The expectations of the real estate market for this year are very positive and are attracting investments on the part of those who consider this sector to be one of the safest in the market. With the arrival of the Covid-19 pandemic, betting on real estate has become an advantageous option, since the interest on financing is low and favorable for buyers.
In this content, we are going to talk about the importance of knowing the real estate financing interest trends in the year 2021. In addition, we will describe each of the points and highlight the correspondence of all of them.
You will also discover how a consulting company is fundamental in this achievement of financing the property itself. Want to get relevant and up-to-date information on real estate financing interest? Then read on!
Understand the importance of knowing interest trends
It is very important to know the interest trends if you plan to take out a mortgage during this year. The economic crisis resulting from the expansion of the Coronavirus has caused financial institutions to cut rates to win new customers and close loan contracts. Even the Selic rate is low and favors negotiations.
The basic interest rate is a benchmark for investments and transactions that involve credit for the purchase of a property and has fallen in recent years. However, banking institutions also use others for financing, which vary according to the profile of consumers, in addition to different terms and conditions.
Understanding the interest trends related to real estate financing is essential for anyone who wants to make investments in this area. When you know the practices of banks and finance, you will choose the best option to buy your own house or apartment and pay lower prices during the time you are paying the installments.
Meet the main interest trends of 2021
When contacting an institution to request its financing, check the value of the assessment fee that will be charged by the appraiser. This tariff raises the price of the installments, making a difference in the total amount financed. Check what advantages are offered to contractors and how the attendants relate to the public.
The interest rate that is applied on the financed amount is low and impacts the financing conditions. If the Selic rate is too high, the acquisition of real estate through bank loans is not indicated, as the installments will be higher. Currently, this percentage is 3.5% per year, so it is still advantageous.
In view of this, real estate financing is offering less risk than other types of investments. The installment terms are quite attractive for those who intend to invest in real estate. It is likely that interest rates will not rise again over the next few months, which is why this is the ideal time to contract.
Interest on real estate financing will continue to fall in the coming years. As a result of the insecurity caused by the crisis, Brazilians are saving resources in savings, which will be used to offer residential credit. Competitiveness among banks has increased and these institutions have had to lower various fees to win over the public.
Inflation is stabilized, and the real estate market scenario tends to change positively. The Brazilian Association of Real Estate Credit Entities (ABECIP) forecasts the growth of financing for the purchase of real estate. On the other hand, the demand for properties far from urban centers and with space for home offices is likely to continue to increase.
Diversity of offers
In the last few years, financial institutions have started to offer a variety of different credit lines. Real estate financing was facilitated due to the decrease in the Selic rate, and consumers were encouraged to fulfill their dream of buying property. The drop in interest rates has increased the purchasing power of those who intend to invest in this area.
Many investors saw the opportunity to acquire new units to live on an income. In fact, the Reference Rate (TR) registered a considerable drop and benefited real estate financing. This situation influenced financial institutions to reduce their rates in order to offer better credit conditions to buyers.
Another current trend is the appreciation of real estate, which is an excellent investment for the future. The search for better quality of life, the fall in interest rates and inflation are responsible for the increase in the value of real estate properties, since they have provided the creation of an attractive scenario for this market.
It is worth noting that consumers have the opportunity to evaluate the available alternatives and choose the most attractive indices, such as the Extended National Consumer Price Index (IPCA). They also have the opportunity to choose fixed or pre-fixed rates when hiring the credit line, as well as to determine the location of the property they intend to finance.
Difficulties to buy property in the future
Consumers interested in having their own property need to take advantage of the opportunity, given that the current context indicates that, in a few years, it will be very difficult to acquire real estate units. The tendency is for interest rates to rise and for financing to become more expensive in a short time. For that reason, it is worth evaluating the financial products accessible now.
Although the installment payment reaches 30 years for the total settlement of the debt, the moment is beneficial for those who want larger properties. Social isolation made people realize that they need more space to live with the family and carry out their professional activities in the comfort of their home, in an appropriate place.
Find out how CrediPronto supports this achievement
The CrediPronto helps finance the property itself, since it was created by the merger between Itaú and Lopes to provide focused consulting in financing this area. It is a benchmark in the Brazilian market, streamlining and facilitating access to credit and payment in installments for its business partners, in addition to eliminating bureaucracy.
Now you know the trends in real estate financing interest for 2021. CrediPronto only finances residential and commercial properties that are ready to hand over the keys and does not close any contracts while the properties are still on the plant to offer more security to its customers.
Still have doubts about how interest rates work for real estate financing? Contact us and be served by one of our consultants!