How to define your budget and your borrowing capacity with a real estate hunter?
Before you start looking for the property of your dreams, it is important to establish your budget and define your borrowing capacity. With a real estate hunter at your side, you will be sure to have the right budget and know how much you can borrow. Indeed, the real estate hunter knows the rates, the laws, the banks, the brokers, he will advise you as accurately as possible, according to your income and will help you establish the budget that suits you. Learn how to define all the costs associated with the purchase of real estate from this expert.
Define your borrowing capacity with your real estate hunter
La borrowing capacity represents the amount that the bank will be willing to lend you to buy your property. With the help of your Real estate hunter, you will be able to analyze the different banks, the various loans available and the amount of different rates. Thanks to his expertise in the real estate field, the apartment hunter guides you through this first important step.
Define your acquisition capacity with your real estate hunter
Calculate it acquisition capacity It's the same as adding up the amount you can borrow from your personal contribution. This contribution can come from various sources, such as an inheritance, money locked in a savings account or even income from a future real estate sale. To this, you can add a Real estate loan. The real estate hunter can advise you on what part of your savings to invest in this project.
Know your maximum monthly payment with your real estate hunter
To finance your property, your Debt ratio must not exceed 33%, a threshold set by banks. This means that monthly loan payments should not exceed a third of your income. In order to assess your cFinancial capacity, the real estate hunter will take into account your professional income, as well as that of your co-borrower, if you have one, all other income such as alimony, your possible rents, but also all your expenses and current credits.
With all this information, your real estate hunter will help you establish your maximum monthly payment and estimate the amount of your loan. This way, you will know exactly what monthly payment you could consider paying without weakening your budget. Do not forget that to this monthly payment will be added your current expenses as well as property taxes.
Know the different real estate loans thanks to your real estate hunter
The Real estate credit or bank loan provides financing for the purchase of real estate. Banks have the option of offering several loans, depending on the type of property or the income of buyers. The amortizable loan is the most common. It can be at a revised rate or even at a fixed rate and can extend up to 30 years, even if the 25-year limit becomes the norm. There is also the Relay loan which is a solution for those who are already owners. It is a borrowing short term that allows you to obtain a large amount of money to acquire a property, before selling your previous home. The bridge loan is therefore aimed at owners, first-time buyers and rental investors between two real estate properties. Finally, the state has put in place loans to help with accession. Among the latter, find the Social Accession Loan, the Conventional Loan, or the Zero Rate Loan. Depending on your situation and your borrowing capacity, your real estate hunter who knows all the standards will advise you on the most appropriate financing according to your situation.
Know your ancillary costs in case of buying real estate thanks to your hunter
The amount of the property you buy does not include all the costs. To the price of the house or apartment, you should add notary fees, mortgage, deposit, real estate hunter's commission, local taxes, property tax, insurance, insurance, condominium fees. While some costs will be added to your monthly payment, such as home insurance, others will have to be paid separately, such as notary fees, which vary from 2% to 8% depending on the type of property purchased. The apartment hunter's commission is between 2 and 3% of the selling price of the home. Credit insurance depends on the organization you choose to insure you. Again, your real estate hunter can give you an approximate budget thanks to his knowledge of the field.
The budget is the central point of a real estate purchase. Chez Parlez-moi de Paris, our apartment hunters guide you on all these points in order toborrow safely.
Learn more:
- Is there a A good time to buy a property ?
- Les keys to a successful collaboration with your real estate hunter
- how Find an apartment remotely thanks to real estate hunters?
Olivier was able to help us find the right property for us. He listened to us and was full of suggestions. His advice was invaluable at every stage of our search and right up to the negotiation of the property. A big thank you!
I embarked on the adventure of a first Parisian acquisition following an inheritance and in a context where the market was rather sluggish. I can only thank Olivier Lebé, who guided me for several months to refine my project until the acquisition of a very beautiful apartment in the 19th arrondissement. His ability to listen, his attentive support, his perfect knowledge of the real estate market and the neighborhood allowed me to embark on this first purchase with complete peace of mind. Excellent service is an investment, but peace of mind is well worth the price!
A big thank you to Patrick for his professionalism and efficiency! Thanks to his ability to listen and his perfect knowledge of the market, he was able to find the ideal property. Tailor-made support, sound advice and exemplary responsiveness. I highly recommend his services!
