Mortgage from a Cypriot Bank
Fortunately for those who are looking to move to Cyprus permanently, mortgages are widely available across the island. However, most will find that the process isn’t always a simple one – but this doesn’t mean that you won’t be able to get the house of your dreams.
How to apply for a mortgage from a bank
Residents and foreigners will often have to go through the same steps to get a home loan for a property in Cyprus and most cases, you’ll find that mortgage applications are a fairly straightforward banking process.
The 3 main steps to applying for a mortgage are:
· Fill out an application form
· Review loan estimates
· Choose a lender
After this, loan processing will generally take over and from there the underwriting begins. Usually, it won’t be too long until your loan is cleared (as long as you meet all of the bank’s parameters).
Different types of home loans in Cyprus
Most banks on the island have several mortgage plans available for a range of different requirements, so whether you’re a Cypriot looking to buy your own home or a foreigner who wants to live or invest in Cyprus; there’s sure to be an option for you.
Difficulties you may face when trying to get a mortgage
Several problems can occur when trying to get a home loan – and often, Cyprus is no different. This is why it’s usually a wise idea to first find out what may happen down the road and how to handle any issues that could (with a fair chance) arise. A few things to look out for are:
· Dishonest mortgage brokers
· Taxes
· A long-lasting loan (not the case for everyone, but most will have loans that last for 20 to 30 years)
Preparing for the buying process
Before you decide to apply for a home loan, you should be ready. Be sure to:
· Know what type of mortgage you want beforehand
· Check to ensure that you have a strong credit score
· Do your research on lenders
· Get a preapproval
· Get all your loan paperwork together and ready
In general, these things can make a big difference to the process; often making it simpler, preventing any issues, and even saving you time and money.
One other thing that you may want to consider is if there’s anything you can do to increase your chances of getting the loan you need. For example, if your credit score isn’t great you could find ways to improve it, or you could begin saving a little extra each month to boost your savings and appear more reliable to your preferred lender.
