Is it possible to get a 2 percent loan for a modular home?

The 2 percent loan is an offer of preferential mortgage terms, which can be taken out for the purchase of a first apartment or house, for the construction of a house or for its completion. What requirements must be met to obtain it? Does a modular home qualify for a 2 percent loan? Answers to these and other questions can be found in this article.

What are the requirements to take advantage of the 2 percent loan?

The 2 percent loan is, as mentioned in the introduction, a special mortgage offer that can be taken out not only for the purchase of a first apartment or house, but also for its construction or completion. Financing this is attractive because, thanks to subsidies from the state, the interest rate for the first 10 years of the loan term will be only 2 percent. What conditions must be met to apply for a 2% loan? This question is of interest to a really large number of people nowadays, which can be confirmed by the popularity of the Internet search for the phrase: loan 2 percent conditions. In this regard, it is important to know that the financing can be used by people who are under 45 years of age and do not own or have never owned a house, apartment or cooperative right to housing. Importantly, in the case of married couples or parents of at least one common child, this condition must be met by at least one of the applicants.

Does a modular home qualify for a 2 percent loan?

Knowing that the safe 2 percent loan is a form of financing that enables the purchase or construction of a first home, many people wonder whether modular homes also qualify for the program. In this regard, it should be clearly stated that yes. According to current regulations, a modular building is real estate within the meaning of the Law on Mortgage Credit and Supervision of Mortgage Brokers and Agents. In practice, therefore, it can be secured by a mortgage, and therefore also be subject to preferential lending terms. This is important because a modular home is a solution that not only allows you to live on your own quickly, but is also attractive in terms of cost. This is because such buildings are offered as house for the price of an apartment.

Which banks can use the 2 percent loan?

The 2 percent mortgage is currently generating tremendous interest among those seeking financing for their first home or apartment. There is, of course, nothing surprising about this, since the terms of the loan are really attractive, which also translates into a higher creditworthiness of customers. In which banks can you take advantage of the 2 percent loan? Well, at the moment financing under this program is provided by a dozen of the largest banks in Poland, and by the end of the year the safe 2 percent loan should be on the offer of virtually all institutions operating in the market. This is due to the fact that more entities are in the process of finalizing their agreements with BGK, the institution that provides the guarantees necessary to participate in the program.

Possible obstacles to getting a 2 percent loan for a modular home

As already mentioned, the 2 percent loan is a form of financing that also includes modular homes. However, it is worth knowing that there may be certain obstacles that prevent it from being taken out. In practice, it is primarily about:

  • Exceeding the age threshold, as the loan applicant must not be over 45 years old;
  • ownership (now or in the past) of one's own house, apartment or cooperative housing right;
  • Lack of adequate creditworthiness, which may be affected by income that is too low or the fact that it is derived from a source that is not acceptable to the bank;
  • No own contribution, which in this case must be a minimum of 10% of the requested loan amount;
  • exceeding the 2 percent loan limit, as singles can borrow a maximum of 500,000 zlotys, while married couples or parents of at least one common child can borrow a maximum of 600,000 zlotys;
  • entry in the debtors' registry, making it impossible to take advantage of any financing.

Steps to get a 2 percent loan for a modular home

Obtaining a 2 percent loan for a modular home is, in practice, no different from obtaining financing to purchase a traditional home. In this regard, you should:

  • choose the right one modular home design, which will determine the cost of its purchase and installation;
  • Complete the necessary documents to apply for a secure 2 percent loan;
  • Select a bank and apply for financing under the program;
  • wait for the credit assessment to be conducted and a decision to be issued;
  • Sign a mortgage contract of 2 percent;
  • pay for the pre-selected modular home in accordance with the order or preliminary contract;
  • Confirm with the bank the purchase of a modular home, which means fulfilling the contract;
  • pay the installments of the 2% loan on time, which is a condition for receiving subsidies from the state;
  • personally inhabit the module house and move into it within a maximum of 24 months of obtaining financing.

In conclusion, it should be said that the 2 percent loan is a good opportunity for many people to finance a modular home on attractive terms. The advantage of such a solution is the speed of construction of modular homes, since you can move into this type of building even within a few months of placing an order. This is important because the terms of the 2% safe loan program obligate you to live in the financed property before 24 months from the disbursement of funds.