The necessary papers to request a Mortgage Credit

  • March 29, 2020

One of the details that most scares people when requesting a Mortgage Loan is the papers required to apply for the loan. http://www.dorfschaenke.net/unsecured-personal-loans-online/ for further clarification

Although the websites of banks and financial companies have a detailed document on requirements, amounts, and interests, to start, a summary is more than enough.

First of all, it is necessary to know that there are different Mortgage Credit 2013 rates, depending on whether it is the construction of work or the purchase of a home (100% and 70%, respectively). They can also be obtained for expansion, completion or renovation of the home.

The minimum age to get a Mortgage Credit is 21 years

The minimum age to get a Mortgage Credit is 21 years

although there are cases of people over 18 who have been able to access it. Until the age of 65 is the cap. The minimum income will also depend on the bank, and only the installment of this loan is considered (that is, if you have other accounts it can create a problem paying all).

In addition, in the case of spouse, boyfriend or partner, the income can be added. The length of employment must be three or six months, for a dependency relationship, and for the self-employed, one or two years. The maximum commitment (means the amount of salary that can be used to pay the loan) is up to 40%. This must be confirmed with the account executive when requesting the credit.

The required documentation is

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– Identification document.

– Proof of service in the name of the applicant.

– According to marital status, the marriage certificate, the divorce or separation sentence and the coexistence certificate issued by a justice of the peace.

– Birth certificate of the children in common, if any.

Dependency workers must have the latest pay stubs and the employment certificate on the company letterhead. The freelancers, professional registration, the start of activities, earnings regime and last tax return.

Remember that in Compare you can simulate your Mortgage Credit for free without leaving your home. In this way, you will make an informed and intelligent purchase and you can fulfill the dream of your own home.

Housing loan and the rise in housing prices

  • March 11, 2020

Housing loan in 2020 may not be as easy as it was in 2019. From January to October 2019, Poles took out mortgage loans amounting to nearly USD 55 billion, and the average value of financing granted to one borrower at the end of this period was USD 278,000. USD, which is 5 percent an increase compared to the amounts that were borrowed several months earlier.

Housing loan and the rise in housing prices

Housing loan and the rise in housing prices

This result is largely due to higher housing prices, which force buyers to take loans for higher amounts. The number of people who want to finance the purchase of an apartment thanks to a loan is growing much slower.

In the discussed period, USD 201,000 were granted. mortgage loans, i.e. by 3% more than a year ago. In the last months of 2019, however, increased traffic in this area could be seen. This means that despite rising real estate prices and banks’ tightening credit standards, interest in this method of financing the purchase of a flat remains at a high level.

Despite the fact that for four years the Good Finance interest rates have remained at the same, record low level, most banks changed the parameters of the offers. Mortgages just got more expensive. The highest increases concern those who have a very low own contribution – at the level of 10 percent. For them, over the past year, the average interest rate has increased from 4.08 to 4.21 percent.

Housing loan – interest rate

Housing loan - interest rate

The increase in interest rates not only increases the cost of credit, but also its availability. As our analyses show, in which we took into account a family of three with an income of USD 8,000 net / month, creditworthiness decreased by almost USD 50,000 (from USD 685 thousand to USD 635 thousand).

In 2020, no major changes are planned for borrowers, but it can be expected that banks will regularly tighten their criteria for granting financing.

Therefore, if we have the funds for own contribution and we are determined to buy a new M., it is not worth waiting with this decision and applying for a loan.

House prices in Poland

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The real estate market in Poland is doing very well. Despite rising housing prices, interest in buying a new apartment is not weakening, also with a view to renting. We are still happy to buy real estate on credit.

We take them for higher and higher amounts. Most often it is between 200 and 500 thousand. USD. Loans of this value constitute as much as 81 percent. all mortgages granted in 2016 Q3 Interest in larger sums has also increased – from 600,000. USD and up

According to Credit Checker, only from January to October we took out mortgage loans worth over USD 54.6 billion. It is about 14 percent than in the same period last year, of which over USD 22 billion were granted with the support of experts from the Association of Financial Intermediation Companies. Will these trends persist in 2020? How will the future await those who are getting ready to buy their own M.? Will it be harder to get funding? What should future borrowers prepare for?

Is it expensive and will it be even more expensive?

Is it expensive and will it be even more expensive?

The year 2019 on the housing market ends with growth. Both when it comes to real estate prices (we have been observing this trend for a long time) and the number of premises completed. As for the latter issue, 164,000 hit the market. new apartments. It is about 11 percent. more than a year ago.

As for the largest Polish agglomerations, this difference is not so noticeable, because we are observing a tendency to transfer supply to regional cities, because there is also growing demand. There are many indications that this trend will continue in 2020.

Developers and investors who share the housing market with the rise in property prices are largely explained by the rise in the standard of living of Poles. And also the increase in income in our country. However, is a statistical Pole able to afford M.? The costs of buying a flat are rising much faster than our salaries (an increase of 12% vs. 7%), and there is no indication that the trend will reverse next year.

The purchasing power of Poles is changing and thus the availability of housing is deteriorating. For example, for the purchase of apartments with an area of 50 m 2 in the big city three years ago you had to spend an average of 95 net salary. Today it is 101 salaries.

You have to be careful with the loan!

  • March 6, 2020

The process of applying for a mortgage is very complex. It requires the presentation of many documents and thorough analysis by the bank. Finally, there is the longed-for moment of receiving a positive decision. However, this does not give 100% certainty that the contract will be signed! More of this story: azponysolutions.com

If the prospective borrower receives a new job offer before signing the loan agreement, it is better for him to think about changing the place of employment. Although banks rarely carry out further verification after a credit decision, it is better to be on guard.

When granting credit

When granting credit

Banks usually require that the employment contract the client has lasted for at least 3 months and does not expire before at least 6 months have elapsed. Contracts for a trial period are also excluded.

Of course, the bank may apply a deviation from the procedures, but it’s worth getting to know its policy in advance.

It may turn out that the bank will require the entire credit analysis to be carried out from the beginning and the future borrower will have to wait with the new application until they reach the minimum length of service required by the bank.

If, after receiving a positive credit decision, the bank finds out about the prospective borrower’s transition to sick leave or maternity leave, he may also raise some reservations.

If the exemption was granted for more than 30 days, the bank may cease to recognize the source of income that it took into account when calculating creditworthiness. In the event of transition to maternity leave, the crediting institution may, however, request a statement that the woman does not intend to take parental leave and will return to work.

Another flat? We start from the beginning!

Another flat? We start from the beginning!

If the future borrower decides to change the property he initially intended to buy for another one or for some reason the transaction cannot be completed – the entire credit procedure must be carried out almost from the beginning.

A mortgage is granted for a specific property, which must first be checked in legal and technical terms. Fortunately, sometimes banks allow the possibility of using a short procedure. 

In this case, however, the bank will ask the borrower for all documents regarding the new property (excerpt from the land and mortgage register, preliminary contract, sometimes valuation, etc.). Unfortunately, most banks will require a new, complete application.

If the bank re-verifies the future borrower after issuing a positive credit decision, large purchases may also be unwelcome, especially if they mean the need to take out a loan.

Buying a car for a loan or household appliances in installments can mean that in the eyes of the bank the borrower will reduce his creditworthiness and will be able to afford a lower loan than the one he was granted earlier. So if the bank finds out about such a purchase before signing the contract, it may require a recalculation of creditworthiness, due to the greater risk that the borrower will not be able to pay its liabilities on time.

The loan will not only be granted

The loan will not only be granted

Often, potential borrowers are happy that their application has been approved and the loan will be granted on favorable terms. Once your emotions have subsided, however, it’s worth following the contract terms again.

Often, these preferential credits granted as part of the promotion turned out to be not as cheap as it seemed at first. Banks more and more often use so-called “cross-selling”, so they condition the granting of a loan on promotional terms by purchasing other, additional products.

In the case of mortgages, banks often agree to lower their margin in exchange for using other services, for example, setting up an account, deposit or applying for a credit card.

5 advantages of buying back credit you should know at all costs

  • March 2, 2020

 

 

When you subscribe to several types of credit (consumer credit, mortgage, revolving loan, or even personal loan), it is often necessary to avoid the accumulation of monthly repayments. However, there are many individuals who often find themselves in this situation following certain events, in particular a divorce, a dismissal or a retirement. How then to get out? The best solution is to group credit. It is the repurchase of credit. It has many advantages. Now let’s see which ones.

Lower monthly payments

Lower monthly paymentsLower monthly payments

Above all, it is important to clearly define what it is to buy back credit. Also called debt restructuring or grouping of loans, this is a financial method which consists in grouping all or part of the loans in progress and replacing them with a new loan from a credit organization. Thus, the first big advantage of this grouping is the reduction in monthly payments. In reality, the negotiation allows you to readjust the amount of this monthly payment to obtain only one monthly payment of credit according to your current budget. Some individuals, after obtaining an offer to buy credit online, may see the amount of their monthly payments decrease by up to 60%. Impressive, isn’t it?

Simplification of reimbursements

Simplification of reimbursements

By opting for loan consolidation, you now have a single point of contact: a single organization or a single bank. You go from several monthly payments to a single monthly payment. Also, you only have one fixed debit date. All this represents a significant simplification in the management of its finances.
For a good management of your budget, we recommend that you plan the withdrawal at the beginning of the month. Thus, you will have a good visibility of the remaining sums of which you can dispose.

Better interest rate

Better interest rate

The repurchase of credit makes it possible to contract a loan which will join all the precedents. By doing so, you benefit from a more advantageous single interest rate for all these previous credits. Also remember that each of your previous loans has insurance. Grouping your credits allows you to have only one insurance to guarantee your loan, instead of having a multitude of insurances which would generate several contributions which, put together, can represent a colossal sum.

Gain purchasing power

As you know, debts significantly reduce your purchasing power. You can no longer indulge in your little pleasures. Well! By consolidating all the loans into a single loan with a single monthly payment, you can breathe new life into your purchasing power. Since this solution reduces your monthly loan payments by half or more, you can now set up new projects and get more out of your income.