Mortgage agreement: what awaits in reality

A huge number of young Russian families are not averse to improving their living conditions. And the government seems to be adopting some kind of program to make this dream come true. For example, there is a national program “Comfortable and affordable housing”. Basically, it is designed for a middle-income family..

But is it really that simple? It turns out that there are enough obstacles to concluding a mortgage agreement. So, in many banks, an obligatory item is to make an initial payment, which is usually 5-20% of the cost of housing. You can, of course, find a bank that issues a mortgage loan without such a payment, but it will cost much more..

Banks also take into account the financial condition and the presence of dependents, outstanding loans from the citizen taking the loan. “Bad credit history” cannot be discounted either. All this can lead to the bank’s refusal to issue a loan..

If these conditions are in favor of the borrower, then the difficulties do not end there. When drawing up an agreement, you must carefully study all its conditions, interest rates, fines, and bank commissions. In general, you need to approach everything very carefully so as not to end up in a «credit trap».

Mortgage loan: pros and cons

Mortgages have their positive and negative sides. The big plus is that a person can buy a home without paying the full price right away. The deal is drawn up by specialists, the real estate is checked by lawyers, evaluated by technical experts, which ensures the reliability of the contract. And unlike, for example, from shared construction, housing immediately becomes the property of the mortgage loan.

Also, a positive point is the stability of payments when the mortgage is repaid (in fixed amounts within the specified time frame). When concluding a loan agreement for a mortgage, insurance is a mandatory moment (although this carries its own additional costs). A big plus is that now you can use maternity capital to improve housing conditions (if, of course, you have it).

But there are also downsides to a mortgage loan. And there are a lot of them. First, the borrower must submit documents on high official wages (since the ratio of his income to the monthly payment on the loan should be approximately 3/1). And the down payment is quite an impressive amount..

After a positive response from the bank to the loan applied for within 3 months, it is necessary to find a property suitable for this agreement. In general, the mechanism for obtaining a mortgage loan is quite difficult..