How to make a mortgage

Getting the mortgage from the bank may seem like an endless endless bureaucratic procedure and, in fact, the path to take can be long challenging, but following the practices, step by step, you can do everything calmly and in the best way. Here then how to do, from the choice of the bank to the presentation of the necessary documents.



How to make a mortgage
HOW TO MAKE A MORTGAGE
Anyone who wants to buy a property asking for a mortgage knows that it is essential to contact a bank to obtain the necessary financing. You need to choose the credit institution willing to make available to you the amount you need and willing to grant you the mortgage to buy the house or property.

First of all, it is necessary to carry out a sales compromise, which is essential for stipulating the public deed of sale; you must therefore look for a bank that meets the needs you have. At this stage it is necessary to use the advice of your bank of trust, so that you can remove any doubt about it.

Once you have chosen the bank, you will need to complete the application for funding. The document contains this important information:
Personal data
Residence
Current housing
Family unit
Occupation
Working sector
Type of worker (self-employed / independent)
Persons dependent
Income
Description and value of construction
Declaration of possible debts



At this point the bank will evaluate the grant or not of the loan. This will depend on the income of the applicant, the value of the property and the presence of any guarantees provided by third parties.

Guarantees from third parties are generally indispensable if there is no fixed and long-term salary contract, which is the worst condition for the bank. Not all banks are the same, however, and for this it is always good to compare the types of offers.



If the bank's opinion is positive, it is possible to move on to the next phase, which consists in determining the possible installment, calculated on the basis of income. Generally the mortgage payment does not exceed 35% of the applicant's monthly net income.

There are then different types of mortgage, based on the interest rate that the bank intends to apply. Interest rates can be fixed or variable, but there are also other types, such as the mixed rate and the balanced rate.

Also the installments can differentiate according to the type. For example, there is the constant-term option with variable duration and constant payment, with flexible repayment.

The next step is to provide the bank with all the documentation necessary to formalize the request for funding. After the bank has acquired all the documents, it can decide the financing. The maximum amount that the bank can grant is equal to 80% of the market value of the property, even if some banks are willing to grant up to 100%, at much higher rates.

The final phase of the practice is the mortgage contract, which is stipulated before a notary, in the presence of a bank representative and the applicant for funding. The notary prepares a public deed with which the applicant undertakes to return the established amount to the bank.

Together with the mortgage a mortgage is processed in favor of the bank, a sort of guarantee that protects the bank in the event of non-payment. The mortgage expires automatically, usually after 20 years, and in case the mortgage lasts for a longer period it will be necessary to renew it.

The mortgage, in addition to the money disbursed, also covers the interests, according to the agreements made with the bank, the default interest for late payment, or non-payment, court costs, should the bank assume the recovery of the amount due , and finally the notary fees, expenses and all taxes.