Housing purpose:
You can use the loan to buy a house, land, apartment or for home extensions/renovations or even for your business premises.
Loan amount:
There is no maximum loan amount.
Contribution:
The level of your contribution may vary and along with the required securities the pricing of the loan will be determined. Usually, you may be required to contribute 20-30% of the market value of the property.
Currency:
Loans are available in Cyprus Pounds, Euro, Swiss Francs and in all major currencies.
Loans in Cyprus Pounds:
Fluctuating interest rate for the whole duration of the loan.
Loans in Foreign Currency:
Fluctuating interest rate for the whole duration of the loan or
Fixed interest rate for a fixed period of time.
Special Product:
Housing loan in Euro, using 6 months Euribor, with no exchange commission.
Repayment Period:
A housing loan in Cyprus Pounds may be repaid of up to 35 years.
For housing loan in Foreign Currency, the repayment period may be up to 15 years. But, the installments of the loan may be as if the repayment period was up to 35 years and re-finance the remaining balance of the loan for an additional period of up to 20 years.
Repayment flexibility with three escalating stages in the instalment amount as follows:
1.Lower Instalment for the first 5 years that covers the interest amount
2.Regular Instalment for the next 5 years as calculated following a normal repayment schedule
3.Higher Instalment for the remaining years of the loan, so as to cover the amount of capital that is not being repaid during the first period.
Grace Period:
If you are purchasing a property that is under construction, you have the option to start the repayment of your loan after the construction is completed (maximum period 12 months). During that period, you will only have to pay the accrued interest.
Pricing:
The pricing of your loan will depend on the level of your contribution, the securities provided, the housing purpose and the currency of the loan. A margin of 1,75 2,50 % will apply above the base rate (if loan is in Cyprus Pounds) or above libor (if loan is in Foreign Currency).
Life Insurance:
Is generally not compulsory.
Property Insurance:
To be through with any contingency that may occur to your property ( fire, blood, burglary, etc.), the property must be insured.
Proof of Income:
Insurance for fire is compulsory. Additional cover for theft, contents etc. can be arranged by the customer.
Tax deductions:
Any possible tax deduction on the loan interest for private residence are determined by the Tax Legislation and practice of the Cyprus Tax System. Details regarding the current legislation are available at the Department
of Income Tax of the Ministry of Finance.
*The above mentioned are guidelines. Lemon Tree Cyprus Properties Ltd is not legally bound to the above mentioned*