Mortgage Loan: Rates, characteristics and how to access mortgages

The Lite lender Mortgage is one of the products offered by the Lite lender Group, which, depending on the form chosen, adapts to every consumer need. The Group was born from the merger of several regional banks, each one of which has its own branches and specific professionalism achieved by the staff.

This mix of professionalism has meant that thanks to its heterogeneity it has managed to reach its strength. Let’s find out what are the types of mortgages offered and what are the characteristics.

The general characteristics of the Lite lender Mortgage and the services offered

The general characteristics of the Onecredit Mortgage and the services offered

The mortgage of the Lite lender bank is available for the needs of those who want to make their dream of buying their home, both first and second, renovate their residential property or make a subrogation.

As regards the form of the rate, it can be in the form of the fixed rate or in the form of the variable rate. From the point of view of duration, it can vary from 10 years up to a maximum of 30 years.

The Lite lender mortgage has interesting features that can make the mortgage payment suitable and tailored to any need.
Thanks to the installment cut option, it is possible to suspend the payment of the principal portion of the installments for a maximum period of 12 months, with the only limit that it can be done only once and not during the last year of the mortgage’s life.

The option moves installment instead allows to postpone payment of the mortgage payments up to a maximum of three installments even if they are not consecutive. Very interesting is the other reduced installment option which allows you to reduce the amount of your installment, modifying the original duration of the silent and extending the amortization rate up to a maximum of 48 months.

These services allow you to adapt the mortgage to your needs according to the possibilities and contingencies that may arise during the life of the contractor. The only prerogative to be able to access all these services is to wait for the twenty-fourth month following its date of disbursement and with the presence of a regular amortization and in any case within the last year of life of the mortgage.

The various types of Lite lender Mortgage

The various types of Onecredit Mortgage

The Lite lender mortgage as mentioned above is distinguished according to the type of rate chosen and the specific need for which it is intended to be contracted. From an interest rate point of view, mortgages are divided into fixed rate, variable rate mortgages in the variable form with cap.

The mortgage can be taken out for the purchase of a first or second home, renovation of a residential property or in the event of subrogation of a previous mortgage.

Fixed rate mortgage

The fixed rate mortgage is the safest and most reliable mortgage option suited to the needs of those who do not want to find themselves having surprises with the payment of the mortgage payment. The interest rate applied is predetermined at the time of signing the loan contract and is constant for all installments of the same.

For all the needs of purchasing a property, renovation or subrogation, the interest rates offered by the bank vary according to the age of the mortgage.

Mortgages up to 10 years of life have an interest rate of 1%, for those with a duration between 11 and 20 years the proposed rate is 2.50%, while for those with a duration between 21 and 30 years the rate rises to 2.80%.

The amounts for which it is granted are equal to 50% of the value of the property in case of purchase, or of the current value of the property in case of renovation and finally in case of subrogation the maximum allowable amount is equal to the residual debt of the mortgage to be transferred up to a maximum of 50% of the value of the property which was given as collateral.

The minimum amount that can be granted is 30,000 USD and in cases of purchase and subrogation of a mortgage, the maximum value that can be granted can even exceed the value of 50% of the value of the property within the limit of never exceeding 80% of the lower value between the commercial value taken from the appraisal and the actual price paid at the time of purchase.

The fixed rates shown refer to the TAN (net present rate) while if we consider the APR (general effective annual rate) which includes all the expenses incurred, the value rises by a few percentage points typically between 0.40% and 0.50%. So, for example, for a mortgage between 21 and 30 years the global effective rate should be around 3%.

To the cost of the mortgage must be added those relating to the preliminary investigation of the practice that are around 500 USD. For a mortgage to buy a house with a financeable amount equal to 50% of the value and with a 10-year fixed rate TAN of 1%, the APR for example will be 1.62% with a loan disbursed equal to 100,000 USD.

Variable rate mortgage

The variable rate mortgage differs from the fixed rate by the fact that the interest rate applied to the loan can typically vary quarterly with respect to the initial rate set in the contract which is the 3 month. The final rate that will be applied will therefore be equal to the sum between the indexation rate and the spread foreseen in the contract, rounded to 0.50% higher.

Should the result of the algebraic sum of the rates be negative, the rate applied in the period will never be negative but in any case equal to zero.

The spread included in the loan contract varies depending on the period of duration of the loan and the amount allowed and can vary from 0.70% to 1.20% for longer-term mortgages with loan grant ranging from 70% to 80% of the property value. as regards the preliminary costs, the expected costs remain the same.

Variable rate mortgage with cap

The variable rate mortgages with Lite lender cap have the characteristic of having a different form of indexing with respect to the variable rate. In the variable rate with maximum cap (the cap in fact) the indexation parameter applied cannot exceed a certain specific threshold.

In fact, in the case of Lite lender, if the indexing rate is higher than 2%, the interest rate applied will be equal to the sum between 2% and the contractually foreseen spread. In practice, thanks to this clause, a small cap is put against the increase in the interest rate over time. In the specific case, depending on the duration and the amount allowed in the mortgage with cap, the spread included in the contract can vary from 1.30% to 1.70%. Also in this case the other conditions and expenses to be paid are similar.

How to access mortgages

In order to access the various types of Lite lender Mortgage, various access channels can be used. The main way is to go directly to one of the many branches of the bank in the area and expose all your needs and choose the best offer.

Another way to do this is to make an appointment at the nearest branch directly online. To do this, just enter your data on the Lite lender website page by clicking on the fix an appointment button, so you will shortly receive the date of the appointment set directly in your email box. 

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