French Mortgage over an Irish one?

uncleseano

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Hey guys, we have landed our mortgage with AIB and have started looking at properties.

However now we've noticed that French mortgages are nearly half (maddness) that of our AIB one.

My partner is French and it seems like we *may* be able to get French mortgage and still live in Ireland. Has anyone got any experience with this?

Are there any clear and obvious pit falls? Our rate will be something like 3.2% and the French one is quoted at 1.85%

That's not a typo, when something is this too good to be true then I getted spooked.

Any help would be greatly appreciated
 
The french lender will have to be willing to take a security interest in an Irish property. Unless it's something they do regularly the legal fees might be very high but compared to a 25 year mortgage at a lower rate it's a win for you.
Perhaps they'll do it via some sort of "holiday home" scheme. If that's the case then best of luck to you and well done in beating the domestic banks.
 
I heard this from a french neighbor as well. I believe a property in France (parent's property) was given as security on the loan. I'll try to get more details.
 
Please do, it seems that Credit Mutuel are one of the only crowd to do it. Will try and get more info
 
A friend of mine recently purchased a large 4 bed detached family home in a desirable area with a German mortgage. With an interest rate of 0.48%.

He doesn't even know what he will do with the house, but his attitude was, if they are giving money away why not.

This may not be available to the average first time buyer, but there are plenty of Irish people in a position to borrow from European banks.
 
A friend of mine recently purchased a large 4 bed detached family home in a desirable area with a German mortgage. With an interest rate of 0.48%.

He doesn't even know what he will do with the house, but his attitude was, if they are giving money away why not.

This may not be available to the average first time buyer, but there are plenty of Irish people in a position to borrow from European banks.

Please asky your friend about the name of the bank and if he gave a property in Germany as security on the loan or the Irish property was accepted as security.
I am German myself and would be highly interested in taking a German mortage for buying in Ireland though as far as I have heard the banks won't do it because the house is not in Germany.
 
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A friend of mine recently purchased a large 4 bed detached family home in a desirable area with a German mortgage. With an interest rate of 0.48%.

He doesn't even know what he will do with the house, but his attitude was, if they are giving money away why not.

This may not be available to the average first time buyer, but there are plenty of Irish people in a position to borrow from European banks.

Please asky your friend about the name of the bank and if he gave a property in Germany as security on the loan or the Irish property was accepted as security.
I am German myself and would be highly interested in taking a German mortage for buying in Ireland though as far as I have heard the banks won't do it because the house is not in Germany.

Very much the same for me. I'd love to hear about which bank this was, and what type of security was required.
 
Please asky your friend about the name of the bank and if he gave a property in Germany as security on the loan or the Irish property was accepted as security.
I am German myself and would be highly interested in taking a German mortage for buying in Ireland though as far as I have heard the banks won't do it because the house is not in Germany.

Very much the same for me. I'd love to hear about which bank this was, and what type of security was required.

Well I am not going to ask him the details, he might not like having his affairs discussed on a forum like this, even if anonymously. What I have posted so far is just a report of a casual conversation.

I know that he owns a property in Germany, so the mortgage may well have been secured on that, either alone or as well as on the Irish property.
 
I know that he owns a property in Germany, so the mortgage may well have been secured on that, either alone or as well as on the Irish property.

Are you sure it was a mortgage? I have no problem getting back to back loans to buy property in Ireland, but not a chance in hell of getting a mortgage!
 
Well I am not going to ask him the details, he might not like having his affairs discussed on a forum like this, even if anonymously. What I have posted so far is just a report of a casual conversation.

I know that he owns a property in Germany, so the mortgage may well have been secured on that, either alone or as well as on the Irish property.

Fair enough. It is difficult then to take it as a fact, or more as a fact for more than an very special case in which it has as such of no use to anyone.
Maybe your friend might like to share his story though, there's always the option of PM'ing if you don't want to go public.
 
Just to come back here (O.P here) it seems like Credit Mutuel are the only people who do this in France. We have to use a property in France as security (the missus' Mums house) but in the end the rate is %1.7. We can also get a tracker also.

Seems like the way to go, so fingers crossed
 
Not quite the same, but I have held savings accounts with both RaboBank in the Netherlands and Deutsche Bank in Berlin for the past 5.5 years. I approached both recently about getting a mortgage for an Irish property and was told that they would not give a mortgage for a property in Ireland.

This is very frustrating, as we are supposed to have a common market, including as I understand, for financial products, but yet it seems impossible to purchase financial products from other Eurozone countries.
 
I would be amazed if any bank that does not have a presence in Ireland, is willing to provide homeloans secured on Irish properties ... unless we're talking about very serious money etc.
 
Sorry to resurrect a 6 year old thread, but was just wondering if the OP moved forward with the French mortgage in the end? Would be very interested to learn as I am considering something similar myself. Thanks
 
Sorry to resurrect a 6 year old thread, but was just wondering if the OP moved forward with the French mortgage in the end? Would be very interested to learn as I am considering something similar myself. Thanks
He updated in post 12 above
 
I have never heard of a lender without a branch in Ireland providing a loan secured on a residential property in Ireland.

Maybe this product existed pre-crash but not since. If this product was out there I think it would have been heard of on AAM.
 
The idea in general is that the mortgage loan for a property in Ireland is secured against a property in Germany/France etc.
This is done by expats if they have already a property abroad and then buy here.
Know a couple of people who did that. I was a bit late when I tried and rates in Germany increased over to what the rates are for me here in Ireland. But will revisit that in a couple of years again.
 
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The idea in general is that mortgage loan is secured against a property in Germany/France etc.
So you are getting a French or German mortgage secured on a French or German property :)


If any lender without a branch in Ireland is willing to lend on a property located in Ireland do let us know!
 
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