Short Term Financing: Overseas property, 20k short, best short term bridging finance?

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gilboy

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I am buying a property abroad in January and am 20k short. I have SSIA maturing in May, I wanted to figure out the best value bridging finance available
Thanks
 
Re: Short Term Financing

Well the cheapest way to borrow money is through a mortgage. If you can extend your own mortgage and then pay it back in a few months it will cost you very little. How have you arranged your finance to purchase this property abroad ? At mortgage rates the interest on 20k over 6 months is going to be around €450, if you have to get a personal loan it will cost you twice that.

But surely if you are investing abroad you would/should know this ??!
 
Re: Short Term Financing

infinity said:
Well the cheapest way to borrow money is through a mortgage. If you can extend your own mortgage and then pay it back in a few months it will cost you very little. How have you arranged your finance to purchase this property abroad ? At mortgage rates the interest on 20k over 6 months is going to be around €450, if you have to get a personal loan it will cost you twice that.

But surely if you are investing abroad you would/should know this ??!
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Might be the cheapest money alright but the savings may be eroded if their are legal fees, extra life assurance and a house valuation required should the op decide to go the mortgage top up route. In terms of time the op will be doing very well to sort out a top up between now and the end of January imo - a variable rate term loan might be the only practical solution for the op whereby he can clear the outstanding balance , without penalty, once his ssia matures.
 
Re: Short Term Financing

I was able to borrow €20k (Interest only) unsecured from AIB at 6.15% (variable) until my SSIA matures in early 2007.

I do have a good long term relationship with my bank manager.
 
Credit unions, if you are a member, are ideal for this type of thing.

Quick decision, no arrangement fee, no life insurance (though your loan will be insured against death), pay them back when the SSIA comes in - only charged interest up to that date.


Murt
 
Re: Short Term Financing

demoivre said:
Might be the cheapest money alright but the savings may be eroded if their are legal fees, extra life assurance and a house valuation required should the op decide to go the mortgage top up route. In terms of time the op will be doing very well to sort out a top up between now and the end of January imo - a variable rate term loan might be the only practical solution for the op whereby he can clear the outstanding balance , without penalty, once his ssia matures.
Click to expand...

Agree with you there. I got an equity release not so long ago. Cost €150 for my PPR valuation & Solicitor charged me over €700 for doing his bit.
I knew I would have to pay for the valuation but the Solicitors bill I couldn't believe. Surely there isn't much work involved ?
Some banks also charge an equity release fee of around €200.
 
Re: Short Term Financing

Perplexed said:
Agree with you there. I got an equity release not so long ago. Cost €150 for my PPR valuation & Solicitor charged me over €700 for doing his bit.
I knew I would have to pay for the valuation but the Solicitors bill I couldn't believe. Surely there isn't much work involved ?
Some banks also charge an equity release fee of around €200.
Click to expand...

What was the solicitors role? I got a solicitor to sign the equity release forms for free while making a will last year.
 
Re: Short Term Financing: Overseas property, 20k short, best short term bridging fina

Solicitor has to hold deeds of my house against the new mortgage. The mortgage cheque was sent to him for me.

I thought this excessive but then I needed the money in a hurry & just wanted to get on with it.
 
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