Are you looking for a home loan up to € 50,000? In this article we show you the results of the simulations we did to the main banks in Portugal to realize which would be the most competitive bank.
For this, we used the Housing Credit simulator of the banks’ websites. In the end we will leave some recommendations and a suggestion to save money with your housing credit.
Simulation Client
We run the housing loan simulator of the main banks operating in Portugal and we introduce the following data:
- Not married;
- Annual income of € 20,000
- No other credit charges (if you have other credits we suggest you read the article “Consolidated Credit with Mortgage” that shows you a great money-saving strategy);
- 32 years old
- 30 years of contract
- Loan / guarantee ratio of 80%
- 12-month EURIBOR index
Good Finance is the Most Competitive Bank
When analyzing the spreads and their respective costs we find that the proposal of CGD and Good Finance are very close, and can be said to be equivalent with respect to the value of the installment.
However and there is similarity of what happens for credits of € 125,000 CGD is from banks that charges more commissions (do not ask us the reason). Thus, and taking into consideration only the monthly costs and commissioning the Good Finance becomes the best bank for housing credit up to € 50,000.
Does Your Rate of Effort Comport the Operation?
The banks presented have in common the fact of charging assessment / analysis / dossier fees. So if you want to see your process in progress you will have to assume upfront costs. So we suggest you realize if your effort rate fits. That is, make sure that the relationship between the couple’s income and monthly benefits is comfortable (below 40%). If not, you should try to lower some of your charges (for example by consolidating credits or negotiating credits.
Get Access to More Competitive Spreads
Negotiating on cake brings clear benefits in terms of bargaining power. In recent months Jim has made several million euros in credit housing with some of the leading banks in Portugal and it has been possible to help our clients lower their financial installments.
It is possible to buy a new housing or make the transfer of your housing credit and have spreads below 1.5%. To do this, we suggest you simulate your specific case and see the potential for savings. Please note, however, that the cost of credit includes, among other things, bank fees, insurance prices and other cross-selling products.
Simulate Your Specific Case
Since the simulations presented are somewhat theoretical, we suggest that you study your specific case. To do so, and since it does not cost you to use the context of Housing Credit, we suggest that you fill out the simulator and realize how much you would be paying on your home loan.