Tel: +44 (0) 330 124 1230  Offices in Leeds, Belfast and Spain

Helping People With Foreign Property Debt & Negative Equity.

What Happens If You Stop Paying Your Foreign Mortgage?


IF YOU DON’T PAY YOUR OVERSEAS MORTGAGE, then it will likely have the same consequences if you didn’t pay your mortgage in your home country. Many with overseas mortgage debt in Europe seem to be under the illusion that not paying the mortgage will have no consequence to them. This is incorrect.

EU Property Solutions regularly deal with the following types of cases:

  • Borrowers with a mortgage greater than the house value stop paying and leave the keys with the lender.
  • Many of these borrowers do not realise they are in Negative Equity. They are putting themselves in serious jeopardy – as the outstanding debt can be aggressively pursued back in their own country.
  • If you don’t pay your mortgage arrears will mount on your account. Then following a period of greater than three months your lender can commence repossession proceedings.
  • Once repossessed your lender will then market the property. Many properties sold in possession are sold at a far reduced rate value, often around 60% of open market value.
  • If the bank sells the property, you will be left liable for any shortfall balance if the property was in negative equity. This can be collected by lenders in your home country.
  • Increasingly we see instances where lenders have appointed UK Solicitors/Collection Agents and placed a 2nd charge on a borrower’s home.

It is essential not to ignore your lender & to liaise with them if you have any issues paying your mortgage, if not your home assets are at risk.

We assist borrowers with property debt issues across Europe. Our main areas of expertise are in Spain, Portugal & Cyprus however we are obtaining successful settlements across the continent.

Further Reading

We offer a completely free, no obligation initial consultation

Chat iconCall us now on 0330 124 1230