Category Archives: Home Mortgage
If You Are Behind on Mortgage Payments, Take Action NOW!
I have gotten some emails from people who have wanted me to buy their house. The only problem is that they have waited too late. You see when faced with a problem like losing your home, many people get very nervous and scared.
In fact many families feel paralyzed with fear. They are so scared of what could happen to them with losing their home and their security that they aren’t sure what move to make. It is a very tough situation because you have one person telling you to file bankruptcy. You have another person telling you to talk to the bank (and you don’t want to talk to the bank because you don’t have the money that they want anyway). You have yet another person telling you to sell the house while you still can.
Well, I’m here to give you the most unbiased opinion I can. Your first option is probably the easiest. Do Nothing! If you are paralyzed with fear or angry about the situation then you can simply do nothing and hope that somehow the situation works itself out. Well more often than not the situation will NOT work itself out. People who help themselves in life do much better than those who just let life hit them. Take some action now. The longer you wait the less options you have.
If nothing else, sit down and right out your options so that you can see them on paper. Once you visually see them they won’t seem so confusing. Your next option is bankruptcy, well regardless of what any attorney may tell you here is a fact about bankruptcy. If you cannot afford your house then bankruptcy is only a temporary fix. It is like putting a band-aid on a gunshot wound. In some cases it may hurt your credit worse than the foreclosure.
For example, you can usually get a mortgage on a house after you are 2 years out of foreclosure. If you have a bankruptcy you may have to wait longer. Also, bankruptcy cost money. In many cases several thousands of dollars. You might be better off putting that money toward a workout plan with your bank. I have seen people say that many times before.
Your final option (in general) is to sell your house. The way I think about this is by this logic: If you can’t afford the house and you are going to have to move anyway, why not sell it and try and make a couple of bucks to help you along in your move. After all we are not really attached to any particular piece of property. Wherever we lay our head is our home. So stop all the unnecessary stress and move to a place you can better afford, if this is your only option. So please be proactive in your situation. The outcome has a better chance of being something that you control.
Till next time, Good luck and God Bless and remember… If you have any questions about saving or selling your home or any topics on real estate that you would like to know more about please email me and I will answer your questions in this column.
Homeowner Loans: Crack the best homeowner loans deal this Christmas (Page 1 of 2)
Christmas is not far off for many Brits and their budgeting might have been started of late. They indulge in loans to overcome paucity of funds to make the season one of enjoyment and exaltation. This article brings forth certain ways to click the best deal.
It’s the time of the year when many Brits start making plans for the eagerly awaited season of mirth Christmas. Many of them start preparing their list of purchases and keep making additions till the end. As it’s their favorite festival, they don’t like to have any kind of hindrances on their way to have a gala time.
Monetarily, they make their arrangements well on time for the ecstasy attached with this festival. Perhaps, that’s the reason many Brits take homeowner loans to enjoy the season to its fullest. But many of us get carried away with the festivities and unfortunately, fall in the hands of wrong lenders. To deviate from being ripped-off with heavy interests, there are certain ways that should be followed to get the best loan deals.
It’s dicey to keep your home as collateral with the lender without understanding your loan in detail. A single pause in the repayment schedule can take the possession off your hands. But the benefits clubbed with this financial aid are lucrative and incomparable with others. Before you get into any loan deal, consider all the costs involved like interest, fees, redemption penalty and the like.
Annual Percentage Rate (APR)
Annual percentage rate tells the interest that will be charged on your loan deal. It’s calculated with a typical formula prescribed by Consumer Credit Act. APR differs from case to case. It’s not mandatory that you will be charged as per the advertised rate. Your credit profile does the entire work in deciding about your APR. If you hold good credit scores, your accessibility on low APR is certain. And, if it’s the other way round, you fetch high APR. In case of homeowner loans, people with CCJ, defaults, arrears also get the financial support on account of their home which is kept as collateral. They also get at high APR.
Amount and time-period
Your loan amount also decides about the interest rate. If your borrowings fall in small figures, for instance, £1000 or so, it will come at high interest rates on account of relatively high administration costs that are to be charged for arranging the money. It’s well understood that small borrowings will lead to high APR and large borrowings will have low APR. To find the best loan deal in case of huge borrowings take into account APR, time duration and monthly instalments. Usually, the time period stretches up to the maximum of 25 years calling for easy monthly repayments.
Arrangement Fees
Normally, most of the lenders charge arrangement fees for arranging the finances. This amounts to 1% of the total borrowings. If you do the research work, you might come across lenders that don’t charge extra. You will be benefited by making no additional payments. But for some reasons, your case demands arrangement fees, don’t go beyond 1% of the total loan amount.