Mortgage loan for non residents

Loan amount starting at €10,000

Your income, creditworthiness and the value of the property in Greece determine the amount of your mortgage loan.

• If you are buying a home, a holiday home or a plot of land, the mortgage amount cannot exceed the amount written in the real-estate purchase agreement.
• If you are repairing, building or renovating your home or holiday home, the mortgage amount may reach up to 100% of the costs.

The mortgage amount also depends on the commercial value of the property used as collateral:

• If you are a Greek or Cypriot citizen, it may reach up to 70% of the commercial value of the property.
• If you are not a Greek or Cypriot citizen, it may reach up to 65% of the commercial value of the property.

The commercial value of a property is determined by an independent certified engineer / appraiser, who inspects the property.

Loan term

The term of your mortgage loan is calculated based on the instalment you can pay every month and the interest rate type (floating over the entire term or fixed over a specific period):

• If you are a Greek or Cypriot citizen, your floating-rate loan term may reach up to 30 years (up to 361 months if the interest rate is fixed, and at least 1 instalment is calculated with a floating interest rate). Note, though, that at maturity the youngest party should not be older than 75.
• If you are not a Greek or Cypriot citizen, your floating-rate loan term may reach up to 15 years (up to 181 months if the interest rate is fixed, and at least 1 instalment is calculated with a floating interest rate). Note, though, that at maturity the youngest party should not be older than 75.

Loan collateral

It is necessary to offer some kind of collateral to secure your mortgage loan:

• Mortgage lien on property – In this case you must take out fire and earthquake insurance on the property, as a minimum.
• 100% cash collateral in a special collateral account. It only applies for floating-rate loans.
• Cash collateral with time deposit or pledge on securities, such as mutual funds, bancassurance products etc.

Lump-sum or multiple disbursements

Your mortgage loan is disbursed based on the purpose of the loan:

• In a lump sum, when you are buying a move-in ready home.
• In multiple disbursements, when you are buying a home under construction, or when you are building, repairing or renovating your home. Amounts are disbursed each time based on the progress of the construction, repair or renovation works.

Fixed interest rate starting at 3.00%

Choose a mortgage loan with fixed interest rate to enjoy the security of a fixed and predetermined instalment that allows you to accurately calculate your finances.

If you are a Greek or Cypriot citizen, you may take out a mortgage loan for:

• 3 years with fixed interest rate at 3.00%
• 5 years with fixed interest rate at 3.60%
• 7 years with fixed interest rate at 3.80%
• 10 years with fixed interest rate at 4.10%
• 15 years with fixed interest rate at 4.30%
• 20 years with fixed interest rate at 4.30%
• 25 years with fixed interest rate at 4.30%
• 30 years with fixed interest rate at 4.30%

If you are not a Greek or Cypriot citizen, you may take out a mortgage loan for:

• 3 years with fixed interest rate at 3.00%
• 5 years with fixed interest rate at 3.60%
• 7 years with fixed interest rate at 3.80%
• 10 years with fixed interest rate at 4.10%
• 15 years with fixed interest rate at 4.30%

The fixed interest rate may apply for the entire loan term. In this case, your total loan term will be extended by a minimum of 1 additional month.

The last monthly instalment you pay is calculated with a floating rate linked to the 3-month Euribor, which is adjusted monthly.

You may also choose to have a fixed interest rate for a specific initial period and then switch to a floating interest rate linked to the 3-month Euribor.

Find out the loan interest rates that currently apply.

Floating interest rate

Choose a floating interest rate if you want your mortgage loan to match the fluctuations in the market interest rates.

You may have a floating interest rate over the entire term of your mortgage loan.

Floating rates are linked to 3-month Euribor, which is adjusted monthly, and a fixed spread is added to this.

Find out the loan interest rates that currently apply.

Spread

The spread remains fixed throughout the term of your mortgage loan. It is finalised upon final approval of the loan.

The spread is the difference between the interest rate the bank borrows at and the nominal rate the bank charges its client. 

Discounts off the interest rate

For fixed-rate mortgage loans, you may enjoy a discount off your interest rate if your mortgage loan is secured with cash collateral or pledge on securities.

Favourable rates for floating interest rate with 100% cash collateral.

If you choose 100% cash collateral, your loan interest rate can be the 3-month Euribor. A +1.00% spread is added to this. The deposit and loan interest rates are linked to the same base rate for the entire financing term, with a stable rate difference of +1.00%.

• Deposit interest rate: 3-month Euribor. Up to 15% tax is calculated on credit interest.
• Loan interest rate: 3-month Euribor + 1.00%. The Law 128/75 levy is added to that interest.

These favourable rates cannot be combined with other discounts off the interest rate.

For floating interest-rate mortgage loans you may enjoy discounts on the interest rate spread, provided one or more of the following conditions are met:

• You have more than €10,000 in deposits or investments (other than shares) at Eurobank.
• Your mortgage loan is secured with cash collateral or pledge on securities.

The discounted floating rate applies for as long as the conditions under which you received it apply

Total interest rate

The fixed interest rate depends on the fixed-rate period you choose. The floating interest rate depends mostly on the loan amount, the purpose of the loan and the value of the collateral.

Any discounts you may be eligible for are also calculated off your floating or fixed interest rate.

The total interest rate is determined upon final approval of the mortgage loan. It is also affected by other factors, such as the commercial value of the property used as collateral.

For fixed-rate loans

Fixed interest rate + 0.12% (Law 128/1975 levy)

For floating-rate loans

Base rate (3-month Euribor) + Spread + 0.12% (Law 128/1975 levy)

In both cases, when the property is for commercial use, the Law 128/1975 levy equals 0.60%.

APRC Example

Check out the annual percentage rate of charge (APRC) for the mortgage loan, as required by the law:

Say you borrow €100,000 at a fixed interest rate of 3.00% for the first 3 years of the loan term and at a floating rate of 5.65% (nominal annual rates) for the remaining 17 years of the loan term (total term of 20 years).

The total cost of your loan comes to €64,946, broken down as:

• €59,536 interest.
• €4,660 premiums for mandatory fire and earthquake insurance cover.
• €750 one-off due diligence costs.

So at loan maturity, the total amount you will have paid comes to €164,946. This means that the APRC is 5.50% according to the law.

To calculate the APRC we make certain assumptions:

• Your mortgage loan agreement is in force throughout the agreed loan term.
• The nominal rate remains unchanged throughout the repayment period.
• You have taken out fire and theft insurance through Eurolife FFH or Designia Brokers for the entire term of the mortgage loan, with yearly premium payments.
• You pay your mortgage loan instalments by the due date.
• Interest is calculated on a 365-day year.

These amounts are just an example and apply as long as the assumptions also apply. Any change impacts the amounts.

The amounts for the total cost of the mortgage loan, the total repayment and the APRC are an illustration. They change as the interest rate fluctuates.

Monthly instalments

The instalment you pay each month repays interest and part of your loan principal (repayment mortgage).

We collect the instalment on the first working day of each month. The amount is withheld automatically through the bank account linked to your loan. You must ensure the account has adequate balance.

Through your Eurobank e-Banking, you can monitor your loan instalments under e-Statements.

Premiums

If you are securing your loan with a mortgage lien on property, you must take out fire and earthquake insurance on the property.

In case there is damage to the property due to these risks, the insurer covers the costs to restore the property.

You may choose any insurance company that operates in Greece.

Early repayment

You may repay the remaining balance on your mortgage loan in part or in full:

• At any time
• At no cost
• Regardless of interest rate type (fixed or floating)

No, you may take out a mortgage loan for international customers only in euros to buy, repair or build a property in Greece.

Find out how you finance your plans.

Yes, but the fixed interest rate period must precede the floating rate period of your loan:

• If you are a Greek or Cypriot citizen, the fixed interest rate may apply for 3, 5, 7, 10, 15, 20, 25 or 30 years.
• If you are not a Greek or Cypriot citizen, the fixed interest rate may apply for 3, 5, 7, 10 or 15 years.

For example, suppose you are a Greek citizen and your mortgage loan has a 25-year term.

If you choose a fixed interest rate for the first 20 years, a floating interest rate will apply for the remaining 5 years of your loan term.

Yes, provided that the terms and conditions for mortgage loans laid down by the Eurobank Credit Policy are met and that the new collateral secures the repayment of your mortgage loan.

To discuss any changes you want to make, you or your proxy (lawyer) can come to one of our branches.