• Buying in: Les Gets (l’Essentiel), French Alps
• Property price: € 1,055,000
• Loan amount: 890,000 €
• Mortgage type: Repayment + Interest only*
• Interest rate: 3.50%*
• LTV: 85%
• Term: 20 years

The background

Our client was Dutch and was looking for the best rate possible on the market, which was made difficult by the rising market.

Our Approach

One of our partners (not available to UK residents I’m afraid), offered a rate of 3.50% fixed over 20 years for a repayment mortgage, which was great.

As the property is off-plan (being built) and the client is going to rent it out through a commercial lease, the bank offered on top of it an interest only loan for the VAT part: once the client is getting the VAT refund from the government, he had to pay off the interest only loan. We could consider it a kind of bridging loan for the VAT.

* The rate / the product may differ to what is currently offered since this mortgage has been agreed.