Mortgages are the home loan required to buy a property. Very few people have enough money behind them to purchase a property outright. This applies whether the prospective property buyer is a first time buyer wanting to get his or her foot on the first rung of the property ladder or whether it is a homeowner who already owns a property but wants to purchase another home.
A Englishman's castle is his home is a true saying and UK citizens really do want the best home that they can afford. More accurately they want a mortgage commensurate with their earings that can buy them the best and biggest home that this amount of mortgage can in fact purchase.
pay day cash loan, cash payday loans online, get a personal loans,
It is the same for first time buyers or subsequent buyers. Many buy a fairly ordinary first home as they are young and not earning enough to obtain a mortgage sufficiently adequate to purchase their dream home.
However as earnings increase most pople do gradually move up the property ladder moving house every few years and confidently arranging a mortgage to accomplish this, happy in the knowledge that not only are they moving to a better home to enjoy a more luxurious standard of living but that they are also buying a solid investment. However during the fist year and a half of the credit crunch property prices fell and people were loathe to buy a first property or to move to another property.
The certainty that a home is a good investment changed. Remortgaging involves switching from one mortgage lender to another to obtain a lower interest rate. Remortgages can be used for almost any legitimate reason, including holidays, weddings, motorhome purchase, etc. A very common reason for taking out a remortgage is to arrange debt consolidation which is the consolidating of all debts such as credit cards, etc. and paying off all the debt with one much lower payment. With credit cards attracting interest rates from 20% up to more than 40% compared to remortgages at from 1.98% and this grants huge savings.
Remortgages decreased in the same dramatic fashion as did mortgages when house prices fell, as many were no longer eligible for low remortgage rates as the value of their home fell and their equity was therefore reduced. When house prices started to rise in April 2009, and continued to do so for seven months in a row, mortgages increased and remortgages even started to see a revival.
The news on the property front is that house prices have again fallen by 10%, and although a slight fall is common during November and December, the 10% fall is above that normally expected at that time of year. If property prices fall after the start of next year it is a certainty that remortgages and mortgages wii go the same way.
Need Money? Let Me Help You
Take advantage from the innovative CreditGraph lending technology today.
cash installment loans for bad credit
$ 1500 Wired To Your Bank In 1 Hour. No Faxing Payday Loan Advance. No Faxed Document. Approval Takes Only Second. Apply Online Today!
No comments:
Post a Comment