Change is inevitable. Since the time immemorial, we have been subjected to many changes that have brought about sea changes in our everyday life. From an extended family, the civilisation has moved to a nuclear family. As a matter of fact, there has been a growing need for individual homes. Based on the area of a city, the cost of the properties varies to a great extent. Hence, finding a financier for the mortgage becomes indispensable to many of us. The crux is that when the mortgage amount is huge such as 500,000 mortgages, not every financier will be able to find a lender who will agree to extend that credit.
Key areas of 500,000 mortgages:
- When you are looking for a mortgage loan of 500,000 pounds, for instance, it’s not easy to find a financier unless the value of your property is substantially very high and you are making somewhere close to 40% down payment. However, this down payment amount varies from lender to lender. Ideally, you should approach those financiers who have a good tie up with some of the major lenders in your niche market. When you do that, you potentially save your productive time, energy, and money on your search for the mortgage fund.
- Based on your present level of income, expense, and the property under consideration, for instance, lenders will have the final say on the mortgage amount, rate of interest, and the tenure of the mortgage loan. Having said that, we mean every lender in your niche market has its own set of rules on lending and you just can’t make them bespoke to your need.
- Before your application for 500,000 mortgages is approved, the lenders such as banks and other financial institutions will invariably check your credit rating, per month net take-home income, current level of expenses, the market valuation of your property as on the date of your mortgage loan application etc.
- You must be able to provide income proof from your present employer and at the same time, you must submit your income tax filing reports at least for the last two financial years along with your mortgage loan application or as may be directed in the mortgage loan application form. On successful adherence to the terms and conditions laid down there, your mortgage loan application will be processed further.
- However, you must be able to furnish guarantor/s at the time of final approval and disbursal of the mortgage loan amount. The guarantor/s too would be required to sign your loan application as a mark of his/her consent on the loan amount thereby would take responsibility of repaying the principal loan amount plus applicable charges such as interest and penalty thereon in the case of the applicant becoming insolvent. However, different lenders may have different rules governing the approval and disbursal of the loan amount.
In short, availing mortgage loan isn’t easy as it may sound to many of us. A critical review of the mortgage application, applicant, and the property under consideration for the mortgage loan is done in sync with the provisions of the loan approving authority.