Special purpose and non-purpose mortgage loan
A mortgage, or more accurately a mortgage loan, is a long-term loan that is often used to buy apartments or houses. You can also use the mortgage to finance other real estate needs. A mortgage loan is always secured by a lien on a property, it does not always have to be the property for which you want to use the money from the mortgage loan. A special-purpose and non-purpose mortgage is available on our market. Some types of mortgage loans are provided even without proof of income, so everything depends on the price of the built-up property. Some financial institutions that provide you with money do not even look at whether you will be able to repay the loan when approving the mortgage.
Purposes of a mortgage loan
The most common situation for which a mortgage loan is provided is certainly the purchase of real estate for housing, ie for an apartment or house. You can also use some mortgage loans to buy real estate that is not intended directly for housing, ie recreational real estate such as a cottage or cottage. A mortgage loan can also be used to buy land on which you want to build your own house or other real estate.
Other purposes of providing a mortgage are reconstruction, reconstruction, construction or completion or rental of real estate. Settlement of inheritance or joint property of spouses or other property settlement. You can also use the money you get through a mortgage loan to finance a current mortgage, ie to refinance a mortgage.
Every citizen of the country, foreigners with permanent or temporary residence in the country, or a natural person can apply for a mortgage loan. Employed persons over 18 years of age. More than one person can apply for one mortgage loan, for example parents and children, spouses, etc. However, the maximum number of applicants for one loan is limited to four people. More applicants for one mortgage loan will make it possible to obtain a higher mortgage, because the income enters into the approval. You can take out a mortgage loan at any bank or building society that offers a mortgage loan, or even from various intermediaries, such as real estate agents or financial advisors.
Banks also provide clients with non-purpose loans for which real estate is guaranteed. In such a case, the bank will transfer the money to your account and it is up to you how you use the money. However, securing a lien on real estate is a condition for granting a loan.