Mortgages in the Czech Republic

Mortgage by HYPOASISTENT

HYPOASISTENT is an independent mortgage broker cooperating with all Czech mortgage banks. Our specialized mortgage brokers speak English, German, Spanish and Russian. We fully understand needs of our clients from abroad and we always do our best to make their financing as comfortable as possible. The best interest rates are of course a must. We are ready to help both investor-buyers and expats living in the Czech Republic.

We help clients choose the right mortgage bank and the suitable mortgage product. We put together all necessary documentation, arrange a property valuation, arrange needed translations, structure and administrate all necessary steps. After signature of a loan contract, we help clients to open a bank account and to draw-down a mortgage loan.

All our services are free of charge for clients, we are paid by Czech mortgage banks.

In co-operation with our partners we can arrange also real-estate services, property management and legal services.

Please, do not hesitate to contact us today.

Mortgage parameters for foreigners

Possible mortgage parameters differentiate mainly according to the following parameters: country of client's origin, country of residency, country of source of income and source of declarable income.

It is not necessary to have a residency in the Czech Republic, unless client asks for 100% financing. The maximum LTV (loan-to-value) for non-residents is 70 - 85% (for clients from non-risky countries). Non-risky countries are for example the majority of EU countries, USA, Israel, South Korea, etc.

Interest rates can be fixed for a given period of time (usually for 1, 3, 5, 7, 8 or 10 years) or it is possible to choose a variable interest rate. The most favorite are mortgages with 3 or 5 years fixations.

At the end of each fixation period – it is possible to pay off the whole mortgage or part of the mortgage without any fee or penalty. In case of early extra payment (sooner than at the end of a fixation period) the bank can charge a fee. Therefore if you intend to sell the apartment and pay off the mortgage sooner, it is better to choose shorter fixation period – with respect to the expected time of selling.

Maximum maturity is usually till the age of 70 years, usually upto 25 years (with residency upto 30 years).

It is necessary to declare a sufficient net income to qualify for a mortgage. It is possible to accept income from an employment or a self-employment. Income from an employment is to be declared by income confirmation form (bank form to be confirmed by an employer) and bank statements for previous 6 months (to declare regular incoming salary). Income from a self-employment is to be declared by a copy of personal tax return for previous two years.

At least one visit of Prague is usually necessary in order to sign a Loan Contract and to open a bank account once the mortgage is approved. Everything takes not more than 1- 2 hours.

HYPOASISTENT services

We prepare a mortgage offer and help clients choose the right mortgage bank and a suitable mortgage product..

We clarify everything important and process communication with the bank, real-estate agent and the Land Registry.

We negotiate necessary methodical exceptions for clients to make the financing according to client´s expectations and financial needs.