One in two households uses a mortgage ( classic loan, 0% loan, etc. ) to finance the purchase of a home. This loan (or these loans) combined with consumer loans increases the costs of a household. The repurchase of credits can be a credible alternative to reduce the monthly payments and find a good financial balance . What is a mortgage loan? Can mortgage your home save cash ? Is the use of a notary necessary to buy back mortgage loans? Are there any fees?
The repurchase of mortgages: what you need to know!
Before talking about fees or notary, it is good to understand the concept of mortgage loan repurchase . Indeed, it may seem difficult for an average citizen to understand the operation and the interest of this type of solution proposed by the banks as by the credit organizations. It therefore seems logical to give you the explanation.
To put it simply, we have listed the main points to remember:
- The repurchase of mortgages concerns the owners . Tenants are excluded from the scheme.
- The repurchase of mortgages concerns real estate loans . It is possible to include consumer loans within a limit set by the lending organizations.
- The repurchase of mortgage loans imposes the mortgage of a real estate ( garage, apartment, main residence, secondary residence… ).
But what is a mortgage? What's the point ?
Organizations always play the card of caution. They are listening to citizens to help them rebalance their financial budget as for the financing of new projects, but they need a solid guarantee . By mortgaging property, you are indirectly submitting it to the organization. The property belongs to him until the loan is fully repaid. Thus, in the event of long-term unpaid bills, the organization can put the property up for auction .
Before making a mortgage loan buyback , it is essential to analyze your financial situation . In addition, this type of solution commits you. We recommend that you take out borrower insurance that will protect you in the event of life's unforeseen events.
Is the notary compulsory for a mortgage loan repurchase?
When we talk about the term “mortgage”, we must think directly of the notary . The notary is the only one who can register a mortgage. So there is no choice; making a repurchase of credits with mortgage involves a notary to establish an authentic act .
Are there notary fees to be expected? Seek the advice and collaboration of a notary to buy back credits at a cost . The price varies depending on the notary and the amount of the mortgage. This amount can be integrated into the amount offered when redeeming credits. Remember to find out about the fees before accepting a loan offer.