Getting finance solutions Real estate project in Romania- Part I

                                                                                         

Getting financial solutions is one of the strongest tools that serve entrepreneurs all over the world.
Every business man knows that the ideal situation is to achieve financing from banks and funds and to progress along with the business plan.

The question remains is – How to do it? And – what's the best way to start?

First of all, it is important to understand,
in Romania it is probably different then it is in your country. In your home court, your bank branch
manager knows you, and it is easier to gain his trust.Many of our clients are used to pick up the phone to the bank and receive millions of dollars for their project based only on their reputation. In a "new court", you can be a successful investor, but the obligation to prove you reputation is only on you.

Coming to a bank and asking for a loan is a sensitive position. The first project will be the hardest one; after all it is your first trial to gain success in Romania.
The process will not be easy…but it is
worth it, that why the biggest companies
are coming to Romania. The profits are very high and the market is huge.


Getting a finance solution for your real estate project includes the following aspects:

1.Choosing the right framework (bank, funds...)

2.Opening a local company

3.Building your request file (Getting all the
documents needed )

4.Valuation phase

5.Getting the finance with your participants in investments

What is the bank approach to real estate financing?

The bank is not willing to finance anymore the buying of lands.

During the last years, the banks provided financing for almost everything but now, the focuse has changed for a low-risk policy, so it do not approve anymore financing lands unless it is attach with the obligation to develop a project on it.

The situation for agriculture lands is even harder- the banks are not financing any lands which are "agriculture" type (Extravilan – in Romanian).

The bank policy is very cautious; they will check you very carefully until they will be sure you intend to actually develop a project on your land.

If this is your situation, don’t be worry,
you will be able to have the financing you need, for both land and project.

In the next article we will review how to choose the right bank.


We hope you enjoyed reading our articles about financing real estate projects in Romania.
If you are interested in more information
you are welcomed to contact us.

About the author:
Author :
Mrs Osnat Peled
Marketing & Business development manager

Mentor Group Holdings
Romania
www.mg-holdings.com
info@mg-holdings.com

Article Source: http://www.Free-Articles-Zone.com