Private Forex News

People who own properties within the eurozone are being told that a break-up of the single currency could lead to serious repercussions on property value.Experts have claimed that homeowners with a Euro mortgage in countries that abandon the Euro currency could see their property value slide under the new currency. Some mortgage advisers say this could be up to 40 and 50 per cent against the Euro.However, safeguards to this potential problem have been offered by mortgage specialists. Some have opted to convert their debt back into sterling. This option exists to homeowners who believe there is no way out for the Euro, and cements losses under the belief that things are only going to get worse.But Clare Nessling, a director at overseas mortgage specialist Conti, commented in the Independent that if the property has been financed with a local currency mortgage from a local lender, it should help insulate borrowers. A fall in the currency's value would mean the value of mortgage payments falls in line with the value of the property and the value of the mortgage balance, leaving borrowers no worse off.