Property Abroad can i get a mortage based on that?

willy70

Hi first post and looking for some advice

I own a property abroad i have no mortgage on it but have just under 5 years remaining on the loan before it is paid off, I'm wondering if i could get a mortgage easier with this behind me i will be a first time buyer but dont have enough savings to cover most of the 75-80% mortgages out there, does anyone have any good advice for me?

Thank you very much..

herbiesjp

Depends where the property is?

Are you a UK national?

Are you looking to buy here in the UK?

You could possibly raise money against the value of the property abroad and then put that towards the deposit on the new property

However, if the property abroad is one that you use i.e. it is not let out, then your income would need to cover both mortgages

This is pretty involved and would definitely benefit from professional advice

willy70

herbiesjp wrote: »

Depends where the property is?

Are you a UK national?

Are you looking to buy here in the UK?

You could possibly raise money against the value of the property abroad and then put that towards the deposit on the new property

However, if the property abroad is one that you use i.e. it is not let out, then your income would need to cover both mortgages

This is pretty involved and would definitely benefit from professional advice

Hi

yes i am a UK national and im also looking to buy in the UK, the property is in Bulgaria and was bought in 2006 and has been valued at around £60000 compared to the £26500 i bought it for, I'm not quite sure what you mean by "your income would need to cover both mortgages" i dont have a mortgage on the property abroad just a small loan, but yes i do use it myself and im looking into the process of letting it out this summer..

Thanx for your reply.

maninthestreet

I don't believe there are any UK based lenders who will lend me on a foreign property.

herbiesjp

willy70 wrote: »

Hi

yes i am a UK national and im also looking to buy in the UK, the property is in Bulgaria and was bought in 2006 and has been valued at around £60000 compared to the £26500 i bought it for, I'm not quite sure what you mean by "your income would need to cover both mortgages" i dont have a mortgage on the property abroad just a small loan, but yes i do use it myself and im looking into the process of letting it out this summer..

Thanx for your reply.

The fact it is in Bulgaria will make it very difficult, if not impossible, with a UK lender. Had it been a more "mainstream" EU country i.e France Spain Portugal etc it could have been possible.

The only other option is to get set up here in the UK via a lender in Bulgaria - however even this could be slightly tricky

LTV could be around 75% and currently the main lender has used up their funding for 2009 - so there are some limited options for Sofia

2010 is not far away, and so options could re-open again

I would definitely engage the services of a whole of market adviser for this

Trollfever

I would guess that it will be almost impossible to find a lender where the security for the debt is a property located in Bulgaria.



.

Conrad

No lender will use the Bulgarian property as security. Also the value you state is doubtful as no one is lending on such property so the very few buters out there will have masses of repos to buy for cash at very low proces, so your value will merely reflect the other options for buyers out there.

Bulgaria I warned back in 2005 was a non starter as the rent is only short season, yet running costs are year round. Morocco is a far better bet.

willy70

Thanks for all the input looking at some of the advice it looks like i'll have to do the good old fashioned saving way of doing things..