Are you planning on purchasing a home?
....Tips from the experts

How much do I have to pay monthly?
This depends on the loan amount, interest rate and terms. While sellers and real estate promoters can provide you with information regarding the approximate monthly loan payment amount, we recommend you obtain this data directly from the bank.

Each case is different. It is possible that the loan payment amount will decrease when a Mortgage Officer is aware of the manner in which you administer your family’s income.

Perhaps it is best if you increase the downpayment. Maybe lengthening the terms can produce an advantage and surely will lower the amount you will pay monthly. In summary, you will more likely expand your options if you visit the bank.

When will the loan be approved?
In most banks, there is a Credit Committee whose job is to review a loan application; it does so in a certain time period. In Banco General, this processing period is fast; and in some fairs, i.e. CAPAC Expo Habitat, loans are approved immediately. You must only provide your Id Card and a copy of your Social Security Card and last pay stub.

It is important that you have good credit references. This is a determining factor when evaluating loan applications.

What happens if the house is not ready?
If you are applying for a mortgage to buy a house in a real estate development project that is currently under construction and you’re waiting to close on the sale of your home after your mortgage has been approved, you must make sure to demonstrate the same financial ability to pay that you had when you first applied for the loan. If you add on more debts, your debt capacity decreases, and if your mortgage lender checks up on your credit, it could be grounds for the denial of your loan.

Are the only required documents those, which I provided the bank when I first applied?
There will be two instances in which you will present documents:

Nobody likes to spend time requesting documents in busy, government offices. It is therefore recommended that you clearly ask the bank representative to provide a list of required documents, the order in which you must obtain them, and where you should request them. For example, the Paz y Salvo (Good Standing Certificate) expires after a certain period; thus, leave it last on the list. Remember to ask for the exoneration of real property tax, if applicable.

The staff at Banco General will notify you in case you need to update any document and the date in which you must turn it in. The idea is that the process flows smoothly. A good bank must provide this type of assistance.

I am self-employed. Do I have less probabilities of being approved for a mortgage?
Individuals who are self-employed must provide an Income Statement from the last 2 years, and payment receipts. Some banks do not accept retroactive income statements.

If you own a business, you must provide audited financial statements from the last 2 years.

Can retirees or pensioners apply for a mortgage?
Of course. The only difference is that the loan term may not exceed the maximum age limit of 75 years.

Can legal entities apply for a mortgage?
Yes. However, they can not apply for the benefits provided by the Preferential Interest Law.

Can I finance closing costs?
For some families, buying a home represents a period of adjustment, economically speaking, and financing the closing costs is a good option to make the transition easier. Banco General offers this option.

Do I need an appraisal and how much does it cost?
In some cases, Banco General carries out property appraisals at no cost to the client. It is part of our customer service.

Can I apply for a second mortgage?
Yes. You may hold more than one mortgage with the same bank. This, of course, will be determined by your debt capacity.

When do I star paying?
You will begin making your monthly mortgage payments once the house is ready and the deed is registered in the Public Registry.