Due to the gradual increase in housing prices, it has become more and more common for people to demand loans for land title housing or the house under construction.
In this context, a loan can be drawn for the house under construction, what details should be known about this process and derivative issues will be useful.
Credit for the House Under Construction
People who want to take home loans must meet certain conditions in order to benefit from this opportunity. In this context, before making a loan application, it is necessary to do some researches not only about interest or profit share rates but also about the house where the loan will be allocated.
Whether consumers can use credit for the house under construction is an open-ended, specific situation. At the request of consumers who want to take credit for the house under construction, the banks send an expert to the relevant residence and request an examination of the house.
After examining the house in question, expert analyzes the degree of construction and scoring accordingly. Most banks allocate loans for 80% of finished housing in the expert report, that is, if at least 80% of the housing is not finished, it is very difficult to get a loan for the related house. But there are some exceptions.
Withdrawals for Housing Projects
If the house to be purchased is included in a construction project and the construction company implementing the related project has an agreement with any bank branch, then it may be possible to be subject to credit, regardless of how much the houses are completed.
Therefore, before purchasing a house, it is necessary to discuss with the project owner whether or not there will be a loan in the house, and if possible, apply for a loan through the contracted bank branch. The most important detail to know about the subject is that the agreement can only cover one bank branch.
In other words, while a negative response can be received for the application made to the bank branch in the district A, a positive response can be obtained for the application made to the bank branch in the district B.
Documents to be Supplied in the Construction Process
There are also some documents that must be provided when a loan is used for a residential building. These documents are:
- Zoning status document,
- Municipal project approval document,
- Building license,
- Above-foundation license,
- Document showing the land shares,
- Floor easement,
- Housing permit,
- It can be listed as various documents that are specific to the situation.
Land Title Housing Loan
If a loan will be used for a house with a land title deed, the mortgage application is rejected due to the fact that the relevant house cannot be mortgaged. Banks demand that the house, which must be mortgaged due to the housing loan, has a title deed, and therefore requests housing title.
Housing Loan Terms
Consumers who want to take home loans must meet certain conditions, and the most important criterion among these conditions is the credit rating.
It is not preferred by the bank that consumers with low credit ratings sign a long term debt contract. In addition, regular income, housing should be suitable for credit, consent of the spouse are among the conditions that must be met.