If you are unable to make a personal contribution during a real estate purchase, there is a good chance that you will turn to the total loan. Also called mortgage credit 125, this formula is becoming more and more popular with lenders. However, loan offers are not the same everywhere, hence the interest of total loan simulators. We tell you everything.
Simulation for total mortgage credit
If you’ve never heard of it, this is an online tool that lets you know in advance the total amount of your home loan. It informs you about the monthly payments that you must pay in order to settle your debts. To prove the authenticity of the calculations, the cost of all necessary fees will also be displayed. Thus, this simulation allows you to prepare financially and therefore helps you to better manage your budget.
But that’s not all. Be aware that when the quota is considerable, the financial institution takes more risk. As a result, the interest rate will have to rise. By using a total loan simulator, you will be able to change the cost of the mortgage in order to have a lower rate.
The simulation for loan 125 is done without any commitment on your part and is completely free.
Reminder: the credit ratio is a percentage which is calculated according to the sum of the loan and the value of the property acquired.
What is the basis of online simulators?
In order to have a good approximation of the monthly payments to be paid, these machines must consider 5 essential criteria, which are:
- The price of the property
- The period of the loan. The total mortgage can last for 10 years, just as it can reach the 30-year or 360-month mark.
- The region where the house is located (Flanders, Brussels or Wallonia)
- The registration fee which is simply a tax law. It depends on the sale price and the charges.
- The abatement. It is possible to reduce the tax base thanks to that.
What are the results of a total loan simulation?
As said above, not only does it help you determine the monthly payment of your mortgage, but also the cost of miscellaneous fees. Among these are:
- The notary’s fees
- Insurance costs
- Expenses related to the preparation of the file
- The duration of the credit
- Expert fees
How to use the loan simulator 125?
Now that you know how this instrument works, it’s time to get started. Do not panic, its use is within the reach of everyone. In fact, you just need to click a few times to bring up results: a form is already ready with the 5 criteria that you saw previously. You will complete it according to the information you have. After entering your data, you can press the launch button. In just a few seconds, you will get answers.
Good to know: do not hesitate to try different information in order to obtain new results. By doing this, you get closer to the offer that best suits your needs.