Because you are embarking on a real estate project, a first purchase, a rental investment, the purchase of a second home or even a mortgage loan buyback, the financing conditions, and in particular the real estate rate, occupy your thoughts. Sky accompanies you in this stage of life.
Home Loan
Home loan: your first steps in home loans.
Whether you’re buying your main home, your second home or looking to invest in rental property, Sky will find the loan offer that best suits your real estate project.
A home loan, what does that?
A home loan is a long-term loan granted by a credit institution to an individual to finance the purchase of a home. Several elements should attract your attention when you are looking for a loan: the best mortgage rate, the rate of the borrower’s insurance, the level of cover provided by the insurance company, the terms of the loan (modularity, early repayment and penalties, transferability of the loan, for example), etc.
Taking out a home loan is a long-term commitment: 15, 20 or even 30 years. It is therefore essential to negotiate the interest rate as well as the other intrinsic elements of the loan. To do this, using a real estate loan broker, a true expert in this field, can save time by putting the banks in competition to find the solution best suited to your project.
What are the stages of your funding project?
Have you just found the ideal property and signed the preliminary sales agreement? You have an average of 45 days to find a property financing solution. The adventure begins. You need to present your file to the banks to obtain the famous loan that will enable you to acquire your future home. Having a concrete file at this stage of the project allows you to save time in obtaining loan offers.
Be careful, an agreement in principle from the bank is not a definitive offer of a home loan. In addition to the mortgage rate, the annual percentage rate of charge will enable you to compare the total cost of the loan. The annual percentage rate of charge includes interest and bank charges. This is the key element in choosing the best home loan offer.
Before lending you money, the bank will analyse your profile in detail to assess the risks. It will observe your professional situation, your income, your last three account statements, your profile, your saving habits, etc. At this stage, you can propose counterpart measures: taking out automatic savings, home or car insurance, a passbook, etc.
In addition, the payment of a contribution will help reduce the cost of the home loan by limiting the total amount borrowed from the bank. In addition, this element will reassure the banker and may allow you to obtain a better rate depending on the level of the contribution.
Once the negotiation of the rate of the loan is over, there are a few steps to take before you become the owner of the property:
- The signing of the loan offer, with a minimum of 10 days’ consideration (Scrivener Law).
- The signing of the deed of sale at the notary’s office.