100% LTV Mortgage on a purchase of an apartment in Krakow, Poland

Hello,

I wonder if someone can answer.

I have found a flat to buy in Krakow and visited my bank. To keep my financial state, I don't want to spend my saving a lot. Therefore, I asked my bank if LTV 100% mortgage was possible. They said no and paying 20% deposit is an obligation on customers. Is that true? Although I will contact some mortgage dealers/brokers, is it worth trying to have 100% LTV mortgage in Poland in terms of interest and margin? By the way, I am a foreigner who has been living here for 2.5 years.

I desperately hope someone can give me advice.

Thanks,

There is a recommendation by the Polish banking supervisor that the maximum LTV can be 80%, in some exceptional circumstances 90%. It is not strictly a law, but all of the main banks follow that, and your chances of getting 100% LTV are basically zero. It's nothing to do with you being a foreigner either, a Polish person would have the same difficulty
It's a sensible law, Poland's currency is quite weak and I think it's essential that the banking system is stable, and that there is no reckless lending to consumers.

yep, pretty much exactly what cms says.

What some people do it get the 80% mortgage and a normal loan for the other 20%, but you'll be crucified with interest paying two loans back.

you won't get a 100% mortgage though

you should be able to get 90% while some banks will do you a separate loan for the deposit, which is paid off first usually with a bigger monthly payment. Bottom line is it can be done, you need to shop around, but you have to be able to afford it otherwise no one will touch you.