Warning, borrowing money also costs money.
Achieve Your Property Dream with a Mortgage Loan!
Discover our Mortgage Loan solution, designed to finance the purchase of your primary residence, second home, or a rental investment in Belgium and Luxembourg. Simulate your borrowing capacity and take the first step towards homeownership.
Simulate your Mortgage 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.
Discover the Mortgage Loan: The Key to Financing Your Property Project
A Mortgage Loan (or home loan) is a long-term loan specifically intended to finance the purchase, construction, or major renovation of a property (house, apartment). Its unique feature lies in the guarantee it involves: a mortgage taken out on the financed property, in favor of the lending institution. Available in Belgium and Luxembourg, it is the most common solution for becoming a homeowner.
What types of property projects can you finance?
- Purchase of a primary residence: Your main place of living.
- Purchase of a second home: For your holidays or weekends.
- Rental investment: Purchase of a property intended for renting out.
- Construction of a new house: Financing your construction project from A to Z.
- Purchase of a building plot: For a future construction.
- Major renovations: If the amount is significant and justifies a mortgage guarantee (often combined with a purchase).
- Buying out a share: To acquire a share of a property following an inheritance or divorce.
Thanks to our online Mortgage Loan simulation, you can instantly estimate:
- Your borrowing capacity for your property project.
- The estimated monthly payment based on the amount and duration.
- The possible repayment term (often between 10 and 30 years).
A Mortgage Loan involves generally high amounts and long repayment periods. It requires a thorough analysis of your financial situation and the creation of a solid application file, including an appraisal of the property and an appointment with a notary for the mortgage registration.
Free • No obligation • Get a first estimate
Advantages and Specifics of a Mortgage Loan
The Mortgage Loan is the prime route to homeownership, offering benefits tailored to the scale of the investment:
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Access to large amounts : Allows for the financing of the substantial sums needed to purchase or build a property.
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Extended repayment terms : Generally from 10 to 25 years, or even 30 years, allowing the financial burden to be spread out for manageable monthly payments.
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Competitive interest rates : Thanks to the mortgage guarantee, rates are often lower than for other types of loans with similar durations. Fixed, variable, or hybrid rate options are available.
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Building personal wealth : Each capital repayment increases your ownership stake in the property, thus building your assets.
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Potential tax benefits : Depending on the legislation in force in Belgium or Luxembourg, certain interest and capital repayments may be tax-deductible (conditions to be verified).
A Mortgage Loan is a major financial commitment. It is crucial to prepare your project thoroughly and to get expert guidance to choose the most suitable formula (rate, term, insurance).
The Key Steps to Getting Your Mortgage Loan
Financing a property is a structured process. Here are the main steps:
1. Evaluation & Simulation
Define your budget and your personal contribution. Use our simulator for an initial estimate of your borrowing capacity and monthly payments.
2. Application & File
Fill out the online application. Prepare a complete file: ID, income, expenses, details of the property project (preliminary sales agreement, if available).
3. In-depth Analysis
Our specialized advisors analyze your financial situation and the feasibility of your project in detail. A property appraisal may be requested.
4. Loan Offer (ESIS)
If your application is approved, you will receive a formal loan offer (European Standardised Information Sheet – ESIS) detailing all the conditions.
5. Notarial Deed & Funds
After accepting the offer, the loan agreement and purchase deed are signed at the notary’s office. The funds are then released for the property acquisition.
Our expert home loan advisors will personally guide you through every step of this important life project.
Rate Types and Conditions for Your Mortgage Loan
Choosing the rate type is a crucial decision for your Mortgage Loan. Here are the main options:
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Fixed rate: The interest rate remains unchanged throughout the entire loan term. Your monthly payments are constant, offering perfect predictability and protection against rising rates. It is often the preferred choice for security.
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Variable rate (or adjustable rate): The interest rate can move up or down, according to the fluctuations of a benchmark index (e.g., Euribor). Monthly payments can therefore vary. Often lower at the start, it carries a risk of increasing. Formulas with a “cap” can limit this risk.
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Hybrid rate (or semi-variable): Combines a fixed-rate period at the beginning of the loan, followed by a variable-rate period, or reviews at fixed intervals (e.g., every 5, 10 years).
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Loan-to-Value (LTV) ratio: This is the ratio of the borrowed amount to the property’s value. Generally, a personal contribution (down payment) is required (covering at least the notary and registration fees). Borrowing 100% or more of the property’s value is rarer and subject to strict conditions.
Other important conditions include outstanding balance insurance (often required, it covers the loan in case of death) and home insurance (mandatory). Our advisors will help you choose the loan structure best suited to your profile and project.
Prepare Your Property Purchase and Its Financing
A successful property project starts with good preparation. Here are the keys to approaching your financing with peace of mind.
Assess Your Financial Capacity
Calculate your personal contribution (available savings). Determine the amount of monthly payments you can comfortably afford, considering your income and current expenses.
Define Your Property Project
What type of property (house, apartment)? What location? What are your essential criteria (number of bedrooms, garden, etc.)? A clear vision of your search is essential.
Gather the Documents
Prepare your proof of identity, income (payslips, tax assessments), expenses (bank statements), and personal contribution. A well-prepared file speeds up the analysis.
Good preparation will allow you to negotiate your purchase with confidence and obtain your Mortgage Loan more easily.
Testimonials: They Became Homeowners with Our Mortgage Loan
“Buying our first house was a big step! CPE Crédit guided us from A to Z, from the simulation to the signing at the notary’s office. Our advisor was very patient and answered all our questions about rates and insurance. A huge thank you!”
“We were looking to finance an apartment as a rental investment. CPE Crédit was able to offer us a Mortgage Loan solution tailored to this type of project, with clear conditions. The process was simpler than we imagined.”
Our clients particularly appreciate for their Mortgage Loan:
- The personalized support from our advisors throughout this life project.
- The clarity of the explanations on the different rate formulas and insurance policies.
- The responsiveness and professionalism of our teams in preparing the application file.
With the right Mortgage Loan, your dream of becoming a homeowner is within reach. We are here to help you make it a reality.
Mortgage Loan FAQ
Find detailed answers to the most frequently asked questions about our Mortgage Loan (home loan) here. This solution is designed to finance your property project in Belgium and Luxembourg.
A Mortgage Loan (or home loan/property loan) is a long-term loan taken from a financial institution to finance the purchase, construction, or major renovation of a property (house, apartment).
Its main specificity is the guarantee it requires: a mortgage. The mortgage is a legal claim granted to the lender on the financed property. In case of non-repayment of the loan by the borrower, the lender can, as a last resort, have the property sold to recover the amounts due. This solid guarantee allows lenders to offer large amounts and long terms at interest rates that are generally lower than consumer loans.
The personal contribution (or down payment) is the sum of money you can invest from your own savings into your property project. It has become an almost essential element for obtaining a Mortgage Loan.
As a general rule, lenders require your contribution to cover at least:
- Notary fees: These include registration duties (or VAT for new builds), the notary’s fees, and various administrative costs. These fees can represent a significant portion of the total cost (e.g., 10-15% of the purchase price in Belgium for an existing property).
- Loan deed fees: Fees related to the registration of the mortgage.
Ideally, a larger personal contribution (e.g., 10%, 20% or more of the property’s purchase price, in addition to the fees) is a major asset:
- It reduces the amount you need to borrow (the LTV ratio).
- It can give you access to better interest rate conditions.
- It reassures the lender about your savings capacity and financial management.
Borrowing 100% of the property price plus fees has become very rare and is subject to very strict conditions (excellent borrower profile, high income, etc.). Discuss your contribution situation with our advisors.
The choice between a fixed rate and a variable (or adjustable) rate is an important decision that depends on your risk profile and long-term vision.
- Fixed Rate:
- Advantage: Security and predictability. The interest rate and your monthly payments remain the same throughout the loan term, regardless of market fluctuations. You know exactly how much you will pay each month.
- Disadvantage: The initial rate may be slightly higher than a variable rate at the time of subscription. You don’t benefit from rate decreases if they occur (unless you consider a costly refinancing).
- Variable Rate (or Adjustable Rate):
- Advantage: The initial rate is often lower than a fixed rate. If market rates fall, your monthly payments may decrease (or the loan term may be shortened).
- Disadvantage: Risk of an increase. If market rates rise, your monthly payments will also increase, which can impact your budget. There are variable rate formulas with a “cap” to limit this increase, but this comes at a cost. Revisions occur at fixed intervals (e.g., annually, every 3 or 5 years).
- Hybrid Rate: This is a compromise, with an initial fixed-rate period (e.g., 5, 10 years) for security, followed by a variable-rate period.
There is no single “best” choice. It depends on your risk aversion, the interest rate environment at the time of borrowing, and your financial outlook. Our advisors will help you analyze the options.
The repayment term for a Mortgage Loan is generally long because the amounts borrowed are significant. The most common terms range from 10 to 25 years.
Certain factors can influence the maximum possible term:
- Your age at the time of application: Lenders ensure that the loan will be repaid by a certain age (e.g., 70 or 75). A younger borrower can therefore opt for a longer term.
- Your monthly repayment capacity: A longer term reduces monthly payments but increases the total cost of the credit (more interest paid).
- The lender’s policy: Some lenders may offer terms up to 30 years in specific cases, but this is less common.
Choosing the right term is a balance between manageable monthly payments and a controlled total cost of credit. A personalized simulation with our advisors will help you see more clearly.
Several insurance policies are generally associated with a Mortgage Loan:
- Outstanding Balance Insurance: This is the most important one. It is often required by the lender. In the event of the borrower’s death (or one of the co-borrowers), the insurance repays the remaining capital of the loan, thus protecting the heirs (spouse, children) from this burden. It can also include coverage for disability. The cost depends on the age, health status, amount, and term of the loan.
- Home Insurance (or Fire Insurance): This is mandatory. It covers the property (the building) against risks such as fire, water damage, storms, etc. The lender will require proof of this insurance as the property is their guarantee. You can add coverage for the contents (your furniture and personal effects).
- Income Protection Insurance (optional): Less common, it can cover part of your monthly payments in case of involuntary job loss or temporary incapacity to work.
CPE Crédit can advise you and offer competitive insurance solutions through its partners, but you are generally free to choose your insurer (especially for outstanding balance and home insurance), provided the coverage is equivalent to that required by the lender.
Buying a property involves significant costs in addition to the price of the property itself. It is crucial to anticipate them:
- Notary Fees (for the purchase deed):
- Registration duties (for an existing property, the rate varies by region in Belgium, e.g., 3% or 12.5%; or 7% in Luxembourg) or VAT (21% in Belgium / 17% or 3% under conditions in Luxembourg for a new construction).
- The notary’s fees.
- Various administrative costs (searches, copies, etc.).
- Loan Deed Fees (for the Mortgage Loan):
- Registration duties on the mortgage registration.
- Mortgage fees (land registry).
- The notary’s fees for the loan deed.
- Bank arrangement fees: Fees charged by the lender for studying and setting up the mortgage loan file.
- Property appraisal fees: If the lender requires an appraisal of the property’s value, the fees are generally your responsibility.
- Insurance premiums: The first premium for the outstanding balance insurance and home insurance.
In total, these fees can represent a significant percentage of the purchase price (for example, 10% to 15% in Belgium for an existing property). This is why the personal contribution is so important to cover them. Our advisors will help you estimate these costs for your project.