Mortgage in Egypt

[jeremy bright]

Originally Posted by cin7166

Hi Nick,

I'm going for a personal loan for my one, 6.4% so over two years I'm only paying around £1300 back on interest.

the egypt Mortgage rate on offer is 6.5% over 12 years was told

[cin7166]

That's not bad. Who is offering the mortgage? Does the property have to be complete?

[jeremy bright]

Originally Posted by cin7166

That's not bad. Who is offering the mortgage? Does the property have to be complete?

think so is through sigma the people building marlion and also on offer is to sell after 2-3 years there estimate is if you buy for £32.500 they will sell for you for £52.000

[lyndsay552]

I'm off to see my nice friendly bank manager tomorrow. We have quite a small mortgage compared to the value of our house and our yearly incomes. We plan to extend our mortgage but to take the money interest only, to cut down the monthly repayments.

This will mean that even if we don't re-locate we will have two invest properties which for instance if we sell in 5 years will be worth an awful lot more than we borrowed, hence why we are only going for interest only, instead of repayment.

Worth thinking about for anyone else who is in our position and wanting to invest.

[dave99]

.
Just taken this from HSBC web-site.

Lists EURO / USD for the money borrowed. NO specific reference to NON-Egyptian borrowers but it is implied.

Please note that there is a requirement to register the property and have a Property Tax Certificate.

Not clear from this how easy it will be but its a big step forward.

Documents required for Completed Units
An official copy of the Registered Title Deed
Real Estate "Form 19" (Certificate of all transactions related to the property)
A copy of the construction permit
Property tax certificate
Documents required for properties under construction
Documents evidencing property ownership (Allocation notice, handover, financial status for payment)
Copy of the building permit and architecture sketches

.
.

[jeremy bright]

Originally Posted by dave99

.
Just taken this from HSBC web-site.

Lists EURO / USD for the money borrowed. NO specific reference to NON-Egyptian borrowers but it is implied.

Please note that there is a requirement to register the property and have a Property Tax Certificate.

Not clear from this how easy it will be but its a big step forward.

Documents required for Completed Units
An official copy of the Registered Title Deed
Real Estate "Form 19" (Certificate of all transactions related to the property)
A copy of the construction permit
Property tax certificate
Documents required for properties under construction
Documents evidencing property ownership (Allocation notice, handover, financial status for payment)
Copy of the building permit and architecture sketches

.
.

i was just looking on the hania beach thread and there is talk of mortgage with HSBC

[lyndsay552]

With the talk of high interest rates, does this mean you will get a high interest on a savings account?

[wemyss1960]

I have just checked the HSBC wesite egypt hsbc housing-finance (not allowed to post the exact web address)

If you use the calculator it shows an interest rate of 12%

I will be speaking to a couple of companies later this week to determine some criteria and rates. I will keep you posted!

Cheers

Stuart

(that was me in bulls!)

[wemyss1960]

put 'wesite' as HSBC rate stinks

cheers

Stuart

[hiszein]

Please note that we have tied up with Financial Institutions in Egypt which are willing to provide Mortgages for our properties in Egypt. Below are the details:
1) Mortgage can be extended to Egyptians living abroad or non-Egyptians living in Egypt with valid work permit.

2) Mortgage house can finance up to 80% of the value of the property (the customer has to pay the first 20% and then the CIB will finance).

3) Interest rate is 11.5% for the first five years and 12% years after.

4) Mortgage to go up to 15 years.

5) Customers can choose to either pay escalating installments, fixed installments or pay the interest first and then principal (the later is good for investors)

6) Arrangement fee is 1.5% of the value of the loan (paid once at the initiation of the deal).

7) The customer should make a life insurance with the value of the loan and make the CIB as the beneficiary under this policy.

8) We can finance in LE or US$ (however, in US$ financing, the customer must prove that he/she has income stream in US$).

9) We can finance employees and self employed as well (however, for self employed, they can finance up to 65% of total value of the property).

10) Customer will receive (on the spot) a preliminary approval on the loan amount and schedule of monthly payments, providing that all information he/she gave to the Mortgage house if correct and providing that he passes the medical test "for life insurance considerations").