To get a mortgage or a loan from developer?

Islandhoppers


Joined: 04/05/2008
Posts: 3

Message Posted:
04/05/2008 16:24

Hi all. We have been reading this site for the last month and have found it really interesting and informative. We are seriously thinking of buying a property in TRNC but would require funding. We know that mortgages have recently been introduced but are unsure if they are actually available or if any have been approved. We are also aware that some developers provide loans. We are looking at a villa which is either newly completed or a resale. Can anyone give any advise on either mortgages or loans.



Many thanks.

brian24001


Joined: 23/03/2008
Posts: 606

Message Posted:
04/05/2008 16:48

If you have only been reading up for 1 month, with presumably very little 'on the gorund' knowledge, then you are not in a wise position to buy yet.

You need much more research, and you need a good ong visit to understand:

where to buy, why to buy there, who to buy from, more importantly as you have read, who not to buy from, to sort out your requirements and expectations on the island, and those of family, etc, etc

If you are thinking borrowing ytl, forget it, unstable currency, high interest rates.

Only way is to borrow in say UK against existing property and then buy from that. If your income is in GBP, best to borrow in GBP cos if you end up at the mercy of both interest rates and currency fluctuation, it could all go very wrong.

briggus


Joined: 25/07/2007
Posts: 161

Message Posted:
04/05/2008 18:36

Island hoppers



http://www.tanyel-cons.com/constperiodpaymentterm9.htm

Depending on where you want a property - this company and all but one site is out on the Karpaz - the odd one been near Iskele/Bogaz. They after a deposit - offer terms up to 30 months. As company they cannot be faulted the family could not be more helpful - but as stated it is away from the hustle and bustle of Girne and would not suit if that is what you want. Iskele / Bogaz is more / being developed so may suit more.

Islandhoppers


Joined: 04/05/2008
Posts: 3

Message Posted:
05/05/2008 01:52

Hi Briggus,



Thanks for the info on this company and your recommendation. This would not be suitable for us as we would prefer the payments over a longer period.

Islandhoppers


Joined: 04/05/2008
Posts: 3

Message Posted:
05/05/2008 01:52

Hi Brian,



Thanks for the info. We are not looking to buy until the end of 2008 at the earliest as we do need at least two visits and much more research. We are starting to learn which agents, developers, solicitors etc are recommended and which are to be avoided. We have been to TRNC but a few years ago and expect that it has changed since.



We have heard that Lewis Finance provide mortgages in TRNC but do not know if anyone has secured one yet, but as you say we would only borrow in GBP due to the reasons you provided.

cyprusishome


Joined: 31/03/2007
Posts: 2381

Message Posted:
05/05/2008 13:18

Like most here, we bought from savings or from sale of UK home.



After 2 years of living here would recommend against anyone taking a loan on a property here. Any company that will give one will seek high interest with strong penalties.



You just have to look at UK & USA where lenders have been all too keen to loan money. The consequences are there for all to see.



The property market here is too speculative to be caught up with loans.

briggus


Joined: 25/07/2007
Posts: 161

Message Posted:
05/05/2008 20:14

Island Hoppers - This company offered up 8 years I think a few years ago when we were looking - not heard anything negative - but suggest you research first. They have sites between Famagutsa and Bogaz - so you could inspect their work and ask people on the site.

http://www.noyanlar.com/EN/



Regards



Briggus