Mortgage loan — target long-term loan for purchase of housing that becomes collateral for this loan. Also it can be a key to real estate available in the property from the borrower. For the first time the term «loan mortgage» appeared in Greece at the beginning of the VI century. It was the name of the debtor liable to the creditor when collateral is land. Mortgage rates are lower than for other banking products, but also the requirements for future borrowers higher: and to confirm the income and length of service. Often, as a condition of the loan, the bank puts mortgage insurance requirement, so maybe mortgage loan bad credit in this case. Usually it presented another requirement — the introduction of the borrower down payment, the amount of which varies from 10% to 30% of the purchase price, although the market there are programs and no down payment, and with an initial payment in the form of maternity capital.
Mortgage lending are:
— Accommodations — apartments, houses, cottages, villas, etc .;
— Buildings and structures of serving the social sphere;
— Commercial premises — offices, shopping centers, individual shops, restaurants and other facilities servicing business;
— Industrial facilities — warehouses, factory buildings and research institutions, power generation facilities, garages, and other industrial facilities.
In most cases, the mortgage agreement and pledge agreement are used in well-known bank lending to customers, what could be, for example, their own employees, or if there are additional guarantees and warranties.
The two sides are involved process of mortgage lending — the mortgagee or mortgagor and the lender or the borrower.
Between them is the mortgage agreement, which reflects: the amount of the mortgage loan, mortgage description of the object and its estimated value, the validity of the mortgage contract, the order and timing of debt payments on a mortgage loan, the rights and obligations of the parties. Mortgage agreement must necessarily be notarized and registered with the competent public authority.
Mortgage loan officer is employee, who works in bank and recommended application loans for approval. But on the Internet you can find mortgage loan calculator to save money on credit.
Mortgage lending in the coming years will be further developed, which cause a large flow of investment in housing will help to accelerate the solution of the housing problem. This is intended to facilitate an active government intervention in the consideration of the scope of the credit relationship with a view to facilitating the activities and interests of all participants in the mortgage for a speedy solution of the housing problem in the country.