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Mortgages can be accessed either as a single or joint applicant. For joint applicants, you have to indicate the type of relationship existing between yourselves. You also have to submit two forms of proof of an address. Documents such as utility bills, tenancy agreements or any of such related would suffice. You need to provide proof of income as well. A salaried worker would need to provide at the least, three most recent payslips. Income gained from scondary sources can be included with the discretion of the mortgage lender. Self-employed applicants have to provide audited financial statements for the three most recent years, business bank account statements for the three most recent years, certificate of incorporation, certificate to commence business and/or any other documentation. You need to also provide two forms of proof of identification, as well as bank statements of the three most recent months. Non-resident applicants must submit a recent credit report in addition to the above.
The current mortgage rates are between 13 and 29 percent. These rates are typically lower for dollar mortgages than cedi ones.
Refinancing allows applicants with an existing mortgage to transfer the loan to a new service provider. The new provider then assists you in paying for your home, and this can be done at a reduced interest rate. Mortgage refinancing entitles beneficiaries to the possibility of lower monthly payments, giving mortgage borrowers a needed relief.
A mortgage is a loan that buyers can use to purchase a property, and that is secured against the property itself. If buyers cannot repay the debt, then the lender takes possession of the property.
The total amount you can borrow usually depends on your debt-to-income ratio or credit score, which is determined by the borrower's ability to repay their debt and their credit history. The monthly payment should generally not be more than a third of the borrower's gross income.
Always use certified financial institutions, such as banks or credit unions, to avoid any scams.
The fees depend on the type of financial institution, but in addition to reimbursing the capital - the amount of money that was lent - borrowers usually need to pay interest every month that can be negotiated with the bank.
In a fixed-rate loan, the interest rate remains the same for the whole duration of the loan. In adjustable-rate mortgages, the rate varies depending on the economics and monetary policy of the country.
The lender may foreclose and seize the property, which will become their possession.
Usually no. However, if the amount of money needed is very high compared to your income or your capital, then financial institutions will ask you to take out mortgage insurance.
You should wait until you have a regular source of income to take out a mortgage. A period of high inflation is also usually beneficial for debt owners, since inflation reduces the debt burden in real terms, and debts are generally not indexed to inflation.
The more capital you bring, the lower your interest rate will be. Banks usually require a minimum amount of capital, often around 20 percent of the total amount of the loan.
Refinancing takes the current debt and changes its terms and conditions into an entire new different debt, with new obligations.