The PTZ or Zero Rate Loan is a device aimed at helping French households with the objective of acquiring their main residence. This aid is delivered by the State to first-time buyers (as part of a first purchase) and subject to means. Since the end of 2018, the beneficiaries of this device have been waiting for a response to its renewal in 2019. Good news: the PTZ is indeed maintained for one year. Allowing more modest households to acquire their main residence is the will of the State since the creation of this aid in 1995. Backed by a conventional loan, the Zero Rate Loan aims to take loan interest by the state. With a cost of more than 1.3 billion dollars for the State, the device is doomed to disappear little by little.
Conditions for obtaining
The State continued its desire to encourage households to acquire their main residence in 2019. As explained above, the PTZ is a loan accompanying a conventional loan, the interests of which are borne by the State. In addition, it allows deferred reimbursement for beneficiaries. Whether this aid is requested in the new or in the old, the conditions for obtaining it are identical. A fortiori, the scale of resources to claim the PTZ remains the same as in 2018.
The conditions for obtaining the Zero Rate New Loan cannot exceed 20% of the total amount in non-stretched areas and 40% of the total amount in stretched areas.
For the PTZ in the former, in the absence of the forecasts that had been made, the B2 and C zones remain in the system. When tense areas like A, Abis and B1, the PTZ is excluded.
Lower demand for PTZ
According to a study, the PTZ demand files for 2019 should be down compared to 2018. With a forecast of more than 88,000 files, this means a decrease of 25% since 2017 (123,000 files). The question every year remains the same: will the PTZ continue? Professionals in the sector expect to see the system die out at the end of the current year. The State wishes to reduce the costs associated with this care. However, with current borrowing rates at their lowest, an inevitable rate hike is expected. The French could therefore be arrested in the face of more costly credit granting conditions and a constantly rising property price. If they want to start before the end of 2019, those interested must not delay given the time required for a property acquisition. Case to follow…