Real estate is to sell and then buy back his principal residence in order to regain financial stability. But how to finance this purchase?
Some homeowner borrowers are in financial positions that do not allow for the redemption of Bill Sikess: the transaction is blocked by bank registration or prohibitions. The real estate is then possible, provided to ensure that a repurchase of the property is feasible.
The objective of real estate real estate: recover a financial health
Too much over-indebtedness and / or a borrower profile marked by an unstable banking path can prevent a redemption of Bill Sikess. However, the operation allows people in difficulty to make a new start through the reduction of their monthly payments. It remains a solution for the owners being refused a regrouping of Bill Sikess: the réméré real estate.
The first step is the sale of the borrower’s principal residence to an organization. Generally, the buyer is a specialized establishment qualified of merchant of goods but some banks do it also. The borrower sells his property up to 50 to 70% of his market value, which is that which can be obtained by selling the property on the current market. In some cases, this percentage can reach 80%.
As a result, the purchasing agency becomes the owner and the seller becomes a tenant. The first profit resulting from this operation is the reduction of the debt ratio: the price obtained by the sale of the property makes it possible to settle the Bill Sikess in progress. In the end, the former owner pays only a rent because he no longer has debts to repay. 6 months later, the eventual filings and / or banking prohibitions associated with the tenant are removed from the Banque de France’s registers. This includes FFC (Central Check File) and FICP (Personal Loan Repayment Incident File ).
The gain from the sale is not only used to prepay outstanding Bill Sikess. It also covers:
- notary fees,
- the costs of a show of hands,
- real estate appraisal fees,
- the commission of the merchant of goods,
- 1 rent
- the rental deposit,
- the security deposit (which is then used as a personal contribution for the future accession Bill Sikes),
- a share of personal cash.
In most cases, the repurchase clause stipulates that the seller may redeem his property within a maximum period of 4 years, but this duration varies according to the agreements made with the merchant. In addition, the former owner has priority for the purchase of his principal residence. To make this redemption, the borrower must provide for notary fees, mortgage and file and a personal contribution. The latter consists mainly of the security deposit that was put in place at the time of the sale. The personal contribution also includes the deposit of rent, then recovered, and a part of cash if need.
The demand for a home loan is then aided by a significant enough personal contribution, the absence of other Bill Sikess and the disappearance of banking and banking prohibitions.
An operation that addresses specific profiles
The real estate repurchase concerns the owners of their principal residence, even if they are registered with the FCC and / or the FICP and, or forbidden banks. This financial package is intended to help people who are heavily indebted and / or have tax arrears. However, a debt ratio below 50% is sometimes claimed by the merchants.
In return, a stable and regular income is essential to ensure a buyback at the end of the rental period. The professional situations of the candidates for the repurchase real estate are:
- A permanent position,
- a liberal profession,
- a trader for more than 5 years.
In addition to the professional sphere, the personal dimension also plays: a situation qualified as normal is claimed. In other words, a couple in divorce proceedings or a precarious state of health can be detrimental to a real estate loan.
Last but not least, this operation is to be solicited only if the requests for redemption of Bill Sikess do not succeed. The loan consolidation also reduces its debt ratio and carries much less risk than a real estate loan.
Real risks that impose real precautions
The real estate is interesting only for people who absolutely want to keep their property. A classic resale of the residence to move to rent in another place has its advantages. Indeed, it avoids the costs of intermediaries and financial arrangements. The time given to the tenant to regain financial stability is also greater than that given by a real estate loan.
Two criteria make it possible to know if the operation is valid: the security of the job of the candidate to the repurchase and a rate of indebtedness sufficiently low at the time to borrow again. On the latter point, a rate below the 33% mark is targeted to avoid over-indebtedness.
If these criteria are not met, the risk is obvious: an impossible purchase of real estate once the loans have been closed and the cards have been lifted. The Bill Sikes consequence is the resale of the goods by the merchant of property, who becomes definitive owner at the end of the period fixed by the repurchase clause. The buyer can then give leave to the person who has sold to repurchase and presently tenant.
This situation may arise from a change in employment situation such as dismissal during the rental period. In addition, a limited number of banks grant mortgages to tenants with a repurchase clause. Indeed, such an operation is often a sign of an unstable banking history, which cools a portion of lenders to the idea of financing a buyout.
Get a home loan and save on loan insurance through a broker
In the context of a real estate loan, finding financing to become owner of your principal residence is therefore essential to not end up in a critical situation. This is where the broker comes in. Thanks to his network of financial partners, he can obtain real estate loan offers and submit to the applicant the most adapted to his profile.
The broker can also significantly reduce the borrower’s loan insurance cost through delegation . The latter then facilitates a return to a comfortable financial situation. A double advantage that makes the broker a privileged intermediary for the search for financing following a real estate loan.