5. Making a smart acquisition

It is preferable to choose a property that can be resold easily. If your creditor (bank or company providing the guarantee) is forced to sell the property to recover its funds, it is more likely to avoid taking a loss if the loan is on a property that will quickly attract a buyer.

This is a relatively subjective criterion, and you will likely be able to back up your choice (proximity to major roads, stunning views, etc.), as your reasons for choosing the property will probably hold true for other buyers as well.

Banks always try not to exceed a certain percentage for repairs. Renovations are considered as an add-on to the purchase, and will not necessarily appreciate at the same rate as the value of the asset financed. It is fairly common to see limits of 30% to 40%. However, the nature of the repairs plays an important role in the assessment. Creating surface areas brings real added value, while improvements or development work (e.g., wallpaper, paint) are considered secondary.

You are committed to reimburse your mortgage Loan. Verify your ability to reimburse before committing.