When buying, expanding, repairing or building a home, office or commercial premises, the most common is to apply for a mortgage loan that allows the interested party to have the necessary capital to make the desired investment. However, paying such credit can be difficult in some cases. Therefore, there is a modality called flexible mortgage credit . But what is a flexible mortgage loan? and how it works?
What is a flexible mortgage loan?
A flexible mortgage loan is a medium and long-term money loan from the bank under an established contract, which has a minimum fee and a maximum fee from which the client receiving the loan can choose which one to pay.
After hiring it, the client will choose between the minimum term and the maximum term offered by the entity to be able to pay the mortgage loan, which is within 5 and 30 years and the interest charged due to the credit used, which depends on the bank that He is providing the service.
With a flexible mortgage loan , the client is allowed to manage the installments to pay the total amount of credit, so the entity adjusts to the client’s possibilities and not vice versa.
Requirements to obtain a flexible mortgage loan
Some of the most common requirements that banks need to raise to deliver a flexible mortgage loan are the following:
- The applicant must be between 18 and 75 years old.
- The monthly liquid income of the holder must be equal to or greater than 23 dollars .
- Be one year old in work under contract or as an independent worker.
- Have a good history of payment behavior without delinquencies .
- They must be banked at least in the last 6 months.
- If he is a foreigner, the client must have permanent residence in the country in which the mortgage loan is requested.
- In case of supplementing income, there must be a minimum family income of 39 dollars and the co-owner must have an income greater than or equal to 16 dollars .
Is it advisable to ask for flexible mortgage credit?
Making use of a flexible mortgage loan will report benefits according to the situation that arises, that is, considering asking for a mortgage loan to furnish, build, repair or buy a home or premises is profitable while certain aspects are evaluated and taken into account:
- It is advisable to search for banks that have an agreement with the real estate company from which the mortgage loan is required, this will allow you to select the bank that best suits the client’s income.
- The flexible mortgage loan must not exceed a large amount of the monthly income obtained by the borrower.
- The term of the mortgage loan either 10 or 30 years is imposed by the bank generally according to the age of the applicant. So in the case of flexible mortgage credit, the minimum and maximum term offered will be within their selection policies.
- It is good to look for budgets of several banks since the interest rate can vary and thus select the one that is most convenient.
- Look at the interest rate they offer because if it is too high it can be harmful later.
- Take into account that the payment period and the interest generated do not exceed the use and reinvestment that will be given to the home.
Making use of a flexible mortgage loan can bring many comforts and benefits as long as the adequate forecasts are taken, the client’s ability to pay is studied and the credit is put to good use. If you want to take out a mortgage loan, check if the conditions offered by the flexible modality suit you better.