Common Delusions
Often when buying a flat on credit people think that it’s still the bank’s property, before the total credit repayment takes place. This is not true. Any real estate object becomes one’s property at the moment of flat purchase and only after that it is to be hypothecated. This means that owners can’t sell, remortgage, present their housing or make any other arrangements without the bank’s awareness or unless all the obligations are fulfilled. As for the rest, including residence permit, one is a full owner of the mortgaged accommodation. At least, for the time one is a good faith credit payer.
Some problems can arise in case you’d like to register people who are not indicated in your contract with the bank. But even in this case you have a right of appeal to the court.
You should better not get tempted by very low monthly interest rates. Keep in mind that there are different payment types. Advertisements offering 7% yearly interest rates at the beginning of mortgage loan borrowing can finally cost you a pretty penny highly, exceeding the one you expect.
One should also keep in mind that getting a credit is a serious obligation. That’s why debtors should not overestimate their financial opportunities.
It’s also important to follow the bank’s advice. In fact, it assists in all the paperwork as well as in accurate payment settling.
And one more thing… Any potential borrower must be prepared to bear extra costs, which as a rule are announced only at the moment of credit contract signing.