The secured loan is a credit option in which you offer a property as collateral. Interest rates are lower and longer terms.
The modality, little known to Brazilians, is widely disseminated around the world and is indicated for the financing of major projects such as the purchase of a second property, the payment of the study of the children, the realization of a trip, the opening of a new business or holding a wedding party.
Loan with property guarantee: how does it work?
Also known as mortgage, this type of loan allows the person to obtain money not only for the purchase of a new property but also for any purpose such as retirement, construction, investment, new business, studies, among others. The main attraction is interest rates, which tend to be much lower than other credit lines.
Another attractive is the term of up to 30 years to pay and the high limit of the loan amount. But you have to be aware of the risk: in case of default, the borrower may have to give the house to the bank.
Who can make the loan with property guarantee?
Individuals with own property in their name. Before having access to credit, your property will be evaluated by companies accredited to the banks. Because the good is given as collateral, this mode of credit is much cheaper than overdraft, personal credit and even payroll credit.
Interest rates on home equity loans revolve around 1% to 2% per month. But beware: in case of default, the property is auctioned to pay off the assumed debt.
The risks of having the property as collateral
Very common in the US, the loan through real estate refinancing can have serious consequences if the debt is not paid. An example of this situation is the housing crisis that occurred in 2006 in the United States and triggered the world economic crisis of 2008. At the time, credit institutions in the country granted high loans to families, taking their properties as collateral.
The problem is that, often, the value of the credit granted, however, was beyond the ability of some families to pay, who were unable to keep up with the payments. Many had real estate taken back, but with the bursting of the real estate bubble (the falling property price), some banks ended up breaking down because they could not get their mortgages back.
Therefore, be careful not to let the parcels delay more than 30 days, as your property may be at risk of being sold. In practice, the creditor bank can request the payment of the real estate transfer tax to the notary office and request the materialization of the property, followed by the auctions for debt settlement, without having to resort to legal proceedings.
Another care to be taken by anyone who is interested in making a property loan is the improper collection of fees for credit analysis. Question the need for prepayment, as this is not a common practice.
Only then, with the credit approved, will it be necessary to pay a fee for the evaluation of the property by an engineer. In this case, yes, banks usually charge a fee ranging from 400 to 2 thousand reais, depending on the institution.