Mortgage loan
2 minutes
to fill out the form
A simulation
free and without obligation
A well insured loan
With Loan Insurance, you and your loved ones are protected in the event of a hard blow: incapacity for work, disability or death.
Flexibility
You choose the repayment period at your convenience between 12 and 120 months.
Flexibility
You can benefit from a payment break twice a year in the event of temporary difficulty
No hidden costs
You only repay your monthly payments, not a penny more!
Do you have a real estate project?
First acquisition, primary or secondary residence, rental investment, repurchase of credit in progress ... Develop, with the help of your Crédit-Internet.com advisor, a financing plan in accordance with your financial situation and the nature of the property you want finance.
With the mortgage from Crédit-Internet.com, you can:
borrow up to 30 years;
modulate your monthly payments or choose a deferred repayment;
set up reimbursement levels;
harmonize your repayments by adapting the monthly payments of your mortgage to those of your other loans so as to have constant maturities.
Request a free, non-binding simulation of your real estate project now.
You have a 10-day cooling-off period. The sale is subject to obtaining the loan: if it is not obtained, the seller must reimburse the purchaser for the sums paid.
60% of French households own their main residence and most of them finance it in part with a mortgage. Over the past ten years or so, the French have started buying real estate at an earlier age: the share of owners under the age of thirty has increased by around 7 points. The period is indeed very favorable to the financing of the purchase of real estate by a real estate loan. Why not take advantage of low rates and extended terms? In addition, in addition to protecting borrowers from over-indebtedness, the State and communities greatly promote home ownership, particularly through the many assisted loans, to which you may be entitled!
To put the odds in your favor, be well prepared. Credit-Internet.com has rolled up its sleeves to dissect the operation of a mortgage in the following lines and help you achieve your project!
How does a mortgage work?
Understanding how a loan works means mastering the notion of “interest”. They represent both the main cost in financing a real estate acquisition and the heart of the mechanics of banks. In addition, the operation of a mortgage is not very intuitive! So we are giving you some clarification.
Most borrowers have a so-called amortizable loan (more on this below). How does it work ? Already, remember that you will have to pay interest and part of the capital for each monthly payment, but the share of both changes during the loan. What's more :
The monthly payments are constant;
Interest is proportional to the outstanding capital.
They are therefore important at the start of the loan and decrease over time. The repaid capital (or amortized capital) is the difference between the monthly payment and the interest paid. Unlike interest, the repaid capital increases from month to month.
In addition, the mortgage is in the majority of cases associated with a personal contribution. It is this amount of money that you will have to pay out of pocket when you buy it. Generally banks ask to bring at least 10% of the price of the property, which corresponds to the notary and guarantee fees. In fact, the more funds you have, the more your banker will be reassured - but that's no reason to put in the funds, keep a safety mattress!
Guarantee and insure your mortgage - mortgage loan insurance
You can not cut it, taking out borrower insurance is mandatory to obtain a mortgage. And so much the better, since it guarantees the reimbursement of monthly payments in the event of a hard blow. It's even a great way to protect yourself and your family.
There are several possible levels of coverage, from minimum subsistence to more comprehensive coverage. The minimum level of coverage varies depending on the project. Death insurance is compulsory. It ensures the repayment of the loan in the event of the death of one of the co-borrowers. It is always coupled with one or more disability insurance. There are several types of contracts covering different degrees of disability (partial or total) and inability to work (temporary or irreversible). The cost of insurance varies enormously depending on the contract, Credit-Internet.com can help you minimize it.
Warranty
To protect themselves more against the risk of default, banks require that the loan also be covered by a guarantee. It allows the repayment of the credit in the event of default of payment apart from the cases covered by the insurance. This collateral costs you around 1% of the loan amount. There are two types of guarantees: surety organizations and the mortgage (or real guarantee). The choice of guarantee depends partly on the bank: some banks will almost always favor the guarantee, others the real guarantee. A deposit is generally less expensive than a real guarantee.
Choosing the right mortgage
There are different types of loan: most real estate loans granted in France are said to be “amortisable”.
Depreciable loan
The amortizable loan is the most common, it is the one that we offer in most cases at the end of the simulation. Its duration varies between 5 and 30 years, but in France borrowers choose an average of 18 years, according to Crédit Logement.
The capital is amortized over time (hence its name), that is to say that you gradually repay the borrowed capital. In most cases, the monthly payments are constant throughout the life of the loan. This allows you to have a clear idea of how much the loan represents on your budget.
Example
A real estate loan of € 200,000 repayable over 15 years at an interest rate of 1.80%, the monthly payments will amount to € 1,269. The capital repaid the first month is € 969, the interest represents € 300. The 60th monthly payment, amounting to € 1,269, includes € 1,058 of repaid capital and € 210 of interest. As for the 180th monthly payment (the last), the repaid capital will be € 1,267 and € 2 for interest.
Bridge loan
Are you already an owner but want to change your accommodation? With a bridging loan, you can buy your next home before you commit to selling the current one - and use it as a down payment.
This loan helps you over a limited period: between the purchase of the new property and the sale of the old one. It usually does not last more than two years. When it arrives, you will have to repay it.
Nesting loans and smoothing
To allow you to reduce the total cost of a loan without increasing your monthly payments too much, the two-line loan, also called the pull-out loan, can be an option.
Some banks offer to split your financing into two loans of different terms: a short-term loan at a low rate, combined with a longer-term loan at a higher rate. The monthly payment of the longest loan is smoothed with that of the shortest loan in order to obtain a constant monthly payment over the entire period.
Good plan
It is often wise to settle outstanding loans using part of your savings to avoid setting up a smoothing which would increase the duration, the rate and the total cost of the loan.
It works differently than an amortizing loan. You only pay the interest for the life of the loan and only pay back the borrowed capital at the end. In-fine loans are not often recommended because the rates charged are higher than those for amortizable loans. In addition, the counterparts required for the granting of the loan are much more restrictive. The main advantage of the loan in fine is the reduction of tax on property profits.
Now that you are in touch with how a mortgage works, let's get down to business: how do you actually get a mortgage?
Who to contact to obtain a mortgage?
The banks
In France, credit is under a banking monopoly: with a few exceptions, only banks have the right to lend money to individuals and to earn interest. You will therefore necessarily be financed by a bank, but which one?
This is the question asked by all buyers who get started, and for good reason each bank offers its own borrowing conditions. Besides, they probably won't give you the best offer the first time, a good loan is negotiable! So get ready to shop around to compare and compete against each other.
Real estate brokers
Another solution is to go through a real estate broker. The broker is an interlocutor between you and the banks. Its job is to know the conditions of all the banks and to tell you the best offer for your project. Thanks to its volumes and the time it saves the banker, it is much more likely than you to obtain the lowest rates on the market.
You save time, money and gray hair. Above all, you focus on the most important: making visits, preparing your move and your possible work.
The role of the broker is also to give you an expert opinion on your project and to help you carry it out. He knows how to guide you beyond the simple real estate rate: borrower insurance, modularity, exemption from early repayment, the guarantee are elements that will have an impact in a few years and on which you undoubtedly need to be advised today.
Finally, he gives you a hand on the more administrative aspects, since he prepares your mortgage application file. This file must be flawless to inspire confidence in the banks.
Good plan
Not only does Credit-Internet.com not charge brokerage fees, but since we do a lot of the work of the bank advisor, most banks will offer the credit file fee if you go through Credit-Internet.com. You win it twice.
What are the main steps to obtain a mortgage?
From finding the best rate to receiving the loan offer, there are many steps. You better be prepared for it.
Get down to the issue of funding as quickly as possible. In addition to avoiding unpleasant surprises, you prove your seriousness to the seller and put forward arguments in your favor in the negotiations. On the other hand, your loan application file can only be sent to the bank once it is complete, that is to say when you have signed the compromise. And you have to act quickly: you have 45 days to find a loan once the compromise has been signed.
Then the bank studies your request. If she accepts it, you will have an agreement in principle in ten days. If the conditions suit you, you open your account and start the procedures for borrower insurance, in a branch if it is a traditional bank, online otherwise. After the appointment, the bank will send your loan request to the surety body for validation.
Loan insurance and collateral are validated in about three weeks. This is when the bank starts editing loan offers and sends them to you. You can only return offers 11 days after receipt. This reflection period is mandatory and so much the better since it allows you to reread the conditions in detail. Please note, a certain formality must be observed when signing. Otherwise the offers may be null and void.
A few days before the signing of the authentic deed at the notary, the bank transfers the funds to a notary's escrow account, which will not be released until the authentic deed is signed.
Compare to choose the best mortgage
We have just spoken of the loan offer: it is The document which summarizes all the conditions of the credit proposal. It is accompanied by the amortization table which details the monthly payments month by month. The loan offer will give you the exact APR of the loan and list all the costs of the credit:
interest rate
warranty fees
notary fees
insurance rate
brokerage fees
bank file fees
account maintenance fees
shares where applicable.
The real estate rate, determining the cost of a mortgage
To meet your mortgage request, the bank sets an interest rate according to your profile and the nature of the credit.
The more your project is perceived as risky or less profitable for the bank, the higher the interest rate will be.
The mortgage rate can vary from single to double from one bank to another. And to complicate matters, a bank could be excellent on certain types of files and much less competitive on others. When it comes to real estate rates, nothing can be said without an exhaustive simulation. To find out the best rates available for you, use the Credit-Internet.com comparator!