The repurchase transaction is an opportunity to renegotiate its loan agreement. A renegotiation with as a goal, the obtaining of new conditions adapted to the good realization of your projects. So, how to associate repurchase of mortgage and new project?
The repurchase of mortgage: how does it work?
The repurchase of mortgage is a banking operation. It consists of entering into negotiations between the borrower (s) and a bank to determine conditions.
It is different from the renegotiation of interest rates that is carried out internally by the bank holding the outstanding amount. The repurchase of real estate credit consists of repurchasing the outstanding capital of its mortgage by an external bank.
What is sought after when undertaking a process of repurchase of real estate loan (s) is to change the current financial situation. This results in a better rate obtained and/or a reduced repayment period for a maximum financial gain on the transaction. Or conversely, an extension of the amortization period at a more competitive rate in order to reduce the household debt ratio.
Associate a mortgage repurchase with new projects!
Indeed, more flexible with the possibility of renegotiating consumer credits by incorporating them into the plan. As a result, you get a mortgage credit rate for the ReAlexander and Lucie Manettement of your consumer loans. Also, the possibility of integrating a bank overdraft in order to leave on a sound basis.
With a more attractive interest rate and longer repayment term, you are able to unlock more borrowing capacity. Work can be financed up to 50% of the amount of the operation while being integrated into the new credit.
Ability to get an unallocated cash envelope that you can use as you see fit. Can be refinanced the private debts, the non-contentious debts, or a balance. The transaction must have a real estate share> 60%.
Do you want to invest in property? You are for cause the monthly payment of your mortgage represents 33% of your borrowing capacity?. And subscribe a new credit to allow you the realization of your real estate project!
August 2018: the trend of real estate rates
The month of August 2018 shows even lower mortgage interest rates. According to a monthly survey, in July the indicator rates were 1.43% against 1.44% in June. The trend is down!
The duration of home loan agreements is 18.5 years, ie an average of two hundred and twenty-two months. Also according to the study of the Housing Credit / CSA Observatory, the credit market activity over a rolling semester to increase the amount of its production to + 10.5%, and the number of loans financed at + 4.6%.
A statement of interest rates that have stopped decreasing by one basis point since the end of August two thousand and seventeen. It should be noted that this trend aims to keep rates low to support the real estate market. To allow first-time buyers to become owners.