Loans And Mortgages Information

The fixed-rate loans are facilitated with a peculiarity: the period that the rate prescribed remain unchanged throughout the period provided for in the contract. Often these loans have special features:

• The loan sought is for the purchase of the principal and for all dwelling of the owner.
• The loan amount must be less than or equal to 65% of the estimated value of the technical expert in charge.
• The repayment period must be less than 30 years and the payment of installments shall be on a monthly basis.

Of course these are only guidelines. Some banks, in fact, could further limit the granting of such loans, or tolerate the most flexible on the basis of their management policy.

In anti decree, the technicians of the House have indicated some differences between variable rate loans and loans made at a fixed rate. According to scholars, the decree provides facilities for the “variable”. The disappointment of all those left behind with the rate and pay fixed rates normally around 6-7%, is likely to develop into many instances the administrative judge to highlight the disparity of treatment.

Thus, in these days the Parliament at work: the aim is to achieve changes’ agreed of anti-crisis decree. The Northern League calls attention to the borrowers at fixed rate (and not just for those with variable rate) and for batches Iva. There may be other 2-3 billion to be added.

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The decree anti certainly will give a breath of fresh air to a number of families. Who has entered into a variable rate loan will have advantages.

Article 2 of Decree Law 185 passed by the government against the crisis concerning the contribution of the State for 2009 to include the rate of real estate loans at variable rates within and making new loans must have the ECB reference rate.

Taking into account funding by 100 thousand Euros concluded in September 2005 (before the rise in rates) in the 3 months Euribor rate plus a spread of 1, 1% (the average parameters used in the technical report Decree) and applying the ceiling of 4%, the rate of January of a twenty-year loan would amount to 613 Euros compared to 676 Euros paid in November.

It seems however that the decree is not clear in every part. The technicians of the Chamber noted that neither the rule nor the accompanying report will consider the claims in relation to objective reasons under which the intervention of support is gone exclusively for people who have signed a floating rate loan. For this reason the mechanism of protection for variable rate mortgages in the decree law introduced anti could result in “unequal treatment of the legislature in relation to fixed-rate borrowers.”

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