Borrowing capacity
compared.
4 scenarios, a cautious scenario with the rate raised by 2 points, IOBSP mortgage broker connection in 1 click. The rate is an assumption you set. We do not collect lenders' rates.
Your income and down payment
The rate you are testing
HCSF 35% rule
The French High Council for Financial Stability (decision D-HCSF-2021-7) sets the maximum effort ratio at 35% of net income and the maximum term at 25 years (27 years with a two-year deferral, off-plan or works). Banks may deviate for 20% of their production, primarily for primary residences and first-time buyers.
Recommended down payment
Minimum 10% of the purchase price to cover notary fees (~7-8% for older properties). With a 20% down payment, you get a better rate. A 30% down payment = maximum negotiating power.
Borrower's insurance
Lemoine Act 2022: free to switch at any time. Expect 0.20-0.40% of the borrowed capital. Comparing 3-5 external insurers can save 5,000-15,000 € over the life of the loan.