motgage

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I have one property in France, a hunting lodge in the charente which has no mortgage on it, I want to buy another property in 61 nomande so I will need to raise a mortgage any idears best way to get hold of this, ie put mortgage on existing to buy the new one, would like to hear your experiences advice,

[trevour]

Re Mortgage or any financing,

I would appreciate any advice also. We are selling our home (mortgage free, not a hunting lodge), and wish to buy another one.

What to do??

[zeb]

You could ask your bank for a pret a relais which is the French equivalent of a bridging loan but with much lower interest rates than in the UK.

The problem is that I think these have a 2 year life and if your property doesn't sell in two years...................?

[Patmobile]

We went to our French bank and asked for a 90% loan for a third French property.  Showed them our French tax returns as evidence of income, 6 months bank statements from our UK bank to prove no other loans or mortgages - and no excessive outgoings.  Came out with a loan.  No problem.

Patrick     

[Will]

As long as your payments on all loans, including the mortgage, amount to no more than one third of your documented income, and you want to borrow no more than 90% of the value, then French banks will be falling over themselves to offer you a loan, often at pretty good fixed rates for the full term.

If you don't have enough income or you want to borrow more then it's not impossible, but can get more difficult to find a lender.

In general French lenders work differently from their British equivalents in that they are primarily interested in your ability to repay rather than the security offered by the property.

 

[makeiteasy]

Hello,

a bridging loan seems to be the ideal loan and are not as expensive as in the UK.Raising equity in France is not necessary the best way to purchase a second home as interest rate are higher than mortgages and variable only.

 Hope it helps[;-)]