Which bank to take a mortgage? Which bank has the lowest mortgage rate?

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Mortgage loans are in demand among a large number of citizens who cannot independently accumulate the required amount to purchase residential real estate. Such loans are offered by a large number of different banks that have almost the same requirements for potential borrowers. But still there are some significant differences, so every person planning to buy a home with borrowed funds, the question arises of which bank to take a mortgage. To do this, you need to focus not only on the interest rate, but also on other significant parameters.

Which mortgage is considered profitable?

When choosing the optimal banking program, you need to remember about the different parameters of loans. Not always a low interest rate is the main characteristic, since banks can charge different fees from borrowers, which significantly increase the overpayment.

Benefits can vary greatly from person to person. For example, some citizens expect a low overpayment, while others will benefit from a loan with a low monthlypayment, so they want to take out a loan for a long period of time.

Therefore, before signing a loan agreement, you should evaluate all the conditions of the proposed document. Particular attention is paid to the text written in small print and located at the bottom of each page. This is where the most important information for borrowers often resides.

Which bank to take a mortgage?

This type of loan is offered by many large and small banking institutions. When choosing a specific organization in which a mortgage will be issued, it is important to take into account different parameters.

You should evaluate the proposed interest rate, the size of the down payment and the basic requirements for customers. There are several banking institutions that offer favorable conditions for their customers. These include Sberbank, Rosselkhozbank, Raiffeisenbank or Promsvyazbank.

Sberbank

If a person thinks about which bank is profitable to take a mortgage, then he most often turns to Sberbank. The features of cooperation with this banking institution include:

• Sberbank offers its borrowers the opportunity to take advantage of various government programs, so people can get a military mortgage or use maternity capital;
• interest rate starts at 9.1%;
• down payment is 15% of the cost of the selected property;
• borrower must have at least 6 months of official work experience;
• citizens can get a mortgage from21;
• if a client is a regular customer of a banking institution, therefore he receives a salary on a Sberbank card, then he can count on a reduction in the interest rate by 0.5%;
• to obtain a large loan, you will have to purchase insurance, and if the borrower refuses to purchase it, the interest rate increases by 1%;
• if you use the government program offered for young families, the rate will be 8.6%, which is beneficial for all young people who need their own housing.

If people are thinking about which bank to take a mortgage, then often it is the appeal to Sberbank that is the most relevant decision. It is especially advantageous to contact this bank when using various government programs. But if a person is counting on a mortgage at Sberbank without a down payment, then he will have to prepare for a high interest rate and the need to attract guarantors and co-borrowers.

Raiffeisenbank

In this bank, the interest rate starts from 10, 99%. Mortgages are issued to people with official work experience of three months or more. Down payment is 15%

People aged 21 to 65 can apply for a loan. The disadvantage of contacting this organization is the absence of a large number of branches in different cities of Russia. Each borrower may have individual requirements, which should be studied in advance.

Gazprombank

Funds are issued at a ratefrom 10%, but the down payment must exceed 20% of the value of the selected object. Most often, this bank is chosen by people who work in Gazprom branches, as they can count on the lowest interest rate among all banks in Russia. Mortgage interest for them is reduced by 1%, and the amount of the down payment is also reduced.

Borrowers can be persons from 21 to 60 years old.

Rosselkhozbank

This bank offers a mortgage at a rate of 10, 25% and with a down payment of 15%. The institution often becomes a participant in various government programs, so if people meet the requirements of the law, then they can count on a reduction in the interest rate.

It is important to contact this institution for people who are regular customers of the bank.

Promsvyazbank

They are offered a rate of 11.75%, which is not very profitable compared to the offers of other banks. However, no additional fees are charged. A down payment of 20% is required, and the age of the borrower must not exceed 65 years at the time of loan repayment.

To apply for a loan, it is required that the borrower has officially worked in any company for at least 4 months.

Tinkoff

Mortgages are offered even in Tinkoff Bank, and the interest rate starts from 8.25%. The bank offers the possibility of refinancing a loan, as well as obtaining a mortgage with state support or withusing mother capital.

The disadvantage of applying to this institution is the lack of branches, so you will have to repay a large housing loan through branches and ATMs of partner banks.

Which bank is the best place to get a mortgage?

There are several banks offering fairly favorable terms. It is important to focus on different requirements so that buying a home with borrowed funds is really profitable. Which bank has the lowest mortgage rate? The low rate is offered by Sberbank and Rosselkhozbank.

But if a person applies to another bank, in which he is a salary and regular customer, then he can count on a significant reduction in the rate. Therefore, before applying for a loan, you should evaluate the offers of different banks in order to choose the best option.

When is it advisable to cancel a purchase?

Sometimes, when choosing the best banking institution, people think about which banks you should not take a mortgage from. It is not recommended to apply to new and small organizations that may soon go bankrupt. They often violate the requirements of the law, so they lose their license to operate.

It is advisable to refuse to cooperate with banks whose services the borrowers have not used before. In this case, it is impossible to count on a reduced interest rate. Before signing a loan agreement, you need to read reviews about banks. A mortgage is a large loan that has to be repaid inover a long period of time. Therefore, the choice of a banking institution should be taken responsibly.

What factors should I pay attention to?

When choosing the best option, the following parameters are taken into account:

• rules for calculating the interest rate, since it can be fixed or floating, and when participating in government programs, a single rate is usually used for the entire loan period;
• the amount of the down payment, since the less funds the borrower contributes, the higher the overpayment will be;
• requirements for the borrower, consisting in the period of official employment of a citizen, his age, earnings and marital status;
• the amount of bank commission that can be charged for money transfer, transaction support or other services, about which borrowers are often not even warned in advance;
• the need to take out several insurance policies, and if the borrower refuses to buy insurance already in the process of repaying the loan, this leads to an increase in the interest rate;
• loan term, which usually does not exceed 30 years.

After studying these parameters, each person will be able to understand in which bank to take a mortgage in order to get the most favorable conditions. It is advisable to choose several banks to which applications are submitted. Based on the answers you receive, you can make the right decision.

Advice to citizens

When choosing a bank,in which the mortgage will be issued, it is advisable to adhere to the following rules:

• not only the interest rate is estimated, but also additional commissions;
• you should first choose the immediate real estate and decide how much money you can make as a down payment;
• it is advisable to evaluate all the proposed government programs, since if borrowers meet their conditions, you can count on receiving preferential lending conditions;
• it is advisable to request an extract from the BCI to find out about your credit history, because if it is spoiled by past due loans, then large and reliable banks will refuse to issue borrowed funds;
• It is recommended to analyze several mortgage offers in order to choose the most profitable option.

If a mortgage is issued at Sberbank without a down payment, then you need to prepare for a significant overpayment. Often, banks without the absence of an investment on the part of the borrower require the pledge of not only the purchased object, but also other property.

Conclusion

Mortgages are issued by many banking institutions that have different requirements for their customers. When choosing a particular option, various factors are taken into account, which include the interest rate, different commissions, the loan term and the amount of the down payment.

Applying such a large loan is considered risky for every person, so you need toevaluate your financial condition and choose a bank responsibly.