Buying in: Courchevel, French Alps.
Property price: €1,550,000
Mortgage amount: €1,350,000
Mortgage type: Repayment
Mortgage term: 20 years
Interest rate: 1.35% Fixed
The client is a British couple living in Dubai working for a top lawyer firm and a top bank. They had found an apartment in Courchevel, St Bon Tarantaise in the heart of the French Alps.
The profile of our clients was excellent, both professionally and financially, with a property in the UK rented out and many liquid assets.
At French Private Finance, we were quite confident to find a solution even though many French banks are reluctant to finance clients outside of the EU. Our first option was with Credit Foncier which was offering a good compromise between medium loan-to-value mortgages for Dubai residents and low rates while being efficient. However Credit Foncier closed in the first semester of 2019 so we had to re-visit our plan. We offered our client a higher loan-to-value (almost 90%), an even lower rate (1.35%) in exchange for placing Assets Under Management (20% of the mortgage amount).
We got the agreement relatively quickly but the insurance process took more time than usual for no apparent reason. We finally got the mortgage offer and waited for the developer to be ready to notify and sign the deed of sales.
It was a long process due to the change of banks in the middle of the process but the client was still ready in time and was – more importantly – very happy with the new terms we had found.