Mortgage credit lending
A mortgage in a foreign bank is a convenient and more efficient way to acquire real estate abroad.
The main advantage of mortgage credit lending abroad is the loyal interest rates. Thus, fixed mortgage rates in Europe and the United States vary within the bounds of 3-6% per annum. Banks are usually granting between 50% - 80% of the required amount to the residents.
Bank policy in relation to the potential borrower is quite simple. The investor should prove a source of income that allows the interest and the loan amount to be covered. Banks may also ask for information about solvency history and availability of other real estate in the country of residence of the investor.
The most popular countries among the foreigners for mortgage receipt are Latvia, Czech Republic, Spain, and France. It is easier to receive a mortgage in these countries than, for example, in Italy or the UK.
Mortgages in Latvia
Latvian banks are quite happy to grant mortgages for non-residents. An important stage in the process of loan receipt in Latvia is confirmation of the investor’s funds. Loan interest rates are between 5-7%, on average, but some banks offer lower interest rates for non-residents with high purchasing power. In order to obtain a mortgage in Latvia, it is also required to have at least 40% of the cost of the property and to open an account in the bank, granting the loan.
Mortgages in Spain
The investor has to pay about 10% of tax levies and to have about 40% of the cost of the acquired real estate. Interest rates in Spanish banks are between 4-5%, on average. There is also the possibility of early repayment of the mortgage with no penalties.
Mortgages in France
The lending policy of French banks makes mortgaging in France one of the safest and most popular. France imposes more stringent requirements for potential borrowers, but this is compensated by low interest rates - from 1.9 to 3.5% and the loan amount of up to 70% of the cost of real estate. Mortgage repayment period in France is 30 years with the possibility of early repayment.
Mortgages in Czech Republic
Czech Republic is another country where obtaining a mortgage can be fairly straightforward. The foreign borrower needs to make an initial payment of 40-60% of the cost of real estate. Rates are defined at the level of 4-6% per annum. Early repayment of mortgage is also possible.
Mortgages in USA
Interest rates for foreigners who wish to obtain a loan in a US bank are much higher than for the residents. Nevertheless, it is possible to receive a mortgage in the USA. Possession of a green card or work visa, along with a letter of reference from a foreign bank will significantly simplify the process of receiving a mortgage in the USA. The average cost of US credit, depending on the state and other factors, is 4-6% per annum. Initial payment will be between 30% -50%. We will provide detailed information on the elite real estate lending process in your country of interest, we will assess your situation and will provide assistance in obtaining a mortgage in a foreign bank at the most favourable terms.*
A provisional list of documents required for the review of application for granting a mortgage:**
- Valid passport of the investor;
- Information about income;
- Certificate of absence of debts;
- Confirmation of the solvency on the initial payment and other expenses related to the acquisition of real estate;
- Draft of the real estate purchase agreement.
* Terms and conditions of mortgage lending for EU citizens and non-EU residents may differ** In addition, foreign banks may request other documents confirming the solvency and reliability of the client.
** In addition, foreign banks may request other documents confirming the solvency and reliability of the client.
In case you have any questions, you can contact our specialists.
We are super happy with the house as well as with yours and Vasile support and professionalism!! Dubai needs more people like you in this business.2017, Maria Pichon
We recently bought an apartment in JLT and the company helped us to find our dream home in our budget. Especially I was very impressed to get excellent service and co-ordination.2017, Varsha Lohia
Umer farooq is brilliant and help us a lot in getting the apartment and paper works done quickly. Thanks for the good service of Umer and your staff.2017, Merick Pinto
I recently worked with Imraan and Tarun, who recently helped me purchase an apartment in Executive Towers along with subsequent rental of the same place. I was really impressed by the level of service and commitment during the whole process and will be happy to work with them in the future as opportunities arise.2017, R. Subramani
Linda and I want to thank you for the excellent service you have given us during the past week in finding and securing our long term rental. We particularly appreciate the many up-dates you gave when there where delays in the process and no real news. Without your constant follows ups, I think the process would have taken much longer and may not have been successful.2017, Linda and Trevor
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I have been very pleased with the service and the results the company has provided for the renting of our Villa. The Website is very well organized. The people are great. There have been no issues with deposits, rental payments, or damages. The volume of enquiries and renters has been very good. I am most grateful to have such a wonderful organization working for us.2017, Ken Andre
I am very happy with real estate service. Only a short while after I listed my 2 condos with them, they managed to find long term rental tenants for both units. The rental of the first unit only just has been agreed ( for 6 months), when suddenly they also found a tenant for my second apartment for 12 months. The company took care of all the paperwork (rental agreement), and secured the deposit and down payment ! They are working very professional, fast and has a large customer base. I have listed my properties with several agents on the island but most of them are just a waste of time.2017, Claudio Strey
As per our phone discussion yesterday. I would just like to pass on our thanks to real estate company and your team of property caretakers. All dealings and transaction from the commencement of the lease to our departure have been seamless and easy. This made a big difference to our peace of mind while going through the process of settling in a foreign country, unfamiliar with customs and protocols...let alone the language. Our lease arrangement and tenancy always felt like a set and forget arrangement adding to the extended holiday feel. Anand, our caretaker and his team were fantastic, we felt secure and well looked after for the duration. Nothing was ever a problem for Anand and his team. We will be returning in the medium term. We'll be sure to be back to real estate company to browse the properties you have on selection.2017, Anthony and Anne
Everything went well with the house on Cape Yamu and we will be moving in today. Just wanted to say many thanks again for your great help and efficiency in finding it- everybody is very happy!2017, Beatrice Boehmer and family
Very pleasant agent with excellent English skills, gave us attention and reassurance during our searches. Nothing was a problem, discussions and attentiveness even after the activities where complete. Above and beyond the expected service which was provided, these types of services give a good start to any re-location.2016, Andrew, England.
Great Service - real good understanding for an effective and fast solution on rental. The contract was made and explained on time and a good ambience between landlord and renter established right away. Thank You also for Your agents excellent english language skills and knowledge and education on aspects around rental.2016, Rudolf, Austria.
I thank you for well-done work. Your readiness to react to inquiries of the clients in no time and your professionalism are higher than any praises! Especially I would like to emphazise the work of my personal manager, whose invaluable assistance helped to close the deal in the shortest time. Everything was done quickly and perfectly! I thank you for perfectly performed work!2012, Yulia
Thank you for making our stay in Riga enjoyable. The apartment could not have been in a better location - making it easy to see many sights. I would definitely recommend it to friends travelling to Riga. many thanks!2009, Karen
The agent (Alina Pakalne) was efficient, motivated, and very professional. She was able to sell my property in two months at the best market price. She helped me and followed me thought all steps of sale, papers, bank, and notary.2014, Gianpietro Carretta