Affording to Live in Italy with an Italian Mortgage

It’s all very well mortgage companies in the UK or US telling us that we can re-mortgage out principal residence, release equity and use this money to buy a home overseas if we want to – but what about those people who actually want to live abroad, how can they raise the finance to buy abroad and afford to live abroad?

Well the good news is for those wanting to live in Italy for example, is that there are a number of well established international banking and financial institutions who make affording to live in Italy with an Italian mortgage entirely possible and in this article we examine the home financing and lifestyle affordability possibilities and options for those planning a new life in Italy.

When choosing to raise a mortgage to buy a family home in Italy it makes sense to raise the mortgage in euros as euro interest rates are often lower than UK equivalents for example and what’s more, if you’re going to be living in Italy you’ll experience difficulties raising finance elsewhere anyway as you’ll have the status of an expatriate in your old home country once you have established residency or citizenship in Italy!

The good news is that it doesn’t have to be difficult and you don’t have to be fluent in Italian before you can approach a lender.  Barclays Group PLC which is originally an old and respected British banking institution but which now has international presence is actually the only UK based bank to have an established presence in Italy…they’ve been in the market for over fifteen years and they know not only the financial marketplace but they know the housing market and how the property buying process works too - meaning that if you approach such a lender you will have the benefit of their experience and professionalism too.

Naturally enough Barclays aren’t the only choice – Italian lenders can be equally competitive and each major town will have branches of the most popular Italian banks from Monte dei Paschi di Siena which is apparently the oldest bank in the world to Banco di Napoli which lends substantial amounts annually for home purchases.

While it makes absolute sense to shop around, approaching an institution like Barclays in the first instance will give a prospective purchaser a clear idea of what they will likely be able to borrow based on their affordability and armed with this information a property buyer can go out and begin searching for a home as well as the most competitive mortgage offer.  You can get in touch with Barclays in Italy by clicking here, you’ll be redirected to a short form on their site which you complete and they’ll call you back for an initial chat about what’s available to you in terms of home financing options and even ongoing overseas banking options and you’ll even be able to discuss your ideas for a property in Italy and get some local know how and feedback.

In terms of affording to live in Italy and affording a mortgage it’s important to have an idea of monthly outgoings – these should include everything from your grocery bill, any insurances, car payments or travel costs, entertainment costs and utilities…armed with this information before you move to Italy you can ensure you can find employment in your favoured location that will allow you to meet your monthly obligations and then armed with this information before you apply for a mortgage you will quickly see how much money you have a month with which to afford a mortgage making it quicker and easier to get the paperwork done, the loan agreed and the dream home secured.