We find that today, it is very difficult to obtain an interest rate higher than 2%. It is important to note that interest rates for real estate mortgages have never reached such low levels. Focus on the environment of the mortgage market that has ratios significantly favorable to borrowing for any acquisition. What are the conditions to obtain a mortgage at the best rate?
According to the depreciation period
While generally a long amortization period is synonymous with high interest rate, we find quite the opposite in 2018. A phenomenon that is explained by a historically low rate trend! First of all, it must be emphasized that the current economic context makes it very difficult to obtain an interest rate above the 2% interest rate. And that does not matter the length of repayment, unless.
In 2018, the average interest rate on a twenty-five-year mortgage is less than one point eighty per cent. In this context, saying that a credit over a long period is synonymous with high interest rate is totally wrong! It is quite possible to be under 1.50% over a 20 year amortization period. Or, get an interest rate for your home mortgage of 1.30% over 15 years.
Low and stable interest rates
The credit market continues to provide borrowers with low and stable interest rates. There is no expectation of a rise in interest rates on the real estate debt market. Moreover this trend pushes tenants with a comfortable income to take the step to borrow. Borrow as part of a rental property purchase, or simply as part of the acquisition of a principal residence.
In a very dynamic market, while banks are always looking for new customers to expand their portfolio, competition between banks is very tough! The mortgage is a product of appeal to target a clientele owner. However, it should be noted that the best mortgage rates are reserved for the best borrower profiles.
Renegotiate your mortgage at the best rate!
Renegotiate your mortgage, this is an opportunity to save money. Although the best rates benefit borrowers with high incomes, it is easy to get a lower rate for a contract underwritten in 2012 when the average rate was 4%.
To renegotiate your mortgage, do not hesitate to negotiate! Do not hesitate to change banks if the proposed interest rate can generate thousands of euros in savings.
If you want to change your bank, simply because you feel good! Then in this case, it is recommended to use a broker buyback credits his repurchase of mortgage at the best rate.
As a partner of the largest banks in the market specialized in loan repurchases, it has reintegration solutions at the best rates from banks that do not require borrowers’ bank domiciliation. Indeed, they are not conventional banks of deposits, but banks of Mugridgement.