At EU Property Solutions we have seen and helped hundreds of clients who have taken out interest-only loans in the past and are now paying the hefty price.
How high will your mortgage repayments spike? This type of mis-sold mortgage issue is something that we’re seeing with our clients who come to us after realising their 15-year interest-only period is coming to an end. We had a recent client whom we completed a due diligence for and found that his monthly repayments would go from €250pm to €2,150pm, an extremely high spike in payments that would very quickly become unfeasible.
Enticed by initial low monthly interest repayments, buyers have mis-sold properties with the expectation that the property values would rise quickly. Typically, these mortgages were sold with 10-15 years of low interest-only repayments before paying off the actual loan.
These mis-sold properties led buyers to believe that paying off the final bill on the capital would be easy and they could have the possibility of earning a rental income to more than cover the monthly payments. It is entirely understandable why buyers were dazzled by the lure of relatively small monthly repayments, for what was then deemed to be an extended period, against such attractive yields.
With the ‘imminent boom in prices’ predicted, it seemed entirely feasible for buyers to purchase this way. The big problem was that these impressive promises were overshadowed by a complete lack of due diligence by the ‘professionals’ they trusted.
Our FREE book gives delves deeper into interest-only mortgages and what we have learned in our many years of experience in the field of foreign property debt, you can email us at [email protected] to receive your free hard copy today.
Soon hit the catastrophic financial crisis and an unexpected fall in property prices that left these interest-only mortgages worth less than the paper they were written on.
At EU Property Solutions, we fully understand the issues involved with interest-only mortgages and we strive to bring hope and support to people struggling with the dire financial repercussions of mortgage terms ending. If you are left in this situation, contact our specialist team today to know all the options that are available to you. Don’t forget to check out our latest webinars on YouTube: Click Here!
We are a UK based firm with legal teams in Spain and Cyprus who understand the market and Bank practices as they stand. We remove the language barrier and utilise law, Bank lending flaws and current client circumstances to negotiate the best feasible outcome for all our clients.
EU Property Solutions was formed following the success of our associate firm Bell & Company. An FCA registered firm of Debt Strategists, Bell & Company assist individuals in difficulty in the UK and Republic of Ireland with Personal and Business-related debt issues.
We have an excellent track record of success. Our success stories and testimonials come straight from our clients & highlight the high quality of our works and outcomes. We have individuals willing to speak to prospective clients on the telephone to offer their story and experience.
Our obligation is always to our client and that is where our strength lies. Debt is highly stressful and emotional. We deal with debt day in day out and employing an intermediary removes emotion from the situation allowing clear strategy to be implemented to get the best outcome for our clients. Understanding a firm of professionals is acting on your behalf can remove stress and focus the mind to a positive end goal.