Repayment Capacity

Posted by

A big component of applying for a mortgage is your repayment capability. The lenders want to feel secure that you can pay the monthly mortgage amount you’d owe.
There are many ways to show this, but three common ones are savings, rent, and your current mortgage.

For example, if you have a 1500 euro monthly mortgage payment, they will want to see that you pay this amount for at least six months prior to an application. Recently we’ve been seeing a mistake with our clients. They save 1500 at the beginning of the month and gradually withdraw it as the days go by. When they save 1500 in one month and end with just 500 it’s only 500 saved that calendar month.

We can give you advice on the best way to monitor this at any stage. Feel free to contact me at james.curd(at)