Getting a mortgage in another country is never an easy process for a foreigner. It can be especially confusing as the rules have really changed since the crisis in 2009.
What are the best options for getting a mortgage in Czech Republic? Where can a person get a mortgage for an investment property? What if the property is owned through an SRO?
Making sure the broker or bank rep has experience with foreigners can save you hours of frustrations.
An excerpt:
“The general terms for currently obtaining a mortgage for a foreign investor are:
1. The bank will not lend more than 90% loan-to-value. The value will be set by an internal evaluation from the bank or one of their approved contacts and not from the purchase contract.
“2. The maximum lending period will not exceed 30 years with the most likely offer being 15 or 20 years. The length of the mortgage will be limited by the age of the borrower. Typically it will not be longer than reaching past their 65th birthday.
“3. Interest rates are offered as fixed for a period between 1 to 5 years. There is currently only one bank that we know of offering a ‘floating’ rate which is pegged to the Czech National Bank rate.
“4. Your personal presence will be required in a branch of their bank at some point of the mortgage process. The rest can be done via email or through a broker with power of attorney.”
You can read the entire article and find out which Czech banks are the best for investment mortgages in 2012.
If you would like more information about obtaining a Czech mortgage please don’t hesitate to contact me at: [email protected] or at +420 774 440 999.
Updated/Aktualizováno: July 22, 2014,
