What do you need to know before taking out a mortgage loan?

Buying an apartment with a Sberbank mortgage: step-by-step instructions

Certificate of registration of ownership of the property in the original;
The basis for the emergence of ownership of the acquired property from the seller (deed of sale, deed of gift, exchange agreement, privatization document);
Extract from the Unified State Register of Rights to Real Estate. You can get it at the territorial hotel of Rosreestr. An extract is provided to the applicant a week after the relevant request is sent. The bank accepts the specified paper issued no more than a month ago;
Waiver of the right of first refusal by other owners of the premises (shares in it) certified by a notary;
One of the following documents, depending on the seller’s marital status and other circumstances. Consent of the seller's spouse to sell real estate, certified by a notary. Notarized confirmation of the absence of marriage at the time of purchase of real estate. A marriage contract, which sets out the regime of separate ownership of property (the bank will take a copy of it). If the subject of the transaction was received by the seller as a gift, by inheritance or before marriage, then there is no need to bring these papers to the bank. If the seller is a widow(er), a death certificate is required. If more than three years have passed since the divorce, then a corresponding note in the passport, a certificate of divorce or an extract from the court decision is sufficient;
If the interests of the seller are represented by a trustee, then he must have the appropriate paper. It must indicate that the seller trusts a third party to carry out alienation transactions with a specific property. The power of attorney must be certified by a notary;
If among the owners of the property being sold there are persons under the age of 18, you will have to obtain permission from the guardianship and trusteeship authorities in advance. This is a requirement of current regulations.

Valuation of a property that is planned to be purchased using mortgage funds from Sberbank. A list of companies that calculate appraised value must be obtained from a loan specialist. Preparing the assessment can take a long period of time. In some cases, the process lasts up to 30 days. The main reason for the delay is the human factor. The appraiser must agree with all owners of the property on the time of his visit to conduct an inspection. The duration of the procedure is the main reason to begin collecting the papers required for obtaining a mortgage by organizing an assessment of the property. At the same time, other documents are collected;
A document that confirms that the seller has savings for the purchase of real estate. You can provide a passbook or a receipt from the seller confirming receipt of advance payment for the residential premises. The document must indicate the passport details of both parties, the amount transferred, the location of the property and its area;
The following papers will be required if one of the spouses acts as a pledge holder: the consent of the second spouse certified by a notary to transfer the purchased property as collateral to the bank; a statement certified by a notary that at the time of registration of ownership rights to the property purchased on credit, he was not officially married; a prenuptial agreement that stipulates the separate ownership of property;
Permission from the guardianship and trusteeship authorities, if the owner of the property pledged to the credit institution is a person under the age of 18. This requirement is dictated by the legal norms in force in the Russian Federation.

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Concept of mortgage and mortgage lending

To determine how mortgages and mortgage lending work, we must differentiate both concepts according to their differences. There are two factors that determine a mortgage.

First: the economic component - with it, mortgages are characterized as a market instrument for the turnover of ownership rights to real estate when attracting additional financial resources.

We advise you to read:

✅ Up to what age do you get a mortgage loan in Russia?
✅ Rosselkhozbank mortgage for 2020: rate and conditions
✅ What documents are needed to apply for a mortgage in Sberbank?
✅ Procedure and rate for refinancing mortgages from other banks at VTB Bank

The second component of a mortgage is the legal criterion. In this regard, a mortgage is defined as the pledge of real property for the purpose of obtaining a mortgage loan while the property remains in the hands of the debtor.

Thus, it is clear that a mortgage loan is included in the structure of the definition of mortgage as a phenomenon. It serves as a loan for the acquisition of real estate against the obligation of collateral in the form of the purchased property.

The mortgage itself differs from a mortgage loan by the presence of three components, including property, credit and financial relations. While a mortgage loan has its own characteristics, namely:

Targeted nature;
Relatively low risks when performing a banking transaction;
Long term for providing a loan;
Mandatory notarization, state registration and collateral.

You should also separate mortgage and standard types of lending. In the first case, the provision of real estate as collateral to the lender is mandatory.

How does a mortgage transaction in Sberbank for secondary housing work?

You need to provide information about income, expenses, the cost of the property, specify the deadline, and the amount of the first payment. After the calculation, you can find out the amount of payments and overpayment. The calculator will give the maximum loan amount that a borrower can apply for based on their income. Calculations are considered preliminary, so more accurate information should be obtained from a Sberbank branch. The client's payment should not be higher than 50% of his income.

After completing all the preliminary approval and preparatory procedures, the financial institution gives its consent to the transaction, concluding a mortgage loan agreement with the buyer, according to which the apartment is transferred to the bank as collateral immediately after the sale and purchase document is signed by both parties, and the seller receives money only after confirmation of the actual transfer property rights .

How does a mortgage transaction work at Sberbank?

8. Submitting a package of documents for registration at the MFC. By law, a notarial transaction is registered within 5 working days, but in reality it takes a little longer. Sberbank is now offering a new service – electronic transaction registration. The promised registration time for electronic registration is one day.

A distinctive feature of Sberbank is that the package of documents for a property includes a preliminary purchase and sale agreement. You yourself or your realtor must draw up a preliminary purchase and sale agreement in the form of the bank. Other banks, as a rule, do not require this.

What can and cannot be done with a mortgaged apartment?

The borrower has the right to live in the apartment and use the property. He can register there. However, there is no complete freedom of action.

What you can’t do without the bank’s consent:

Sell real estate. The owner has the right to alienate property, but only with the permission of the bank. Thus, when selling a mortgaged apartment, the obligations under the mortgage must be transferred to the new owner. The bank must know who will make payments on the loan. If the buyer is cash, he must pay off the seller's mortgage for the deal to go through.
Carry out large-scale repairs and redevelopment. This requires the consent of the bank. Significant changes affect the characteristics of the apartment. Therefore, they can reduce its cost. However, not all repair work is permitted by law. The borrower will have to obtain approval not only from the bank, but also from the insurance company.
Damage real estate, influence the operating conditions of the property. As with the previous point, this changes the cost of the apartment.

According to the law, the bank has the right to take away the apartment if the borrower:

Does not make monthly payments. The bank can take the property, sell it and cover the balance of the loan. Although in practice it rarely comes to such radical actions. Citizens are protected by law: the bank’s actions must be proportionate to the offense of the offender. This means that a single late payment cannot be grounds for deprivation of property rights. The law does not say what amount of debt is considered sufficient for radical action. It is not recommended to exceed debt accumulation of more than 5% of the total cost of the apartment.
Violates insurance obligations. The mortgaged apartment must be protected by law. If the borrower violates the terms of the contract with the insurance company, not only it, but also the bank will apply sanctions.
Violates the terms of the mortgage agreement. For example, he hid the transfer of rights to third parties. This could be rent, sale or donation. This is considered a violation of the contract. The document on the basis of which the real estate was transferred becomes invalid.
Used the mortgage for other purposes. Funds are issued only for the purchase of real estate approved by the bank. The law takes this situation as seriously as possible and quickly terminates the contractual relationship.

We invite you to read: How long to wait for a trial for deprivation of rights

Expert opinion

Alexander Nikolaevich Grigoriev

Mortgage expert with 10 years of experience. He is the head of the mortgage department in a large bank, with more than 500 successfully approved mortgage loans.

Even the most advanced cases can be corrected and loss of housing can be prevented. For example, refinance. This program allows you to take out a new loan to pay off the old one. With the help of refinancing, you can reduce monthly payments, extend the mortgage term, and reduce the financial burden. You can refinance a loan either at the bank where the primary agreement was drawn up or at a third-party financial institution.

If you decide to take out a mortgage from Sberbank, then the most important step for you will be finding a suitable housing option. This procedure is labor-intensive and can take about a month. You can shorten your day by contacting professional realtors and real estate agencies. Specialists navigate the real estate market more easily and can easily find suitable options for the client. With them, it is possible to reduce the time it takes to obtain a mortgage.

Finding housing takes varying amounts of time. This period can be two weeks or a whole month. An apartment can be found at different times depending on numerous factors. The term depends on the customer’s requirements, the seller’s willingness to sell the property and many other conditions. The longer it takes to select a property, the longer the bank and the client will not be able to start processing a mortgage loan.

At this stage, borrowers independently decide whether to search for apartments on their own or turn to professionals in this matter. You can spend a day on this if you can immediately decide on an option. But it is better not to delay resolving this issue, since there are still further stages of registration, which also require time.

How is the mortgage transaction at Sberbank for secondary housing going?

It is impossible to accurately and specifically indicate how long it will take to obtain a housing loan. There are too many factors influencing this. But taking into account the average statistical data, we can say that obtaining a mortgage loan takes about 1–1.5 months, provided that the client is ready and will promptly cooperate with the bank and listen to the recommendations of the mortgage lending manager .

Possibility of further sale or rent.
Availability of convenient and developed infrastructure, access roads.
Indicators of the average bill for utility costs, the cost of additional services.
The proximity of the property to objects important for life (work, kindergarten, school, place of residence of relatives, etc.).
The seller’s financial conditions and the adequacy of the presented apartment to the average market value. An important point is the flexibility of the seller regarding a future transaction.

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Where to get a mortgage

As soon as you start looking for optimal mortgage loan conditions, carefully read the information about the bank or company where you want to take out a loan. You will get a complete picture if you research several sources: the bank’s website, reviews on the Internet, forums, recommendations of other people. Please note that obtaining a mortgage as described in advertising may differ significantly from reality, so carefully read the terms of the contract. Banks provide step-by-step instructions that will help you go through the entire step-by-step process of document preparation without any problems.

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Social mortgage

To improve the living conditions of Russians in the country, the state provides financial support. The federal, regional, and local budgets finance several mortgage programs that exist along with the classic one. A mortgage under a social program provides a chance to take out a housing loan for socially vulnerable categories of citizens:

young military personnel;
large families;
state employees;
combat veterans;
young families and others.

Social lending programs are regulated by a specially created government agency AHML (Agency for Housing Mortgage Lending). The main target of such programs is the low- and middle-income social class, which is in serious need of improved housing conditions. The following points determine the social status of the loan:

taking out a mortgage at a preferential rate;
targeted one-time subsidies or social payments from the state budget;
low cost of housing;
small down payment;
possibility of reducing the monthly payment.

Military mortgages can be taken out by military personnel for a period of no more than 25 years, and the borrower must not be 45 years old at the time of the last payment. The average rate on such a loan is 12.5% per year, and the down payment for purchase is 10% of the cost of the home. Military personnel have the opportunity to take out a preferential consumer loan or use maternity capital to partially repay the debt. For approval of the application, the borrower’s length of service is important - at least a year, while in the last place the serviceman must work for at least 4 months.

AHML mortgage program

One of the tasks of AHML is to develop mortgage lending standards, which are often a single standard for all banks. The organization monitors the dissemination of these standards throughout Russia and monitors their implementation. When a borrower finds himself in a difficult financial situation, the AHML mortgage assistance program helps to cope with financial difficulties. Certain social categories can also count on government assistance for loan repayment (up to 20% of the remaining amount).

Mortgage in Sberbank

Sberbank offers some of the best conditions for purchasing real estate. Such a large organization offers a sufficient number of options with different conditions for the purchase of finished and under construction housing. You can take out a mortgage from Sberbank at the most attractive interest rate - 14.5%, which varies slightly in different programs. Loans are provided only in rubles for secondary or new housing. This bank makes great demands on borrowers, but if there is an opportunity to take out a loan from Sberbank, then this chance is worth taking advantage of.

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How to get a mortgage at VTB 24

VTB 24 offers to fill out an application for a loan directly from home. The financial institution’s website describes in detail all the programs from which a potential borrower can obtain the necessary information. Having decided on the program, the client submits an application via the Internet. The response to the request will be sent by email or bank employees will inform you about the decision by phone. All issues can be resolved through online support or at a bank branch. Taking out a mortgage for an apartment at VTB 24 is also profitable:

9 programs;
low rates;
loan repayment period up to 50 years;
available down payment amount – 10%;
accounting of all income (including close relatives);
possibility of early payments under the loan agreement without penalty fees.

Mortgage in Rosselkhozbank

The terms of the Rosselkhozbank loan agreement are attractive to clients. When a potential borrower does not have the opportunity to save up funds for a down payment on their own, you can apply for not only a mortgage, but also take out a consumer loan. The latter is used to make the first payment for the purchased property. A mortgage without a down payment can also be obtained from Rosselkhozbank by attracting maternity capital.

Buying an apartment with a mortgage from Sberbank in 2020: step-by-step instructions

Loans for the purchase of real estate are issued in ruble equivalent throughout Russia. A loan is issued at a Sberbank branch at the location of the apartment being purchased or at the borrower’s place of residence . Requirements for borrowers at Sberbank in 2020 remain standard:

A mortgage loan from Sberbank for military personnel implies quite favorable lending conditions. The main disadvantage of the program is the inability to choose housing on the primary market. The Military Mortgage program is suitable for military personnel participating in the savings mortgage system. After three years of service, all military personnel with a savings account receive state support (special contributions) for the purchase of housing, but only those who have served for 20 years receive the full amount of savings.

How does a mortgage transaction work at Sberbank?

After the object is approved, a transaction follows. The bank itself sets the date and time of the transaction. On the appointed day, sellers and buyers need to come to the bank to sign an insurance agreement, a loan agreement, or a mortgage. After this, the lease agreement for an individual safe is signed. If in a transaction, in addition to borrowed funds, your own funds are used, then the personal contribution must be in an account at Sberbank in order to withdraw money at the right time to put in a cell of an individual safe.

Since this segment is most in demand, the chance of encountering scammers is the greatest - the apartment may be mortgaged, illegally alienated, etc. If you doubt the legality of the sellers’ actions, we recommend taking out title insurance - this will protect you from losing your home in the event declaring the transaction invalid.

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How does a typical mortgage transaction work?

Next, all mortgage papers are transferred to the Registration Authority, and then within 5 days the owner of the property changes. The certificate is presented to the bank employee, after which the loan amount is transferred to the borrower’s account, and then to the seller. A second receipt is drawn up, which confirms the receipt of borrowed funds and the final payment.

Passports of all participants in the transaction - the borrower and co-borrowers;
Certificate of employment about income - for all participants;
Confirmation of employment in the form of a copy of the Labor Code or TD - for all parties to the transaction;
Documents for property owned - for all participants;
Second documents (with photo) – for all participants;
Papers confirming additional income - if available, for all participants in the transaction;
Marriage and birth certificates of children - if available;
Certificates of relationship – if close relatives are co-borrowers on the loan;
Educational diplomas – for all parties to the transaction;
An account statement confirming the presence of a down payment;
Other at the request of the bank.

Seller's risks when selling an apartment with a mortgage

impossibility of inflating the cost of housing;
difficulties in the presence of uncoordinated redevelopment and reconstruction;
a ban on a transaction if an object is included in the list of emergency or dilapidated ones;
the inadmissibility of concluding a purchase and sale agreement before the removal of encumbrances, including potential ones, in the form of relatives who have the right to real estate and were discharged in violation of their rights.

After a visual inspection and confidence that the apartment being sold is capable of serving the new owner for the entire period of collateral, the bank recommends to its borrower an expert assessment of the cost of housing , often prescriptively indicating the specialist who must perform the assessment procedure.

How long does a mortgage transaction last at Sberbank for secondary housing?

Sberbank gives the borrower 3 months to find a suitable apartment or house. After housing is found, specialists check the selected object and approve it. This stage takes up to 1.5 months. The property then needs to be valued at market value. Large real estate companies prepare a report from 3 to 7 days.

The procedure for obtaining a mortgage loan consists of several mandatory steps. Having an application approved does not mean anything. The most difficult thing remains ahead: finding and agreeing on a property with the bank. In addition, you will need to evaluate the premises, conclude an insurance contract for it, and register the housing with Rosreestr.

Requirements for borrowers

The requirements that banks impose on borrowers are standard and differ slightly. Here are the main ones:

Age from 21 to 65 years. But in some banks, for example, in Sberbank, up to 75 years. How many years you will be able to repay the loan is up to you to decide. But the upper age limit should not come before you pay off the debt in full.
Seniority. Standard 6 months in current position and at least 1 year of total work experience over the past 5 years.
The number of possible co-borrowers is 3 – 4 people.
Having Russian citizenship.
Positive credit history. Banks rarely write about this requirement on their website, but fulfilling it is implied. If you want to come fully prepared, then find out your credit history yourself in advance. When you apply for a mortgage, the bank will check it first.

And I never tire of repeating that for salary clients there are more loyal requirements. This applies not only to length of service, but also to the interest rate. Some banks simplify the composition of documents for “their own”.

The spouse must act as a co-borrower. This rule does not apply if a marriage contract has been concluded.

Be prepared for additional costs:

Report on the assessment of the collateral.
Insurance of the collateral (mandatory) and personal insurance (optional).
State duty for registering a transaction in Rosreestr.
Rent a safe deposit box if you buy an apartment on the secondary market for cash.
Additional bank services. For example, Sberbank offers electronic transaction registration. Its cost is from 5,550 to 10,250 rubles.

What salary should be for the bank to approve the loan? When obtaining a mortgage, the total income of the borrower and co-borrowers is taken into account. The number of borrowers can be from 3 to 4 people. In the mortgage calculator on bank websites, you will see the amount of income that you must have in order to count on a positive decision from the bank.

Let me give you an example. Loan of 2,000,000 rubles. for 10 years at 10.5% per annum. I'll use the calculator at Sberbank. We receive a monthly payment of 26,987 rubles, the required income is 44,979 rubles. This amount is worth focusing on.

Registration of a mortgage for secondary housing in Sberbank

When a person decides to sell his home, he probably already has a place to live in mind, and therefore he only needs money. Usually, all apartments are not on sale for more than a month. If you have found suitable housing for yourself, remember that you need to urgently apply for a mortgage and pay for it.

After all, it’s better to live in your own apartment and pay monthly fees than to give that same money to your grandmother in her little room. For some reason, all people are afraid to take out a mortgage. Let's figure out whether it's really that scary, and what are the conditions for taking out a mortgage for a secondary home at Sberbank?

26 Apr 2020 glavurist 258

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Real estate insurance

At this stage, you need to take out insurance for the selected residential property. This procedure is mandatory and provided for by Federal mortgage legislation. Insurance takes approximately one week. A citizen does not need to search for a suitable company. Sberbank has a list of accredited companies that will carry out the procedure if insurance has not previously been issued.

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In addition to real estate insurance, Sberbank may offer the option of life and health insurance for the client. If you decide to take out a mortgage, then this procedure is not mandatory. It is offered by the bank on a voluntary basis. It is used as an additional guarantee for a credit institution. When applying for it, the client can count on lowering the interest rate and preventing its increase.