Is now a good time to get a mortgage
Will we be benefitted from mortgage loans?
08:00 12 September 2013
Houses are currently just too expensive in the UK for the average consumer and house prices are rising still. But there are persons who could actually benefit from this situation through taking up a mortgage. Who are these persons and how could they take advantage of the real estate situation?
- Homeowners who are moving out of the highly valued areas in the UK, such as London, could make a profit by exchanging their house for one located in a lower value area or by simply selling their house right away. However, if these persons wish to buy houses in one of these areas, they should take some things into consideration before taking up a mortgage.
- Mortgages are slightly easier to secure right now; this may however change in the following years.
- You can take advantage of some interest-free mortgages already available on the market, such as the Government program Help to Buy.
- Businessman can benefit from the current economic situation by buying a house using a mortgage, and then sell the house after several (at their peak) years or renting the place right away.
There are of course other people who will have to suffer from the current real estate situation in the UK:
- The young people will furthermore increase their debt towards the Government through mortgages – and this is never a good thing.
- Nevertheless, house buyers in the 80s and 90s ended up with properties worth four times their initial price, and this could happen again to the young generation.
We must never forget that property is an essential wealth. Even if prices are going up, purchasing a house is a basic demand – and mortgages seem to be the only way that the average UK citizen can afford that.