Obtaining Finance to Purchase Croatian properties

[tomB]

Hi there

Does anyone out there knowif it is possible to obtain finance to purchase property in Croatia ? Ideally I would like to obtain a mortgage and use the Croatian house I purchase as collateral.

If so can you please provide the details of the lenders as well as likely steps that need to be taken before funding would be granted.

Does any one know of a trustworthy real estate agent on Brac and Korcula ?

Thanking you in advance

Tom

[Ines]

At the present time, mortgages are not available to foreigners in Croatia secured on property in the country.

Local banks are unwilling to lend to owners whose income is outside the country and who could be difficult to pursue in default.

British banks are unwilling to offer loans on Croatian properties that could take time to recover in default. They are not averse though to lending on the equity in UK properties and many buyers are following this route.

Regards

Ines
www.croatiaproperties.biz

[malienglez]

I am in a similar position, I would also like to get a
mortgage on a property in Zagreb. As I am planning on
moving there I would like the mortgage to be a local one. As I have Croatian nationality can I get a mortgage
based on my salary in the UK?

[Culchie]

But why would you want a Croatian mortgage when you have the option of obtaining cheaper money in the UK .....it doesn't make sense.

money.guardian.co.uk/calculator/form/0,1456,603156,00.html

Play around with the interest rates being charged in Croatia versus the UK or EU Bank area.....you might change your mind.

If you can refinance your mortgage in the UK or Euro area then do so.

[tomB]

The only problem is that to raise finance in the UK you really require a UK property,which I dont have.

I am working in the uk like mali englez, earning a high salary therefore would be able to meet the interest payments easily. I just need to find a bank that would lend to people in my situation.

I am also in the middle of applying for a croatian passport due to both my parents being born there. This would enable me to possibly live in Croatia one day.

Well if anyone has any information in regards to possible lenders please let me know.

Hvala

Tom

[Culchie]

Fair Enough, didn't realise you hadn't property in UK.

I think I heard that an Austrian bank were giving mortgages on Croatian property, at least rates should be cheaper there.

[irac]

Interest rates in Croatia are still high and unreliable, but if you need to get something, Erste Steirmark are good, if you have a property in Croatia, they will let you borrow against it, but I'm not sure what percentage they will let you draw etc. It varies from place to place (town, city).

For Brac or Hvar Dubrovnik Marketing dealt with my colleagues and were excellent.

[shamrock]

Irac,

Can you give me a website address for Erste Steirmark


Regards

Shamrock,

[Giles]

Try Ljiljana on Brac - milenkarealestate.com

She sold us our place and we are using her to sell the refurbished product.