I know many of you will be looking into what mortgages are available currently and in a previous post I gave you an idea of cost. Following on from that I thought I would give you a brief synopsis of the requirements and a basic outline of whats available. I will be going into this in more detail over the coming weeks.
Mortgages will be in Euros and are secured against property. Mortgages in Italy are full status, so you will need to demonstrate income.
80% of the purchase price is the maximum available. Italian lenders look at how easily you can meet your monthly payments, as a guideline, your outgoings as well as your repayments on your new mortgage should not exceed 35% of your gross monthly income.Rental income you receive can also be considered.
You can mortgage both new and old property. The property must be registered at the land registry and be deemed habitable. Please note that the criteria for ‘habitable’is set by the local authorities and without this certificate a mortgage will be refused.
Types of mortgages available
Both interest-only and repayment mortgages are available, on a variable or fixed-rate basis, or a combination of both.
Terms can be from 5 to 40 years, however loans must be repaid by the age of 85.
Here is what you will need to produce proof of -
identity & residenceincome & outgoingsBank statementsProperty details
How long will it take?
An agreement in principle can take approximately five working days. However, for loan amounts in excess of €750,000 this may take longer.
Not compulsory in Italy
The lender will insist you take this out with their recommended provider, look into the specifics it covers, because it will usually cover the absolute minimum
Italian Bank Account
You will need to open an Italian bank account , from which your mortgage repayments will be debited.
Keep checking for more information on mortgages in Calabria, or simply add your email address at the right to get posts each time they are issued and remember do your research before proceeding with any financial product.