Posts in category: Transactions

French mortgage transaction of the month

Transaction of the month – 20 year fixed rate French mortgage in the 3 Valleys at 3.25%

Our transaction of the month for July was on a fantastic property in the French Alps. It has been great to see fixed rates back to historic lows and a fixed rate for 20 years at 3.25% creates a lot of value over the long term. This was a 70% French mortgage in the 3 Valleys on a leaseback property in Les Menuires  priced at €330,000 excluding VAT.

The property has a guaranteed rental income of 3.3% and a week in high, medium and low season which means the owner is set to receive a good level of returns whilst also being able to use the property during some great periods across the year.


French mortgage transaction of the month

Transaction of the month – <1% variable loan through private banking structure – €2.8m for a French mortgage in Belle Plagne

This 40% loan was made with a private bank in Luxembourg to an SCI created in France. The French mortgage in Belle Plagne was secured against the property to reduce the ISF tax bill and the borrower placed an additional € 3.5M in assets with the bank in floating rate bonds which increase in value as interest rates rise in order to hedge against any increases to interest rates in the future.


French mortgage transaction of the month

Transaction of the month – 3.2% interest only for a French mortgage in Val d’Isere in the Alps, fixed for 9 years

€2.5m the French mortgage in Val d’Isere in the Alps for a property valued at €6m

This month we received an agreement for a loan at €2.5m on a property in the Alps valued at €6m. The rate on the loan is 3.2% fixed for 9 years on an interest only basis. This rate represents excellent value as the recommended rate for the French government to borrow at ( the TEC 10 index) is currently 1.8% meaning this loan has an effective margin of 1.4%.


French mortgage transaction of the month

Transaction of the month – 2.40% Variable for a French mortgage in Val d’Isere

€ 650,000 Equity release on buy to let

Nice loan on 40% of the value of the property with an excellent variable rate. Loan was used to part finance a main residence acquisition in the UK.


French mortgage transaction of the month

Recent Transactions - Сannes – Mar 14

Transaction of the month – 20 year capped rate at 3.50% for a French mortgage in Cannes

€ 350,000 second home purchase in Cannes

This loan on an excellent fixed rate was made to a couple on very large incomes and went through extremely quickly and was completed in less than a month.


French mortgage transaction of the month

Transaction of the month – 15 year variable interest only at 2.60% for a French mortgage in the French Alps

€480,000 loan on an investment property

This French mortgage in the French Alps went through after some trying as there was an issue that the developer had used a guarantie intrinseque to guarantee that the property was built as per the contract. These days most French banks ask for a garantie extrensec (a guarantee of completion of the property from another bank) in order to lend.


French mortgage transaction of the month

Transaction of the month – 3.25% variable interest only French mortgage in Val d’Isere

French mortgage for the construction of a Chalet: € 2,200,000 of a € 3,200,000 purchase

This French mortgage in Val d’Isere was fairly straight forward. There were no early repayment penalties with this loan as the borrower wished to pay down the loan fairly quickly once the construction of the Chalet was finished.


French mortgage transaction of the month

Transaction of the month – a 20 year basis at 2.70% variable rate French mortgage in Meribel in Savoie

€ 485,000

A complicated application to put together as the borrower had closed down a Canadian company and only recently started his UK entity. In depth summary of the application was produced and presented to the lending committee with a successful outcome.


French mortgage transaction of the month

Transaction of the month – >1% variable rate interest only for a French mortgage in Meribel

€ 1,403,000

This loan was backed by a large portfolio of shares and bonds already held by the borrower. This enabled us to negotiate and extremely favourable rate with the bank as funds in excess of the loan amount were placed with the lending institution.


French mortgage transaction of the month

Transaction of the month – 20 year fixed rate at 3.60% for a French mortgage on the French riviera

€ 175,000

This loan was complicated by the borrower being resident in the Isle of Mann. French banks generally do not like to lend to borrowers resident in so called “Paradis Fiscaux”, especially if they are self-employed. Careful preparation of the application and additional evidence.


French mortgage transaction of the month

French Mortgage Transaction of the month – 2.75%, 25 year variable rate loan capped + 2% for ski property purchase

€ 400,000

This ski purchase of an MGM property went through without hitches. We managed to use a UK life insurance for this one though usually you have to use French life insurance with the majority of French retail banks.


French mortgage transaction of the month

Transaction of the month – 15 year fixed rate at 3.4% for a French mortgage in Haute Savoie

€ 150,000

This loan was made to a Canadian diplomat to purchase a leaseback property. It was quite difficult to put the application for the French banks but eventually we succeeded in getting it through.


French mortgage transaction of the month

Transaction of the month – 15 year fixed at 3.6% for a French mortgage in Biarritz

€972,000 Main residence

We secured this loan when placed in competition with HSBC in Paris. We managed to beat the rate and also improve on the rest of the conditions the client had been offered.


French mortgage transaction of the month

Transaction of the month – 2.9% Variable repayment for a French mortgage in Uzes

€1,200,000 Hotel Particulier purchase

We obtained this loan at a time when lending on anything remotely resembling a chalet was difficult to find. This loan at 80% LTV did require the client from Australia to leave 12 months of payments on account with the bank.