It could be believed that 2005 – 2008 was a prosperous and positive time; with the Economic Boom and thousands of Brits and Irish, finally being able to afford the dream purchase of a ‘luxury’ holiday home in places like Spain or Cyprus.
At EU Property Solutions we see this experience in a different way. It was a time where the ‘buying frenzy’ was encouraged by duplicitous bankers, promoters, and developers.
For buyers, funds were easy to access both at home and abroad; non-status mortgages were two a penny, and credit checks didn’t even factor into the equation. With little to no barriers stopping the purchase of ‘too good to be true places’; it was only a matter of time before the foundations of this property boom literally crumbled underneath us all.
It was no wonder that in the autumn of 2008 when the world stopped turning and the financial crisis hit. These properties built on financial sand in the years before, suddenly sank quickly into Negative Equity; leaving people stuck with unwanted debt.
Countries including Cyprus and Spain were savagely hit as the whole banking industry was shored up by their State Banks. The collapse of the financial sector, and many of its long-established institutions, started a domino effect, leaving those at the end of the chain the main losers.
Those who dared to live the holiday home dream have now, unfortunately, become victims of the Economic Boom. Their once refreshing holiday cocktail soon left a bitter lingering aftertaste that is still being paying for to this day.
If the above sounds familiar and you have found yourself stuck with a Foreign Property in Negative Equity, our specialist team are here to take your call today!
We have published our first ever eBook ‘Foreign Property Mortgage Nightmare – 2006+ and all that..’
This book is not looking in any way to compound the pain of foreign property debt or ‘rub it in,’ but it seeks to explain the works that we undertake and what we have learned over the past ten years in this field.