In any case, a favorable opportunity to achieve your home goal is to save your apartment savings, in short LTP, where we raise money to buy, renovate, remodel, insulate or even replace a regular kitchen!
Get the highest deposit return
It has many features, but if you want to get the highest deposit return (GFIC) you need to pay more attention when you open it. Homeowners can reduce the duration and the amount of the loan with this option. Choosing the LTP maturity is crucial! The annual yield of 9.86-12.55% for 4-year home savings is more favorable than the 4.23-5.23% for 10-year-olds.
What to look for when opening an LTP account:
What’s worth it! – I quote the expert’s opinion
- To prepay your home loan
- For higher deposit yields
- For lower self-sufficiency in buying a home
- For smaller renovations
- Within 4-6 years to achieve the housing target
For longer term:
- For a higher amount of home savings
- Annual State Aid for several years to receive!
- You can get a higher amount of LTP credit
- We can get money for more housing purposes
- It also helps our children achieve their housing goals
- To achieve housing target within 8-10 years ”
Maturity and yield are related!
If we expect the highest deposit yield, we can achieve this with a shorter maturity.
- With 4 year contract max. we can reach 12.53% a year.
- For a 10-year contract, only 4.22-5.22% per annum.
Yield also depends on the account opening fee, the individual promotions and the size of the deposit interest.
Home savings are needed when you have an existing home loan. We can reduce our debt by paying a larger amount at an earlier date, this is called a home loan prepayment.
Our savings and credit:
LTP can be an aspect,
- to make the most of our savings,
- but also to make the LTP contracted home loan available after the end of the savings as cheap as possible
- For others, the higher the credit,
- Finally, if we were to be afraid of change, we could secure our state support for 10 years!
Here are the 4 factors:
- The higher the savings, the higher the amount we pay, and the longer the term, we get a 30% state subsidy in proportion.
- The cost of credit depends on the APR. The lower the APR, the cheaper the loan. In the case of 10-year contracts, the APRs are 3.76-7.4%, whereas in the case of 4-year contracts it is 4.49-8.4%.
- The loan amount is the difference between the contract amount and the savings portion. The contract amount varies by modality. We can get the contract that suits us best.
Ways to transfer the contract:
- Changing the person who saves the apartment. Thus, the payer of the contract may change, with the agreement of both parties, the contract will be carried forward and the state benefit will be transferred on the basis of his tax number.
- We may change the identity of the previously named beneficiary who will use the savings and may also apply for government assistance. Here again, the new beneficiary can only be a close relative.
- We can be beneficiaries ourselves, but we may change this later for the benefit of our children.
It is provided by the state budget and can be used under certain conditions. Every payment of the apartment savings is subject to a 30% subsidy (up to a maximum of HUF 72,000 a year) on the subject right.
An exception to this is, for example, when you take out a bridging loan for the purpose of arriving at a home or property earlier.
What is a Bridging Loan, I quote from a specialist:
- “The minimum amount is $ 1,000,000, the maximum is the maximum contractual amount (LTP)
- a minimum of 14, a maximum of 124 months (a maximum of 252 months including a home savings loan) and
- the youngest debtor can reach 75 years of age “
If you would like to take out a home loan, save a home, you are interested in your options, you are interested in buying a home on the market and tailored to your wallet, contact our credit broker for personalized offers!
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