We now have more options for conventional bank mortgages in the Caribbean! Although we are still not able to offer them in all locations to all clients, more options are coming on board. Conventional bank mortgages are the most cost effective loans we offer here at Carib Capital.
We can now offer bank financing in the Turks and Caicos, The Bahamas and the Cayman Islands (along with a few other select locations in the northern Caribbean region). These mortgages will still have some of the same challenges we have seen with bank financing previously (time and qualification), however they do work very well for many of our clientele.
The conventional bank mortgages we offer are the same as you would see at home; fully qualifying. This means we will need to see all your income verification, down payment, credit history etc. None of this should come as a surprise, but there can be some differences between what you may be used to and what they do in the Caribbean.
There will be some limitations to who we can offer this new product to, it won’t apply to all buyers. The bank is clearly trying to tap into a new vein of business so they are only offering this to non residents (US, Canadian and UK), looking to borrow more than $250,000, and who have at least 30% down payment. This option is not meant for residents/citizens who can be serviced locally at the branches.
If you don’t have the 50% for private financing, and you have the time to wait for a bank mortgage, your patience will be paid off with a good interest rate with a good bank!
As mentioned above, you can qualify with less down payment with a bank mortgage, 20% less down payment. Secondly, bank mortgages are cheaper, with rates usually 2% lower than private loans. The payment amount is usually offset however, as private loans generally only require interest only payments.
The overall costs of a conventional mortgage will be less than a private mortgage. You lose out on the ease and speed of a private loan when you deal with the bank, but the benefits are the obvious savings on your home.
Talk to us today about the conventional bank mortgages we have available today!