With many banks closed and clients at home because of the COVID-19 outbreak, technology is the answer. We explain everything in this guide.
Photo by Glenn Carstens-Peters on Unsplash
Photo by Glenn Carstens-Peters on Unsplash

The coronavirus outbreak has paralysed the country. Over two weeks ago a state of emergency was declared in Portugal because of the coronavirus pandemic on 18th March 2020, and the President of the Republic is now preparing to renew and extend this period of lockdown. In this context of confinement, is it possible to look for and apply for a mortgage? Technology is, in this case, your best friend and this period of forced quarantine is a good time to advance a good part of the whole mortgage process from home.  

As explained by the mortgage experts at idealista/creditohabitacao, these are the three steps to take in order to start looking for a home loan in the middle of the COVID-19 crisis:

1. Carry out simulations

Online mortgage simulators allow future mortgage holders to get an idea of the quantity of money that can be applied for depending on your savings, what monthly payments would look like and how the payment would vary if the Euribor rises. This process also allows individuals get an idea of the period of time during which the loan has to be paid back and what expenses are involved in buying a property. In general, this is a process which will help you understand which mortgage makes sense for you.

2. Compare offers

The second step is to compare rates from different banks in order to familiarise yourself with the conditions on offer. Our mortgage experts recommend paying particular attention to the bonuses that each bank asks for in order to offer more competitive interest rates (for example, direct deposit of your salary, taking out insurance...), or the differences between fixed, mixed and variable rate offers.

3. Start the application process

Now is also the time to start the application process for a mortgage study. Despite the fact that many branches have closed their service to the public, idealista/creditohabitacao as emphasised that banks continue to operate with a certain level of normality and attend to user enquiries remotely. Many banks also have online processes for starting mortgage loan applications.

Another option is to use a mortgage broker to manage your mortgage search online allowing you to see results from many banks at the same time (preferably look for those who don't charge any fees or commission, nor demand any commitment from you). These intermediaries can study your profile and solve your doubts. If your application meets the risk criteria of a bank, you can then send your documentation via email or via an online document manager. This means there is no need to leave your home. Brokers will also send your documentation to the banks so that they can study your application and give you approval.

Compare the best mortgage offers with us at idealista/creditohabitacao and at the same time, solve any mortgage doubts you may have with us for free.