[Papi Rico]

(03-21-2019 05:36 AM)croquet Wrote:  

(03-20-2019 12:22 AM)Papi Rico Wrote:  

Unless he had zero or bad credit, he could have easily pieced together the $175k for the down-payment through a series of personal loans, at rates considerably below what any Peruvian bank would offer him.[/b] Was he not willing to stomach the risk of default? That's another story. But I'm not going to sympathize with the "I'd love to stay in Lima, but I cannot find financing" bit.

On this part I have to say you are way off base. 175k in personal loans? As a middle class expat who can't buy a house in cash in the low 6 figures? As a small business owner whose business and future property are in a foreign jurisdiction?

The only thing that is off base is your inability to do some basic research. First, here are the basics of unsecured lending.

Next, here is a list of mortgage loan rates in Peru. You'll see that the absolute lowest is 11.93%. This is the local TCEA rate, meaning that it includes all bank fees and commissions. His effective rate would probably have been in the high teens, if that.

Now, here are some US-based lenders that you yourself could have looked up in under 5 minutes:

https://www.lightstream.com/
https://www.sofi.com/personal-loan-dr/
https://www.citizensbankpersonalloans.com/personal
https://www.marcus.com/

Yes, many of us can make 175k appear in our bank accounts in under 48 hours at sub-10% APR.

Quote:

I'll come there and buy the property in cash with you standing next to me.

So when are you flying down?