Obtaining a Mortgage as a Nonresident DR Citizen

[Yourmaninvegas]

most do purchase with cold cash, but a mortgage is a very doable option, with the requisite headaches. Scotiabank has a very comprehensive web site to assist. One thing about financing through them ( or any bank for that matter) they will make sure the title is not dirty.

This has been written.

That's the reason I got mortgages on the properties I've bought. Then paid them off in a few months. (except for one)

Then this was written

Pre-payment penalties were the norm for many years................so if you decided to pay it off early............they still collected the interest they would have received........based on your rate at the time of payoff.

Yet another reason to possibly re-think a mortgage in the DR..............or at least ask the question up front about pre-payment penalties.

Then this was written.

To JD Jones
Did you have any pre-payment penalties ❓

 

[Yourmaninvegas]

not like a bank homie, they don't have a vested interest

Hey Tiny,
You saying my attorney does not have my interest in mind❓
You know little guy, the one that I am paying to make sure my title is clear❓

 

[Big]

Hey Tiny,
You saying my attorney does not have my interest in mind❓
You know little guy, the one that I am paying to make sure my title is clear❓

you have exposed yourself many times. Someone attempting to harvest serious financial advice other than the very basics (what bank) on a open casual forum is just talking smack. Other posters here are clearly very knowledgeable about financial issues. Then we have you!

 

[playacaribe2]

I respect your opinion but do not agree.
It is a consumer purchase not a investment.
The best option is actually to pay cash.
You completely overlook the aspect of pulling your equity in order to make a consumer purchase.
Not something I would recommend ever.
As for the liquidity of real estate in the Dominican Republic.
You are talking about a black hole compared to the home countries of most people posting up in here.
So your recommendation is like deciding where to shot yourself.
Flesh wound away from any major arteries.
That is also a excellent option.

The OP never identified the purpose of the mortgage they are seeking................so calling it a consumer purchase versus an investment is speculating on your part.

I did not make a recommendation...............but I did answer questions posed.

And assuming you have free cash, using it to buy a property, is a terrible idea...IMHO. If the OP was able to borrow and obtain a 30 year fixed at 2.5% (US) then they could invest the money they currently have in cash............and likely earn a higher rate of return on that money.


Respectfully,
Playacaribe2

 

[Yourmaninvegas]

you have exposed yourself many times. Someone attempting to harvest serious financial advice other than the very basics (what bank) on a open casual forum is just talking smack. Other posters here are clearly very knowledgeable about financial issues. Then we have you!

Here we go again...Tiny
DR1 play number 1 : When you have nothing more to add to the conversation intellectually. Attack the person.
DR1 play number 2: When you have nothing more to add to the conversation intellectually. Appeal to authority.
Here we have you doing both ‼️
This is a opinion page not a advice page.
So exactly what is your definition of financial issues❓
Certainly no one is qualified to give any advice what so ever here according to your own definition.

 

[Yourmaninvegas]

The OP never identified the purpose of the mortgage they are seeking................so calling it a consumer purchase versus an investment is speculating on your part.

I did not make a recommendation...............but I did answer questions posed.

And assuming you have free cash, using it to buy a property, is a terrible idea...IMHO. If the OP was able to borrow and obtain a 30 year fixed at 2.5% (US) then they could invest the money they currently have in cash............and likely earn a higher rate of return on that money.

But you said you are borrowing against an asset in another country to make a investment here.
And it takes a higher risk profile to earn a higher amount of return.
A risk that entails the possibility of loss of principle.
Cash for a property that you are using recreation or personal use to live in.
Excellent idea. In my opinion.
No payments.
No interest.
No risk.
You cannot live inside of a financial investment.
Funny how all off you so called financial investment people are posting up in a opinion piece.
And yet I live here just fine.
Jut lik al ya wit espertise‼️
🤑

 

[bob saunders]

Experience over the years.

Fixed-rate interest actually only applies for the first year and after that you may be faced with unpleasant surprises.
Accelerated repayments are also often (my experience 2 decades ago) is not possible and you must repay the full interest over the contracted term.

Yes the loans are often front end loaded meaning you pay interest before capital. Not all are like this though.

 

[bob saunders]

This has been written.

Then this was written

Then this was written.

To JD Jones
Did you have any pre-payment penalties ❓

Most mortgages I had in Canada had penalties for early payout, three months interest....etc.

 

[playacaribe2]

But you said you are borrowing against an asset in another country to make a investment here.
And it takes a higher risk profile to earn a higher amount of return.
A risk that entails the possibility of loss of principle.
Cash for a property that you are using recreation or personal use to live in.
Excellent idea. In my opinion.
No payments.
No interest.
No risk.
You cannot live inside of a financial investment.
Funny how all off you so called financial investment people are posting up in a opinion piece.
And yet I live here just fine.
Jut lik al ya wit espertise‼️
🤑

I never said I was borrowing to make an investment here. I have merely offered my personal knowledge in answering questions posed.

And even more humorous is how you always seem to want to antagonize others with your posts.....

Have a nice day.


Respectfully,
Playacaribe2

 

[Yourmaninvegas]

I never said I was borrowing to make an investment here. I have merely offered my personal knowledge in answering questions posed.

And even more humorous is how you always seem to want to antagonize others with your posts.....

Your advice was focused on borrowing on an asset in a persons country of origin and using the cash to by property in 🇩🇴 .
I am amused at how defensive you (and many others) seem to be especially when a person has a different opinion of how to handle personal finance than your (theirs).

I ask questions.
I inform.
I share my opinions.

I hope you enjoy yours also.
Everyday above ground is a good day for me‼️
Thank you.

 

[Yourmaninvegas]

Most mortgages I had in Canada had penalties for early payout, three months interest....etc.

My question was about mortgages in 🇩🇴.
But thank you for your input on mortgages in Canada.
I did not know that.

 

[william webster]

I rec'd a solicitation today from ScotiaBank

7.95% loan rate.... personal loan
=========================


Aprovecha nuestras tasas especiales para Préstamos Personales desde 7.95% anual*, con un plazo para pagar tu préstamo en hasta 6 años. Utilízalo para adquirir lo que desees o consolidar tus deudas pagando una cuota mensual más baja.

Solicita tu préstamo llamando a nuestro Centro de Contacto al 809-262-2307 o acercándote a una de nuestras sucursales.

En Scotiabank estamos aquí para ti.

 

[Liberator]

Adding to your debt load.
Chewing up your equity in the property of your home country.
Then placing your liquid cash (that you borrowed) into a very illiquid real estate in 🇩🇴 .
Just a few things to think about.

I can only speak for myself... but;
Have you ever looked at the statistics over the last 30 years on the value increase of real estate? Buying and selling / renting would have done you no harm....
Better to put your money in 'bricks' in the DR than to buy shares on the stock exchange (or you should have bought Apple 20 years ago, and recently Tesla) but those are more exceptions in this highly volatile market

Cheers!

 

[bob saunders]

Some things to think about wherever you are getting a mortgage. https://smartasset.com/mortgage/mistakes-to-avoid-when-paying-off-your-mortgage-early

 

[bob saunders]

My question was about mortgages in 🇩🇴.
But thank you for your input on mortgages in Canada.
I did not know that.

scotiabank Mortgage Information:

​

• Maximum loan amount is 70% of appraised property value.
• Maximum finance term is 25 years.
• Interest Rate is 6.25% annually.
• Loan applicant must own a first home in Canada, US or UK
• Minimum age to apply is 21 years of age

Documents required to apply:

• Copy of passport
• Last 2 income tax statements
• Authorization to issue a Credit Bureau Report from the customer's country of residence
• Income letter, if an employee
• Evidence of assets in your country of residence (must be US, Canada or UK)
• Insurance assignment
• Property Appraisal from an authorized appraiser.
• Copy of Offer of Purchase & Sale
• Proof of down payment.

Dominican Republic Mortgages | Dominican Loans | Dominican Republic Mortgage Financing | Interest Rates Dominican Republic

Full information on obtaining a mortgage and financing in the Dominican Republic. Reasonable interest rates. How Americans get a mortgage in the Dominican Republic.

www.ocean-side-realty.com

 

[Yourmaninvegas]

I can only speak for myself... but;
Have you ever looked at the statistics over the last 30 years on the value increase of real estate? Buying and selling / renting would have done you no harm....

Actually yes.
But in my home country.
I leave it to you to tell me about the increase in the prices of real estate in the Dominican Republic 🇩🇴

Better to put your money in 'bricks' in the DR than to buy shares on the stock exchange (or you should have bought Apple 20 years ago, and recently Tesla) but those are more exceptions in this highly volatile market

Cheers!

I respect your opinion.
But someone pointed out that we do not know the type of real estate the OP plans to buy.
So we do not know if it is consumer purchase or a investment.
I personally no longer invest in anything.
I do not have to.
With one exception everything I buy is for personal use.
Including land here in 🇩🇴.
And I put my money where my mouth is: I pay cash.
That is not talking trash.
Cause that is something I do not do.
I do not have to.
My actions have always been my best talk.
On the 🏀 court,
Tennis court 🎾
Baseball field⚾
Soccer pitch⚽
Golf course🏌️‍♂️
or in regular everyday life 🏝️
But I am putting straight knowledge into your eyehole. 👁️
My opinion remains the same:
Pay cash for a consumer purchases.
Even if it is a piece of real estate ‼️

 

[bob saunders]

Comprar una propiedad para invertir | Scotiabank República Dominicana

Cuando compre otra propiedad, debe estar preparado. Asegurese de consultar estos videos, consejos y articulos de lectura obligada. Cuando este listo, comuniquese con un asesor de Scotiabank.

do.scotiabank.com

 

[bob saunders]

Actually yes.
But in my home country.
I leave it to you to tell me about the increase in the prices of real estate in the Dominican Republic 🇩🇴

I respect your opinion.
But someone pointed out that we do not know the type of real estate the OP plans to buy.
So we do not know if it is consumer purchase or a investment.
I personally no longer invest in anything.
I do not have to.
With one exception everything I buy is for personal use.
Including land here in 🇩🇴.
And I put my money where my mouth is: I pay cash.
That is not talking trash.
Cause that is something I do not do.
I do not have to.
My actions have always been my best talk.
On the 🏀 court,
Tennis court 🎾
Baseball field⚾
Soccer pitch⚽
Golf course🏌️‍♂️
or in regular everyday life 🏝️
But I am putting straight knowledge into your eyehole. 👁️
My opinion remains the same:
Pay cash for a consumer purchases.
Even if it is a piece of real estate ‼️

If you can afford to, most people can't.

 

[Yourmaninvegas]

Some things to think about wherever you are getting a mortgage. https://smartasset.com/mortgage/mistakes-to-avoid-when-paying-off-your-mortgage-early

Mistake #1: Not Considering All of Your Options
It can be very tempting if you come into some extra money to put that toward paying your mortgage off ahead of time. However, getting out of debt a little bit earlier may not be the most remunerative choice to make. To illustrate this, let’s look at an example.
Let’s say you’re considering making a one-time payment of $20,000 toward your mortgage principal. Your original loan amount was $200,000, you’re 20 years into a 30-year term, and your interest rate is 4%. Paying down $20,000 of the principal in one go could save you roughly $8,300 in interest and allow you to pay it off completely 2.5 years sooner.
That sounds great, but consider an alternative. If you invested that money in an index fund that represents the S&P 500, which averages a rate of return on 9.8%, you could earn $30,900 in interest over those same 10 years. Even a more conservative projection of your rate of return, say 4%, would net you $12,500 in interest.
Everyone’s financial situation is unique, and it’s very possible that the notion of being out of debt is so important to you that it’s worth a less than optimal use of your money.
⬆️ My thoughts exactly.
They may not be yours.
I understand this.
Everyone's financial situation is unique.😉

 

[bob saunders]

Mistake #1: Not Considering All of Your Options
It can be very tempting if you come into some extra money to put that toward paying your mortgage off ahead of time. However, getting out of debt a little bit earlier may not be the most remunerative choice to make. To illustrate this, let’s look at an example.
Let’s say you’re considering making a one-time payment of $20,000 toward your mortgage principal. Your original loan amount was $200,000, you’re 20 years into a 30-year term, and your interest rate is 4%. Paying down $20,000 of the principal in one go could save you roughly $8,300 in interest and allow you to pay it off completely 2.5 years sooner.
That sounds great, but consider an alternative. If you invested that money in an index fund that represents the S&P 500, which averages a rate of return on 9.8%, you could earn $30,900 in interest over those same 10 years. Even a more conservative projection of your rate of return, say 4%, would net you $12,500 in interest.
Everyone’s financial situation is unique, and it’s very possible that the notion of being out of debt is so important to you that it’s worth a less than optimal use of your money.
⬆️ My thoughts exactly.
They may not be yours.
I understand this.
Everyone's financial situation is unique.😉

My wife hates, and I mean hates, to pay one cent in interest or extra service for an extra withdrawal....etc. La Gente dice ella es tacana, pero no, ella es muy frugal.