Buy a home: Preparing for your research

To prepare a real estate purchase is first to take the time to ask yourself some essential questions. Starting with: what will I do with my property? Is this an accommodation you want to keep, for example to spend your retirement, or to expand your wealth, for example by renting it?

Gradually, a specific idea of the housing you want to acquire will emerge, with a geographical area, a living space and the desired options (garden, full foot, swimming pool, guest room, proximity to shops or public transportation …). This will allow you to narrow down your searches, and thus save your efforts.

You will then have to consult your finances, with regard to the prices practiced on the market … With your bank, you will have to define your capacity of loan, and also especially your capacities of future repayment, so that this purchase does not alter your quality of life.

It is estimated at 33% the maximum share that is reasonable to have in debt in relation to its income. It is therefore necessary to take stock of the credits already in progress that your budget must bear. A zero-interest loan (possibly corroborated by an “APL”, personalized housing assistance), or a social housing loan can help the first acquisitions, provided they meet the conditions. A home savings account or plan can be activated if it has been in possession for at least four years. A loan agreement is granted without conditions of resources but on the condition of living in the housing for one year after the purchase.

Finally, it will be necessary to take out insurance for the loan (not necessarily that of the bank that gives you credit). Its cost will be added to that of the repayment of the loan. And finally, do not forget in these calculations the notary fees, which amount to about 3% of the purchase price in the new but about 7.5% of the purchase price in the old.

At this stage, you will have a precise vision of the extent of possibilities. All you have to do is find the rare pearl!

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