Intro
Montenegro is a fairly undeveloped market in terms of its
foreign mortgage allocation although this is changing quite
quickly. In July 2007, 50% LTV mortgages at a rate of approximately
9% were introduced whilst 70% LTV mortgages are available to
clients with a good credit history.
Availability
We have only been able to establish one lender in Montenegro but
as competition increases rates will soon come down. Lenders will
only lend on completed buildings meaning anybody looking to
purchase off-plan properties will not be able to obtain a mortgage
until the property is completed
Cost
The bank typically charges a 2% arrangement fee for setting up
the mortgage and if you use a broker for arranging your mortgage
other costs may be incurred.
Application Process
The process can be quite protracted simply due to the quantity
of documentation the bank requires. The bank I question though does
have an office in London which makes communicating with them
easier. Typically it will take about 4 weeks to get your mortgage
approved by the bank.
Mortgage Finance from Frontiers Financial Services
Top