Property Development Loan

All you need to know on the Property Development Loan by HSBC:

Key Benefits

• Competitive interest rate
• You can pay only the loan interest during the reconstruction and sale of the house
• Flexible repayment options

The Property Development Loan by HSBC also offers you:

• Loan duration from 3 to 5 years
• 2 options of loan repayment:
  
  1st option
  a) first 24 months (constructing period): monthly payments of the loan interest
  b)as soon as the construction is finished, up to 24 months: monthly payments of the loan interest (period required for the sale of the property)
  c) after 48 months (maximum period) full repayment on maturity after the sale of the property
  
  2nd option
  Monthly interest capital payments
  
• Partial or full loan repayment with no penalties
• Ability to extend the repayment date based on loan amount and customer repayment ability

Interest Rate

Floating interest rate: Euribor 3months (on 15/12/2009 was 0,715%) plus spread from 1%
Charge of 0,12% (Law 128/75) for residence loans.

Loan Option

Minimum Loan Amount : €100.000
Maximum loan amount : €2.000.000

Required Documentation

For loan pre-approval

• Completed loan application form
• Tax settlement forms for the last three years (The last three years' analytical income tax forms E3 or/and E1)
• Bank certificate for outstanding loans or any other loan obligations
• ID/ Passport/Birth Certificate
• Analytical Budget of the cost and the construction time

More documents may be required for the technical and legal review of the loan, as well as for the estimation of borrowing capacity of the customer.