Bridging Loans in Cyprus

General Bridging Loan Terms

Pre-Requisites for Bridging Loans
to Non-Residents of Cyprus

In order to enable the proper credit assessment of each application, the following must be provided by the applicant:

• Photocopy of the applicant's passport (the page with the photograph and persona! information).
• Bank reference from their existing Bankers.
• Details of the property to be purchased supported by a copy of the sale contract. (Sale contract must be deposited to the Cyprus Land Registry Office and the receipt should be submitted to the Bank).
• Full residential address and date of birth.
• Proof of income (copies of last 6 months salary advices and copies of last 6 months Bank statements)
• 2 years' tax clearance / certificate from the employer or the accountant. (P60 for U.K. citizens)
• Copies of the receipts for down-payment made by the applicant against the purchase price.
• Statement of assets and liabilities duly signed by the applicant.

As security the bank will require the following:

• First Legal charge (Mortgage) over the immovable property to be purchased (Where a Title Deed has already been issued for the property) or
• Assignment of the 'sale of contract' supported by a Letter of Guarantee from the seller's Bank (Where the property has no Title Deed). If the property under development is already used as a security for the financing of the project by the Bank, no Letter of Guarantee is needed.
• Assignment of a Term Life Policy covering the amount of the loan.
• Assignment of Fire and Damage Insurance Policy for the House/Apartment in question.
• The borrower/debtor will have to pay the contribution prior to the release of funds from the loan.
• Personal Guarantees depending on the credit evaluation.
• Requests for bridging loans which do not fall within the above parameters can also be examined on case-by-case basis.