What is a mortgage?

Alma Morales Digital Media What is a mortgage? A mortgage is a loan taken out to buy property or land. According to Banco de México, most run for 20 years but the term can be shorter or longer. What happens if I don’t pay it anymore? The loan is ‘secured’ against the value of your home until it’s paid off. If you can’t keep up your repayments the lender can repossess (take back) your home and sell it so they get their money back If you want to know how much you can borrow to buy your house use our calculator Don’t stretch yourself if you think you’ll struggle to keep up repayments. Also, think about the running costs of owning a home such as household bills, taxes, insurance and maintenance. Lenders will want to see proof of your income and if you have any debts. They might ask for information about household bills, child maintenance and personal expenses. Lenders want proof that you’ll be able to keep up repayments if interest rates rise. Can my mortgage be denied? Yes, they might refuse to offer you a mortgage if they don’t think you’ll be able to afford it. Where to get a mortgage You can apply for a mortgage directly from a bank or building society, choosing from their product range. You can also use a real estate agent who can compare different mortgages on the market. As well as mortgages which are not offered directly to customers. Taking advice will almost certainly be best unless you are very experienced in financial matters in general, and mortgages. If you want to know more details click here to access to our calculator Follow Us on Facebook Instagram YouTube COLDWELL BANKER MÉXICO