Loan for a construction plot – what conditions must we meet to take a loan for a plot?

Living in a big city ceases to be a symbol of many people’s dreams. Especially now, when apartment prices have been the highest for several years, Sunday coffee drunk on the terrace of your own home seems to be more tempting.

The construction process begins with finding the right land on which our property will stand. Check how to get a loan to buy a construction plot and start construction.

Purchase of a construction plot

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What are the average prices of construction plots in Poland

The price of a construction plot depends really on the size and location of the land. In large cities or on their outskirts prices will be much higher than in the case of small villages away from large agglomerations.

What types of plots can we buy?

Before applying for a loan, you should check what kind of plot you want to buy. Currently, these are plots:

construction – intended primarily for the construction of single-family houses and for services not harmful to the environment,

industrial – for other services that can be burdensome for the environment,

recreational – plots for summer houses,

Habitats – a specific type of plots, intended for building outbuildings related to the role, but also for houses after obtaining a building permit,

agricultural – designated for cultivation (you can “ungrind” such a plot, but this process is easier if the agricultural plot is worse),

forest – the least profitable acquisitions, usually they can not be used or sold profitably.

What to look for when buying a plot?

Before you plan to buy a plot, get acquainted with the spatial development plan. Such a move will allow you to check: what kind of building is allowed on a given plot, the maximum height of future buildings and the type of roof allowed.

Additionally, you should verify that the plot you are about to buy is a construction plot. To do this, all you need is:

Download the spatial development plan from the website of the town or commune office.

Check on the plan what the plot is intended for.

Look for detailed information assigned to the symbol of the area where our plot is located.

What is the nature of the loan for the purchase of a construction plot?

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The loan for the purchase of a construction plot is a similar product as the loan for the purchase of a house or flat. Therefore, when applying for a loan for the purchase of a plot of land, similar requirements must be met as for those applying for a housing loan.

Some banks (e.g. Credit Agricole) have in their offer loans that can be used to buy plots of any purpose: construction, construction with the construction of a house started or recreation.

A loan for a construction plot is most often a long-term commitment and, like a housing loan, it is granted in the Polish currency. Therefore, a person who applies for a loan to buy a plot of land must have good credit standing and have the required own contribution. A loan for the purchase of a plot of land may be granted up to 50% of the property value.

What types of plots can we finance with a bank loan?

We can finance all types of plots with the exception of agricultural property. Then, regardless of whether we are a natural person or an individual farmer, we will most likely not receive a loan.

Good to know

An exception may be agricultural plots, which constitute an access road to a public road including the basic real estate.

What loan should I choose to buy a construction plot?

The cost of buying a construction plot can be financed equally with a mortgage and a cash loan. The only question is what loan for a construction plot will be most favorable for us? Most people choose a mortgage much more often because it is a cheaper option.

However, if time plays a key role for us and we cannot afford to go through a long credit procedure, and in addition, we do not have enough own contribution, then you can opt for a cash loan, which should be enough to cover the costs associated with the purchase of the plot.

What loan for the purchase of a construction plot?

What loan for the purchase of a construction plot?

Regardless of whether you decide on a cash or mortgage loan, you should read the latest credit ranking and compare all available offers.

Mortgage loan for a construction plot

When deciding on a mortgage for the purchase of a plot, we must remember that, as with any mortgage, a mortgage is required.

In the case of a loan for an apartment or a house, the mortgage is a residential property, but if we decide to take a mortgage for a plot, we should present another property that will be used as collateral for the loan.

How do you know if someone took a loan from me?

If you are reading this article, you are probably wondering, “Can someone take a loan from me?”

Unfortunately, the answer is yes. In the age of the Internet, when most loans can be taken without leaving your home, just filling out the online form, you can not only take out a loan, claiming to be someone else but also set up a bank account on someone else’s data.

The so-called phishing. This method involves sending infected files via SMS or email.

The scammer impersonates another person or institution we know of (e.g. a bank) and sends us a seemingly important message. After entering the link provided in the message, we install the virus, and the person who sent it to us has access to our passwords and pins.

Can you take a loan for someone’s ID?

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Criminals who deal with extorting cash loans often use a stolen or forged ID document. This means that the thief can use not only your ID card but also your passport, driving license or even an army booklet.

Counterfeit documents are also not uncommon. Thieves create your new profile, inflating your income, changing your marital status or the number of dependents.

Is my PESEL number or personal data enough to take a loan?

In the world of finance, apart from bank loans, there are also quick loans, so-called Quick Loans This type of loan is granted by non-bank financial institutions that apply completely different restrictions than banks.

A person applying for a payday payment usually only needs to complete a simple form and provide personal data such as name and surname, PESEL number, place of residence, and number and series of ID cards.

However, if you read on the Internet or heard from a friend that “someone took a loan for my PESEL”, we are in a hurry to calm you down. The security and at the same time the verification that parabanks use is a verification transfer made from the account of the persons whose details were provided in the form.

There are companies that do not check their future borrowers in this way, but instead ask for a scan of ID card or additional documents.

How do you know if someone took a loan from me?

How do you know if someone took a loan from me?

Unfortunately, even if you are guarding your ID card and do not upload photos with the driving license you have just got into social media, you can still fall victim to credit fraudsters.

Fortunately, at any time you can check what is happening with your data and whether by accident someone is impersonating you in order to extort a loan.

To do this, all you have to do is set up an account in one of the business information office registers and purchase a one-off or periodic GFI report.

Where can you check if someone has taken a loan for me?

  • GFI – Good Finance Information

How can I protect myself against phishing scams?

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If you want to protect your data against credit scams, just follow these simple tips.

  • Do not take photos of your ID documents.

Regardless of whether you send them to someone or just keep them in the memory of your cell phone, there is a good chance that they will fall into the wrong hands.

  • Check your documents at least once a day.

Make a habit of checking whether you have any documents with you. Pay attention to this especially after you get off the bus or leave a crowded place.

  • Set up a secure login and use strong passwords.

Use the secure login option to your bank account, e.g. via SMS codes, and in places where you provide your data, use the so-called strong passwords (those with special characters, numbers, and uppercase and lowercase letters).

  • Use the GFI alerts.

For less than USD 2 a month you can receive notifications, so-called alerts sent by the Good Finance Information. After each attempt to make a commitment to your data, you will receive a text notification.

  • Use the network safely.

The Internet is not only social media but also all websites. Those on which you provide your personal data should have so-called green padlock visible in the address bar. This symbol means that the website is encrypted and your data is secure.

  • Do not make verification transfers.

Fraudsters often pretend to be companies that are looking for employees and wanting to verify a candidate, they ask for a verification transfer. Do not agree to this in any case, especially if the recipient of the transfer is someone you do not know.

Loan for proof – how to take?

Unexpected expenses, as the name suggests, can’t be predicted, so it’s no surprise that sometimes we don’t have the funds to cover them. A way out of the situation may be a payday on evidence. Where to find payday loans for proof and how to get them? Advise!

An identity card is the absolute minimum when it comes to the documents needed to take out a loan regardless of the lender’s policy. Taking a cash loan, it is unlikely that proof alone would be enough, but no additional documents are needed for quick loans.

When applying for payday loans, provide personal data, personal identification number, ID number and series. The data is verified by a verification transfer or by logging in through a special application to your online banking account. Companies granting payday loans without proof of personal data verification should immediately make us vigilant and ideally avoid them with a wide arc.

Payday loans for proof – what are they?

Payday loans for proof - what are they?

Payday loans for proof without certificates is a simple form of quick cash loans. In contrast to traditional bank loans, they are granted by non-bank companies. These types of enterprises specialize in examining applications and granting payday loans as proof without certificates.

Usually, lenders do not require their clients to provide proof of earnings or employment. The exceptions are situations when the data provided in the form raises doubts. The minimum number of formalities means that payday ID card is easily available, and the money usually affects the account indicated by the borrower shortly after submitting the application.

What do you need to take payday loan as evidence?

What do you need to take payday pay as evidence?

To get payday ID cards for 18 years, all you have to do is stay in the country and have a valid ID, eg an ID card. The ease of obtaining financing is tempting, which is why some people seem to forget that this payday loan is a liability like any other, which will have to be repaid sooner or later.

Is the payday loan really a good and safe solution? When deciding on payday loans available on the market for proof without verification, first review our table and answer yourself to 3 basic questions.

Loan for proof – what to look for?

Loan for proof - what to look for?

If you have already considered all the pros and cons of taking out a loan and you have come to the conclusion that payday loan proof online is the best way out of this situation, it’s time to check how to apply for the necessary amount as easily and easily as possible.

Choosing a cash loan involves checking a number of data. The numbers and parameters in individual offers may differ. To help you make the right decision, it’s worth comparing payday loans without credit check, ie to compare available options and learn about the latest promotions.

The calculator will display the proposals of specific companies together with the conditions for granting a payday loan without credit check as proof. Our task will only be to determine the most important parameters such as choosing the loan amount and repayment period.

Thanks to the “Take a loan” option, payday loan online is within our reach – it directs us directly to the page of the offer we are interested in.

How to take a loan for an apartment without a down payment?

You dream of “living on your own”, you have already calculated your creditworthiness and you know that you can afford a mortgage. Have you thought if your savings will be enough to cover your own contribution?

Learn how to take a mortgage without a down payment.  

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Until quite recently, banks granted mortgage loans to their clients without the required own contribution.

However, when in 2014 the Good Finance Investment Corporation introduced the Good Finance Bank, the threshold for borrowers to have a minimum own contribution increased by 5%. per year (up to the current level of 20%). As you can easily count, with real estate prices we should have around 30-80 thousand in our pocket. zł.

Sounds terrible? Fortunately, even if you have not managed to accumulate adequate savings, you do not have to give up the dream of your own apartment. There are ways to convince the bank to give you a mortgage anyway.

Loans without own contribution – that is, with the family, preferably not only in the photo

A cash donation can effectively supplement a missing own contribution. It is best if the donor is a person close to us (parents, spouse, grandparents, siblings) because they are in the first tax group, where the amount exempt from tax can be as much as 19 274 USD.

Remember to write down the donation agreement!

Any donation, even this one, from a loved one is subject to inheritance and donation tax and requires notification to the tax office.

A mortgage with a low down payment?

A mortgage with a low down payment?

In some banks, you can count on 10 percent. own contribution provided that you take out additional insurance. In practice, if you decide on such a solution, you will pay a higher monthly installment until the loan balance drops below 80%. property values.

Mortgage Calculator

The loan balance is the amount that the borrower must pay back to the bank (without interest). In addition to the amount borrowed, the balance of the loan may include other fees, such as insurance or commission.

Low own contribution? Use the funds accumulated on your retirement account

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Some banks are willing to qualify the money you put aside under GFI and GFIC as a substitute for own contribution. To use this option, you do not have to withdraw the accumulated funds – the bank will secure the accumulated funds up to the amount needed.

It is important that the agreement with the bank does not assume that the accumulated funds will be used to repay the loan. Premature liquidation of funds from a retirement account is associated with the need to pay a commission and any income tax and capital gains tax.

Low own contribution and a flat from the secondary market

Many financial institutions are willing to accept the difference between a property valuation and purchase price as their own contribution. However, in this case, banks, despite everything, expect to pay 10 percent. own contribution, which is calculated either on the purchase price or on the valuation value (depending on which of these amounts is lower).

Low own contribution and security with another property

If you already have another flat or property, the bank may accept it as your own contribution. If you do not own your apartment, nothing prevents the bank from accepting a property that belongs to another person close to you. Remember that it is not enough just to enter in the mortgage of the owner, but he will have to take the loan with you.

Low own contribution – plot for the construction of a house

There are banks that include a plot of land where your future home should stand as required own contribution. Importantly, the value of the plot must be confirmed by an appraiser, even if the price is listed in the notarial deed.

The bank will take into account the value of the plot and the cost estimate, i.e. determine the future value of the property. In practice, when building a house, an appraisal will be required. If the plot is worth 150 thousand USD, this amount will be accepted as own contribution.

Low own contribution and funds for the renovation

The bank may also count on your own contribution that you have accumulated for the renovation of your new apartment. How does this work in practice? The value of the property will be the sum of its price and the cost estimate of the planned works – on this basis the bank will calculate, among others, the required amount of own contribution.

Good Finance Mortgage Help from government programs

Until the end of January 2018, it was possible to submit an application in the government’s “Apartment for the Young” program, thanks to which people who met certain criteria did not have to worry about their own contribution.

Most lovely, at the beginning of 2019, the “Individual Housing Accounts” program will be launched, which will have the task of facilitating the financing of the purchase of an apartment or the construction of the real estate.

At the moment, the details of this program are not yet known, but we will definitely follow this project on a regular basis.

If you are interested in a mortgage and are looking for the perfect apartment on the secondary market or on the primary market, read the texts from the 7 steps cycle to the perfect apartment.