Buying overseas - funding?

sambrowne

I want to buy a house in Croatia to eventually live in permanently in five years time. In the meantime we would use it as a holiday. The house costs 75k nad we have 25 therefore need to fund 50k. There is one bank in Croatia that will provide a mortgage but that's it but we want to avoid the awful exchange rate (which is likely to get worse before it gets better) and borrow, unsecured, in the UK using a personal loan. And pay for it outright over five years. We can easily afford this but all the personal loan providers we have found so far will not lend for this type of scenario. Anyone have any ideas how to do it?

agrinnall

So you want someone to lend you £50K with no security and you have already said you intend to leave the UK? Good luck with that!

sambrowne

Anything else useful?

csgohan4

sambrowne wrote: »

Anything else useful?

I'm afraid your going to have to look at a lender in the country the house is based.

Look at it from the point of view of lenders here. They cannot lend you on an asset that is not based here and unable to claw back money if you don't pay your mortgage as each country has different rules.

sambrowne

Thanks. I understand what you're saying but I'm not trying to get a mortgage in this country for a property overseas. We need 50k and we thought we would go down the personal loan route of 25k each, pay it off over five years (before we move) - job done. Getting an unsecured personal loan is straightforward enough but the few that we've tried so far do not lend for a property purchase although they'll lend for a car, debt consolidation or home improvement and so on. I could tell porkies and say I'm buying a car but I'd rather not for obvious reasons. I suppose the question is where can I get a personal loan in the UK that will be happy with what I'm trying to do? If it can't be done, so be it but thought I'd ask all the same.

eddddy

As your question is primarily about getting a personal loan, you might be better asking on the loans board. http://forums.moneysavingexpert.com/forumdisplay.php?f=12

People there always seem to say that the max unsecured borrowing you can get is 50% of your income - so you would each need to be earning £50k.

Presumably, you don't have a UK property with equity in it which you can remortgage.