The Euromortgage Shop,  Saturday, 7 October 2017

 

Once you have signed the preliminary contract, you enter the home straight. Your principal objective will be to finance your acquisition under the best possible conditions. You should consult a specialised advisor.
The advantages of a specialist
Financing... and a great deal more
He has a detailed understanding of all the procedures.
As you have been able to appreciate in the pages of this guide, buying property in France does not follow the same procedures as conveyance in your own country. Choosing a French mortgage broker means choosing a partner who boasts a detailed understanding of the current regulations.
A specialised broker will draw your attention to the fiscal aspects of your decision (wealth tax, marriage settlement, etc.), the compulsory insurance, etc. and provide you with a contract that fully respects French laws designed to protect the borrower. Working with you we will identify the best lender for your needs.
You make the right choices, taking full advantage of the legal and fiscal environment. French lenders maintain close contact with the market in particular, with estate agents, notaires and property developers.
Focus on: Why borrow... when you can buy without taking out a mortgage?
Borrowing can offer you a number of advantages. Our approach is always to consider the borrower's overall financial position. A good real-estate financing solution is one that enables you to optimize your assets as a whole.
By taking out a mortgage to finance your acquisition in France, you could :
- Avoid being subject to wealth tax in France,
- Reduce your death duties,
- Preserve your productive financial assets and keep them available for other investments,
- Enjoy access to attractive investment opportunities. The performance of your invested capital could even cover the monthly instalments on your mortgage.
- Protect yourself against exchange rate fluctuations.
A well-rehearsed procedure Borrowing in 4 easy steps.
Consider the different possible scenarios. We will carry out several simulations based on your personal contribution (your savings, available cash, etc.), your income and the price of the property. The aim is to define your borrowing capacity as accurately as possible to offer you the best period, reimbursement schedule, etc.
The loan application.
Once you have defined your financing plan, you fill out a loan application and provide all the documents required to complete the file. For further details about the list of necessary documents, contact our advisor or refer to our separate link.
Carefully examine the loan offer.
You will receive a loan offer with the general conditions and special conditions concerning you. This offer will specify:
The amount and purpose of the loan,
The type of loan offered and the financial conditions,
The various fees related to the loan,
The manner in which the money will be released,
The insurance cover related to the loan,
A projected repayment schedule.
At this stage, ask yourself the right questions: don't forget that the loan offer is valid for 30-day and that you enjoy a compulsory 10-day “cooling-off” period before accepting it.
Focus on: What is…
1- Le Taux Effectif Global , TEG: this figure is based on the nominal rate of interest, the various arrangement fees, the lender's guarantee, insurance, etc.; it represents the total cost of your loan.
2- L'assurance décès, life insurance: in France, the banks will ask you to take out a life insurance policy to protect your heirs and facilitate the transfer of the property in the event of death.
3- Les Indemnités de Remboursements Anticipés, early repayment fees: in France, financial institutions may ask you to pay compensation in the event of early repayment. You are protected by French law, which caps the amount of penalities banks can charge.