Warning, borrowing money also costs money.
The Home Loan: The Key to Your Future Home!
Whether you dream of a house with a garden, a city apartment, or a construction project, the home loan is the tailored financing solution to bring your life project to fruition in Belgium and Luxembourg.
Simulate Your Home LoanLegal Notice
** A loan commits you and must be repaid. Check your repayment capabilities before committing. The rates indicated are for information purposes only and subject to approval of your application.
The Home Loan: Your Passport to Ownership
The Home Loan, also known as a real estate loan or mortgage, is a financing specifically designed to help you become a homeowner. It is a long-term loan that covers the purchase, construction, or renovation of your home. Although it is most often secured by a mortgage, its primary goal is to turn your housing project into a reality.
Bring all your housing projects to life:
- Purchase of your primary residence: The family cocoon where you’ll build your memories.
- Acquisition of a second home: Your getaway for holidays and weekends.
- Making a rental investment: Build your assets and generate additional income.
- Construction of your own home: Finance the project you’ve envisioned, from the first stone to the last tile.
- Purchase of a building plot: The essential first step for your future construction.
- Major renovations: Transform an existing property to perfectly match your needs.
- Buyout of a co-owned share: Become the sole owner of a jointly held property.
Our Home Loan simulation gives you a clear and instant overview of:
- Your potential purchasing budget.
- Your future monthly repayment.
- The ideal term for your loan (usually from 10 to 30 years).
A home loan is a significant commitment that structures your long-term budget, but it is also the most concrete investment in your future and quality of life. A well-prepared application is the key to success.
Free • Fast • No obligation
Why is a Home Loan the ideal solution for your project?
Choosing a home loan means opting for a powerful and flexible financing solution, perfectly suited for real estate projects:
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Financing that matches your project’s scale: Access significant capital, impossible to obtain with a personal loan, to buy the property of your dreams.
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Monthly payments tailored to your budget: Thanks to repayment terms that can extend over 20, 25, or even 30 years, your monthly payments are reduced and fit comfortably into your finances.
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Favorable interest rates: The property guarantee allows lenders to offer very competitive rates (fixed or variable), making your project more affordable.
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Building your assets: Every month, you’re not paying rent into a void; you’re investing in a property that belongs to you.
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Potentially attractive tax benefits: Depending on your region and situation, you may be eligible for tax advantages related to your mortgage loan (conditions to be verified).
A home loan is a major decision. Our role is to *advise and support you* in finding the best loan structure that will turn your project into a success.
From simulation to handing over the keys: the 5 steps of your Home Loan
Obtaining a home loan follows a clear and structured path. Here are the steps we will take together:
1. Simulation & Budget
Use our online tool to determine your borrowing capacity. This is the first step to knowing what type of property you can look for.
2. Application Submission
Submit your application online and gather the necessary documents (ID, income, expenses) to build a solid and complete file.
3. File Review
Our analysts review your financial profile and the consistency of your project to ensure its feasibility and offer you the best conditions.
4. Receiving the Offer
After approval, you will receive an official credit offer (ESIS) that clearly details the rate, term, monthly payments, and all conditions.
5. Signing & Acquisition
You sign the deed of sale and the loan agreement at the notary’s office. The funds are released, and you receive the keys: welcome home!
Our home loan experts will personally guide you through each phase of this exceptional project.
Fixed or Variable Rate: Which formula for your Home Loan?
The choice of the rate formula is crucial for the comfort of your repayment. Let’s analyze the options together:
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The fixed rate: absolute peace of mind. The interest rate is locked in for the entire loan term. Your monthly payments are the same from the first day to the last. This is the ideal option for those who prioritize security and budget predictability.
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The variable rate: flexibility. The rate changes according to the financial markets on dates specified in your contract. It may be lower at the start but carries a risk of increasing. “Capped” formulas can limit this increase.
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The semi-variable rate: the smart compromise. This formula combines an initial long period at a fixed rate (e.g., 10 years) for security, followed by a variable-rate period.
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The importance of a down payment. This is your initial contribution. A down payment covering at least the notary fees is almost always required. The larger your down payment, the better your loan conditions will be.
Don’t forget the essential insurance policies: outstanding balance insurance (which protects your loved ones in case of death) and building fire insurance (mandatory). We help you see clearly to make the best choice.
Put all the chances on your side: prepare your application well
A well-prepared project is a project halfway financed. Follow these tips to approach your application with confidence.
Anticipate your budget
Take stock of your available savings (your down payment) and analyze your income and expenses to define a realistic maximum monthly payment. This will determine your purchasing budget.
Clarify your project
House or apartment? New or old? Which area? List your “non-negotiable” criteria and your “wishes.” A targeted search is more effective.
Prepare your documents
Gather your payslips, employment contracts, bank statements, and ID in advance. A complete and well-organized file is a sign of seriousness and speeds up the process.
This preparation will give you a head start and strengthen your position with both the seller and the lender.
They made their real estate dream a reality with a Home Loan
“Becoming homeowners seemed complicated to us, but the CPE Crédit team made things simple and clear. Our advisor guided us at every step for our home loan and found the fixed-rate formula that reassured us. We are finally home!”
“As a self-employed person, my file was a bit more complex. CPE Crédit took the time to analyze it thoroughly and helped me finance the construction of my house in Luxembourg. A truly tailor-made service.”
What our clients remember about our support for their Home Loan:
- Personalized advice for such an important project.
- The clarity of the proposed solutions, without incomprehensible jargon.
- The speed and efficiency in processing their application.
Your real estate project deserves the best financial partner. Let’s get to know each other!
Home Loan FAQ
All the answers to your questions about financing your real estate project. The home loan is the solution for buying, building, or renovating your home in Belgium and Luxembourg.
In practice, these two terms are very often used as synonyms. However, a nuance can be noted:
- The Home Loan (or real estate loan) refers to the purpose of the loan: financing a home. It is a term centered on the borrower’s project.
- The Mortgage Loan refers to the guarantee of the loan: the mortgage. It is a more technical term that describes the legal mechanism that secures the lender.
In summary, a home loan is almost always a mortgage loan, because to lend such large sums over a long period, the bank will take a guarantee (a mortgage) on the real estate property you are financing.
Yes, in almost all cases, a down payment is essential. Banks very rarely finance the entire cost of an acquisition (price of the property + all fees).
Your down payment should ideally cover at least all the acquisition costs, which include:
- Registration fees (regional tax on the purchase) or VAT (for new properties).
- The notary’s fees for the deed of sale and the loan agreement.
- The lender’s application fees.
A larger down payment, which covers a portion of the property price in addition to the fees, is a very positive signal. It demonstrates your ability to save, reduces the risk for the lender, and often allows you to get a better interest rate.
It’s a personal decision that depends on your risk tolerance.
- Opt for the fixed rate if you’re looking for security. Your rate is guaranteed for the entire loan term, and your monthly payments will never increase. It is the most chosen formula for its predictability, ideal for managing a family budget without surprises.
- Consider the variable rate if you’re willing to accept a certain risk in exchange for a potentially lower starting rate. Your monthly payments will follow market trends (both up and down) on dates specified in the contract. “Capped” formulas exist to limit the maximum rate increase.
There are also intermediate formulas, called “semi-variable,” which combine a fixed period and a variable period. Our advisors are here to simulate the different scenarios and help you choose the best option for you.
There is no universal “ideal term”; it’s a balance to be found. The most common terms for a home loan range from 15 to 25 years. A term of up to 30 years is sometimes possible, especially for younger borrowers.
- A shorter term (e.g., 15 years) means higher monthly payments, but a much lower total cost of credit (you pay less interest).
- A longer term (e.g., 25 years) allows you to reduce the amount of your monthly payments, which can be more comfortable for your monthly budget. In return, the total cost of interest paid will be higher.
The goal is to find the term that allows you to repay your loan comfortably, without depriving yourself, while optimizing the overall cost. The simulation is the best tool to compare the different options.
Two insurance policies are almost always associated with a home loan:
- Outstanding Balance Insurance: This is a fundamental protection. If you were to pass away before the end of the repayment, the insurance repays the remaining capital to the bank. Your heirs (spouse, children) do not have to bear this debt and can keep the property. It is almost systematically required by the lender.
- Fire Insurance (or home insurance): It is legally mandatory. It covers damage to the building (fire, water damage, natural disaster…). The lender requires it because the building is the guarantee for their loan. You must provide them with a certificate of insurance.
Although the lender may offer you their own insurance solutions, you are free to choose your insurer, provided that the guarantees offered are sufficient.
The term “notary fees” actually groups together several different cost items. It is important to anticipate them in your budget as they are significant.
The most significant part consists of taxes for the State:
- Registration fees (for an existing property) or VAT (for a new property). The rate varies greatly depending on the region (Belgium) or country (Luxembourg) and the nature of the property.
Then come:
- The notary’s fees, which are their remuneration for drafting the deeds (sale and credit).
- Various administrative costs for searches, mortgage registration formalities, copies, etc.
As a general rule, you should expect these fees to represent between 10% and 15% of the purchase price for an existing property in Belgium. This is an estimate, but our advisors can provide you with a much more precise estimate for your personal project.