Mortgage Terms and Conditions
- Jurisdictions covered
- Loan currency and switching
- Minimum loan size
- Minimum property value
- Financing (LTV)
- Loan term
- Interest rate margin
- Interest only
- Arrangement fee
- Commitment fee (US property only)
- Valuation fees, stamp duties, taxes, communication charges, building & other forms of insurance
- Legal fees
- Corporate/trust borrower handling fee
- Security
- Leasehold properties
- Letting/Rental
- Repayment
- Early repayment
- Pre-drawdown amendments
Residential property in Great Britain, Spain*, France*, New Zealand, Hong Kong, Singapore, Dubai and selected locations in Australia, Canada & USA.
Loans are granted in the local currency of the property location and, subject to criteria and availability, in the currency of the borrower's primary income.
The available currencies are GBP, USD, Euro, Yen, CHF, AUD, NZD, CAD, HKD or SGD.
Where a dual currency loan is granted, two free currency switches are offered per calendar year and a fee of USD300 per switch applies thereafter.
The available currencies are GBP, USD, Euro, Yen, CHF, AUD, NZD, CAD, HKD or SGD.
Where a dual currency loan is granted, two free currency switches are offered per calendar year and a fee of USD300 per switch applies thereafter.
New loan applications – GBP100,000 or currency equivalent.
Further advances – GBP35,000 or currency equivalent.
Further advances – GBP35,000 or currency equivalent.
For property in the USA $400,000. Not applicable for other locations.
We'll typically lend up to 70% of the purchase price or valuation, whichever is lower.
There are exceptions for these locations:
| The USA | |
| • | Property in California, Florida, Nevada or Oregon: the maximum we will lend is 50% of the purchase price or valuation (whichever is lower). |
| • | Property in Colorado, Connecticut, Hawaii, New Jersey, New York or Washington State: the maximum we will lend is 60% of the purchase price or property valuation (whichever is lower). |
| Dubai | |
| • | Villas in Dubai: the maximum we will lend is 50% of the purchase price or valuation for a villa (whichever is lower). We don't offer mortgages for buying apartments in Dubai. |
| Hong Kong | |
| • | The maximum we will lend for owner occupied residential properties with a value of HK$10 million or above is 50% of the purchase price or valuation (whichever is the lower). Maximum 40% lend for borrowers** whose income is derived mainly from outside Hong Kong. |
| • | The maximum we will lend for owner occupied residential properties with a value of HK$ 7 million or above (but below HK$10 million) is 60% of the purchase price or valuation (whichever is the lower), subject to a maximum loan of HK$ 5 million. Maximum 50% lend & subject to a maximum loan of HK$4 million for borrowers** whose income is derived mainly from outside Hong Kong. |
| • | The maximum we will lend for owner occupied residential properties with a value below HK$ 7 million is 70% of the purchase price or valuation (whichever is the lower), subject to a maximum loan of HK$4. 2 million. Maximum 60% lend & subject to a maximum loan of HK$3.5 million for borrowers** whose income is derived mainly from outside Hong Kong. |
| • | The maximum we will lend for non-owner occupier properties is 50% of the purchase price or valuation (whichever is the lower). Maximum 40% lend for borrowers** whose income is derived mainly from outside Hong Kong. |
| • | The maximum we will lend for properties held by companies is 50% of the purchase price or valuation (whichever is the lower). Maximum 40% lend for guarantors** whose income is derived mainly from outside Hong Kong. |
| **borrowers / guarantors who can demonstrate a close connection with
Hong Kong will not be subject to the 10% reduction of LTV ratio. For example: (a) the borrower / guarantor is on secondment by a local employer to work outside Hong Kong with documentary proof provided by the employer; or (b) the borrower’s / guarantor’s immediate family members (i.e. spouse, parents, and descendants) reside in Hong Kong. |
|
| Spain | |
| • | The maximum we will lend is 60% of the purchase price or valuation, (whichever is lower) |
| Singapore | |
| • | The maximum we will lend for properties held by companies is 50% of the purchase price or valuation (whichever is the lower). |
| • | The maximum we will lend to borrowers with existing mortgaged properties is 60% of the purchase price or valuation (whichever is the lower). |
Up to 30 years term (15 years for Dubai) or up to 70 years of age (or to the retirement age), whichever is earlier. For interest-only loan on properties in Spain, the maximum term is 5 years after which the loan will be switched to Capital & Interest repayment basis for the remainder of term.
Interest rate margin
| Location of property | Currency of the loan | LTV interest rate margins | Underlying rates |
 |
50% | 60% | 70% | |
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| Great Britain | Pounds Sterling | 2.99% | 3.19% | 3.49% | plus the prevailing Lloyds TSB UK base rate |
| All other currencies | 3.19% | 3.39% | 3.69% | plus our Cost of Funds rate for the relevant currency | |
| USA California, Florida, Nevada & Oregon |
US Dollars | 3.19% | N/A | N/A | plus our US dollar Cost of Funds rate |
| All other currencies | 3.39% | N/A | N/A | plus the prevailing Lloyds TSB UK base rate for loans in sterling or Cost of Funds rate for other relevant currencies | |
| USA Other selected states |
US Dollars | 2.99% | 3.19% | N/A | plus our US dollar Cost of Funds rate |
| All other currencies | 3.19% | 3.39% | N/A | plus the prevailing Lloyds TSB UK base rate for loans in sterling or Cost of Funds rate for other relevant currencies | |
| Canada | Canadian Dollars | 1.39% | 1.49% | 1.59% | plus our Canadian dollar Cost of Funds rate |
| All other currencies | 1.59% | 1.69% | 1.79% | plus the prevailing Lloyds TSB UK base rate for loans in sterling or Cost of Funds rate for other relevant currencies | |
| France | Euro | 1.39% | 1.49% | 1.59% | plus our Euro Cost of Funds rate |
| All other currencies | 1.59% | 1.69% | 1.79% | plus our prevailing Lloyds TSB UK base rate for loans in sterling or Cost of Funds rate for other relevant currencies | |
| Spain | Euro | 2.59% | 2.79% | N/A | plus the prevailing EURIBOR rate |
| All other currencies | 2.79% | 2.99% | N/A | plus the Bank of England base rate for loans in sterling or relevant LIBOR rate | |
| Australia | Australian Dollars | 1.39% | 1.49% | 1.59% | plus our Australian dollar Cost of Funds rate |
| All other currencies | 1.59% | 1.69% | 1.79% | plus the Bank of England base rate for loans in sterling or Cost of Funds rate for other relevant currencies | |
| New Zealand | New Zealand Dollars | 1.39% | 1.49% | 1.59% | plus our New Zealand dollar Cost of Funds rate |
| All other currencies | 1.59% | 1.69% | 1.79% | plus the Bank of England base rate for loans in sterling or Cost of Funds rate for other relevant currencies | |
| Dubai | All currencies | 4.99% | N/A | N/A | plus the prevailing Lloyds TSB UK base rate for loans in sterling or Cost of Funds rate for other relevant currencies |
| Hong Kong | Hong Kong Dollars | 1.39% | 1.49% | 1.59% | plus our Hong Kong dollar Cost of Funds rate |
| All other currencies | 1.59% | 1.69% | 1.79% | plus the prevailing Lloyds TSB UK base rate for loans in sterling or Cost of Funds rate for other relevant currencies | |
| Singapore | Singapore Dollars | 1.39% | 1.49% | 1.59% | plus our Singapore dollar Cost of Funds rate |
| All other currencies | 1.59% | 1.69% | 1.79% | plus the prevailing Lloyds TSB UK base rate for loans in sterling or Cost of Funds rate for other relevant currencies |
In instances whereby a dual currency option is granted, please note that the additional 0.20% margin will now be charged for the full term of the mortgage loan.
For interest only loans, add 0.20% to the above rates. Interest only is not available for property located in Dubai and Singapore.
Calculated as a percentage of the loan amount and payable upon acceptance of our formal offer letter and is non-refundable.
Property in - France, Spain, Canada, USA , Great Britain and Dubai : 1.0%
Property in - Australia, New Zealand, Hong Kong and Singapore: 0.5%
Property in - France, Spain, Canada, USA , Great Britain and Dubai : 1.0%
Property in - Australia, New Zealand, Hong Kong and Singapore: 0.5%
0.3% of the loan amount upon acceptance of our formal offer letter and is non-refundable.
For client's account.
| • | For client’s account (both the borrower’s and the Bank’s legal fees), separate legal representation maybe required, please click here for further information on the Bank's legal fees. |
| • | For French property, a non-refundable legal fee of Euro 1,800 (minimum) is payable to the Bank at the time of acceptance of the loan offer letter. In addition to the Bank’s legal fees, you will have to pay for all associated legal costs including notaire’s fee and French mortgage tax and statutory fee. |
0.25% of the loan amount for clients who borrow via a company or trust structure, payable upon acceptance of our formal offer letter and is non-refundable. Offshore company registration fees may also be payable.
First legal charge or mortgage over the property.
| • | For properties located in Canada, the remaining economic life of the property must not be less than 40 years from the date of drawdown |
| • | For properties located elsewhere, the lease must have a minimum of 70 years remaining at loan application. |
No additional charges or increase in interest rates but tenancies or lets beyond certain terms will require our formal, written authorisation and lower loan to value ratios may apply.
Quarterly in arrears.
Early repayment charges apply to all new applications and will be charged upon partial or full repayment during the first 3 years -
Following month 36, no Early Repayment Charge will apply to either partial or full repayment of the loan.
| • | 3% of the amount being repaid within the first 12 months of drawdown (Year 1) |
| • | 2% of the amount being repaid within the following 12 months (Year 2) |
| • | 1% of the amount being repaid within the following 12 months (Year 3) |
Following month 36, no Early Repayment Charge will apply to either partial or full repayment of the loan.
| • | A handling fee of US$150 will be charged should borrowers wish to make any amendments to their requested facility after a letter of offer has been issued. |
| • | A handling fee of USD300 will be charged should borrowers wish to change the property address contained within the loan offer letter. |
* Not available to corporate and trust structures except for borrowers resident in France & Spain who are using offshore companies to buy properties overseas. Also not available to those cases where the borrower(s) of the loan and the owner(s) of the property are not the same person(s). Foreign borrowers are required to obtain a Non-Resident Buyers' Identification Number (NIE) before purchasing a Spanish property and are advised to seek their own legal advice with regard to the application for a NIE.
Please note that International Mortgage Service is principally designed for customers planning to purchase properties outside their country of residence. We can provide mortgages for owner occupation in Hong Kong and Singapore , but not in other countries . Other restrictions related to property use may also apply and details are available upon request.
Please also note that we would normally not provide financing for certain types of property such as serviced apartments, resorts, golf course properties, student accommodation, former local authority or public housing, Defence Force property or similar.
The terms, conditions and fees outlined above are not all inclusive and are for indication only. They apply only to loan facilities that are issued and accepted from the date below and may be changed, amended or deleted without any prior notice. Please note that depending on the resident status and the tax regime of the borrower's country of residence, withholding tax may affect the cost to the borrower and Lloyds TSB's capacity to lend. You should obtain independent tax advice which specifically addresses your current personal tax position as well as any possible future changes to your residency or domicile for tax purposes. Lloyds TSB disclaims any responsibility for any tax liability which may be incurred as a result of taking up any of our products or services.
The above terms and conditions, which should be read in conjunction with the full IMS brochure, apply to loans via Lloyds TSB - Hong Kong and Singapore only.
June 2010