When purchasing a property abroad, you will be required to pay an initial holding-deposit then the remaining balance or stage payments.
Initial Deposit:
When you have found your ideal property a holding deposit of £2,000 will be required. This will guarantee removal of the property from the market. This deposit ensures that the price of the property is held at the price agreed and you will not be affected by any future price increases. Note: Most developers accept a personal cheque for the £2,000 deposit. Credit Cards are also usually acceptable.
Balance Payments:
For a new property, typically, a further payment of between 30-50% will be required within 4-6 weeks, and the balance should be paid upon completion of the property.
For a resale property, or a new completed property, a 10% deposit will be required within 1-2 weeks, and the balance payment will be required on completion of the purchase, normally within 1-3 months.
HOW TO PAY
Please remember that all payments for property are usually made in euros or the currency of the country where you are purchasing your property. Whenever, you make payments, your £’s sterling will have to be exchanged into euros or the local currency. We can assist you to ensure you get the best rate of exchange for your monies. This can amount to hundreds of pounds in your favour.
Cash Purchase
This is straight-forward. Once you have paid the initial holding deposit, the following stage payments are made by bank transfer. As stated above, you should ensure that you achieve the best rate of exchange.
Re-mortgage a UK property
Many people choose to take a second mortgage on their UK property to raise the funds to purchase their property overseas. This is a popular option because interest rates are still comparatively low. Your current mortgage provider may assist you with this, or our Mortgage Adviser can help you as required.
Take an Overseas Mortgage
If you do not have the necessary cash funds available, and do not want to remortgage a property in the UK then the other option available to you will be take a mortgage out in the country where you are purchasing your property. Normally 70% mortgages are available. However, you will typically require a 50% cash deposit, before a mortgage can be arranged. Some people re-mortgage their UK property to raise the 50% deposit, and then take-out an overseas mortgage for the balance payment.
TRY THE MORTGAGE CALCULATOR BELOW
|
