Buying property in France -
Mortgages
This page gives some general information
about mortgages in France, the process of getting a mortgage in France and
some ideas as to the borrowing amounts available. Financing your French
property purchase can be quite easy with a French mortgage and may enable
you to release your own capital for further investment.
You want to buy a French holiday home, or you
want to move to France to start a new way of life? You need a
mortgage?
So, you've made the decision to buy a
French property. You have found your ideal property and you have
decided to buy the property using finance - ie a French mortgage. What
now?
Finding a Mortgage lender:
There are now many mortgage lenders so the
job of finding one is quite easy - just by searching "French
Mortgages" on the internet and you will see plenty.
But which one - well that will be down to
your own personal choice. Read all the information on as many sites as
you can and make a short-list. See if any of them publish
'Testimonials'. Do you know of anyone else that has bought a French
property with a mortgage - ask them for their recommendations. (I
have recommended one that I have used at the bottom of this page)
Things to be aware of - if you are still
lucky enough to have found a cheap property (under 60,000€) and you
still need a mortgage - you find you have a problem! Many lenders will
not lend under certain amounts - so this should be the first thing to
check when looking through the various mortgage lending sites.
Do you need additional money to renovate?
If yes, also find out if the Mortgage lender can provide additional
funds for renovation.
Compare all the lending interest rates.
What are the set up fees?
How much can you borrow?
This is a question that will have a
variety of answers - really depending on the lender, and on your own
financial circumstances - but the general rule of thumb is: Add up all
your financial commitments - ie. loan repayments, rent, credit cards
repayments, existing mortgage repayments, maintenance etc . This
amount should not exceed 33% of your total income (this may be
assessed on Gros or net depending on the lender. Your Mortgage lending
amount will then be based on what is left - ie. it is based on what
you can afford to make as monthly repayments.
Most mortgage lending websites will offer
you the opportunity to complete a form to assess your mortgage
availability and to give you a "decision in Principle".
You have to seriously consider your
available finances before embarking on the Mortgage Road. As all
mortgage lenders will re-iterate:
"Your home is
at risk if you do not keep up repayments on a mortgage or other loan
secured upon it. The Sterling equivalent of your liability under a
foreign currency mortgage may be increased by exchange rate
movements. A Life Insurance policy will be required for each
mortgage borrower. All mortgages are subject to Status and are not
available to those under age 18 years. Written details upon
request."
LINKS TO A FEW MORTGAGE LENDING
COMPANIES: These links are third party sites and we in no way
have any responsibility for their content, services or products. By
taking up the service of any company linked to below, you do so at
your own risk.
How Can You Find
Sites For Mortgages? The web's largest resource directory for mortgages!
Sites, vendors, advisors and services -- everything, and I mean everything
for finding mortgage information!
Charles Hamer
- Finance for French Property - Specialists in French
Mortgages and financial services for those intending to purchase a
property in France or existing French property owners. (Recommended)
French Property Links Buying French property with a
mortgage can be a good idea, but getting the right advice can be a
problem. Contact us at French Property Links. We can supply specialist
advice and arrange French mortgages for UK and non-UK clients.
Arranging money transfers abroad
The simplest
method is to register with Currencies Direct. Click the link below to
register your details with them. Then you will be able to get the best
market currency excange rate for your overseas money transfers, both to
and from the UK.
currencies direct request information form
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