| View previous topic :: View next topic |
| Author |
Message |
saloc
Joined: 04 Jul 2003
Posts: 102
|
 Posted: Thu Jun 22, 2006 2:23 am Post subject: Buying Property Abroad |
 |
|
Wonder if anyone can help me on this. I have bought property in Japan, and am now looking to buy a house in the U.K. I have been (provisionally) approved for a loan from a U.K. bank, but was wondering about the possibility (or perhaps impossibility) of getting a loan from within Japan to purchase the property abroad. The main reason I would like to do this are that the interest rate in Japan is much lower than in the U.K., but there are also other issues regarding documentation etc which would just make things easier for me if i could get the loan at this end as opposed to in the U.K. Does anybody know if this is possible? I have PR and am married to a Japanese national.
If memory serves, sidjamieson and paulh have mentioned owning property abroad. Did you buy properties outright, get a loan from a lender in your own countries, or get a loan in Japan? I'm guessing I'll have to go with the U.K. lender, but would love to hear if anybody has a different experience.
Thanks,
Saloc |
|
| Back to top |
|
 |
PAULH
Joined: 28 Jan 2003
Posts: 4672
Location: Western Japan
|
| Posted: Thu Jun 22, 2006 3:08 am Post subject: Re: Buying Property Abroad |
|
|
| saloc wrote: |
| Wonder if anyone can help me on this. I have bought property in Japan, and am now looking to buy a house in the U.K. I have been (provisionally) approved for a loan from a U.K. bank, but was wondering about the possibility (or perhaps impossibility) of getting a loan from within Japan to purchase the property abroad. The main reason I would like to do this are that the interest rate in Japan is much lower than in the U.K., but there are also other issues regarding documentation etc which would just make things easier for me if i could get the loan at this end as opposed to in the U.K. Does anybody know if this is possible? I have PR and am married to a Japanese national. |
Its unlikely in fact impossible that a Japanese bank will lend you money secured on property overseas. The property MUST be in Japan to get a Japanese bank loan.
| Quote: |
If memory serves, sidjamieson and paulh have mentioned owning property abroad. Did you buy properties outright, get a loan from a lender in your own countries, or get a loan in Japan? I'm guessing I'll have to go with the U.K. lender, but would love to hear if anybody has a different experience.
Thanks,
Saloc |
My loan was being done through Lloyds in Singapore. I already owned the property financed through a New Zealand bank and the Lloyds loan was simply refinancing. They were lending on Australian New Zealand UK and Us properties. They will not lend on properties in Japan. |
|
| Back to top |
|
|
sidjameson
Joined: 11 Jan 2004
Posts: 629
Location: osaka
|
| Posted: Thu Jun 22, 2006 7:59 am Post subject: |
|
|
I refinaced my house witha yen loan. It is a pretty straightforward thing to do. The costs for me were about 1% of the loan. I went with TSB. Interestingly and worringly after 3 months of the 1.36% rate that was advertised they have just raised the rate to 1.61% I am unaware of any rise by the BOJ so I feel slightly "cheated" But then again 1.61% is still a great rate.  |
|
| Back to top |
|
|
saloc
Joined: 04 Jul 2003
Posts: 102
|
| Posted: Thu Jun 22, 2006 1:01 pm Post subject: |
|
|
| Thanks for the info. So it looks like refinancing is easy enough within Japan, but I'd probably need to look elsewhere for the original loan. Sid - don't think you can have too many complaints with that interest rate! |
|
| Back to top |
|
|
PAULH
Joined: 28 Jan 2003
Posts: 4672
Location: Western Japan
|
| Posted: Thu Jun 22, 2006 1:07 pm Post subject: |
|
|
| saloc wrote: |
| Thanks for the info. So it looks like refinancing is easy enough within Japan, but I'd probably need to look elsewhere for the original loan. Sid - don't think you can have too many complaints with that interest rate! |
You can take out loans through Lloyds to buy original property as well as re-finance existing loans. You simply have to meet their criteria for qualifying for the loan.
The interest I will mention covers INTEREST ONLY and you still have to pay back the principal.
One other catch with Lloyds is if you move back to the UK to live the loan interest will be rejiggered so you pay the same interest as in the UK.
The cheap rates only apply as long as you are resident in Japan and property is secured in another country. |
|
| Back to top |
|
|
saloc
Joined: 04 Jul 2003
Posts: 102
|
| Posted: Thu Jun 22, 2006 1:22 pm Post subject: |
|
|
| Thanks Paul - I've sent an e-mail to Lloyds to try and get a bit more info. |
|
| Back to top |
|
|
PAULH
Joined: 28 Jan 2003
Posts: 4672
Location: Western Japan
|
| Posted: Thu Jun 22, 2006 1:29 pm Post subject: |
|
|
| saloc wrote: |
| Thanks Paul - I've sent an e-mail to Lloyds to try and get a bit more info. |
You dont apply for the loans through Lloyds, you go through people like Magellan and Banner. i actually got approved for a loan through some serious number crunching but didnt settle. There are a lot of hoops to jump through but they will probably tell you to contact an independent financial advisor in Japan who file the application on your behalf.
Banner etc get a cut or a % when the loan goes through and they are the agents for the Japanese end of things.
http://www.bannerjapan.com |
|
| Back to top |
|
|
|
FAQ
Search
Memberlist
Usergroups
Register
Profile
Log in to check your private messages
Log in
