Frequently Asked Questions
Getting a loan
Typically, the banks we deal with will lend up to a maximum of 70% of the purchase price or valuation, whichever is the lowest. This applies to most jurisdictions. The agreed loan is fully dependent on your personal resources, either income or existing assets or both.
If the property is an investment property, the income from the proposed investment may be taken into consideration.
To get a personal quote and a Lifestyle mortgage report showing exactly how much you can save, contact Lifestyle Brokers now.
This depends on which country you are looking to invest in – for example, in the UK, in most cases, the minimum loan size is £100,000.
To get a personal quote and a Lifestyle mortgage report showing exactly how much you can save, contact Lifestyle Brokers now.
Types of mortgages
An interest-only mortgage is a loan secured against a property where the repayments merely service the debt. Each monthly repayment covers the interest against the principle only. At the end of the term, the full amount of the original loan is due for repayment. For a more complete illustration of the difference between an interest-only and a fully-amortising mortgage, go to our ‘Mortgage Calculator’.
The remortgage process is similar to that of the original mortgage process. Formal applications will need to be provided to a bank or financial institution. They in turn will verify the applicant’s financial information. The property will need to be valued and solicitors instructed for both the applicant and the financial institution.
To get a personal quote and a Lifestyle mortgage report showing exactly how much you can save, contact Lifestyle Brokers now.
- Improve cash-flow: An interest-only mortgage has lower monthly payments as no pay down on principle is made during the mortgage term.
- Reduce the deposit needed: The property can remain cash generative with a lower capital investment. The deposit required depends on the market interest rates.
- Pure investment properties: Where the intention is to hold & sell within a certain timeframe, it can be advantageous not to be paying back the principle on the loan.
To get a personal quote and a Lifestyle mortgage report showing exactly how much you can save, contact Lifestyle Brokers now.
Mortgage features
Usually, the process can take 6-12 weeks. We would recommend that if the purchased property is “off-plan” that the mortgage process begins within 4 months of completion;
Please note, these are guideline timescales only but ensuring you have all the necessary paperwork to accompany the mortgage application can help speed things up.
To get a personal quote and a Lifestyle mortgage report showing exactly how much you can save, contact Lifestyle Brokers now.
Generally speaking, it is wise to match the currency of your loan with the currency of your assets – in this case, the property you are buying. However, some people choose to match the currency of the loan to the currency of their salary or more liquid assets such as savings. The choice depends largely upon personal circumstances, future plans and currency exchange rates.
To get a personal quote and a Lifestyle mortgage report showing exactly how much you can save, contact Lifestyle Brokers now.
Life Insurance/Estate Planning
Some mortgage providers will make life insurance a condition of the loan. It is not mandatory in all circumstances, but we would advise clients to consider mortgage protection for their loan to safeguard their family in the event of their death.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
You should write or update your current will to include all countries you hold assets. Our team at Certainty Estate Planning can assist with this if required.