Banks should review and evaluate the monthly repayment credit during the loan period. If they can repay on time every month, there is no default, and their personal credit qualifications have no bad records, the bank can shorten the repayment period for them.
To apply for a mortgage loan, you need to meet the following conditions:
1. stable income: the applicant should have a stable source of income, such as salary, bonus, rental income, securities investment, etc. And the income should cover the interest and principal of mortgage repayment;
2. Good credit record: the applicant's credit record should be good, that is, there are no overdue, arrears, bad records, etc. Credit history in the past;
3. Adequate down payment: Under normal circumstances, the applicant needs to pay a certain down payment, which is generally between 20% and 30% of the house price. If the applicant can pay a higher down payment, he can get better loan conditions;
4. Repayment ability: the applicant should have sufficient repayment ability, that is, stable income, reasonable expenditure and sound financial situation, and at the same time ensure that other family expenses and debt pressure are not too great;
5. Provide repayment on time: the applicant needs to provide repayment on time to ensure that there is no overdue and other breach of contract.
To sum up, applying for a mortgage is the process of applying for a loan from a bank or other financial institution for the purchase of real estate or housing construction. Mortgage usually requires the borrower to provide certain collateral or guarantee to ensure the repayment of the loan. The lender will evaluate the borrower's repayment ability according to factors such as his credit history, income and liabilities, decide whether to approve the loan application, and determine the loan interest rate, repayment period and other conditions.
legal ground
Article 10 of the Measures for the Administration of Individual Housing Loans
The lender shall reasonably determine the loan term according to the actual situation, but the longest term shall not exceed 20 years.