To find a financing solution for your housing purchase project, banks and financial organizations can offer you a mortgage. In this section, discover all our tips to get the best mortgage possible and a lot of information on how to lend you money for your project.
Get a good loan rate
The interest rate of your Home mortgage loan will determine the level of fees charged by the bank in exchange for the money it will have lent to you for your acquisition of your home. To pay the cheapest possible loan, you must find the lowest rate for your financing. To do this one must first know how a bank calculates its mortgage rates for an individual who wants to borrow. This helps to understand how you can compete with an online mortgage simulation and get the best deal at the best price. Check out these 15 tips to negotiate a better credit rate by looking after your borrower profile. The better your financing record, the better your loan conditions. Also check out all our articles on the evolution of current property rates to increase your chances of finding a better rate. Whether with a fixed rate or a floating rate, look for which bank offers the best real estate loans. You can then compare the best rates of more than 100 banks for your mortgage thanks to our simulator!
Optimize the cost of your credit.
To compare different financing solutions, you need to calculate the cost of your loan. This will allow you to choose between different options to finance your project.
Apart from the interest rate, you will see that the repayment term plays a very important role in calculating the interest you will have to pay to your bank. Learn that it is best not to borrow more than 20 years if you do not want to see your credit charges explode! In addition, the amount that you will be able to repay each month, what is called a mortgage payment monthly , will allow you to discover according to the rate and the duration of the repayments how much money you will be able to borrow according to of your real estate file.
To compare all the fees (interest, insurance, administration fees and guarantees, etc.), it is better to compare the TEG (Total Effective Rate) of each offer rather than the nominal rate of the loan.
To learn much more, receive in 5 minutes our plan to reduce by 20% the cost of your real estate financing.
In addition, discover our simulators for your online mortgage calculator.
Guarantees and loan insurance
For a bank to grant you a Home mortgage loan, you must also subscribe various elements to cover the risks of non-repayment of the money loaned according to different criteria to simulate. It is mainly:
A guarantee (mortgage, surety, pledge, etc.): this is a protection that is required by banks to guarantee the risk of non-repayment.
A death / disability insurance for this loan. This borrower insurance is also mandatory for a mortgage in France in addition to guarantees.
For these two products, you will have the choice between different solutions proposed by the bank which finances you and you will also be able to delegate these elements to another company which offers you more interesting conditions. Find our advice on mortgage insurance.
Early repayment, renegotiation of the rate or redemption of your loan: adapt the conditions in time
Once your loan is underwritten, you will have to repay it for many years. Your financial and personal situation may change after the signing of this loan offer, borrowing conditions on the financial markets can change significantly, etc. During the life of a real estate loan, it is not uncommon that it is interesting to make changes to reduce the cost by taking advantage of different opportunities.
Currently, the borrowing rates are very low, almost all those who took out a mortgage more than a year ago have an interest in renegotiating or making a real estate purchase to either reduce the monthly payments or reduce the duration of credits. You will be able to benefit from a much lower rate to finish paying off your old financing and finish paying for your home more easily.
In addition, it is interesting to study regularly whether it is wise for you to make an early repayment of your mortgage or change your monthly payments in the course of credit.
Current operation of a mortgage and simulators
Finally you will find in this section dedicated to the financing of your purchase by a mortgage many detailed explanations to understand the rules of operation of a loan for real estate as well as useful and practical information.
For example, you will find:
Best home loans requirements
the list of documents requested for a mortgage ,
for advice if refuses you a mortgage
or information on the deadlines of a loan offer .
In addition to this mortgage,it is interesting to have a personal contribution (savings book, business savings plan, life insurance or other). This increases your borrowing capacity and reassures banks. They will then lend you more easily money for your real estate project.
For your online real estate credit research you can use a credit comparator to find out the banks’ offers for their clients. For example with this mortgage simulator or you can also enter a borrower insurance application .
In addition to this guide borrower for your Home mortgage loan, discover the financial assistance for the purchase of your home ( loan at zero rate , PEL, etc.).