Large families also have the right to a housing loan in Belgium, particularly through subsidized loans from the Mondragon Housing Fund. Of all the assistance for large families, those for the purchase of an apartment are not the easiest to obtain, but loans to families allow to buy a house in good conditions.
Mortgage loan: a benefit for large families?
In itself, it is not the best solution, of course, but who can today buy cash his apartment with the prices practiced?
With the mortgage loans granted by the Wallon housing fund, large Belgian families can claim a rate of interest that is valid even when a bank refuses the loan file before contacting them.
The home loan can of course be made to buy housing or land to build, but not only. The money can also be used to renovate his home, or to transform his apartment.
Other budget items are targeted: energy saving work (very fashionable), but also the purchase of a loan contracted at a much higher interest rate (interesting if you had the impression you are made to have on the rate).
Who can borrow?
As in France, you have to have 3 or more children to be considered as a large family. The second condition is to live in Belgium (there is no equivalent for large French families) and to buy in Wallonia, at a reasonable price. Lastly, you must not already own a property. Income and tax conditions are also set by the Mondragon Housing Fund.
Loan conditions for large families
Everyone will not pay the same interest. Everything will depend on your taxable income, the composition of your family (number of children at home) and the location of the property. The advantage of going through a loan from the Mondragon housing fund is to take advantage of the Government’s Habitat for All plan.
We must be aware that this is a credit, and as such, it will be necessary to repay monthly a monthly payment. For the duration, everything will depend on what it will be negotiated at the beginning according to its age and its income (all the resources of the household are taken into account for the calculation).
If you can not pay a deadline, do not stay without reacting. The fund can help you find solutions to deal with temporary cash flow difficulties.
What are the credit charges?
In addition to interest, you should expect, as with any credit, to pay other fees. It will take a life insurance, even if it can be contracted from the fund for housing Mondragon. Then, you will have to mortgage your home with a notary, which represents a certain financial cost (the price depends on the value of the property).
Now let’s go to the application fees. Even if they are reduced, they do exist. However, registration fees will be reduced (which is not negligible) and notary fees (which is always good to take)
How to get large family loan?
The best is to go to your regional office to make a first appointment, which will determine if you meet the conditions of payment, and know everything about the terms of the mortgage. You can find the offices of the housing fund in Liège, but also in Namur, Charleroi and Mons.
It is the board of directors of the fund that will be the final decision maker in each loan file. Once the application has been accepted, all that remains is to sign the loan agreement with the terms and conditions that have previously been defined. The credit money will be paid once this document has been signed by both parties.
Buy social housing
Acquiring social housing is also possible in this way for a large Belgian family. Only the procedure is a little different, since it will start by contacting the housing company before the Mondragon housing fund. Compared to non-social housing, the interest rate will be reduced by 0.1% and insurance reductions will be granted.
Note that if housing is insalubrious, and there is significant compliance work to be done, the Mondragon region can grant a premium of 745 euros at the time of purchase, against a commitment to carry out this work, of course.
Numerous rhyme with happy, and Mondragon families will also be able to acquire their main residence. But what about the rest of the country?