Where is the best place to get a mortgage?

One of the main tasks set by the citizens of the Russian Federation is the solution of the housing problem. The cost of real estate in the primary and secondary markets is constantly growing, especially in large cities. And it's not worth talking about such megacities as Moscow and St. Petersburg, here prices for only one square meter of housing reach astronomical indicators. But you still need to acquire your own real estate someday, you don’t have to hang around in rented apartments all your life. Which bank is more profitable to take a mortgage to buy an apartment?

Saving up for 20 years to buy your own home is a very difficult and time-consuming task, and taking into account the fact that real estate becomes more expensive every year, it is also useless, because in 10-15 years the amount for which you could buy an apartment today , can only suffice for a few square meters. Therefore, if you have already managed to save a certain amount, you have a stable job and a good income, then it's time to think about buying real estate with a mortgage.

With the development of mortgage offers in banks, the proportion of people who can afford to purchase housing has increased. Today, banks offer various types of mortgage programs for their potential clients. Since a mortgage involves a long-term business relationship between a credit institution and a borrower, the solution of the problem of where to get a mortgage should be taken with great attention and responsibility.

The decision you make largely determines how convenient and profitable it will be for you to pay for a mortgage loan. Therefore, the borrower has a completely logical question: "Where is it profitable to get a mortgage?". Russian banks offer a lot of mortgage solutions. But how not to make a mistake and make a really right and profitable choice? It depends on what exactly you mean by "profitable".

Where is the best place to get a mortgage?

On the one hand, a mortgage is a great way to solve the housing problem, but on the other hand, it is a very responsible step that imposes a lot of encumbrances and obligations on the borrower. Despite all the pros and cons of a mortgage, in our time it is the only reasonably justified loan. Judge for yourself: real estate will only rise in price, and by paying off a loan for a mortgage, you will not only not lose money, but you can also earn money by selling an apartment.

Russian banks are ready to provide a variety of mortgage programs for a period of 1 to 30 years. Natural questions arise, and which bank has better loan programs, where is it more profitable to get a mortgage, is there a profitable mortgage at all? These issues are especially relevant in large cities, where banks have a lot of potential customers, and competition between lenders and even between consultants in the same bank is quite high. Therefore, it is important to choose the institution with which it will be better and more profitable for you to cooperate.
Where is the best place to get a mortgage? The concept of the word “beneficial” is different for everyone. For example, for someone it is more important to quickly repay the loan so as not to overpay interest. For such borrowers, it is better to take a home loan from a bank that offers a minimum interest rate. However, it should be said that all mortgage programs provide for the so-called "annuity debt repayment option." This means that the real interest rate on the loan will be slightly higher than in advertising. Do not forget about a variety of bank commissions, state registration of insurance and other associated costs.

Therefore, having decided to take a mortgage, at the same time the most “profitable”, you need to focus not on the low interest rate advertised in any bank, but rather pay attention to the full cost of the loan. The actual cost of the loan must be calculated at the bank and provided to the borrower before signing a mortgage, loan and other agreements. Only after a full calculation is it worth considering whether to take a loan from this bank or look for a better offer.

What to look for when choosing a bank?

There are many significant conditions that should be considered when choosing a creditor bank. When deciding which financial institution to take a mortgage, pay special attention to the following criteria:

• Minimum down payment is a very important parameter. Today it is very difficult to find a bank where you can take a mortgage with a 10% down payment. Most credit organizations offer a down payment rate of 20% of the value of the property. And some financial institutions generally require a 30% minimum down payment.

However, not everyone can lay out such an amount at once. Therefore, if you are limited in funds, then choose a mortgage loan from a bank with a minimum interest rate on the first installment. 10% rates can be found at Sberbank (Mortgage for a Young Family program), Petrokomerets, Admiralteisky, Globexbank, Metallinvest, etc.

• Real estate requirements is another important criterion. Since a mortgage is taken specifically for the purchase of real estate, it is extremely important to choose the lender who will issue a loan for the purchase of an apartment. That is, you need to choose exactly the bank that will accept the property chosen by the borrower as collateral without any problems.

In the description of the mortgage lending program, there is always information about what requirements the bank puts forward for real estate. For example, not every lender agrees to issue money for construction or secondary housing. In this regard, the European Trust Bank, My Bank, Pushkino, which agree to issue a loan for a mortgage on a secondary housing, are better suited.

• Processing speed. It is very important for someone to get a loan as soon as possible. However, you will have to upset the borrower who wants to do everything quickly, since almost all banks have the same requirements for a package of documents and the terms for considering an application from a client, which, as a rule, take about 30 days. And if the potential borrower is also the owner of the business, then this is an additional few days.

Of course, lenders can fulfill any whim for your money. For example, to significantly speed up the process, but at the same time, the requirements for the minimum down payment will increase to 50%, and the loan rate will double. The most advantageous offer for a quick mortgage and VTB 24.

• Interest rate is one of the most important parameters. The interest rate on the loan determines exactly how much you have to pay each month, and how much more you will overpay in the end. We note right away: it is “followed” by advertising promising a low interest rate of 7.65% - 8.9%.

As a rule, such a rate is given only for the first year of the loan, and for the second and subsequent years it increases sharply. Therefore, carefully read the contract, and it is better to choose a bank with an average interest rate: from 9% to 12% per annum. The budget version of the mortgage from VTB-24, Sberbank, ITB, Rosenergo.

• Special programs. Sometimes there are cases when some financial institutions offer certain categories of citizens special preferential lending conditions. Most often, these are state programs and subsidies, such as “Maternity Capital for Mortgages”, “Mortgage for a Young Family”, etc. Such persons can take out a mortgage loan, receiving a number of benefits.

For example, Sberbank offers a reduced down payment for a young family. By finding similar preferential programs from other banks, you can save a lot. Thus, a number of credit organizations such as Pushkino, Admiralteisky, ITB offer happy parents of the second and subsequent children to use maternity capital to obtain a mortgage. A special advantage is given to clients who receive their wages in the bank in which they wish to apply for a mortgage.

• Loan amount and term. Although the amount of the loan is not the main priority when choosing a lender, this parameter will affect the decision of the borrower if the size of his savings is very limited. The term of the loan is, of course, very important, because the longer the term, the easier it is to repay the loan, because with a long term, the amount of monthly payments is noticeably lower than with a short one.

The following banks offer the longest loan terms: ITB, Sberbank, Eurotrust, My Bank, Rosenergo, RIB, AHML - 30 years, VTB-24, Uralsib, Admiralteisky - 20 years. It should be noted that a longer loan term increases the amount of the final overpayment.