Across Lender: Starters prefer not to borrow the maximum amount

Lender Across Lender has announced, following a recently conducted survey, that two thirds of starters are not willing to take out a maximum mortgage. The survey was conducted among 600 potential buyers between the ages of 20 and 35.

Starters more aware of financial opportunities
Starters more aware of financial opportunities

The research that was carried out at the request of Across Lender itself revealed, among other things, that starters are more likely to look for a different home than to borrow the maximum mortgage amount for their dream home. Those who do not want another home tend to continue saving or seek alternative financing . In addition, the research also shows that many starters nowadays cannot purchase real estate without financial support from their parents.

Greater ownership
The financial support that many starters today receive from the family ensures that more and more use is made of a higher personal contribution. It is not surprising that an attempt is made to provide as much of their own financial resources as possible. In this way, starters will have to deal with lower monthly costs and in addition, the global cost of the mortgage loan remains limited.

Structural reduction of up to 100 percent
The maximum amount that can now be borrowed for the purchase of a home is set at 103 percent of the market value of the property. However, it is known that this rate will decrease by one percent annually until 2018. Ultimately, in 2018 it will only be possible to borrow the actual purchase value of the property. All extra costs will then have to be financed with own financial resources.

Better aware of financial opportunities
All participants in the study intend to purchase real estate within the two-year period. The poll revealed that starters are increasingly aware of their financial possibilities. No fewer than eight out of ten respondents indicated that they would look for a home based on the available financial resources. One in five respondents indicated that they would first visit a number of houses and only then study the various financing options.

Published April 7, 2015 at 12:38 pm by the editors .

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