it’s a good time to negotiate

Rates are falling, the real estate market is struggling to recover, and banks are looking for new customers. This is a good time to bring in the competition. Details from Fanny Guinochet.

Something new for real estate credit, you have to see that rates are falling. The real estate market is having difficulty restarting. Banks are therefore actually looking for new customers.

franceinfo: If you are a borrower for your future home, is now the time to put forward your arguments?

Fanny Guinochet: And yes, because the banks are starting to reopen the credit tap. So go ahead and don’t be shy. So, provided you have an admissible file, that is to say you are solvent, obviously, this is a prerequisite. Of course, the file selection criteria vary from one bank to another and they are not always very transparent. But what matters is obviously your income, your age and your contribution rate.

Is the intake rate important?

It is even essential. Savings can really help you at the moment to obtain attractive conditions because it reassures the banks. This already shows that you are a good manager, capable of having small savings.

And then, for real estate loans on average, you should know that banks require a personal contribution corresponding at least to the amount of notary fees, to which you must often add 10% of the price of the property. And then savings are a very good negotiating point because establishments can ask you to place your savings accounts and your life insurance with them.

The advice is obviously to bring in competition, more than ever?

At the moment, the banks are on the lookout, as the real estate market is still very wait-and-see. So, keep in mind that it is not necessarily your bank that will make you the best offer. Even if you’ve been with her for more than ten years. So of course, having a good file is important, but also know how to highlight the advantages of your home, or finally the one you want to buy.

Because the banks are currently looking at this type of project for which you are asking them. Many banks offer, for example, loans at subsidized rates, that is to say at lower rates, by encouraging the purchase of energy-efficient goods.

So, it all depends on the energy performance diagnosis or even the renovation work that you agree to carry out, if you become the lucky owner. So go ahead, take good care of your file in that regard.