All loans are called mortgages in which the debtor offers to transfer ownership of any property or movable property to the lender if he is unable to pay.The Austrian loan is always a mortgage loan, or more precisely, a loan for which the collateral is real estate (eg car, motorbike, bus or other valuable property), at least one residential property.
Differences between Hungarian and Austrian mortgages
In addition to a residential property, any other property may be included if you wish to borrow a larger Austrian loan than a house, apartment, etc. It authorizes. You can borrow an Austrian mortgage for any purpose, ie the loan is for free use.
Mortgages in Hungary are expensive, inflexible, long-term and torturous, and the list of debtors is not easily accessible. By contrast, the Austrian mortgage interest rate cannot be more than 7.1%, and banks already have a number of small things at the time of borrowing that make it easier to borrow – even if you are dealing in a foreign country, since you you don’t have to do anything! – and our western neighbor has no BAR or KHR list, so anyone can really get a loan.
What does Austrian credit offer more?
They respond to your credit request within 8 hours of being accepted – meaning you only have to wait one day to find out if you can get a credit. You do not need an income certificate, just the property certificate.
Austrian credit can be used freely, not just in the same way as Hungarian mortgages (home purchase, renovation, extension). Repayments are based on the euro (this is better than the best forint-based loan at this time, but even in the worst of times) and occurs quarterly.
When repaying an Austrian loan, you do not have to pay the standard early repayment fee on home mortgages (if banks did not want to be careful, they could say: they have paid a penalty for not wanting to pay more; this is unknown in Austria). Austrian credit can be obtained by an individual, a business, a sole proprietor, and in any case, it is lightning fast and easy to apply.
The smallest mortgage loan is EUR 20,000 (approximately HUF 5.5 million), meaning that at least that amount must be ‘covered’. There is no upper limit, only the value of the mortgage limits the amount that can be disbursed.