Through the sale contract with reservation of ownership it is possible to immediately buy the availability of a house and live there, paying the purchase price in installments, without turning on a mortgage.
When you want to buy a house, you face two types of problems: finding a substantial liquidity and Rental Properties Christchurch necessary to pay the initial deposit to the seller and the search for a bank loan appropriate to your income. The same bank can finance up to 80% of the purchase price, unless the borrower offers additional guarantees to supplement the mortgage on the home.
Few people know, however, that even those who do not have the possibility of accessing a loan can buy a house without a mortgage by taking advantage of a series of instruments provided for by the civil code. For example, there is the sale with reservation of ownership and the sale subject to termination condition. Then there is rent to buy which is a contract specifically designed for those who do not have liquidity at the moment and yet do not want to miss the opportunity to live in the house of their dreams or Rental Properties Christchurch.
All this should give new life to the real estate sector, and allow those who want to move house, to take advantage of many more solutions offered by the market. These are contractual provisions that, as such, must in any case find the agreement of both parties, ie both the seller and the buyer. The latter, in other words, does not have a right but only a faculty. If there is an agreement between the contractors (owner and buyer), then it will be possible to buy a house without a loan, otherwise a bank will have to be involved. But let us proceed in order.
Buying a home without a mortgage in installments. In general, the price of a sale is paid when the contract is signed. However, the parties may also provide – usually to meet the purchaser – that payment of the price be deferred in a series of installments to be paid after the sale. In such cases, how can you protect the seller from the possibility that the buyer is in default and does not pay the agreed deadlines?
Two contractual forms can be used: the sale with reservation of ownership and the sale subject to termination condition. However, in the first case (sale with reservation of ownership), despite the stipulation of the contract, the property remains with the seller until the balance of the price or the payment of the last installment.