Have you always heard that working in the public service opens the doors to mortgage loans more easily? Of course, this is valid for tenured civil servants. Nevertheless, for agents on probation, the task looks more difficult, because it is not certain that the internship will lead to tenure. So how do you convince banks to lend you funds to make your real estate project a reality?
Civil servants are divided into three main categories, namely the State civil service, the hospital civil service and the territorial civil service. Staff may have the status of tenured civil servant who has job security. The contractors on their side are not civil servants, but simply work in one of the three administrations. Finally, there are trainee civil servants who must pass a probationary period before possible establishment. The appointment to the internship in the public service can be the result of direct recruitment or a competition. It is also possible that a civil servant mid-career decides to operate in a new corps and to take a competitive examination to gain access to it.
Internal promotion also makes it possible to integrate a new body. The internship period generally extends over a period of one year and during this period of time, the intern receives a salary based on the 1st step of his grade. Very important point to know:the trainee period does not necessarily lead to tenure. Indeed, if it turns out that the apprentice does not have the professional skills sought for the position, a refusal of tenure may be pronounced. On the other hand, if he succeeds in this internship phase, the administration decides on tenure taking the form of an individual decree.
As you can see, the outcome of an internship in the public service is not necessarily tenure. In this context, it is quite complicated for banks to grant you a mortgage. It should be remembered that the stability of income is one of the first criteria for access to the loan. However, if it turns out that you decide to take out a 20-year loan, but your internship does not end in a favorable way, this can put you in a delicate situation. It is for this reason that tenured civil servants or private sector employees on permanent contracts are more favored by banks. Does this mean that all hope is in vain? Not necessarily. If you really want to get this loan, you will have to align yourself with the other criteria imposed by the banks.
To earn the trust of banks as a civil servant trainee, you must first demonstrate impeccable cash management. Ban all that is gambling, compulsive shopping and other futile and unnecessary expenses. It is also imperative to avoid bank overdrafts and payment incidents. If you have several outstanding consumer loans, repay them before starting your mortgage application. The bank will also screen your debt ratio.
If it turns out that the amount of your monthly payments exceeds a third of your income, you will be immediately rejected. Another tip that pays off is to subscribe with a co-borrower who holds a permanent contract or a civil servant. It can be about your spouse for example. Finally, try to provide as much personal input as possible. May come from savings, the sale of a property, an assisted loan, a family loan or a donation, this contribution will be used to cover certain costs arising from the real estate transaction and which are not not supported by bank financing.
