Hi Michael. AFAIU in Switzerland you get the bank to lend you the money for the mortgage, which in my case represents 65% of the price of my real estate. 35% I paid down from my equities (cash on my bank accounts, 3rd pillar savings). By paying as much as 35% I am excluded from amortization, because I only have one mortgage. To be able to buy real estate you have to downpay 20% of the price, so the remaining 80% is your mortgage, which is divided in 2 mortgages: the first one can be a maximum 2/3 of the price. The second mortgage covers between 65 and 80%. If you have to do 2 mortgages, then the second one has to be paid back in 15 years. TBH I think that if something happens to the real estate owner, the bank will take the property. But I don't know what happens if something should happen to the real estate which is not covered by insurance... I can assume that the banks are on the safe side in any case and the mortgage holder (real estate owner) is eventually just out of luck... but I don't know at all.
F. https://www.instagram.com/boniforti_music https://soundcloud.com/boniforti_music https://bonny-j.bandcamp.com Am So., 29. Sept. 2024 um 22:09 Uhr schrieb Michael or Penny Novack < stepbystepf...@comcast.net>: > > > I'm in Switzerland and there's no thing like the escrow account you've > > mentioned - thanks. > > > It is in general use here. The mortgage holder wants to be protected > against insurance premiums or tax bills not paid. So along with the > mortgage payments of interest and principle (mortgages here are > amortized mortgages) payments into a fund held and from which tax bills > and insurance premiums are paid (this amount adjusted annually so that > the fund will always have in it enough to pay these bills as they become > due << that way they KNOW were paid, they paid them >> Legally the > funds still belong to the property owner. > > What happens in Switzerland should property insurance lapse (and there > is a loss, perhaps total) or tax bills not paid and the property seized > by the state? Is the mortgage holder simply out of luck? > > Michael D Novack > > > _______________________________________________ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
