Latest transaction: €680,000 mortgage for a property in Auray
- Buying in: Auray (Brittany)
- Property price: 850,000 €
- Loan amount: 680,000 €
- Mortgage type: Repayment *
- Interest rate: 5.19% *
- LTV: 80%
- Term: 25 years
Our Dutch / French clients were looking for a property in Brittany for their holidays, not far from where Mrs was born.
The clients had put most of their savings into their main residence (mortgage free) so they were looking for the highest Loan to Value possible on the longest term possible.
Therefore we offered an 80% LTV mortgage over 25 years without a cash collateral, a new trend by the French banks to improve their ratio lending/cash reserve (Bale III accord) and their profitability. A cash collateral is a savings deposit invested with the bank and pledged for the duration of the loan.
It matched exactly what the clients were looking for!
No life insurance (mortgage cover) was required on this 25-year repayment mortgage. Though we believe at French Private Finance that you should always be insured, if you already have an insurance policy at home, it may not be necessary to take another one for the French mortgage. That is therefore a way to reduce your overall cost.
It only took 32 days to get the mortgage offer printed from the moment we sent the complete file to the bank, mainly because we had to wait for the survey to come back.
* The rate / the product may differ to what is currently offered since this mortgage has been agreed.