Personal loan or mortgage?

Should I choose for a single person loan or an immo credit to finance a real estate purchase? What are the differences between these two types of loans? hearts queen answers you.

It is very tempting to use a single person loan rather than a home loan to buy your home. Having one’s home is the dream of almost every household, but given real estate prices and difficulties in obtaining financing, it is not always easy to achieve. The parade could be in the flexibility and simplicity of the single person loan . Unfortunately, it’s almost impossible.

single person loan : perfect for everyday consumption

single person loan : perfect for everyday consumption

The single person loan is a financing solution tailored to the household’s current consumption needs: buy a car, go on a trip, change kitchen appliances, replace windows, build a veranda, equip a home cinema … Everything is possible.

The amounts of the single person loan are also adapted to each project. For a work loan, for example, you can borrow up to 75,000 euros. For a pure, unspecified single person loan , most credit institutions lend up to 8,000 euros.

In both cases, the amount is too small to consider buying a home. The single person loan is not tailored for real estate.

Real Estate Loan: Designed to Last

Real Estate Loan: Designed to Last

Buying an apartment or house with a mortgage is often synonymous with commitment over time. This is precisely the interest of real estate credit: its repayment period can be up to 30 years (under certain conditions) and therefore allows the borrowing of a high amount, in line with the market prices of the property. ‘immovable.

In addition, mortgage rates are adapted to their duration and do not exceed a certain ceiling. These rates are fixed, revisable or variable to adapt to changing economic conditions over the next 15 or 20 years.

So do not confuse mortgage and single person loan , two financing solutions that have their respective objects.

Also find our advice on other types of loans:

  • single person loan or revolving credit?
  • single person loan or auto loan?
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