Owning your own house is a really big milestone for almost all adults. It is probably going to be the most expensive investment anyone can make. But there are times when the burden of paying for your mortgage may be too much.
It may be because you have a sudden emergency like a health condition, or you have quit your job and want to start a new business. There are so many reasons that could lead to you not being able to make your mortgage payments.
But the good news is that there are ways for you to lower it, just take a look at the tips below to see what you can do.
1. Get a lower interest rate
one of the best ways to lower your mortgage is to refinance it so that you can get a lower interest rate. You can check with your present lender on how you can go about the process. You have to be careful though as there are some lenders who stipulate in their contracts that no changes can be made on the mortgage and you might have to pay a penalty fee if you want to refinance your mortgage. If that is not a problem, you can go to another lender, like Altrua Financial, to help you get a lower rate on your payment,
2. Get a longer term on your loan
aside from lowering the interest rate, you can also lengthen the term of your load instead. Although it would mean that you will add years to your mortgage, it will still mean that you will not have to pay as big an amount as you are doing now.
3. Remove your private mortgage insurance
chances are if your down payment for the house was less than 20%, you are paying for private mortgage insurance which can actually add a few hundred dollars to what you’re paying. Check with your lender to see if you have paid enough mortgage to drop the insurance.
4. Have your property tax reassessed
you can go to your municipality to see to getting your property reassessed to see if you can get a lower value for your property tax.
5. Rent out a room in your home
this might not be the ideal solution for all, but if you are really strapped for cash and none of the other options above can work for you, you can earn the extra money by renting out a room in your home. This does not have to be permanent, you will only need to rent it out as you look for other ways you can earn the money to pay for your mortgage. Getting an extra $500 goes a long way. Just make sure that whoever you will get to rent your room is trustworthy and will be able to pay you in time. You can look for recommendations from persons you know before you advertise a room for rent. At least, when the recommendation comes from colleagues or friends, you can ask them about the background of the person. If you are going to let a stranger live in the room, make sure to be thorough in doing the background check.