When financial difficulties arise, the loan burden on a mortgage becomes completely unbearable. In such a situation, the way out of the situation may be to reduce the monthly payments on the mortgage.
It is necessary
- - loan agreement;
- - documents confirming temporary financial difficulties;
- - documents confirming income;
- - application for refinancing or loan restructuring.
Instructions
Step 1
The main ways to reduce payments on an existing mortgage are restructuring and refinancing. Loan restructuring is carried out directly at the bank in which the mortgage was issued. It allows you to achieve an increase in the loan term. It is thanks to this that the monthly payment decreases, but it must be remembered that the amount of the overpayment on the loan also increases. Restructuring is carried out on the basis of the borrower's application, to which it is necessary to attach documents that confirm the impossibility of making payments according to the previous schedule. The reason must be valid, such as the birth of a child, illness, or a reduction in salary.
Step 2
Refinancing may be relevant for those who took out a mortgage several years ago, in an environment of higher interest rates. If earlier interest rates reached 18-20%, today it is 11-13% on average. Refinancing allows you to reduce the amount of monthly payments by receiving a lower interest rate. It may make sense until the payments have reached the maturity of 5 years and the balance of the debt is more than 30%. You can refinance a mortgage loan at any third-party bank that provides this service. The procedure is similar to obtaining the loan itself, the borrower is required to apply for refinancing, as well as documents for the property and confirming income. You can also contact your bank with an application to revise the terms of lending, but banks rarely go to this.
Step 3
In some cases, banks provide their bona fide borrowers with "credit holidays". This allows you to temporarily pay only the interest on the loan or only the amount of the debt, which also reduces the monthly payment. If your bank refused to provide you with such deferrals, then the state can help through ARIZHK. To do this, it is impassable to contact the bank, which will redirect the documents to the agency. If approved, it is given the opportunity to pay less on the loan during the year. In the future, the loan from ARIZHK will have to be returned. But these options are suitable only for those who have temporary financial difficulties, because in the future, you will have to pay even more on the loan.
Step 4
For those for whom a mortgage apartment is not the only home, you can try to start renting it out. It should be borne in mind that banks often prescribe in the contract a ban on the delivery of a real estate object, because he is pledged by the bank, and renting a home may worsen his condition.
Step 5
For those who are just planning to obtain a mortgage loan, in order to ensure lower monthly payments, it is worth taking a loan for a longer period, as well as taking care of the collateral on their own. It can also reduce the amount of the loan. insurance companies recommended by the bank may not offer the most favorable rates for the borrower.
