Are you looking for a Mortgage Loan or Reverse Mortgage ? Do you know exactly how it works and how can you request it? Here is the useful guide that collects all the useful information to get information on the necessary requirements, the documentation, how it works, what are the advantages and the costs.
Mortgage Loans 2019: what is it and what requisites are necessary
With the arrival of the new year 2019 one might need to apply for a mortgage loan or reverse mortgage . What is it? When can I sign it?
As you can well guess, this is a financing contract reserved for owners of property that have already turned 60.
Thanks to this credit product, the instant subject has the possibility to benefit from the provision of a considerable financial capital, even up to about € 350,000.
Compared to a “classic” loan, the applicant will not have to repay any installment for the whole of his life. Yes, you understood just fine!
The financial capital provided by the creditor is guaranteed by a mortgage on the property owned.
Documentation to request a mortgage loan
Here are the necessary documents to be presented to the creditor body to request the mortgage annuity loan:
- Copy of the identity document
- Fiscal Code
- Family status
- Preliminary Notary Report
How does the mortgage life loan work?
The mortgage loan is a non-finalized loan contract : the instant subject can dispose of the money as it sees fit, without having to justify the reasons for the loan application.
Only with the death of the applicant, unless voluntary
early repayments, interest on the debt and related expenses are reimbursed.
On the death of the de cuius , any heirs will have two chances to repay the debt :
- let the creditor entity sell the property and be satisfied on the sums to cover the debt (any excess amounts will be returned to the heirs);
- reimburse the obligation assumed by the de cuius and keep the property in the inheritance axis.
Mortgage annuity loan: when is it convenient?
The mortgage loan is appropriate when the sale price is higher than the debt assumed; the remaining part will be cashed by the heirs of the owner, once deceased.