Choosing the Right Mortgage with Simulation | Finance
A mortgage credit means a credit with a guarantee, which is a real estate. The real estate is then mortgaged. The mortgage can be made on different types of real estate, including a house, apartment or building. In practice, homeowners who subscribe to a mortgage remain full owners of the home.
Summary of the page
- 1 Mortgage Simulation
- 2 Realization of the mortgage loan simulation
- 3 Following the Mortgage Simulation
This type of loan is granted under certain conditions if the financial institution will take into account the client’s debt ratio. Two types of mortgages can be found, the loan itself and the conventional acquisition loan.
The simulation of a mortgage loan is a tool that allows to know if the type of loan envisaged is possible for his project or not. It also allows you to negotiate with different lenders.
The mortgage simulation performs different types of calculations on the rate, duration, monthly payments and the amount. Some information is needed to be able to do a mortgage simulation.
They are mainly related to the type of project, the desired amount, the value of the real estate mortgaged and the income of the borrower.
Realization of the mortgage loan simulation
Mortgage simulations can be done at the best rate in Belgium , in a number of ways, including from a mortgage broker, a financial institution advisor or a banking institution. We are free to perform several simulations, and this throughout the project concerned. The simulation process is done in several stages, starting with the simulation request form.
A contact request must be completed on the website of the financial institution concerned. To do this, we must give ourselves the time to give the maximum detail, to qualify the best mortgage loan application. When the request is qualified, a specialist contacts the borrower. This phase makes it possible to collect more precision on the loan request. At this stage, the specialist will be able to propose different loan solutions, in adequacy with the project to realize.
The following of the mortgage simulation
After the telephone interview, an official proposal from the credit institution or a bank can be made. The borrower will receive a list of documents to provide, which will serve as a basis for the loan file. When the required documents are received, the negotiation begins and the bank will return to the borrower for an official proposal. If the financial institution is a deposit bank, the borrower must open an account on which the monthly installment of the mortgage loan will be deducted.
You must also complete and sign the insurance documents. In the case of a specialized bank that does not have a “check account”, only the insurance slips and the remote loan application must be completed. Everything will be done by mail. Thereafter, a signature is organized at a notary chosen by the borrower. The notary will take the hypothetical mortgage. He is also the guarantor of the good use of the funds released by the financial institution.