There are statistics to prove it, however, we don’t need a show of figures to convince us that consumer confidence in the banking system and economy is currently at rock bottom. Nationwide have recently reported a pathetically positive 8% rise in their consumer confidence index lifting it from a record low of 51 to 55 and this last week also sees the interest rate fall an astounding 1.5%, a sure move to try to re-establish our desire to ‘spend’ by the Government and Bank of England.
Greece has been ranked in poll position in Flight Centre’s ‘Top 10 Where To Go in 2009’ list. Based on the data revealing the destinations that have grown in popularity over the last year, Greece has been voted top thanks to its offering of “an affordable holiday, delicious food at reasonable prices, cheap sailing, local wine, beautiful beaches, sunshine, quaint villages… and little islands full of scenic surprises”.
Scary! That is doubtless the feeling for many people seeking to arrange a mortgage to buy a property overseas. If it is daunting applying for a mortgage for a property in the UK, surely it must be harder yet to arrange one for a dream home or investment abroad?
With the internet now the first place most people visit when starting their search for a home overseas. Piraeus Bank UK are now encouraging people to start their search for an overseas mortgage online too.
There has been much media interest of late into the travails of the majority of the world’s financial institutions following the unravelling of the bundled debt packages that included much sub-prime debt. It is anticipated that further announcements will be made over the coming months as further losses are reported.
- A Euro mortgage on overseas property can be utilised whilst the Sterling exchange rate is in a weakened position
- UK buyers can release equity from their overseas properties to:
- Alleviate negative equity on a UK property
- Generate a larger deposit to purchase UK property using a mortgage
- Renting the overseas property should be explored as a means to reduce or fully cover mortgage repayments
- First time buyers can consider purchasing in countries where property price increases are expected to be higher than in the UK in the next two-three years so as to get on the property ladder.