Borrowing money for property investment

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Comments

  • macman
    macman Posts: 53,088 Forumite
    Name Dropper First Post First Anniversary
    You live with your parents. So you own no property of your own? if so, what security can you offer the lender, given that it is not simple for them to repossess a property that is not in the UK? No one is going to give you an unsecured £30K loan on such a basis.
    No free lunch, and no free laptop ;)
  • Grumpy_chap
    Grumpy_chap Posts: 14,857 Forumite
    First Anniversary First Post Name Dropper Combo Breaker
    How is the business / hotel in Germany structured?
    Is it a registered company?
    Is it a partnership?
    Has a full business plan been prepared showing the history and forecasts for the hotel with and without the Euro60k development?
    This may influence how the business can secure funding.

    Does the business have any retained funds from previous operating periods?
    If this business can demonstrably return Euro60k within 12 months based upon historic trading, using the retained funds within the business may be simpler than seeking external finance.
  • Herzlos
    Herzlos Posts: 14,679 Forumite
    First Anniversary Name Dropper First Post
    As mentioned, if the B&B is already getting lots of bookings and set to easily make the money this year, why bother with the loan at all? It doesn't sound like it's a barrier to making money.

    You're also likely going to hit all sorts of hurdles if you're a UK resident investing and making money in Germany now too.
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