USING OVERSEAS PROPERTY AS COLLATORAL FOR BUYING IN HK

Posted by keep discovering (428 days ago)

I would like to buy in HK and use my property in Spain to finance the deposit. Does anyone know what options I have/reputable companys in HK I can approach.

any advice is appreciated

Cheers

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Posted by SweetSue (427 days ago)

Hi check out http://www.publicbank.com.hk and http://www.lsh.com they may be able to help

Good Luck

Posted by walkup (427 days ago)

If you have a property in Spain then your best best is to raise a loan in Spain and then transfer the money to HK for deposit/whatever. I would however approach HSBC in both Madrid and HK as there is a possibility here of an international linkup between the two for your purposes. There would also be some additional advantage if you had the funds to open a premier account as you would get a better service and interest rate for your loan.

Posted by scsman (424 days ago)

Don't think using HSBC offers any advantages. Basically each bank in each region operates separately (STANDALONE UNITS).
You'll need to raise the money in Spain - simply find the bank that offers the best rate as the property is based there (HK banks don't want the fuss of cross-border deals like this).
For transfer, any bank will do. ONly possible advantage is that HSBC premier is now offering to link bank accounts in different countries, which could be useful but not as useful as the best rate.
I find HSBC to be slow and bureaucratic. I think I may have lost HKD1+m as they couldn't get things done quickly enough so I looked for another bank. This cost me 2 months and prices rose 10%. I think they are either interested in sub-prime markets or if you have over USD5m (ie they are not hungry enough for normal accounts (ie any mortgage up to say HKD8m), and sub-prime coz they can get a very high interest rate).

Posted by s.a.gr8 (423 days ago)

A number of large international banks with institutions here in HK will allow you to release up to 75% of the equity in your Spanish property to use as a deposit on property here in HK. Very flexible lending terms and repayment structures, send me a p.m. if you would like more info.