Thousands of French property owner’s who were approved for a mortgage last year would NOT qualify for the same mortgage again this year according to this article in French in LeFigaro.
200 000 French property home owners of the 1 200 000 who obtained French property mortgages last year (that is not a small portion of the new French property owners) would not get the credit they got if they applied again this year and the reason why they would not qualify one year later is because their qualification was so tight last year that with the small increase in mortgage rates makes them not qualifed this year.
This is a big risk to take to purchase a property so close to one’s maximum power to purchase.
One of the recommendations in the article is to make sure that you have a larger down payment to reduce the amount of the mortgage you are using to buy your French property, a simple but effective way to protect yourself again rising interest rates.
In addition, buying a less expensive French property can also reduce the likelihood of you being financially stretched.
Remember, it is important to not spend too much on your French real estate purchase so that it does not become a stressful ownership experience.
Continue reading “200 000 French home owners would not get credit”
