In United States, there is a cascade of law offering tax advantages on the purchase of real estate such as the Robien law , the Scellier law , the Duflot law or the Borloo law . In fact, with the Robien law of 2003, individuals who have invested in new construction , in metropolitan France as well as in the French islands ( Martinique, Guadeloupe, Guyana, Réunion ) before the end of December 2009 benefit from a tax exemption over 9 years provided that the property is leased . As this device offers an advantage to owners, we are entitled to wonder if the Robien law is compatible with the repurchase of credits . Does having recourse to the repurchase of credits erase the advantages put forward by this real estate device?
Tax advantages of the Robien law?
Before answering the question, it is good to remember that the repurchase of his mortgage is a financial process which allows to reduce the amount of the monthly payments . This relief is possible by extending the duration of the loan , but also by playing with the interest rate . In addition, it should be known that the owner has the possibility of bringing together his consumer loans with his (or his) real estate loans. The repurchase of mortgage loans is therefore a good springboard to avoid slipping gently into the spiral of indebtedness .
If you have taken advantage of the Robien law, but you are experiencing financial difficulties ( divorce , dismissal, long illness, etc. ), negotiating your mortgage is, therefore, one of the solutions open to you.
But, is it possible to take advantage of the redemption of credits and the tax advantages of the Robien law ? The answer is a big "yes", even if in practice things are not that simple. Indeed, it is imperative to respect conditions so as not to lose the benefits provided by this device linked to real estate.
In fact, you should know that:
- The mortgage offered by the repurchase of credits must reimburse the initial loan or be the subject of a substitution .
- The interest on the repurchase of mortgage loans must not be greater than the value of the interest on the old mortgage.
- The declaration of the repurchase of credits on property income. It will also be necessary to provide the necessary documents to justify the new position to the French administration.
If all the conditions are met, the two systems (Robien law on tax exemption and loan redemption) can be combined.
The Robien law is compatible with the repurchase of credits?
We would like to alert you. Indeed, if your property is already mortgaged, there is a good chance that the organizations will be reluctant. The mortgage constitutes a guarantee (notarial deed in support) for the lending organizations. In fact, if the property in question is already mortgaged, the organization can reject your request.
To avoid misunderstandings with the French administration, we invite you to go to the tax office to obtain the necessary information before concluding the loan repurchase contract. Your financial advisor is also your partner in this type of transaction.
To conclude, the Robien law is compatible with the repurchase of credits. However, it is imperative to handle this renegotiation with care.