If the purchase of credit is open to everyone, it is of course also for homeowners. It is particularly useful when the home is under the weight of too many loan maturities because it offers a unique monthly payment. In addition to paying off all outstanding debts, the redemption of credits can also be used to finance a new project, just as it will be able to anticipate a major change in the life of the borrower. The principle is to regain control of its budget by restructuring it. The chosen financial institution will take care of offering a single credit with reduced monthly payments. Being an owner represents an asset for the realization of a grouping of credits.
The type of profile concerned
Grouping all the loans contracted with banks and credit organizations is an operation that concerns both homeowners and those who are already fully owners. On the other hand, individual renters whose parents agree to put their property in warranty can also claim the purchase of homeowner loans. The financing file must be set in compliance with the standards of the financial partners and credit institutions. At the level of the employment situation, the profile may vary and the borrower may be an employee, but also a craftsman or a liberal profession, a trader, a civil servant and also a retired owner.
To get the best offer for everyone’s situation, the first step is to complete an online application form. It should be known that this approach is free and without commitment. It will be necessary to specify among all the information to be provided on the profile, which the borrower owns. This information will allow the specialist advisor to take charge of the file, to find the purchase of credits that best fits the expectations of this type of profile. Online simulation tools are made available to prospective borrowers to quickly obtain the result of the application. This includes the estimated amount of the future monthly payment, but also the total amount that can benefit the future credit. They are easy to use and practical and especially they only require a few minutes to give an estimated result to visualize what is the most appropriate offer.
The different forms of purchase of credits owner
The purchase of owner loans makes it possible to balance the household budget and lower the amount of the expenses or to cope with a reduction in salary. Its implementation is simple and takes into account different possibilities:
- Consolidate consumer loans that do not include outstanding mortgage loans. It is a question of grouping several consumer credits into a single credit which will then be easier to manage.
- Group all types of loans, ie consumer loans and mortgage loans. In this case this operation is a real management tool because it allows one side to modulate the debt ratio and the other to regain financial stability.
- A surrender of credits with a guarantee in the form of a bond, given by a mutual guarantee company. In this case, the borrower does not have real estate to put in guarantee. It is either a third party who will ensure the repayment of monthly payments in case of problem of the borrower, or the bonding agency itself. This usually takes a remuneration of 2 to 3% of the loan amount.
- A group of loans with mortgage, that is to say that the owner will put in guarantee his property. This option is a security appreciated by banks that will obtain a substantial offer with a larger amount
- A repurchase of credits with a guarantee on a property belonging to the parents of the borrower. It is then a mortgage surety that takes into account only the value of real estate provided by a natural or legal person.
Opting for an offer to buy back owner loans
When the household owner makes a request he must define what type of loan consolidation he will choose. This choice is important because it will determine the rate of wear of the operation. However, it will depend on the remaining capital due from the totality of the mortgages still to be repaid, which must not exceed 60% of the totality of the remaining amounts due. If this is the case, then it will be a repurchase of mortgage. The reduction of the monthly payment is only possible thanks to an extension of the duration of the loan.
During the constitution of the file, the owner can also obtain a complementary financing agreement. This means that he can include in the grouping of his loans a sum of money that can be used for the purchase of a car, the completion of work, but also the settlement of tax debts, family or a delay of rent.
The advantages of this banking operation are numerous. For the over-indebted owners it represents an effective solution to restructure the budget and to find again end of months comfortable. Indeed, the buyback of proprietary credits is ideal for repositioning the debt ratio. Monthly repayments of the single loan will be adjusted according to income. In the end a decrease of 20 to 60% of the amount of monthly payments can be made for a clearer and more controlled management of personal finances. All loans in repayment can be collected, which facilitates the management of the budget.
The purchase of homeowner loans is a solution to obtain additional cash integrated in the financial arrangement of the mortgage. It is a sort of new credit built into the consolidation operation. The unlocked amount is a predefined amount in advance but can not exceed a certain threshold. The goal is to plan future expenses but without the project (s) to be funded exceed the repayment capacity.
Get the best offer
A homeowner’s buyout is not something to be taken lightly because it involves different steps and preparing a solid case. It requires solid experience and expertise based on effective competition and the best rate. Applying to an experienced credit redemption broker is essential for the success of the transaction.
To find the best offer and to verify that the operation is profitable, it will of course be necessary to compare the most advantageous tender offers and to check the conditions of the contract. The various points to take into account are the application fees, the time of assumption of responsibility, and especially the APEG (Annual Effective Rate Global) which includes all the expenses including the insurance borrower. There are some questions to ask yourself before making your choice: If the duration of the credit is shortened, will the rate be more interesting? Is the amount of the new credit capped? Is the remaining capital outstanding limited?
This is another reason to use an intermediary in banking operation. He will be better able to defend the interests of his client with the banks and especially to negotiate the best loan conditions.