shockingmoment Posted September 14, 2004 Share Posted September 14, 2004 Hi. We are close to having our offer accepted, so now need help with the mortgage. Any one offer any unbiased, impartial advice?We're unsure about repayments - monthly from UK bank account? What are the transfer charges like, and then there's the £/E exchange! We've a bit of work to do on the house - so would like to hang on to our deposit / fees etc and get a 100% mortgage....Help! and thanks in advance. Link to comment Share on other sites More sharing options...
BJSLIV Posted September 14, 2004 Share Posted September 14, 2004 The old advice is probabaly still correct, if you will be earning the money to pay off the loan in the UK, then borrow in the UK, If you will be earning in France, borrow in France. Whatever gain you may make in interest, can be more than outweighed by Exchange Rate swings, and money transfer cost. In addition UK lenders are less picky about who they will lend to; French banks are tied by very strict Income/ Loan rules and regulations. Link to comment Share on other sites More sharing options...
Lori Posted September 15, 2004 Share Posted September 15, 2004 If you are not buying a secondary home, we had no problem getting a 100% mortgage with credit agricole. We too used our deposit money to renovate the house. They had no problem with it. My husband's income, at that time, was earned in the U.S.A. We provided tax returns and pay stubs, plus a copy of his employment contract. It was so easy, it was scary ! Be sure to inquire about early pay-offs to your mortgage. There can be extremely high penalties for this if you take the low interest rate fixed mortgages. Good luck to you. Link to comment Share on other sites More sharing options...
Will Posted September 15, 2004 Share Posted September 15, 2004 Most French lenders work solely on your ability to pay off the loan - as a general rule the total of all your loans, including mortgage(s) should be no more than one third of your income. If you meet this criterion you should have no trouble getting a mortgage anywhere, if not then some of the UK lenders offering loans in France or specialist UK advisers may be able to help. The French banks are generally good, the agent or notaire through whom you are buying should be able to recommend somebody. Though the advice is good about savings in interest possibly being wiped out by currency fluctuations, particularly if US dollars also come into the equation. Link to comment Share on other sites More sharing options...
Blackadder<IMG src="http:forums.livingfrance.comimagesline.gif"><BR>Blackadder<BR>Keighley and Creuse Posted September 17, 2004 Share Posted September 17, 2004 We simply did a remortgage on our property over here, we may have to pay a little more in the long run but it made the process very simple in France. We have one payment as opposed to watching two payments and their respective fluctuations.It works for us but it wasn't much money borrowed Link to comment Share on other sites More sharing options...
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