BANK JULIUS BAER & CO. LTD. Bahnhofstrasse 36 P.O. Box 8010 Zurich Switzerland Telephone +41 (0) 58 888 1111 Fax +41 (0) 58 888 1122 www.juliusbaer.com
The Julius Baer Group is present in over 40 locations worldwide. From Zurich (Head Office),
Basle, Berne, Geneva, Lausanne, Lucerne, Lugano,
StMoritz, Dubai, Frankfurt, Guernsey, London, Moscow to Singapore. 11/2014 Publ. No. PU00077EN © BANK JULIUS BAER & CO. LTD., 2014
REAL ESTATE FINANCING
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REAL ESTATE FINANCING
JULIUS BAER
YOUR TRUSTED PARTNER FOR REAL ESTATE FINANCING
Buying a house or owner-occupied flat or investing in property involves making both emotional and rational decisions which, depending on the property and situation, result in complex questions. It is our pleasure to take the time to discuss with you your personal situation. This includes getting to know your individual needs and goals, analysing your financial circumstances and any other aspects that are important to your needs. Based on this infor-mation, we can then offer you customised solutions. You and your concerns are always our top priority.
Julius Baer is the leading Swiss private banking group. With us, you have a reliable, competent and strong partner at your side. Our comprehensive and long-standing experience in managing and advising sophisticated private clients has roots dating back to the 19th century.
As experienced real estate experts, we support you by providing competent advice and financing for the purchase, sale, construction or conversion of properties. We offer you advisory services, analysis and financial expertise from a single source. Our mortgage experts are available to provide you with a detailed and comprehensive consultation at any time – in a cooperative, dependable and competent manner.
Listening is the basis for
understanding. We take the time
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COMPREHENSIVE SERVICE FROM
A SINGLE SOURCE
CONVINCING REAL ESTATE SOLUTIONS
Every client has personal goals and needs that all of our solutions take into account. Thanks to our comprehensive service offering, we can cater to any specific needs you may have in connection with real estate. Our integrated, interdisciplinary advisory approach ensures that all of your interests are handled with discretion and foresight.
Individual credit advice
We work with you to look at overall financing so that you are able to select the product that best suits your needs. When determining the amount of a mortgage, special attention is given to your personal risk tolerance and capacity. In addition, we can assist you with insurance questions and, on request, can obtain important documents, for example land register extracts or real estate valuations for you from third parties. If desired, we can also manage all of the formalities around the purchase of a property and can ensure that the transaction is handled correctly.
Review of existing financing structures
Our experienced specialists provide valuable support in reviewing your current financing structures, even with third-party banks, and design measures to optimise your circumstances. Often, changing conditions quickly lead to a situation in which an existing financing no longer meets the new require-ments. This is precisely where we can use our interdisciplinary skills to propose alternative solutions for you.
OUR SERVICES AT A GLANCE
INDIVIDUAL CREDIT ADVICE
REVIEW OF EXISTING FINANCING STRUCTURES PROPERTY APPRAISALS
SUPPORT FOR PURCHASE AND SALES NEGOTIATIONS ASSISTANCE WITH TAX ISSUES
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REAL ESTATE FINANCING
Property appraisals
For a layman, it is often not possible to determine whether or not the price of real estate is justified. It is also not always easy to assess whether an investment in a conversion or renovation is worthwile. These are typical questions that must be addressed thoroughly and in detail. In this regard, Julius Baer can provide you with specific recommendations and present solutions. Our versatility enables us to consult experts or obtain third-party opinions at any time.
Purchase and sales negotiations advice
Being well prepared for purchase and sales negotia-tions depends on a precise analysis of current price and market developments. We provide you with a realistic valuation for the property being purchased or sold, thereby creating the best fundamental condi-tions for successful negotiation.
Advisory services as individual as
every client – solutions developed
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We develop mortgage
products that are
individually structured according
to your needs.
Assistance with tax issues
Financing proposals from Julius Baer are part of a consolidated view in which we consider all relevant factors, including your assets, income, tax situation and financial planning. Based on this information, we can show you the effects financing will have on your tax burden. Depending on how complex your situation is, we may consult internal experts in order to clarify certain details.
We provide our clients with a precise calculation of interest, amortisation and living costs. In addition, we offer you tax optimisation solutions, for example indirect amortisation via Pillar 3a.
Assistance with legal questions
Purchasing and selling real estate always involves legal issues which must be settled unequivocally. We are pleased to provide you with any support or advice you may require throughout this process. Minor neglected issues can often have unpleasant effects later on. Of course, we also offer you our expertise in conducting plausibility checks on pur-chase and sales agreements.
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REAL ESTATE FINANCING
CONSIDERATION OF ALL KEY ASPECTS
MORTGAGE PRODUCTS AND FINANCING STRATEGIES
Our diverse mortgage models are designed for different needs and situations. We recommend the products best suited to you based on our analysis and your desire for security: from fixed rate mortgag-es to floating rate mortgagmortgag-es.
We can of course combine and stagger individual products for you, allowing us to offer maximum flexibility even if you wish to change your financing at a later time.
A sophisticated product mix, the ideal use of capital resources, advantageous amortisation and the corresponding tax impact are optimally tailored to your needs. With customised financing, you can rest assured that you have chosen the correct strategy. Moreover, we are also pleased to advise you with regard to special interest rate hedging options.
Mortgage products and their features at a glance
Fixed rate mortgage • The term and the interest rate are set at the beginning and do not change.
• A fixed rate mortgage is suitable for planning and defining the costs of a mortgage on a long-term basis. It also provides protection against rising interest rates.
Forward fixed rate mortgage • In principle, a forward fixed rate mortgage is a fixed rate mortgage with a set term that begins in the future.
• A forward fixed rate mortgage is suitable if interest rates are expected to increase.
Floating rate mortgage • There is no limit on the term but the interest rate is influenced by the general interest rate trend on the capital markets.
• A floating rate mortgage ensures maximum flexibility.
Libor mortgage • A periodically set interest rate which is tied to the Libor* and is extended and redefined at the end of each term until revoked by the client.
• A Libor mortgage enables you to benefit from falling interest rates and guarantees flexibility.
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YOUR BENEFIT
PERSONAL AND COMPREHENSIVE SERVICE
With Julius Baer, you have a strong and reliable mortgage partner at your side. Our service is charac-terised by precision, unparalleled flexibility and our long-standing experience in the Swiss mortgage business. We have a thorough knowledge of the regional real estate markets and an extensive network of internal and external specialists.
We are pleased to extend our expertise and individual capabilities in order to provide you with our full range of personal, competent and comprehensive real estate advisory services.
We are confident that you will find our all-inclusive advisory approach and customised solutions convinc-ing. Please do not hesitate to contact our real estate financing team at any time under the following telephone number. We look forward to hearing from you.
Our comprehensive service
and many years of experience make us the
ideal partner to have at your side.
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IMPORTANT LEGAL INFORMATION
This publication constitutes marketing material and is not the result of independent financial research. Therefore the legal requirements regarding the independence of financial research do not apply.
The information and opinions expressed in this publication were produced by Bank Julius Baer & Co. Ltd., Zurich, as of the date of writing and are subject to change without notice. This publication is intended for information purposes
only and does not constitute an offer, a recommendation or an invitation by, or on behalf of, Julius Baer to make any
investments. Opinions and comments of the authors reflect their current views, but not necessarily of other Julius Baer entities or any other third party.
Services and/or products mentioned in this publication may not be suitable for all recipients and may not be available in all countries. Clients of Julius Baer are kindly requested to get in touch with the local Julius Baer entity in order to be informed about the services and/or products available in such country.
This publication has been prepared without taking account of the objectives, financial situation or needs of any particular investor. Before entering into any transaction, investors should consider the suitability of the transaction to individual circumstances and objectives. Any investment or trading or other decision should only be made by the client after a thorough reading of the relevant product term sheet, subscription agreement, information memorandum, prospectus or other offering document relating to the issue of the securities or other financial instruments. Nothing in this publication constitutes investment, legal, accounting or tax advice, or a representation that any investment or strategy is suitable or appropriate for individual circumstances, or otherwise constitutes a personal recommendation for any specific investor. Julius Baer recommends that investors independently assess, with a professional advisor, the specific financial risks as well as legal, regulatory, credit, tax and accounting consequences. Past performance is not a reliable indicator of future results. Performance forecasts are not a reliable indicator of future performance. The investor may not get back the amount invested.
Although the information and data herein are obtained from sources believed to be reliable, no representation is made that the information is accurate or complete. Bank Julius Baer & Co. Ltd., Zurich, its subsidiaries and affiliated compa- nies do not accept liability for any loss arising from the use of this publication. This publication may only be distributed
in countries where its distribution is legally permitted. This publication is not directed to any person in any jurisdiction
where (by reason of that person’s nationality, residence or otherwise) such publications are prohibited.
External Asset Managers/External Financial Advisers: in case this marketing publication is provided to an External
Asset Manager or an External Financial Adviser, Julius Baer expressly prohibits that it is redistributed by the External Asset Manager or the External Financial Adviser and is made available to their clients and/or third parties. By receiving any marketing publication the External Asset Managers or the External Financial Advisers confirm that they will make their own independent analysis and investment decisions.
Switzerland: in Switzerland this publication is distributed by Bank Julius Baer & Co. Ltd., Zurich, authorised and
regulated by the Swiss Financial Market Supervisory Authority FINMA.
United States: NEITHER THIS PUBLICATION NOR ANY COPY THEREOF MAY BE SENT, TAKEN INTO OR
DISTRIBUTED IN THE UNITED STATES OR TO ANY US PERSON. © Bank Julius Baer & Co. Ltd., 2014
