Single European mortgage market

The Central Committee via Barnier, 10/12/13:

[The Mortgage Credit Directive] introduces responsible lending practices across the EU. Consumers will be better informed as lenders will have to provide them with a standardised information sheet so they know the risks but can also shop around for the best product at the best price to suit their needs. It ensures that vulnerable consumers are protected by reducing the risk of over-indebtedness and default. Creditors will be encouraged to apply reasonable forbearance when confronted with consumers in serious payment difficulties. It will also, in the long run, provide lenders with new business opportunities through the creation of a Single European Mortgage Market. Credit intermediaries that comply with the new business conduct rules will gain access to many more potential consumers in the single market via the passport regime. This will result in more EU-wide competition and is expected to drive down prices in the long run.

I assume this rather important step towards the single market chimera (imaginary airy mine/infernall Monster: your choice) is Eurozone only, and wonder how long ago it became possible in the US, for example, to use a house in one state as security for a mortgage on a house in another.

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  1. Yes, but will it overturn the abominable law in Spain which stops me paying off more than €5k extra per year in order to keep me in debt for as long as possible?

  2. That’s a new one on me. A very good friend had a brief 50K one years ago and paid it off six months later with afaik no penalties.

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