A buyer’s mortgage is the loan with which the buyer of a unit pays all or part of the price. Before granting it, the bank asks a valuer to value the unit (the valuation, perizia) and then decides whether to lend and how much (the credit decision, delibera). When a real estate portfolio in Italy is sold unit by unit, every buyer who uses a mortgage brings into the deal a process that the seller does not control, but on which the notarial deed (rogito) depends.
Why the seller should follow it
- The deed depends on the credit decision. If the mortgage is not granted, the deal stops, even when the offer (proposta) has been accepted.
- The timing is the bank’s. The valuation and the credit decision can take longer than the time the seller gives the brokers to move a deal forward.
- More than one party is involved. If each one knows only their own part, nobody has the full picture.
Who does what
- The buyer applies for the mortgage, possibly with the help of a credit intermediary; sometimes the buyer is the sitting tenant, who buys the unit they live in, as in the sale of occupied units.
- The credit intermediary (mediatore del credito) handles the application between the buyer and the bank.
- The valuer values the unit on behalf of the bank.
- The bank decides, with its credit decision.
- The broker follows the deal through to the notarial deed.
- The seller, that is, the fund manager or whoever sells on behalf of the owner, wants to know where each application stands.
How it is handled in EASYRE®
EASYRE® is software and service for selling or leasing a real estate portfolio in Italy unit by unit, through multiple brokers and estate agents. Its dedicated workflow for credit intermediaries brings the mortgage into the deal:
- the request passes from the deal to the credit intermediary, who follows it with their own access;
- the valuation and the credit decision are recorded with their outcome: approved or declined;
- the list of mortgage applications shows where each one stands;
- if the mortgage is not granted, the deal is closed with its reason, ‘mortgage not granted’, and can be found by filtering deals by reason for closing.
In this way the fund manager sees in one place the offer, the preliminary contract (compromesso), the notarial deed and the mortgage application on which they depend, and each user sees only what their role allows. Reasons for closing and broker response times are covered on the broker and agent network page.
The questions to ask, deal by deal
- Is the buyer using a mortgage? Who is their credit intermediary?
- Has the valuation been carried out? With what outcome?
- Has the credit decision arrived? Approved or declined?
- If it was declined, has the deal been closed with its reason?