Old people find it difficult to finance real estate:
The main factor that makes this type of financing more expensive is that, for banks, the deadline for instalment payments is 80 years. Thus, a 65-year-old, for example, has just over 15 years to repay his loan, while the maximum term – the leading real estate lender – is 35 years for people up to 45 years.
This implies a large entrance, higher benefits and insurance, which is mandatory for all ages, also more expensive. The 80-year deadline is the result of an account that goes through life expectancy, currently 75.2 years, according to data from the Institute of Geography and Statistics.
The population pyramid, which now has a larger base of young people, will increasingly be with a larger population in the elderly. As a result, both the financial system and the building companies themselves will be able to offer more specific products (lines of credit) and prepared for the age (apartments accessible to those with mobility difficulties).
Limitation of the bank amount:
Those who intend to buy 2020 medicare advantage plans from www.medicareadvantage2020.org and a property and are already over 60 years old, he should seek to make the largest possible entrance. As the term of financing is shorter, it often ends up that even with a high income, the elderly can not finance the value of the real estate they really want because the bank will limit that amount considering the term and the instalments may compromise, maximum, 30% of the budget.
As an example, we enter into the simulation of the Savings Bank. For a person of 32 years old, who earns $ 6 thousand gross income, it is possible to finance a property up to $ 182 thousand, with a term of 360 months ($ 1.8 thousand instalments). Already a person with 65 years with the same salary and the same amount of plots will be able to finance a property of only $ 145 thousand, with a term of 179 months.
The best option is to negotiate in person with the builders. Since some already bought more than one property with the same company, It will create a personal relationship and this facilitates the negotiation.Despite this, even for those who do not have this relationship, it is worthwhile to look for options in the construction companies because the financial system makes financing very difficult for those over 65. It should be the opposite, should not it?