Overseas mortgage broker Conti Financial Services has launched a scheme to provide mortgages in Poland and expects to include Hungary, Croatia and Czechoslovakia in its covered territories by the end of next year.
The company is using a panel of five Polish lenders. It is targeting those needing a residence due to business commitments, expatriates looking to buy a holiday home, and those looking to return to Poland in their retirement, according to senior partner, Simon Conn.
Conn said Poland’s proposed membership to the European Union in 2004 would provide both economic and political stability and would also encourage more people to purchase properties.
He said tourism and business had also erupted in Eastern Europe, which would drive demand in the housing market, across the other target countries.
Interest rates are expected to be between 5% and 6%, according to Conn, and payments will be made in US dollars or euros.
Conn said Conti was currently in the process of contacting its 10,000-strong base of brokers over the future plans and that interest to date had been good.
However, he was unable to give any predicted figures in terms of projected business through the new schemes.
Conti is also looking to re-establish itself in Sweden, Finland, Holland and Germany in the new year.
Conti lost its original lending source in these countries around three years ago, and Conn said a new one had now been found which will allow it to begin lending in the first quarter 2003.