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The Duration of Your Next Mortgage Loan

You want to buy a house or an apartment or carry out work in your home. Ideally, you should take out a loan or a mortgage loan. Would you like to know how many years it will take to repay your mortgage loan? This is, of course, an important parameter both for your banker, who must assess the risk, and for you, who must determine the final cost of your investment. Let’s take a look at this fundamental question that will influence your budget for a significant period of your life.

A mortgage loan? For what purpose?

In general, we imagine that taking out a mortgage loan is solely for the purpose of buying a house or an apartment. On the contrary, with a mortgage loan, you can finance many other investments such as:

What are the different possible durations?

You can repay your loan or mortgage loan over a period of 10 to 30 years. In the past, the duration was generally 15 to 20 years, but with the aging population, banks are increasingly accepting loans that can last up to 30 years.

The principle

In the notion of the duration of a mortgage loan, there are two parameters to consider:
  • The risk taken by the lending banker;
  • The total amount of interest you will repay.
It is clear that the longer the duration of your mortgage loan, the greater the risk of insolvency for your banker, and the higher the amount of interest paid at maturity.

Can the borrower negotiate a reduced interest rate the longer the duration of their loan?

It is clear that if you borrow for a duration of 30 years, your interest rate will be higher because you are asking your banking lender to take an additional risk. In this case, however, if your solvency guarantees prove solid, your bank might grant you an interest rate reduction if you make a motivated request.

Knowing the cost of your mortgage loan?

We invite you to use our credit simulator to know the different formulas applicable to your next mortgage loan. Do not hesitate to contact our brokers. Mrs. Jacqueline LEGRAND is our mortgage loan specialist with over 20 years of experience. She can find the product that meets your expectations and budget.

Fixed rate or variable rate?

Currently and in the long term, specialists and analysts expect an increase in interest rates. We therefore recommend a fixed rate. These range from 3 to 4%, which is very low.

Mortgage loan for seniors

Previously, after the age of 50, you could no longer find a bank willing to grant you a mortgage loan. Currently, and due to increased life expectancy, you can still take out a mortgage loan up to the age of 60 for a duration of 15 years. Of course, it will depend on the amount borrowed and the guarantees offered. If the loan is co-signed by future heirs, then there is no obstacle to the mortgage loan duration being much longer.
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