I am not sure which one ‘infamous’ bank refers to?
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Guys, just use the real names unless you have a specific reason not to?
Isn’t the goal of this forum to share knowledge to help people save money? It sounds unlikely that sharing a name will change anything to one own situation.
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57.2 %,
No need to amortise any further after mortgage renewal is completed.
That explains, we are first-time buyers and also pledging Pillar 2 for 10% equity. So, my guess is the rates you have would be difficult to achieve for us.
I’m curious, was your goal 57% or the property appreciated in the meantime?
I recently renewed my SARON tranche and the margin was not increased so I can keep the 0.5% margin. However I don’t think they give that to new clients anymore. The bank is credit agricole.
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Property appreciated in the last 5 years. the LTV went from 82% to 57%.
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Question: does anyone here have experience in taking over an existing mortgage from the seller?
What are the caveats, hidden costs, risks and questions to ask the bank?
Got an interesting proposal from one of the banks, they say we could take over the seller’s loan of 350k at 1.2% for six years.
The rest could be SARON at 0.75% margin.
I’m planning to negotiate using a competing proposal and see if they can lower the margin, nevertheless all told this remains the cheapest option for a two-tranche mortgage.
As far as I know, the financial risks and impacts fall on the reseller. They’re the ones terminating the mortgage contract with the bank, so any potential losses or financial damages are their responsibility. If the dealer seems trustworthy and the price is fair, I don’t see any issue in your case.
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normally the mortgage is assigned to you so you stand in the shoes of the original borrower and take on all the same terms and conditions of the loan.
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… if the bank allows that, since you should meet the same criteria. So, you can take that for granted.
I would get a written confirmation by the bank, if I plan to take over the mortgage.
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The bank is proposing that, and we have been already vetted and found worthy of lifelong debt 
Is it specified in the contract whether and when the bank is authorized to check your creditworthiness (e.g., a check every 5 years, at the bank’s discretion, etc.)? I imagine that an indefinite-term Saron doesn’t mean the bank will never perform a creditworthiness check ?
In the contract there’s a line saying that any changes in your circumstances or market conditions may require you to bring more collateral. Banks typically do yearly checks, if you always pay on time though they won’t ask for your salary certificate. To avoid any such checks though and If you can, do not put your salary at the bank where you take the mortgage because they will detect when you stop receiving your salary or if you are suddenly registered to the RAV.
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Same what @HoiZame mentioned: In the contract there’s a line saying that any changes in your circumstances or market conditions may require you to bring more collateral.
UBS aka global bank did not check for the last duration (5Y) once the initial approval was done. The next check was done this year in Mar at the time of mortgage renewal.
Key point is that they were the only institution who did not raise an eyebrow or request additional asset documentation on learning that my wife was going to be unemployed as of Apr.
All other institutions that we approached asked for additional documentation and some outright rejected us.
SNB will enter negative territory again this year, I‘m convinced. The CHF is getting too strong and inflation is down to 0.3% with a risk of getting to deflationary levels. They might go to -0.25% in June already.
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Cortana the oracle of SNB policy has spoken🙏
100% agree with you. They must send a strong signal to the market
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If it happens, will it affect long term mortgages (7-10y)?
Hard to tell as the long-term mortgages are more influenced by expectations of future inflation rates. But I can imagine seeing 10Y 1.00-1.10% in the next 3-9 months.
There would be no effect unless the move from SNB is unexpected
Mortgage market is working with expectations priced in. Whatever they are. are known to everyone