Real Estate Mortgage RatesProperty mortgage rates
Given an overall mortgage amount of 400,000, this corresponds to a noticeable savings of 29,044 euros in interest paid over the entire life of the mortgage. Commenting on the report, John Busby said: "In France, a 20-year fixed-rate mortgage reached 3.10% and 25-year Fixes for 80% of the sale were available this weekend from 3.50% for non-resident purchasers, with the TEC 10 index falling to a new all-time low of 1.22%.
This is now formally the cheapest interest rate we've seen for mortgage loans in France this past or next century." "Most of these historically low interest rates were caused by the collapse of long-term sovereign bonds across Europe. 10-year sovereign bonds are now also at historically low levels, so low that depositors are providing the Federal Republic of Germany with a credit volume of 1% for 10 years".
"Obviously it's all proportionate to the risks you run in the markets, but it will require some serious work from EU government and Mario Draghi to increase the mood for expansion, although it's nothing a good QE dosage won't help. Meanwhile, those who want to buy real estate in France can achieve an unbelievable value at today's interest rates, as can those who want to fund their debts."
Mortgage rates in France are falling to the low thresholds ever registered.
Interest rate cuts on sovereign debt and an optimistic French buyers' exchange have depressed mortgage rates to their record low. Meanwhile, key interest rates have fallen to 2.85 percent, compared with the 2.90 percent low seen so far in May 2013, and this move is likely to drive the real estate markets only further, other sector experts report.
Commented John Busby of the private bank. During the six month six month from 13 December to 14 May, the real estate specialist Athena Advisors recorded an 85 per cent rise in real estate disposals compared to the same quarter last year, with real estate disposals in France to foreigners exceeding ? 50 million. The new UK DCA regulations and directives came into effect in April to tighten the UK's eligibility and mortgage maintenance requirements.
Mr. John Busby of Private Finance: The average of the last 2 years bonuses, fees and dividend are also reflected on your credit, consumer credit, auto loan and maintenance obligations. As soon as this computation is completed, you will receive a definite amount that you can pay each and every months, which is beautiful and clear."
As a general principle, in France each 100,000 currently cost about 500 per cent per months over 25 years, 600 per months over 20 years and 700 per months over 15 years (which can be the number used to determine how much money can only be raised on an interest basis).