How to cancel a sales agreement?

The house of your dreams does not make you dream more? Here are your solutions! The sales agreement commits you to buy, so it is difficult to cancel it. You still have a withdrawal period and conditions precedent, including obtaining a bank loan. Be careful, you may have to pay damages in case of cancellation if these criteria are not met.

The withdrawal period
The loan obtaining: a condition
Are there other solutions?

The withdrawal period

The signing of the preliminary sale of a property, otherwise known promise indenture, is a bilateral promise. It therefore binds the seller but also committed as a buyer.
However, you are protected by law, which in fact gives the buyer a withdrawal period of 7 days (Art. L.271.1 the construction code and housing). You can during this time to cancel your purchase without having to justify yourself and without paying compensation.
The loan obtaining: a condition

Beyond the withdrawal period, suspensive clauses allow you to cancel the sales agreement. In addition to the specific clauses may be specified in the contract, there are mandatory: the condition precedent of obtaining loan (Article L312-16 of the Consumer Code.).
If all banks you visit refuse to grant you a loan for your purchase, the sale is canceled, and you will not have to pay compensation. You will nevertheless prove these refusals from the seller.
Are there other solutions?

The conditions listed above are in theory the only possibilities for canceling a sales agreement: do not forget that it commits you to buy! However, the existence of defects of consent or hidden defects will void the sale. If none of these conditions exist, you will have to pay damages in the order of 5 to 10% of the sales price if you want to cancel your purchase.

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couples aged 50 How to get a mortgage if you are over 50

Between 50 and 60/65 years, it is relatively easy to borrow for a property investment. Lenders offer solutions and assurance of the loan can always delegate in case of refusal (or bad conditions guarantees) of the bank. After 60 years, the real estate loan can however become more difficult.

Two different situations for over 50 years
Credit forms adapted for the end of active life or retired
Insuring credit after 50 years

Two different situations for over 50 years

According to INSEE, the over 50 now represent 30% of Americans. They have overall higher earnings and an already established heritage. In the specific case of the fifties, they are in their great majority in good physical shape. Therefore, this age group generally has easy access to mortgages.

But passed the 60-65-year borrowing becomes more complicated. 65 is also the limit posed by many financial institutions to grant loans Immo. However, some of them offer senior loans to repay up to 85 or even 90 years.
Credit forms adapted for the end of active life or retired

What bankers assess when granting the loan over 50 years is the issue of retirement approaches.

As incomes fall when continually working life, banks offer loans bearings. The borrower pays high monthly payments as long as he is active and then lower.

Obviously, a fixed rate loan is preferable. It helps secure the budget when there are doubts about the future of pensions. Otherwise, choose a capped floating rate used to limit the influence of variations.

The rates are the same regardless of the age of the borrower. The 50 years have the advantage of having a significant personal contribution and thus benefit from more favorable terms.
Insuring credit after 50 years

The senior debt overhead is related to credit insurance. Most groups assurances accept subscriptions up to 65 years and their guarantees cease to 70 years for life insurance and 65 years for disability and disability.

The insurance delegation helps create competition and to move towards specialized brokers.

After 60 years, the medical examination is mandatory. If it is unfavorable, you benefit from the Aeras agreement.

security and flexibility with modular option

This is the preferred form, offering the security and flexibility with modular option. The maximum duration of fixed-rate home loan is 40 years. It is possible in some cases to obtain a total funding (including notary fees).

The loan rate is set at the signing of the loan agreement and will not change unless you renegotiate your credit or if you repay the advance.
Fixed rates are indexed OAT (fungible Treasury bonds) ten years the bonds of the French state in 10 years.

The main advantage of fixed rate security. You know from the outset the amount of your monthly payments and the total cost of credit and, regardless of market developments, the rate and duration of the loan will not change (unless you choose an adjustable loan).
You can manage your budget more efficiently.
In return, you do not take advantage of possible rate cuts and may end up paying too much interest in relation to market conditions.
In addition, the interest rate is higher than for a variable rate loan. Today, on average, there was a difference of 1.5 points between the two variable rates “pure” (without cap) and 1 point with reviewable capped rates.

Home loan rate varies according to:

The loan period.

Over the loan period is long, and the rate will be high. Currently, the difference between long durations rate (30) and the rate of short-term (10 years) is about 1%.

The personal contribution

The personal contribution can vary the rate of approximately 0.10% to 0.20%. To get a good fixed rate, it is especially preferable to have the adequate intake to fund legal fees.

The geographical area

Given the regionalized structure of banks, there may be slight differences between the two regions

Your personal profile

The age, occupation, income etc … are variables that can intervene in the calculation of the fixed rate.