“Lease investment financing has become more complex since the beginning of the year,” notes Sandrine Allonier, director of communications at broker Vousfinancer. On the other hand, since interest rates have been rising since the start of the war in Ukraine: “Such a rapid increase is not unheard of, even if rates remain low at the moment,” asserts Michael El Bazi, a tax credit specialist for broker Kavpi. According to him, some banks increased their range by 0.4 to 0.8 points, with an average posting of 1.3% over 15 years and 1.45% over 20 years in April, which effectively excludes certain profiles of buyers. On the other hand, the new standards enacted by the Supreme Council for Financial Stability became binding since 1Verse January for banks, under penalty of sanctions. The debt ratio including insurance should not exceed 35% and the loan term is 25 years. However, a margin of depreciation is provided for 20% of production, which must be used at 80% to finance prime housing.
Consider rents
In addition, the end of the income calculation in the “differential” mode penalizes investors, whose debt ratio explodes with a new real estate project. Their operations can be self-financing, because this formula deducts rent from the monthly loan payment. From now on, rental income is partially taken into account in the income, and the debt is calculated on this total amount. “So we’re blocking the offer, because investors can no longer double-down on operations,” warns Ludovic Huzieux, co-founder of Artémis Courtage Network.
However, banks have adapted by weighting rental income at 90% or 100% against only 70% previously. “The bank even takes into account the tax benefits under Pennell’s law, which can help lower the debt ratio. Despite everything, one of the two simulations doesn’t work,” says Michael El-Bazi. The last stone in the shoe: the rate of wear, which the Bank of France sets each quarter, legally locks in the loans the bank can give, and includes security deposits and management fees. “It’s a bit early to assess the clipper effect between higher interest rates and this attrition rate, but we’re getting more and more requests for brokerage and negotiation fee waiver. The rate of file passing, Ludovic Huzieux identifies.
In addition, the weight of a borrower’s insurance makes insolvency profiles insolvent. Note that this insurance covers death and total and irreparable loss of independence. When possible, I advise adding the total incapacity to work for better coverage,” adds Michael El-Baz.
Critical savings
How do you get credit in such a complex context? First of all, by submitting a well-kept file, like a traditional loan application: with savings left to deal with unpaid rent, unexpected fees, or a rental vacancy. Then, mobilizing the personal contribution will increase the purchasing power. “This avoids bank rejection and gives more housing options so you don’t invest by default,” adds Renaud Cormier, general manager of Theseis Wealth Management. Opportunity to double your savings to make this contribution: “You have to purge the passbook accounts that aren’t paying off, unlock your employees’ savings, request an advance on a life insurance contract, opt for a family loan or open an old housing savings plan account to get the state bonus,” he advises. Olivier Senechal, founder of OSL Conseil.
Marion Marten-Pérolin