The global analysis of the study department of the bank alone makes it possible to determine whether or not you can obtain a real estate loan without having a personal contribution.
Define the personal contribution
If we stick to a simple definition, it is the capital available to the borrower to carry out his real estate project. In terms of funding, it is different. In fact, some banks count certain accession subsidies such as the zero-plus loan or the employer loan in calculating the personal contribution .
Some of them, on the other hand, count only the capital actually available to the borrower. In this case, it will be necessary to check if the calculation is carried out without expenses of notary or is based on the total cost of the project, expenses included included, these two notions not giving the same results.
Example of assessment of the contribution
|Notary fees||Capital of the borrower||
% contribution on purchase price
% contribution on total cost of operation
|250,000 €||€ 17,500||€ 10,000||4%||3.7|
Elements of the global analysis
Keep in mind that a bank’s engagements department sifts through every element of your claim. Without giving you an overall score, each of them will count in the decision.
That one point is unfavorable to you will not prevent you from buying your home.
If however several elements play against you, it is likely that you will face a refusal and you will have to postpone your real estate project .
The good performance of your bank accounts will depend in part on the final decision. If your statements are satisfactory, that is, if you are a regular creditor, the bank will be reassured about your ability to keep a budget.
A good management of your accounts is therefore a definite plus for your loan application, especially for those who have no personal contribution.
Releases of samples
If you have had sample rejections, there are two possibilities for you. Either the analysis determines that it is an isolated incident or these incidents are repeated and you are almost certain to encounter a loan refusal. You will have to postpone your real estate project
The debt ratio
The rate normally accepted for a debt ratio is of the order of 33% but there is some tolerance and this rule is not as strict. Indeed, the loan organizations agree to go up to 34 or 35% .
Feel free to use our simulation tool to calculate the debt ratio in your situation.
The rest to live
The study of the rest to live is directly linked to that of the debt ratio. The bank reconciles these two indicators to calculate your ability to borrow. This is all the more important as your application for a mortgage is made without any personal contribution.
For example, for a given monthly payment of 600 €, the bank will not provide the same answer to a couple of borrowers with 4 dependent children whose remaining amount is barely 1200 € to a single borrower without no dependent child, the rest of which is more than 3000 €.
These are probably extreme cases, but show that the banking analysis of credit is always finer than we think.
You must provide the last three months of salary to enable the bank to verify your professional income. But beyond the resources themselves, it is the stability and security of employment that interests them. It is better to have a permanent contract to obtain financing.
In the case of a couple of buyers, it will be necessary for one of the co-borrowers to have a contract of indefinite duration.