A gentleman approached EU Property Solutions with a problematic Cypriot property.
It was a typical mortgage sold in Cyprus during the boom and the currency was the ever problematic Swiss Francs.
Swiss franc mortgages were sold based on the exchange rate at the time which included a variable interest rate.
Major issues experienced by clients include:
- A rise in interest rates on their mortgage not highlighted at the time
- Exchange rate depreciation £ to SwFR 40% from 2008 to date
- The property is in Negative Equity
- Title deed Issues
The client owed c1,100,000 Swiss Francs and this equates to €955,000 and the property value was only €240,000. To further worsen our clients’ situation he was in arrears of over €100,000 and UK debt collection agents were threatening legal action against him in the United Kingdom. This was a stressful situation.
Firstly, EU Property Solutions solved the issue with the UK Debt Collector and began focusing on the issue in Cyprus. The case took significant time but resulted in savings of c€450,000 to the client who was delighted.
As we have seen with many clients, many overseas borrowers with Swiss Franc Mortgages are struggling to find a route out of this issue. Thankfully, however, there are now options available if a proactive approach is taken with the correct intermediaries.
If you would like to speak to an expert on your current financial situation regarding a Swiss Franc Mortgage, problematic Cypriot property or indeed any property, please call Karen today on: 0330 124 1230.