1. What is a loan to buy a house?
Mortgage to buy a house's popular understanding is that individuals apply for loans from banks to buy houses because of insufficient funds when buying real estate.
The loan period in mortgage to buy a house is usually 6-30 years, and the application depends on individual circumstances.
2. What should I pay attention to when buying a house with a loan?
(1) Don't use the provident fund before applying for a loan.
Many people will think of using provident fund when they borrow money to buy a house, and the interest rate of provident fund is preferential. However, if the borrower takes the balance of the provident fund to pay for the house purchase before the loan, the balance of the provident fund in your provident fund account will be converted to zero, and your quota will be zero, which means that you will not be able to apply for a provident fund loan.
(2) Do not prepay the loan in the first year.
Most loan buyers will consider prepayment, but prepayment has certain requirements. For example, according to the relevant provisions of provident fund loans, part of the prepayment should be made one year after repayment and the amount you repay should exceed the monthly repayment. If the rest of the commercial mortgages need to be repaid in advance, we must also carefully look at the relevant requirements of the bank.
(3) Don't forget to find the bank around you when repayment is difficult.
When your repayment ability declines within the loan period and it is difficult to repay, don't insist on it yourself. ICBC customers can apply to ICBC for extending the loan term. After investigation and confirmation by our bank, we will accept your application for extension.
(4) Don't forget to inform the relevant obligations when renting a house after the loan.
When renting a mortgaged house during the loan period, the lessee must be informed of the mortgage facts in writing. This is a detail that is easily overlooked, but if it really involves something, it may cause some unnecessary troubles, because in some cases, it may lead to the damage of the lease right, especially when the property is planned to be sold, which will bring a series of troubles.
(5) Don't forget to cancel the mortgage after paying off the loan.
When you have paid off all the principal and interest of the loan, you can cancel the previous mortgage with the bank's loan settlement certificate and the certificate of other rights of the mortgaged property to the real estate transaction office in the district where the property is located. At this time, the real estate is truly completely their own. If you forget to cancel the mortgage, then the house is still in the state of pledge in the legal sense.
3. The process of buying a house with a loan
When applying for personal housing loans, borrowers should make objective and correct judgments on their current economic strength and repayment ability, and at the same time make correct and objective predictions on their future income and expenditure.
For the borrower, if you buy an existing house or a second-hand house, then you can choose the bank you want to borrow. If the mortgage bank's services are diverse and meticulous, you will enjoy flexible and diverse personal financial services, as well as the perfect combination of colorful services and products. From the public point of view, there is no doubt that the more choices citizens have, the better.
To apply for personal commercial housing loans, banks generally require borrowers to provide proof of economic income. For individuals, the true personal occupation, position and recent economic income certificate should be provided. Because if your income doesn't reach a certain level, it proves that you don't have enough repayment ability. Once you exaggerate your income level, you are likely to default at the initial stage of repayment. The bank investigation proves that you provide false certificates, which will greatly reduce the bank's trust in you, thus affecting your loan application.
As can be seen from the above description, there are many matters needing attention when buying a house with a loan. Only by fully and deeply understanding these precautions can we avoid the trap of loan perfectly and start the road of loan purchase with peace of mind.