The abroad gives OKCrisis has forced banks to toughen conditions of mortgage lending not only in Russia. Foreign banks have raised the size of an initial payment and the requirement to borrowers - to foreigners. But nevertheless to buy real estate in a mortgage it is abroad much more favourable, than at us. If, of course, to fulfil all requirements which are put forward by foreign bank.
as easy as shelling pears
Experts of the international agency of real estate Gordon Rock and mortgage broker Lowell Finance have compared conditions of granting to Russians of mortgage loans in 20 countries most popular among buyers of foreign real estate. Conditions of granting of a mortgage to Russians in 20 countries were compared on a number of criteria: the minimum fixed rate of crediting, the minimum floating rate, the maximum size of the credit, availability of the credit to the Russian, change of availability of crediting in 2010 in comparison with 2009.
France where the Russian simply enough to receive a mortgage loan at the rate to 80 % from a real estate project cost under the low rate (the fixed rates - from 2,9 %, floating rates - from 2,3 %) became the Doubtless leader of a rating. And this leadership of France is not casual, after all in 2010 of the rate on mortgage loans in France have reached the minimum values since the Second World War. Thus in relation to Frenchmen and inhabitants of the Western Europe the French banks are even more loyal, than to Russians. For a considerable quantity of new housing projects local banks are ready to give to the West European buyers of 108 % of financing from whom 100 % will go on a covering of cost of real estate, and the remained 8 % - on indemnification of cost of notarial and other services in transaction support.
“ France - the unique country where it is possible to note improvement of a situation with mortgage lending, - marks Ekaterina Tejn, the partner, the director of department of inhabited real estate Chesterton. - the Government tries to stimulate quantity of transactions on crediting, and against low interest rates quantity of mortgage transactions tritely sharply upwards and the prices for real estate began to grow in a cheap segment that opposite to an event in Great Britain “.
Besides France in the lead positions in a rating have occupied England (the fixed rate from 3,2 %) and Germany (from 3,3 %). To Russians to receive a mortgage in these countries, in - the first, simply, and in - the second, local banks give them very attractive credit conditions under rates and the size of the credit (to 70 % from real estate cost).
As Anna Levitova marks, the operating partner of company Evans, in Great Britain rates really attractive, however reception of the credit and even is simple bank account opening - very difficult procedure. “ the matter is that for bank account opening the address in the country, acknowledgement of residing, the account on electricity or water payment is required, - she speaks. - to overcome these restrictions difficult, procedure of opening of the account can occupy months. Nevertheless, if process is started, to obtain the credit, being the non-resident, it is possible “.
After crisis in all countries requirements to borrowers have become tougher, rates have gone down, but the initial payment has thus raised. “ as consequence, in England the quantity of transactions everywhere, except the Central London as the mortgage became much more difficult for receiving was reduced, - Ekaterina Tejn marks. - More time occupies consideration of documents if earlier it were one - two weeks now - from a month to three “.
As to Germany, that, according to Natalia Zamyshljaevoj, the head of department of foreign real estate of the company “ BEST - Real estate “ here mortgage lending conditions have essentially changed in connection with crisis. “ today to obtain the credit to the non-resident it is simply impossible, except for firms which work with banks and their real estate. Or if the client - the person with incomes and their acknowledgement at very solid level, from $5 thousand a month, and acknowledgement of long term of these incomes (an extract about movements on private to the account for last six months, the declaration on incomes in the last two days, the inquiry on the salary). And even in this case the patronage of German firm which recommends the client is necessary, - she marks. - for residents of a condition too have changed. If the businessman not the lawyer or the doctor with the experience with good incomes to obtain the credit very difficultly. The others even at the good income cannot receive anything. Even at whom stable work and the income from ˆ1,8 thousand and above. Thus banks carefully count all expenses and the rest of money taking into account requirements of a family “.
But for purchase of commercial real estate in Germany as Anna Levitova tells to obtain the credit it is possible, and on beneficial terms. “ foreign investors first of all get commercial objects in Germany, and the state is very interested in that profit which these objects will bring to the proprietor, to be exact, in those taxes which the proprietor will pay from the profit. Therefore such objects are financed even ohotnee, than elite inhabited objects, - she explains. - and here to take a mortgage under object on the plan or in building for citizens of Russia it is almost impossible. The sizes of crediting - to 60 % from a project cost (more often - 50 %), terms - from 5 till 20 years. Floating rates - from 3,4 %, fixed - from 3,8 %. Approval of the credit for purchase of inhabited real estate, as a rule, occupies three - four months. The age qualification - 70 years. Insurance of got property, and also life insurance are an indispensable condition of delivery of a mortgage “.
the Example of the favourable mortgage transaction in Berlin is resulted by Julia Kajnova, leading expert Century21 Beverlywood: the object - the profitable house on nine apartments and three commercial premises in the Central area of Berlin in cost ˆ Thus bank will finance 1,5 million to 70 % of cost under 3,5 % annual on 20 - 30 years. Annual deductions on a mortgage will make ˆ71 750 while a net profit from rent - ˆ120 thousand Benefit for the investor is available.
And here still a variant: in Berlin it is possible to buy apartment in good area in cost ˆ70 thousand Thus the bank will finance to the foreigner to 70 % of cost under 3,5 % for 30 years, thus, initial payment will be made ˆ by 21 thousand, monthly payment under the credit, including percent, - ˆ279. The apartment in Berlin can be got with already living tenant as 80 % of the population of Berlin live in demountable habitation. Thus, the German real estate will bring ˆ400 net profits in a month that will make 6,9 % annual. Thus all questions on gathering of a rent both any municipal and other questions will be solved by a management company. Well and, certainly, problemless entrance to Germany proprietor for travel and rest will be doubtless plus in favour of such acquisition.
it is not too favourable
In the second group of a rating the countries in which to receive a mortgage simply have entered, but credit conditions are less attractive in comparison with the countries - leaders. It is Cyprus, Spain, Israel, Portugal and Finland where the minimum fixed rates make 3,5 - 4,1 %, and the maximum size of the credit - 60 - 70 %.
“ the Spanish banks willingly finance today secondary habitation, especially elite, and here at registration of the credit for purchase of commercial object, in particular from hotel sector or public catering sector, there can be problems, - Anna Levitova speaks. - As to crediting of objects for the plan or in building this sort of credits if stand out, in exceptional cases. Naturally, on the most favourable conditions the mortgaging real estate (it is in the property at bank, he sells it and on its purchase gives out the credit) is financed. The sizes of the credit vary depending on real estate type - from 60 to 80 % from cost (60 % - objects on the plan and commercial, 70 % - inhabited objects, 80 % - the put objects). Floating rates start from 2,85 %, fixed - from 4,15 %. Crediting terms - from 5 till 40 years, age of the borrower - no more than 75 years “.
As the expert specifies, in Spain during crisis requirements to the applicant have considerably become tougher: more often banks demand the inquiry on absence of credits in Russia, besides, became almost unreal to obtain the credit for the object which is at a stage of the project (on the plan) or initial building.
Julia Kajnova gives an example the good bargain: three-room apartments (about 80 sq.) with a view of the sea in a complex with pool, fitness - the centre, a rest zone in 150 m from a sandy beach in resort Spanish small town Kalpe in cost ˆ230 thousand Mortgage 40 - 50 % for 30 years under 3,5 % annual is accessible to the foreigner. Thus the sum of an initial payment will make ˆ92 thousand Sum of monthly payments (the credit body + %) will make ˆ785.
If the Russian has desire and possibility to buy on tick real estate in Spain, now for this purpose the right moment, Natalia Zamyshljaeva considers. “ Today there is a possibility of reception of preferential financing from the Spanish banks to 110 % from a project cost (on bank real estate) under 1,1 - 2,2 % annual (Evribor of 1 % + 0,1 % the bank rate. In aspiration to stimulate sale banks start to finance not only object of real estate, but also those expenses which are born by the buyer at transaction registration (and it is 9 - 11 % from cost of got real estate). Clients bring only the deposit, then pay a mortgage under low rates, - she explains. - even Spaniards pay higher interest rates for the real estate which got before crisis (about 2,2 %) “.
However in comparison with the pre-crisis period usual credits to receive more difficult, she tells. There is more careful check of documents which are required for mortgage loan registration, the point " was added; credit history “ (even if credit history zero, it is necessary to give the inquiry from bureau of the credit stories which have passed the state registration). If there is a possibility to confirm incomes, to give all required documents, that, certainly, real estate acquisition in Spain on credit is now very favourable.
to whom has got do not give
In the third group of a rating of the country in which the Russian to receive a mortgage much more difficult. To the buyer from Russia it is difficult, but it is possible to obtain the credit in Switzerland (the fixed rate from 2,0 %), Italy (from 4,2 %), Greece, Czechia and Latvia (from 4,5 %), the USA (from 5,5 %) and Turkey (from 6,9 %).
Anna Levitova considers that to receive a mortgage loan in Italy it is almost impossible for the Russian. For credit reception the status of the resident and incomes in the country is required. “ And here in New York our clients successfully obtain credits with the fixed rate 6,5 - 7 % annual for 30 years, - she tells. - if you do not plan to hold real estate so long, it is possible to receive lower rate which will be fixed on first three - four years, and will depend then on the refinancing rate. Certainly, such credit conceals in itself danger: if rates grow, it will be difficult and to sell real estate at the high price, and to pay the credit, but for many buyers such offer also can be interesting. Rates also decrease at reduction of term of crediting - for example, it is possible to find the program of crediting for term 15 - 20 years with rates from 4 % annual. It is necessary to remember that the crediting market very quickly reacts to a situation in stock market, national rates of refinancing, the state guarantees on mortgage loans and other factors, therefore today`s rates can change during three - six months “.
In Turkey, according to Anna Levitovoj, the stage of mass crediting - has begun during crisis here and speech did not go about mortgage delivery, today banks give out credits under 7 - 9 % annual.
in access it is refused
the countries of the fourth group of a rating (Bulgaria, Montenegro, Egypt and Thailand) mortgage lending is almost inaccessible to Russians. For example, as Julia Kajnova informs, in Bulgaria have lifted interest rates to 10 %, have toughened criteria of selection of competitors, and for all last year Russians among the approved credits was very little. In Montenegro where the bank system is not developed to take a mortgage to the foreigner today it is not obviously possible, especially to the Russian.
it would Seem, time to receive a mortgage so it is difficult, whether costs ovchinka manufactures? Experts consider that costs. “ to Invest in real estate abroad on - former it is favourable to preservation and increase in the future of capitals, especially with use of extra means. There are some the objective factors visually showing investment appeal of foreign real estate, - Julia Kajnova explains. - the Foreign mortgage is cheaper - on the average from 3 to 5 % annual on EU (for comparison: the rate for using the credit does not fall to Russia below 11 %); to obtain the credit in the countries of Europe simply enough, without looking at all at that that banks have toughened requirements to the borrower; as pledge that real estate which you plan to get can act. Exception to the rules are only England and France where as pledge already available property should serve. As a whole mortgage lending conditions in Europe remain favourable without dependence from some economic instability. The credit to you will give out under low interests for the term from 10 till 30 years. Probably preschedule repayment of the loan without any sanctions and additional payments. In some countries the size of an initial payment (with 30 to 40 %), however the most part of banks has been increased on - former works on old conditions “.
Certainly when credit conditions constantly change to contact a mortgage strashnovato. But on the other hand, these changes can appear on a hand to the borrower. Ekaterina Tejn, for example, has an acquaintance who has obtained the credit before crisis and it had a percent on the credit - 1,5 % on rate LIBOR as LIBOR now low it turns out that the bank still should pay extra to it.
Conditions of reception of mortgage loans
the Source: Century 21 Beverlywood.