The Convened Loan (PC) is a loan that offers you to finance the acquisition of your property without any means test. It is granted by all banks or financial institutions having previously signed an agreement with the State. Subscribing to this loan gives you access to personalized housing assistance (APL) granted by the family allowance fund.
What operation can we finance with this type of credit?
Like other real estate loans, the approved loan can finance all the operations of acquisition or construction of a real estate property provided that it is intended for the purchase of a main house.
The approved loan can cover up to 90% of the total cost of your purchase. In order to form your personal contribution and complete the balance of your financing, this credit can be combined with other loans.
How long to choose?
You can choose a duration that suits your goals. If the loan is intended for the construction of your land or the acquisition of new or old housing, you can spread your monthly payments over a period of 10 to 25 years. If it is intended solely for the redevelopment of an already existing property, the duration of the loan can vary between 5 and 15 years.
Which rate to choose?
The loan approved can be contracted at a fixed or variable rate. It is capped and its value depends on the lending institution. Generally, it is between 5.80% to 6.50% in the case of a fixed rate, and from 4.95% to 5.50% for a revisable rate.
What are the advantages of an approved loan?
The rate offered by the loan agreed ahead of that offered by conventional banking products, however several advantages encourage the borrower to use it:
- It is granted to households without any means test.
- It provides access to personalized housing assistance
- It allows you to benefit from certain tax advantages if your acquisition is new.
- It allows you to accumulate loans to finance the total cost of your project without worrying about any fees.
Are there conditions to contract the loan agreement?
Obtaining this loan is subject to several criteria concerning your property.
- The funded residence must be used as primary housing.
- This residence can be occupied by yourself or your spouse, or your ascendants or descendants or those of your spouse.
- The area of the property must meet the habitability standards according to the composition of the home and the type of property.
- The price must not exceed the ceiling fixed according to the geographical area.
- In the case of construction of a detached house, the work must not exceed a period of 3 years maximum.
Can it be combined with other loans?
The approved loan can be supplemented by other types of loans such as the 0 rate loan, the housing action loan, the housing savings loan, the civil servant loan, the bridging loan, etc.