incipient) of the phenomenon of the promotion of housing financed by banks, in which the buyers assume the loan from the developer that taxes the acquired property.
Exposed the concepts of the figure of subrogation, let’s see its lights and shadows:
The lights of subrogation in mortgage loan
Ease: the buyer is remarkably easier to subrogate in a live loan that “pilgrimage” between entities to seek financing offers.
Of two types:
The new debtor saves a new valuation, in addition to commissions for loan granting (commission for opening and study)
Posts tax: Exempt from the tax of Documented Legal Acts the operations of subrogation of debtor in mortgage loans. In this way, the buyer saves the tax that entails the creation of a new mortgage on the property that he acquires. As a general rule, the constitution of a new mortgage is made taxable of documented legal acts (AJD), one of those aspects has been brilliantly treated in this post.
In addition, in the Lend For All Canada event that the mortgage is constituted on the occasion of a sale and the seller has the mortgaged property, it will save the costs associated with the cancellation of your mortgage (notarial and registration fees, and bank fees for early cancellation, amen of other hypotheticals such as the so-called “commission for the preparation of documentation for cancellation”, whose legality is currently in question).
The “fiscal light” nonetheless has a simply relative brightness
Based on the assumption that the AJD Tax is transferred to the Autonomous Regions, some have established a total exemption from this tax on the mortgages that are set up to finance the acquisition of a habitual residence (in the case of my CA, Galicia, this The bonus is applied to the mortgage that finances the habitual residence when the seller’s mortgage is canceled, and up to an amount equal to the outstanding balance for the latter, so that it would only pay the amount of the new loan that exceeds the seller’s debt-the reason is clear: give a tax treatment identical to that of subrogation, in which the buyer assumes the outstanding debt of the seller, and if it is not enough to pay the price of the property and would like to finance the rest, would have to extend the original loan asking for more money from the bank, and that mortgage loan extension would be taxed)