he USDA mortgage loan or is a bank loan secured by one or more property (s) of which the borrower is the owner.
It can be set up for the purchase of a new property as an investment in the old ( primary , secondary or rental residence and in several forms: offices, house, apartment, apartment building or commercial walls ) .
The property must belong in the name of the borrower, or belong to a SCI (the SI or not, if the latter is the borrower).
The solidarity and USDA mortgage loan guarantee of an SCI is not accepted: the SCI is not intended to stand surety even simply mortgage for personal projects of third parties (even the associates of said SCI)
The mortgage ensures the bank to recover the entire loan amount in case of default of the borrower. The bank will
then seize and sell the property to repay the loan initially incurred by the owner.
Who can benefit from a USDA mortgage loan ?
This is a solution that is often put in place when the borrower is in financial difficulty. We also find it when a client holding an inheritance essentially real estate wants to recover liquidities without forselling his / her biens.She is open to the greatest number:
- Shopkeeper or craftsman
What is the amount and duration of a mortgage?
The amount of a mortgage loan is determined by the appraisal of the value of the real estate assets. It is between 50 and 70% of the value of the property , so this amount is restricted
A maximum duration understood by the Banks between 12 and 20 years for a amortisable credit. It is adjusted to the borrower’s income. Thus, the debt ratio is adapted to its repayment capacity but the end of the credit must be completed before the borrower’s 90 years.
What are the benefits of USDA mortgage loan credit?
The mortgage cash loan can finance a real estate purchase when no conventional financing has been granted
It allows to buy a property even for the elderly
No loan insurance is required. You can, however, subscribe to a personal insurance if you wish. The insurance to which you have subscribed will not be assigned to the credit.
No domiciliation of income or demand for investments-If the borrower has only property income, no retirement, no professional activity: this is not a problem and the calculation of the consideration of property income will be more advantageous.
Make an acquisition for an SCI subject to the IS
Acquire a property for children’s studies and later rent it or make a donation.
What are the specificities of the USDA mortgage loan ?
In the case where the borrower is not the sole owner of the property he wishes to give as collateral, it will be necessary for all the owners to bare ownership or usufruct will take mortgage bonds