Mortgage & Finance

One of the most important things to consider when purchasing a property overseas is how you are going to pay for it.

With any off-plan property purchase in Italy you will be required to pay an initial payment of between 20-40% of the price when you buy the property. The deposit percentage is reflected by the completion date of the development. The balance will be paid upon satsifactory completion of the building and your deposit will be have a full bank guarantee for your own protection.

European regulations now give all new homes a 10 year building guarantee.

At the moment Barclays bank are offering UK buyers of Italian property up to 80% mortgage facility towards their purchase. Other high street banks are sure to follow in the near future.

We expect all potential purchasers to do as much research as they can when it comes to finding the right mortgage. There are so many lenders in both the UK, Ireland and the country that you are making your purchase and it definitely pays to shop around. Should you require any advice on the subject of mortgages and finance, will be glad to help.

We at Sandloka can recommend the service of Mutui Online which are an affiliation of Barclays and the Woolwich. They are offering competitive European Mortgages with a realistic valuation service.

Below is a simple breakdown of a mortgage for a property valued at 100,000 euros

Mortgage Type: Repayment

Survey fee: 200 euros

Deposit: 20% - 20,000euros

Borrowing: 80% - 80,000euros

Loan period: 25 years

Monthly Payments: 580 euros / month at a rate of 4.83%

Please note that variable mortgage rates can go up and down. This could effect the amount you need to repay each month.