What is the lifetime mortgage loan and who is able to grant it? If you want a loan of this type then you are in the right place. Here we offer some very useful information on the mortgage loan and we also make a list of those who grant it.
Mortgage annuity loan: what is it?
Let’s start by giving a precise definition of this type of loan. This is a type of funding reserved for the elderly, so if you are young you can also let it go. Only those in the over 60 age group can apply for this loan.
Only the elderly who have the right to property in a house or residential property have access to this form of credit. It is in fact a long-term loan to people at least 60 years old. The loan is only granted as a guarantee for one’s residence.
In Italy this loan is an alternative to the bare ownership of the building and allows anyone who needs liquidity to get it quickly without losing ownership of the property and is not even required to leave the house.
Another fundamental characteristic of the mortgage life loan is that even in the unfortunate event of the beneficiary’s death, the heirs always have the possibility of recovering the property.
The heirs who undertake to repay the credit received by the elderly can recover the property, but must pay the sum in a single payment and pay off the mortgage, the alternative is to allow the bank to pay off the mortgage allowing it to sell the building, the debt would be canceled.
This particular type of credit is regulated on the basis of State legislation which is contained in Law 248 of 2005. This law then underwent further changes that can be consulted at the Senate website.
Procedure to apply
In order to receive the Mortgage Life Loan there are some procedures to follow, once everything is done you will be able to access the liquidity you need. First of all it is necessary to present the documentation for the request. Here are the documents you need to do it:
- Identity document (ID card, driving license, passport etc…)
- Fiscal Code
- Family status
- Contextual certificate
- Preliminary Notary Report or Certificate of Origin
- Any other documents requested by the Bank
The request can be presented to the 4 institutions we have listed above, but it is certain that before accepting the most convenient solution is to get a quote from everyone and then decide what is right for you.
This however is not one of the fastest loans to be obtained in fact it takes a long time to be paid. The timing may vary from a few weeks to months before the requested sum is credited.
First the bank will have its feasibility opinion, this is simply based on the documentation presented. So you can immediately get an answer, but it is not a definitive response.
The final answer only comes later and can be positive or negative. In the second case very often the loan is not rejected but it is asked only to re-evaluate the sum requested, it could be the case to lower it.
After receiving the feasibility opinion, it follows the evaluation of the house, to estimate its value. Consequently a technical evaluation must be made, that is an appraisal of the value of the property to be mortgaged. For this purpose an expert will be called.
The estimate will be made by an expert established by the bank and the cost of the transaction will be charged to the loan applicant. When these preliminary steps have taken place then you can move on to the provision of the annuity loan.
The deed is public and must be signed before the notary. After signing, the mortgage on the home is registered and the procedure for disbursement of the agreed money is started.
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