It is clear that if you have a home loan to buy back to lower the interest rate, it is normally a deposit bank that should offer you the lowest nominal rate.
First, it should be your bank, that is to say the one that has granted you the mortgage loan that should offer you the best conditions, starting with the rate, at least if it is to keep your customers. Indeed, in the context of a renegotiation of real estate credit “in the terms of the contract”, it will not apply any compensation for early repayment and there will be no notary fees to provide. In addition, the fees should be reduced.
This should be ideal.
But the commercial policies of banks have their reasons that reason does not know.
So, if your bank does not offer you the best APRT – it’s him the real justice of the peace and not the base rate or “nominal” that does not take into account the expenses nor, especially, the insurance-borrower- then Real Estate, that is, prepaying yours with a new, more competitive loan.
In the latter case, you will have to ensure, thanks to Real Estate, that the difference in interest rates between the two loans makes it possible to generate a real saving on the total cost of credit given the various costs associated with the loan.
In any case, the comparison, in this case, is easy. The new loan being subscribed for the remaining term of the one it replaces, it is sufficient to multiply the amount of the monthly payment of each one by this identical duration (in months) and to compare the results obtained.
Does the Broker Offer Benefits?
Not in the context of a renegotiation of real estate loan “in the terms of the contract”, that is to say with your bank.
On the other hand, for a real estate, the broker offers many advantages since not only it will compete for you among the best banks on the market, but it will take care of the steps and formalities for you. He is paid by the bank that will make the loan. In other words, if he does not find you a mortgage on better terms than yours, you will not need him.
It is not without reason that brokers of real estate are experiencing a boom in France in recent years.
And in case I have other credits to buy back in addition to real estate?
It’s not about the same operation at all.
The one or more home loans and various consumer loans is realized by means of a restructuring loan, mortgage or not.
Even if, according to the Consumer Code, this transaction is classified insofar as it relates to at least two previous claims with at least one credit and consolidates for at least 60% of its total amount a home loan, it is practiced only by certain banks and specialized credit institutions.
The criteria are not the same as a loan renegotiation real estate hard.
The relative complexity of such an operation, which is a specific banking technique, as well as the knowledge of the players in this market and especially their criteria, fully justifies the use of an independent professional specialized in the financial restructuring of individuals. It is an intermediary in banking operations and payment services.