What are the advantages of using mortgage to buy a house?

[Ralphjoe]

What are the benefits of using mortgage financing to buy house that you know? Is it worth it that someone might be in debt for all his Lifetime because of mortgage payment?

 

[Kayzzy3]

What are the benefits of using mortgage financing to buy house that you know? Is it worth it that someone might be in debt for all his Lifetime because of mortgage payment?

One advantage is that it enables you own the property you need within the shortest period of time.
Another advantage is that it help you get a more comfortable repayment plan over a period of time.
But defaulting on it may cost you the property.

 

[Alexandoy]

We bought our home courtesy of a bank mortgage (where I worked before so the interest rate on the mortgage was lower). We paid the mortgage for 11 years. You can imagine the total interest on the mortgage that we paid. But on the brighter side, we couldn't buy a house without the help of a mortgage because we do not have the funds. Besides, in the long run the cost of money had made the installment tolerable since we are getting a raise in our jobs and the installments are not increasing.

 

[Sotherefore]

Some people really use that because of emergency to get out of tenancy or to own a property that they'd consider good or cheap to buy at that particular moment to me there's a lot more more advantage if you are hundred percent sure to pay back the money and other advantage in the sense that you can have your property in a shortest period of time,you can take opportunity you think are cheap and cool enough for you ,that's all I know.

 

[Tariq Shehzad]

We bought our home courtesy of a bank mortgage (where I worked before so the interest rate on the mortgage was lower). We paid the mortgage for 11 years. You can imagine the total interest on the mortgage that we paid. But on the brighter side, we couldn't buy a house without the help of a mortgage because we do not have the funds. Besides, in the long run the cost of money had made the installment tolerable since we are getting a raise in our jobs and the installments are not increasing.

You are saying right that in the long run the cost of money makes the installment tolerable in mortgage. And you would not be able to buy a house without mortgage, even you have to pay more than real loan by intrest.

 

[WhiteHouse]

Now, if you're asking if taking a mortgage is financially more sound than paying cash, the answer is no. But few would be able to do that, right? Taking a mortgage as opposed to renting? That's more of a difficult question. In many markets the availability of rental properties makes it an interesting option, but owning your place has additional benefits, it's emotionally rewarding and brings a sense of security, both quite hard to price.

 

[Sincerem]

If you know it will be hard for you to repay mortgage loan terms after borrowing and completing what you borrowed for. I don't like taking loans, unless I have a genuine business that needs immediate finance then I will take loan from a trusted source and not with high repayment interests.

 

[Sariana23]

I believe that the greatest benefit of acquiring a home through a mortgage is that you will be stable in a place without having to look for rentals every so often, another very good reason is that instead of paying a monthly rent, you would be paying for something that will be yours and for your family. The important thing is to be responsible and not stop paying for the time it lasts.

 

[Mary]

A mortgage makes home ownership affordable. You can spread the repayments on your home loan over so many years, the amount you'll pay back every month is more manageable and affordable

 

[Holluwaphemmy]

Pls don't even venture mortgage banking if you don't have a very good source of income and financially sound. The abs anyways of using a mortgage bank is that if gives you your desired property within the shortest period of time

 

[Seun4luv]

A mortgage is a cost-effective way of borrowing: the interest rates on mortgages tend to be lower than any other form of borrowing because the loan is secured against your property.

 

[Highflyer]

Having a long-term mortgage lets your equity grow while your home's value grows. Reason #2: A mortgage won't stop you from building equity in the house. Everyone wants to build equity. It's the main financial reason for owning a house.

 

[Erik4150]

Mortgage can provides tax benefits for some which the owners can save more money because mortgage interest is deductible. It us also cost effective and it is better than paying rent every year on a house that doesn't belong to you.

 

[Heatman]

What are the benefits of using mortgage financing to buy house that you know? Is it worth it that someone might be in debt for all his Lifetime because of mortgage payment?

If mortgage services is available all over the world, I do believe most people would have owned their own home by now with myself as a case study. Mortgage helps to pay for your house without much stress especially when the repayment plan is achievable and fair.

 

[Adegbindin Abdullahi]

interest rates on morgage tends to be lower than any form of borrowing because the loan is secure against your property. Interest rates on morgage are Constantly changing, over the years they've been higher than 15% and lower than 2%. If morgage service is available all over the world, I believe many people would have owned their home by now

 

[archahmad]

there are so many advantages in using mortgage to buy houses. One of the advantage is its enables you to buy a house at your conviniency by paying small amount of money over a long period of time. One of its disadvantages is life indebtment.

 

[Nurudeen]

If you don't have huge amount of money to buy a house mortgage should be your best option. You can do this by getting a house and start paying every month or based on the agreement you signed with the mortgage company. This is a good option for low salary eaners and small business owner.

 

[Janita]

• Keep your mortgage payment to 25% or less of your income. ...
• Rule 2: Avoid private mortgage insurance by making a 20% down payment. ...
• Rule 3: Understand how adjustable rate mortgages work and what risks are involved. ...
• Rule 4: Know whether you'll actually be able to deduct your mortgage expenses

 

[Hasan Raza]

Actually mortgage is a cost effective way of borrowing because the interest rate on mortgages is tend to lower than any other form of borrowing because the loan is secured against your property. In this way the bank or financial institution has the securit

 

[kayode10]

Advantage of buying a real estate property is that you don't pay large sum with you money. If secure the property at the right location, it is the rent that will repay the mortgage while the profit on the payment is your passive income. But you have to know how to secure good property at right location.