The term mortgage loan generally includes all those loans that are secured under land register law. In banking, a loan can be secured by real estate using a mortgage, which is one of the mortgages. However, not only is the land lien commonly referred to as a loan, but also the mortgage associated with it. Accordingly, a mortgage primarily serves as a means of securing a loan or a loan and is usually justified by ownership of a property, a property or the ground lease. It should be noted that the lender has the right to request payment of a contractually stipulated amount of money from the property, even if this results in the foreclosure of the property.
The Good Lenders Bank has once again published data relating to housing loans in France. The share of home loan repurchases in new financing continued to fall in April.
The share of home loan repayments fell in April
Since January 2017, banks and real estate experts have noticed a slowdown in renegotiations of home loans and consolidation of mortgage loans in France. In January, loan repurchases represented 61.58% of new loans taken out on French territory. In April, this figure declined and reached 49.6%, which means that the share of mortgage loans took over compared to renegotiations . This situation had not happened for at least 6 months.
The market for home loan consolidation seems to be slowing down, but it is still advantageous to benefit from the operation because of the low rates . A borrower who has taken out various loans to finance projects can quite opt for this operation in order to lower the amount of his monthly payments. The repurchase of credit allows the household to reduce its debt ratio and reduce the monthly burden of its financing, while having the possibility of allocating an additional amount to finance a trip, a property or a car for example.
Real estate credit remains as dynamic as ever
The bank scales allocated to housing loans increased in April, the rate being on average at 1.57% against 1.50% in January. However, this increase is very slight and does not alarm households who want to become owners or who want to buy property a second time.
Despite this slight increase, the terms for granting mortgage loans are very attractive and borrowers do not hesitate to make an appointment at several banks to compare offers . It is in particular for the current advantageous conditions that the loans granted are accelerating in France.
Note that France is one of the European countries which currently benefit from such attractive terms, especially regarding mortgage. The rates are fixed in most cases and allow many households to access property at a lower cost.