How much can you borrow?
It is important to talk to a French Mortgage broker, as this will immediately enable us to understand your situation, and thus establish an idea of your eligibility for a mortgage with a French bank. While there are general rules of thumb, we have found it makes sense to approach each client on a bespoke case by case basis and offering a tailored solution.
This depends on your personal situation, but in France, you are required to prove all of your incomes and all of your outgoing, as well as proof of your assets. This would include relevant Tax returns or P60S, profit and Loss accounts, bank statements, proof of loans in progress, proof of savings and investments etc. etc.
We will provide you with a complete list of the information that is required once we have spoken to you and understood your situation and help guide you to satisfy all the relevant criteria.
Your Age and Mortgage Insurance
When you take a loan in France, French banks require the loan to be insured. Depending on the loan amount, your age, the duration of the loan and at what age you will be when the loan finishes, will impact upon the cost of Life insurance. While banks provide Life Insurance, we can also work on your behalf with a panel of French Life insurance companies to make sure you get the best rates and coverage available.
Nationality and Country Of Residence
These aspects can have an impact on the Loan To Value (LTV) that you might be able to obtain. In general for a European resident, the LTV can be up to 85% of the purchase price. However, this can be slightly lower between 50%-70% for non-European residents. Please contact us in order to obtain a better idea as to how much you can borrow here in France.
French Bank Account
When you purchase a property here in France whether it is with or without a mortgage, you will require a bank account. The bank account is where the French mortgage is taken out of but also you will need the account for paying electricity, water, gas, telephone etc. These bills usually have to come out of a French bank account. If the mortgage is done through a specialised lending house, who do not provide bank accounts, we can help you set up an account for you with another bank.