The first step is to choose the property you want to buy. This must of course be in your budget. In order to calculate it quickly, it is important first of all to know if you want to finance your home via a credit, and if this is the case use a housing credit simulator to compare offers. In order to answer the question “How much can I borrow for a house?”, You can do the following things:
- Consult your bank to perform a simulation that will allow you to define your borrowing capacity;
- Inquire with a broker for neutral, free advice;
- Compare the offers on TopCompare.be to find out if you are eligible for a housing loan and consult free offers on the market, which will be generated according to your personal criteria.
Financing your property
The maximum amount you can borrow on a housing loan is determined on the basis of a number of criteria, such as:
- Your net annual income;
- If you want to buy the house alone or with a partner;
- If you have other monthly obligations, such as a debt you already have to pay or rent that you still have to pay.
These criteria may vary from one bank to another. Use a housing credit simulator to get an overview of the offers. With a mortgage calculator you can also get an idea of the amount to borrow. If you know how much you can borrow to finance your property, you can set your budget yourself. If you also plan to use your savings for the purchase of your home, you can add them to the maximum amount of your home loan to know your total budget. On the basis of this budget, you are finally able to search for the accommodation of your dreams.
However, keep in mind that there are other costs associated with the purchase price, such as notary fees, appraisal fees, registration fees, to name a few. These costs must often be paid out of pocket and are therefore the sole responsibility of the buyer. These costs, generally corresponding to between 6% and 12% of the expenses relating to the purchase of your property, must therefore be included in your calculation to be included in the housing credit simulator which will define the final amount to be borrowed.
Other criteria to consider
When looking for your new home, do not forget the question of location. How far is it from your workplace, how much does it cost you to travel every day, and does this cost fit your personal budget? Similarly, depending on the region in which you plan to settle, registration fees will vary. It is also important to know if you plan to renovate. A new home, that is to say, a house ceded no later than December 31 of the second year following the year in which the first occupancy (or the first use) takes place, generally involves a rate of 21% VAT on the purchase price. In return, the advantage is that you do not need to renovate anything.
If you had a crush on an old building that you see you already renovate to your taste, it will be necessary to evaluate the cost of the adjustments to make. It is also possible to integrate these expenses into your mortgage when you calculate it using a mortgage credit calculator. Otherwise, if the work can wait, consider consulting the home improvement loan offers. After identifying your dream home, as well as the various costs associated with its purchase, it is important to organize several visits at different times of the day, before moving on to the next step!