The lender

The lender (from lat. creditor – veritel, from lat. credo – I believe) – any natural or legal person or even entity, one of the participants of civil legal relations (liabilities), which this obligation has the right to require the other party to the relationship of debtor (borrower) a certain behavior. The obligation may be […]Read More

Mortgage lending

Mortgage lending is a long – term loan provided by a legal entity or individual banks secured by real estate: land, industrial and residential buildings, premises, structures[1]. The most common use case of a mortgage in Russia is buying a natural person apartment on credit. Laid down as a rule, newly purchased housing, although it is possible to lay and already owned an apartment[2]. Note that the mortgage is a public pledge. When the real estate mortgage, the registration authorities of the deal, make appropriate entries on the fact that the property pledged. Any interested person may request a statement from the State register of rights to immovable property and transactions with it. In this statement, if the property is mortgaged, necessarily indicates that there is a charge: Deposit[3].Depending on the object credit: Suburban housing. This type of loan has a complex procedural execution of the contract, as in the document of sale featured not one, but two different objects right – the building itself and the land on which it is located [4]. The initial contribution is higher than with the other two types of mortgages. Apartments on the primary market (new buildings and dwellings under construction). Feature: the interest on the loan, tends to be higher than in the secondary market. While the maximum lending period below. The main reason – the big risks, the possibility of bankruptcy of the developer, the fraud, the likelihood of “protracted” [5]. One of the key moments – ownership. If the borrower it is, then the loan will likely be cheaper. Another important aspect is the stage of construction. Housing on the secondary market. Feature: the most common type of mortgage loan...
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Underwriting

Underwriting assessment of the capabilities of the Client service issued a mortgage loan, that is, the amount of the loan, which the borrower will be able to pay, taking into account the peculiarities of the borrower (type of employment, monthly income and the possibility of confirmation, the presence of co-borrowers or guarantors, family composition, the presence of minor dependents, etc). The client is in the process of underwriting twice: when referring to a mortgage broker (it is held by the underwriter brokerage company) before a contract for the provision of services, as well as in the Bank (conduct credit analysts) when considering an application for a mortgage loan.

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The property is mortgaged

Property which can be mortgaged is defined in article 5 of the Law on mortgage of the immovable referred to in article 130 of the civil code, the rights to which are registered in the procedure established for state registration of rights to immovable property and transactions with it. Such things include: land, except for land, referred to in article 63 of the Law on mortgage, enterprises, buildings, constructions and other real estate used in business, houses, flats and residential houses and apartments, consisting of one or several isolated rooms; villas, garden houses, garages and other buildings for consumer use; air and sea vessels, inland vessels and space objects.
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Mortgage contract

Mortgage contract (contract mortgage) – a mortgage that arises under the contract on mortgage (pledge of real estate). The contract of mortgage is not an independent obligation, as is the securing of obligations under the loan agreement, credit agreement or other obligation. Mortgage by virtue of the law differs from mortgage arising under contract, only the fact that the first occurs by direct reference in the law and is registered automatically with other Treaty even without the statements of the parties, and mortgage into force of the Treaty shall be registered under a separate statement of the parties. Because the mortgage into force of the law occurs when the target loan to purchase housing, when the registration of the mortgage, changing the owner of the property, and if to be more exact, such a mortgage occurs simultaneously with the acquisition of property by the borrower.
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