We are not in a period of bank facilitation in the granting of housing credit. In fact it has never been easy to apply for a home equity loan. Fortunately, after several years of difficult access to credit, we see that the bank has again wanted to grant credit, which is visible in the fall of the spreads practiced.
There are still Commissions Regardless of the Housing Credit Concession
Asking for a credit simulation housing to compare all the elements with other simulations from other banks will not cost you a cent. However, once you decide which bank to apply for your housing credit you enter a stage of the process where you can support commissions regardless of the granting of the credit. These commissions can be very cumbersome, since the fact that banks approve a credit operation does not mean that it is in the conditions negotiated in the request.
In fact it is very common to approve with new conditions, little advantageous for the client. Since you have already incurred expenses with the application for credit is very difficult not to accept the conditions proposed in the approval, because if you do not accept you will have to look for another bank and incur the same expenses by doubling the initial costs of your credit. Hence the importance of knowing how to choose the best bank for housing loans and have specialized support that will enable you to reduce your commissions.
You may have to bear the Cost of Evaluation … but it is Possible to Benefit from Exemption Protocols!
The cost of valuing the property given as collateral for the loan is a cost of the client regardless of the granting of housing credit. From the point of view of the service I do not consider it to be an abusive cost even because the customer knows how much his housing is worth at market prices. However, this evaluation is only valid in the bank that requested it and is therefore an effective cost, even if it decides not to contract in that bank.
The majority of banks have this charge regardless of the granting of housing credit, although with different amounts. For bank client protection it would be imperative for banks to validate the real estate appraisals of other certified institutions or entities. It is more a cost to bear without the assurance that you will receive the mortgage credit money. Most banks charge close to two hundred euros for this essential service for the decision of housing credit.
How To Protect Yourself When Applying For Your Mortgage
Before going to the bank to prepare the housing credit process it is essential that you do your homework, namely:
- Check if it has the capacity to support the provision of housing credit;
- Evaluate the conditions that will provide the bank;
- Prepare the negotiation.
Regarding capacity checking the best way is by determining your monthly effort rate. If this is between 30 and 40% then it meets one of the requirements of banking analysis. After this process is necessary to evaluate the conditions that will provide the bank, namely how much of the capital to finance their housing needs. If you have at least 20% entrance to the house you are in a comfortable position.
As for the negotiation, make sure that the bank has an interest in financing your home, for example, assess whether your financial situation confers security on the bank.
At this stage evaluate whether you have assets, professional stability, bank involvement, among other elements of interest. If you have these requirements then you can negotiate the conditions of your housing credit, such as negotiating the spread, the required products and even the commissions that the bank wants to charge. In the course of the negotiation you can even save a few euros if you can eliminate some commissions.
Orlando Does not Leave You Alone
We want to facilitate your access to housing credit. We are specialists and we have many years of experience in this market. A feature of Orlando housing loan processes is that we do not charge you any cost. It is the financial institutions that commission us without this causing a burden on our customers. We set the process and negotiate the best conditions for your case. Here’s how you can save on your housing credit!