Mortgage lending, which is gaining popularity, has many pitfalls. In order to solve the housing problem and not fall into long-term financial bondage, in the process of preparing for the conclusion of the contract, you need to take a responsible approach to choosing a bank and carefully prepare evidence of your solvency.
How to choose the "right" bank
When choosing a credit institution, it is desirable that the borrower is already its client. If he regularly receives a salary through this bank for a long period of time, that is great. In this case, it is quite realistic to count on various benefits and promotions, through which it is possible to save a lot. In addition, any credit institution treats its customers with care, so you should count on a slight relaxation of mortgage rates if an individual has a reputation of a reliable client in the bank.
What can you save on
The most optimal mortgage lending option for the borrower is provided only to clients who have a solid official salary and financial savings that allow them to make the first installment on the loan or a pledge on it. Unfortunately, such borrowers are in the minority, so banks offer other conditions, but at the same time, the overall rate on the loan will certainly increase, even if the lender claims the opposite.
The fact is that in addition to the officially announced interest rate, there are many other important parameters that significantly increase the burden of mortgage lending. One of them is the collection of solid commissions for the issuance of loan funds. There are no such fees in some banks, but there are very few such establishments; in others, the commission is charged at a time; in the third, it is stretched for the entire term of mortgage payments. The latter are capable of overpaying annually by 2-5%, which will eventually result in a decent amount for mortgage lending.
Do I need to take out insurance
The legislation prohibits the imposition of insurance services by banks, but in reality it is "voluntary-compulsory" - if the client does not agree to conclude a voluntary life, health and job loss insurance contract, you can not count on getting a mortgage loan, or the interest on it will be sky-high … In this case, you can try to choose more than one insurance company that provides a package of services at unfavorable rates, including insurance payments in the total mortgage payment, and conclude agreements with different companies, if the bank allows this.
In any case, there is no need to limit the search for a lender to one or two nearby banks. It is advisable to use Internet services, which collect information about banking products of all credit institutions of a city or region, carefully review the conditions for granting a mortgage, the requirements of banks to their borrowers. Then you need to call the selected institutions, clarify the issue of interest with credit managers and choose the most optimal option.
