The rise in the number of mortgage defaults is caused by many factors. In the US, and to a lesser extent in the UK, increasing numbers of homeowners are struggling to meet their mortgage payments and are facing the possibility of their home being repossessed. If this is the case and you are Struggling to Pay your mortgage, these are some actions, which can potentially save your home being repossessed.
1. Remortgage
This is perhaps the easiest and most effective method. If you happen to be on your bank’s existing standard rate, the chances are you will be able to find a much better deal. Those who are looking to remortgage can usually take advantage of a mortgage rate 1-2% below the standard variable rate. This can equate to £100 a month for homeowners on a standard size mortgage. Whether you are struggling or not, it is always worth trying to remortgage.
2. Extend Mortgage Term
If your monthly mortgage payments are getting on top of you, consider extending your mortgage term. By doing this you will see your monthly payments fall. The downside is that you will end up paying more in the long term. However, if it means you are able to continue meeting the minimum mortgage payments, it is worth doing.
3. Interest Only Mortgage.
This will also reduce your monthly mortgage payments, often quite substantially. By only paying interest on your mortgage, you reduce the amount you have to pay. However, again the disadvantage is that, in the long term, you will need to find an alternative investment plan to pay off your mortgage capital. Might be good in the short term.
For more information, please contact me. I will be happy to help with whatever questions you have. www.rgwealthsolutions.com +6011-51565649
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