extension of repayment terms for real estate loans

Since the beginning of 2024, two regional banks have taken a decisive step: they have extended the validity period Maximum repayment period for a real estate loan at 30 years old compared to 25 years earlier. This news, accompanied by a slight fall in rates starting in December 2023, offers a welcome breath of fresh air for the economy. Residence, an ecosystem dedicated exclusively to real estate. These measures will not only make it easier for first-time buyers to access properties, but will also speed up the entire transaction chain.Purchase and sale of the real estate market.

New life for the real estate market!

For License for the La Résidence brandthis initiative is a positive signal that will breathe new dynamism into all real estate sector. Since the end of 2019, the Higher Council for Financial Stability (HCSF) has introduced strict criteria for banks when issuing real estate loans. These restrictions, coupled with rising interest rates, have severely constrained the market in 2023, leading to a downturn in transactions.

Thanks to this extension of lending conditions, the real estate market should regain its momentum, thereby revealing its full potential. However, despite the respite provided by banks with extensions of up to 30 years, it is important to note that transaction volume must remain in line with demand, which has declined significantly since 2023. Moreover, the solution HCSF The reduction of the performance threshold to 10% at the end of December 2023, allowing repayment deferrals of up to two years instead of the previous 25%, should also encourage such an extension of loan terms.

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