This September remained in line with a record breaking summer and posted now stable, interest rates. Credit rates are still at floor level!
Conditions have never been better for buyers and some figures have also reached record levels. The number of credit redemptions and loan amounts in themselves, reveal the proof that they have never been so high!
The average length of the most favourite borrowings are still 15 and 20 years, with an average of 1.60% over 15 years and 1.80% over 20 years, respectively.
Alongside these historically low rates, note that the rise in property prices in some cities of France, indirectly benefit the buyers as in effect the price increases, at some of the most highly acclaimed places, encourages the banks to maintain attractive rates, so as not to weigh on demand in these areas.
A good idea in the current state rate, is to re-negotiate or redeem its existing credit, even if the loan was taken out recently. Indeed a rate of 3%, which seemed already low to the subscription, can today be transformed into a rate of 1.50%. It’s a safe bet that few buyers of a few years earlier, would have suspected that the rate could reach as low as this floor. They are currently more than interesting levels which give nice, surprise gifts, especially when you consider the savings made at the end of the credit. For an average purchase of €300,000 over 20 years with a new transformation of 3% to 1.50%, happy buyers realise a savings of €40,000 euros. This is something that will please!
First-time buyers, investors and second home buyers can therefore welcome this September`s ending as favourable for them. The favourable conditions are present and the opportunities are there for anyone to take up on.