According to the payment, the total costs are paid to the bank, and it is about years or fees. In addition, many people are concerned about the long-term relationship. Nevertheless, it pays to take your own home and make your own pension more difficult. It is thus possible to make even very interesting sewers.

Konkrtn pklad plnovan couple bytu

Pavel goes with his girlfriend Petra in a 2 + kk apartment in Budjovice, Czech Republic. The apartment is nice, but for two people and in the future for a family with children more. Therefore, they decided to reconstruct a cottage on the outskirts of the city, which Petra inherited from her grandmother. Reconstruction costs are estimated at two million crowns.

Pavel and Petra now how to finance the reconstruction. The secret that the pension will be sold by selling the apartment and the rest will be financed by a mortgage bank. But the cottage will not be renovated, he will have to live somewhere. Therefore, they will take out a mortgage for a total of two million crowns and sell the apartment later. It is expected that they will receive about one million crowns for it and will therefore be able to repay half of the mortgage for about a year. Pavel and Petra want to take out a mortgage with a 25-year maturity. The bank offered them a mortgage without a processing fee and with a relatively suitable year, but with the condition of 5 years of fixing the rate years.

Original measure: repay in as soon as possible

Partners want to be as cheap as possible. Don’t want to pay the bank a lot in years, so they would probably pay the mortgages as soon as possible. But when the bank offers them an offer with a condition of 5 years of fixation, consider how to behave. If they take vr with a 5-year fixation, then it means that vr can allow a vro fixation, ie in 5 years. If they wanted to allow outside the thermal fixation, it would not be suitable for them.

They can take only a year or a 2-year fix, but then they will have to pay a fee for processing the bill in the amount of 18,000 crowns and will take the risk of increasing the rate for years. There is a possibility not to allow vr, but to keep the pension in reserves and pay according to your payment. Peter and Paul are interested in which variant they should choose, which is most suitable for them.

Monost is more

In this situation, a whole range of possibilities is offered. On the one hand, there are rational reasons for choosing a specific one, that is, what works out for us, what is best for the mortgage, and according to psychological and emotional reasons, such as the desire to have the mortgage repaid as quickly as possible and get rid of the burden.

It is also possible to rent an apartment here, but to rent it and pay the installments from it. Given that growth is likely to grow in the future, this option is definitely worthwhile.

When selling an apartment, we have a large amount of money at our disposal, which we can deal with in various ways. We can keep the pension as an ironm in case it happens that there is no event that would endanger our regular income. We can tie pensions to some business or invest them in the financial market.

Advantages of fixation time

As for the length of fixation, the choice of this period brings undeniable benefits. In addition to changing the dispute over the fee, it is thus a certainty in the installment for the duration of the fixed fixation. years market rates may rise and so does our installments. And if rates on the market do not rise, we still risk an installment if we change the marker. This is due to the fact that most banks offer new clients a one-year rate than existing clients. Standard banks directly to their existing clients when changing the fixation on average 0.2 – 0.5%. The client will then not be allowed to accept the annual rate or refinance the mortgage with another bank.

Nkolik rznch a

Let’s choose a little progressively and not with the usual possibilities of one. To see their suitability, let’s compare them with the original change of Peter and Paul, ie with the repayment of half of the mortgage debt after one year.

1 / Repay the mortgage with the income from the sale of the apartment after one year

Petra and Pavel will take a mortgage for two million crowns for 25 years. The payment will start at the rate of 5.2% at about 12,000 crowns. After one year, the apartment will be sold, the mortgage will be repaid, and the mortgage will be less than a million crowns and the installment will fall to about 6,000 crowns. How will the total cost of financial reconstruction of the cottage in this way? When the fee is paid to the bank, the paid year and the tax dispute are deducted from the tax deductible from the tax base, the amount of approx. 1,750,000 crowns. In layman’s terms, we pay about 750,000 crowns.

2 / Income from the sale of the apartment to invest

But we can also choose another one. Let’s imagine that the million crowns obtained from the sale of the apartment will not be given to the bank, but let’s place it elsewhere and we will pay the bank two million crowns and pay 12,000 crowns. The costs of such a high vr will be 3,400,000 crowns at the end of the maturity period. We can invest the money from the sale of the apartment, for example, in open-end mutual funds. The average performance of the stock for the last 80 years is somewhere between 10 and 13% pa ​​If we invest in equity funds for 25 years, the probability valued at about 10% pa is high.

But let’s use the proceeds from the sale of the apartment as a kind of security, reserves, which can be included in the event of financial problems. Because investing in equity funds carries the risk of fluctuating investment value, let’s invest 30% more conservatively in money market funds and bond funds. We will be able to move to a conservative position at any time, or here the value of the invested investment will be fixed in positive values. Then we can assume that the evaluation of the total on the 25-year horizon will not be 10% pa, but 7% pa

The value of the investment will be about five million crowns in 25 years. If we deduct this return from investment in the amount of more than millions of crowns, we will not only not pay back, but we will even make 600,000 crowns. This variant is then 1,350,000 crowns cheaper than the previous variant.

3 / st vru allow after a year, st penz invest

This, of course, has the disadvantage that when using the proceeds from the sale of the apartment for investment, Petra and Pavel will still have to pay a payment of 12,000 crowns per month, and if it were too high for them, they would often have to draw on invested pensions. Then a compromise option is offered here, namely to allow the sale of the apartment to be worth 500,000 crowns and to increase the value of the remaining 500,000 crowns.

4 / Pay back in a few years
If they could afford Peter and Pavel a installment of 12,000 crowns, there is also the possibility to repay in the moment when the value of the invested amount reaches the unpaid amount of the bank. With this variant, it could be repaid within 10 years.

Pkov effect

In the above possibilities, they show how much revenue can create a combined year and use the so-called leverage effect, when we get foreign resources in the form of a booth and we can properly evaluate our own finances. This one makes sense if the potential for income from invested pensions is not a year from the year.

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