Whilst the 3 month euribor has remained in the negative there is a sense that rates may fall further, yet this has not stopped the appetite for the current 20 year fixed-rate mortgage product.
At 2.70% the average monthly repayment cost per £100,000 borrowed is £535, which for a product over 20 years shows huge value. This is the highlighted product for this month’s French mortgage transaction of the month.
The client from Staffordshire, England, borrowed €380,000 at a loan to value of 80% on a classic freehold apartment in Méribel in the 3 Valleys ski region of the French Alps.
The client could have borrowed less, having enough personal contribution to lower the loan to value, however with French mortgage rates so low he decided to use the additional money for a furniture pack instead.