• Buying in: Meribel
• Property price: €2,500,000
• Loan Amount: €1,750,000
• Mortgage Type: Repayment
• Mortgage Term: 20
• Interest Rate: 1.69%
• Loan-to-value: 70%

The background:

A British investor who just came back from the Middle East wished to purchase an amazing chalet/apartment in Meribel.

The client wanted a simple mortgage and was very chilled about the conditions. The only specificity really was to use a company vehicle (SARL de Famille) to optimize his tax bills and reduce the inheritance bill for his children.

Our approach:

When buying with an SARL, it is interesting to borrow as much as possible to benefit fully from its advantages (please consult an accountant – we can introduce you to a great partner of ours).

Thus we wanted to have a high LTV without sacrificing the overall cost of the mortgage. Our lending partner is specialised in high end properties and could deliver the terms we wanted:

A fixed rate of 1.69% over 20 years with a high LTV (loan to value) of 70% without having to place any assets under management for a mortgage of almost 1.8M€.

The only thing is that the deal happened right during the COVID outbreak, the lockdown, etc… meaning that the bank had other priorities and the process became longer than it is generally. It took indeed 6 months to get the mortgage offer.

At the end of the day, it is an off plan property, so time was less of a factor and the client still managed to sign (almost) on time. 

We were forgiven as the mortgage conditions are excellent!