Maximum Loan Amount
In St.Lucia domestic mortgage loans are now available for both residents and non-residents where local residency is defined as three years of continuous residence. Mortgages can be applied for in the individual name of the purchaser, or in an incorporated property-holding company. The loan amount will be determined based upon the location, purchase price of the property that is to be financed and the client credit worthiness.
As a non-resident the loan to value can be as high as 60%, and for residents as high as 90%.
Non-resident loans are usually based on a premium over the US$ New York Prime Rate or the US$ London Interbank Offered Rate (LIBOR) with the premium based upon the loan value and the client credit worthiness. There are fixed rates available on the market ranging from 1 to 10 years.
The loan repayment periods generally range from about 1 to 20 years.
- The Bank Arrangement Fees or Lender’s Negotiation Fees:
Ranges from 0.5% to 1% of the mortgage amount.
- Legal Fees:
Needs to be clarified individually with the attorney of choice and should include the bank’s lawyers who will prepare the legal documents associated with the mortgage.
- Valuation Fee:
To be clarified with the individual Property Appraiser. Please see our recommended Quantity Surveyors on Property Cafe StLucia.com
An attorney is a key part of the buying process and should be engaged to ensure that the sale agreement and the title documents are in order, to handle the mortgage legal matters and to follow through the payment of the deposits and to receive the mortgage funds.
- Proof of income - an original letter signed by your employers confirming your annual gross salary, details of bonus payments, length of employment, type of contract, and confirmation of primary residential address.
- Self-Employed applicants - provide a letter signed by the auditor confirming your personal income; get a partner in the firm or a company director to supply three years’ trading accounts for the business, bank statements of the last six months.
- Details of existing mortgage or other existing financial commitments – provide latest statements of existing mortgage and/or details of any proposed borrowing with other lenders that will be supported by the property.
- Bank Statements – details of the last six months’ bank statements from a financial institution acceptable to the loaning bank.
- Bank Reference – from a financial institution involved in on-going business with the individual for a minimum of 2 years and is acceptable to the loaning bank.
- Credit Report – from a recognised credit bureau for each applicant.
- Financial Contribution – details of your financial contribution towards the purchase. Evidence should be provided.
- Insurance policies – details of any existing insurance policies.
- Lawyer’s details – the address and telephone number of your representing lawyer.
- Valuation Report – a satisfactory property appraisal report.
Please see our recommended Quantity Surveyors on PropertyCafeStLucia.com
- Sales Agreement – a copy of a Sales Agreement accepted by the client and representing attorney. A copy of the incorporation documents if the purchase is in a company name.
- Proof of identity – 2 certified copies of government issued identification.
- Registered First Charge - over the real estate purchased, stamped for the full amount of the mortgage.
- Title to the real-estate – A clear title of the real-estate certified by a lawyer approved by the loaning bank or a title insurance company acceptable to the loaning bank.
- Property Insurance Company – Full peril insurance on the property including hurricane insurance.
- Personal Guarantees - from the beneficial owners for borrowing via a corporate vehicle.
- Co-Signature / guarantee of spouse - if applicable.
- Alien Land Holding Licenses - where applicable.
- Life-Insurance - optional
Upon consultation all clients must sign an Engagement Letter from Property Cafe Co. Ltd. Mortgage Services agreeing to our terms and conditions before the application can be processed.
** Please note that the above information is a rough guide which is subject to changes in the financial mortgage market.