The PTZ, or zero-rate loan, is a measure designed to help households buy a house in Brittany by granting them a loan with no interest or fees, in addition to another financing arrangement.
Initially, the PTZ was due to end in December 2017, but the government decided to extend it for 4 years, while modifying its eligibility conditions.
The Same Principle, but Refocused on High-Demand Areas
Indeed, the main condition for extending the scheme to buy a house is that it is now only fully accessible in so-called high-demand areas, i.e. those where housing demand far exceeds supply and market prices are higher. Administratively, these are zones A, A bis and B1.
What About Other Areas?
While the original plan was to discontinue the PTZ for zones B2 and C, a two-year extension was ultimately decided. Therefore, households can still benefit from financing assistance to buy a house until December 2019.
The New PTZ Limits
Zones A, A bis and B1 continue to benefit from a maximum amount that can be financed through the PTZ of 40% of the total investment amount, excluding notary fees. However, for other zones, B2 and C, the assistance drops to a maximum of 20%. In addition to these percentages, there are maximum amounts that can be financed, depending on the household composition and income. This can be very useful for buying a house.
The Question of Investing in Existing Properties
The PTZ is now primarily intended to encourage investment in new properties, where it makes most sense in high-demand areas. While investing in existing properties with part financed by the PTZ is now impossible in zones A, A Bis and B1, it remains possible to benefit from it in zones B2 and C, provided that the amount of planned works corresponds to 25% of the operation cost.
The financing remains at 40%, capped in amount depending on household composition. Therefore, it has never been easier to buy a house.
Buy a house and benefit from a zero-rate loan? It is possible. Visit one of the 4 BPS Immobilier agencies to discover the various offers which, we are certain, will meet all your criteria.
