Equity in house abroad?

Fierce1979

Hi all

Myself and my younger sister were recently made beneficiaries of half of a house in France

It won't be sold for approx another year and a half, but I was wondering if there is any equity in it at present, that could used to borrow against?

The house is worth (absolute worse valuation) €230k, and this is split 4 ways giving at a very rough guess £50k each on our side

I suppose my question is does the fact that we 'own' a portion of this property affect our credit worthiness much as owning a UK property would do?

Aside from a deposit on a house, I wouldn't be looking at doing anything until the French property is sold, so I'm looking into this on behalf of 'our kid

Thanks in advance

James_Trimby

You will have problems borrowing against a foreign house you do not own outright. In UK you would normally have to get all parties to agree before offering any worthwhile security. No knowledge about French law but suspect delay in sale is legal as it takes time to change ownership etc so again a problem. If borrowing you can put down as an asset but I think you will have problems finding anyone to lend against it (at a good rate). Hopefully someone will come in with a more positive answer!

Fierce1979

James_Trimby wrote: »

You will have problems borrowing against a foreign house you do not own outright. In UK you would normally have to get all parties to agree before offering any worthwhile security. No knowledge about French law but suspect delay in sale is legal as it takes time to change ownership etc so again a problem. If borrowing you can put down as an asset but I think you will have problems finding anyone to lend against it (at a good rate). Hopefully someone will come in with a more positive answer!

Thanks for the response James, most appreciated

I thought that would probably be the case, but that would be an uneducated guess from someone that knows nothing about this kind of thing. Ie, me

If anyone else has anything to add please do so!!

Cheers