Like 84% of French tenants, you dream of owning your home. But whether it is an apartment or a house, you are wondering about its financing plan via a mortgage . How to finance this purchase according to your situation? By what means ? We will answer your questions.
Above all, whatever your situation, you will need to assess the overall cost of your project. This includes additional costs such as notary fees . They should not be neglected because they represent, depending on whether the home is new or old, from 2% to 8% of the purchase value. It is important to take them into account in your financing study.
Financing your main residence as a first-time buyer
It is first necessary to define the term first-time buyer . You are a first-time buyer if you buy a home when you have not been a homeowner for the past two years. This status allows you to benefit from several financial aids and thus finance your first real estate purchase . They mainly come from the State, regions or departments.
One of the first aid, in the form of a loan, is the PAS or loan for social access . It is exclusively intended to buy your main residence or to undertake work there. Its particularity comes from the fact that the rates applied are lower than a conventional loan . Like the approved loan to which you also have access as a first-time buyer, the PAS can include all of the financing.
The approved loan , for its part, is a loan granted by financial institutions, without conditions of means. This is achievable thanks to an agreement signed with the State. Its advantage is that it can, under certain conditions, open the right to APL (Personalized Housing Allowances). There is also the home savings loan or PEL .
Next come the complementary loans. As the name suggests, they can only finance part of the purchase. Among these loans, we find in particular the Zero Rate Loan or PTZ.
It is subject to income ceilings and can be considered as a personal contribution from banking establishments. The conditions for obtaining the PTZ are very precise.
The home equity loan , which is often called the 1% employer or the 1% housing loan, is another complementary loan. It is intended for employees. The condition is that your company participates in the construction effort by allocating part of its payroll to it.
Even if it is not counted as a real help, making a mortgage when you are a civil servant brings certain advantages.
Other financial aid
To complete all these offers, you can also benefit from local aid through organizations. The two main ones are ANIL (National Agency for Housing Information) and ADIL (Departmental Housing Information Agencies). You can contact the agencies in your department.
Financing your main residence as a second-time buyer
You are second-buyer if you want to buy a home by reselling your current main residence, before or after your new purchase. There are therefore two scenarios that arise.
Resale before buying your home
This is the ideal case. Indeed, if you have already sold your old main home, you normally have capital. You can therefore reinstate it to fully or partially finance your new home.
You can also supplement it through conventional depreciable credits. To justify your choice, you just need to compare the different loan offers, the credit rates applied and the conditions of each financial institution. Let us now see the second case together.
Resale after purchasing your home
If you find yourself in this situation, you will have to take out a bridging loan . This loan is characterized as a financial advance from banking institutions , pending resale of your old home. It is therefore a bank loan repayable only when your property is sold. You study with the financial institution the repayment terms that are adapted to your situation.
Financing your main residence
Now that you know everything about financing your primary residence, your real estate project should come to fruition. Did you know that by going through a mortgage broker rather than your bank, you could borrow under favorable conditions? This negotiates loan insurance and a lower mortgage rate for you. There are only advantages to going through a broker !
Do you want to get the best loan deal and the best credit rate? Consult our experts and estimate your borrowing capacity by submitting a loan application:
When you own your main home, think of us to finance your second home !