The Ministry of the Economy has issued a new ordinance providing information on the domiciliation of income in the context of a mortgage. This measure comes to renovate once again the mortgage credit agreements.
A mortgage is a loan secured by a mortgage. This loan may be intended to buy real estate, but it can also be used to finance many projects, renovations in your home, the purchase of a new vehicle, the financing of a trip. It is therefore an unallocated loan, unlike real estate credit. There are several formulas of this loan, so how to choose the ones that suits you?
A new mortgage credit contract is emerging
A new mortgage lending contract has been emerging for a few years now. Bruno Le Maire, Minister of the Economy has presented a new ordinance on this subject. As of January 1, 2018 , the mortgage will change in its contract, indeed, the banks will no longer be able to force the borrower to house all his salaries over a period of more than 10 years in exchange for obtaining a home loan.
Previously, the borrower had to agree to domicile his income in his lending bank to obtain a rate negotiation or simply to obtain his mortgage, for an indefinite period. From now on, domiciliation will no longer be a central point for lending banks.
An increasingly flexible loan contract
This order of the Ministry of the Economy provides that:
When the amendments to the initial credit agreement relate to “domiciliation of income” the endorsement mentions this condition, its duration, if any, the costs of maintaining the account on which wages and similar income are domiciled, the nature of the individualized advantage granted in return by the lender and the conditions, rates or other
This new amended loan agreement echoes a set of measures that make the mortgage lending more flexible.
The Hamon law allowed in 2014 allow the borrower to change insurance when they wanted, the law Sapin 2 came to extend this right and in 2018, individuals who have subscribed to a mortgage can change insurance on each date anniversary of the contract. All this with the aim of achieving savings.