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Cyprus Law | Mortgage Millstone

Cyprus Law | Mortgage MillstoneWITHOUT PREJUDICE

Cyprus Law – Mortgage Millstone

The concept of borrowing money to purchase a property is an excellent way for those without the cash to be able to fund such a huge commitment. I have always believed this and millions of people worldwide have done just this.

Some do get into trouble and some fail to see the importance of repaying the mortgage and the end result is they lose their property. I am sorry for such people, but if you sign up to such an arrangement it is a two sided contract and the lending institutions are not charitable concerns, so when they take action, it is to be expected.

What really concerns me is the attitude to what is a two way arrangement in Cyprus. On both sides of the border they seem to think they can actually go to a third party for redress.

How bizarre is that? Both sides have a legal system which is charged with safeguarding the interest of innocent. Yet both sides ignore this responsibility.

Advocates/Lawyers are engaged by purchasers and it is not unreasonable once they are engaged by a purchaser for that purchaser to expect their legal professional (stop laughing) to protect their interest. How come then have so many of these ‘legal professionals’ allowed their client to purchase a property with a prior charge on it, then compound their ineptitude by allowing completion of the purchase to take place whilst the charge stays in place? Is it negligence or is it collusion?

You then have to ask, what are the banks doing allowing such transactions to take place on what is, in essence their security. Do they not audit regularly to see their assets/security remain safe? The simple answer is NO. If they were more robust in their lending practices, these situations would not exist.

One thing is sure. The purchaser who stands to lose everything is the innocent party, or patsy might be more appropriate. The borrower has been paid twice, once in the form of a mortgage and once in the form of the purchase price received from the inept Advocate/Lawyer. The only real loser is the purchaser. The legal people insist on payment of fees up front. The borrower has double dipped and the lending institution will take the property.

Now if you were contemplating buying a property in the sun, the last place you can safely consider is Cyprus. Yes it happens everywhere, but it seem it happens in Cyprus often and since the law on both sides of the island would have you believe fraud is a civil crime, you will have to PAY and keep paying to try to get justice and, believe me, that is a very rare commodity in Cyprus.

Remember, in Cyprus you will be expected to repay a mortgage you NEVER signed up to and never benefited from and were totally ignorant of.

Never give in never give up

Pauline Read

 

Cyprus Law | Mortgage Millstone

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