There are two main reasons why people put off buying a home on a mortgage: money and time. If the problem is down payment, credit without collateral can be a way out. However, for people who already have enough money, delaying a mortgage can actually cause financial losses in the future. So you need California jumbo loan to get home loan.
In fact, just by delaying a mortgage for two or three years, the dream of owning a house could be crushed forever. Of course you don’t want to live in a rented house for the rest of your life. Therefore, before deciding to postpone a mortgage, you must first read the 6 reasons why you should get a home loan from now on.
Prices are getting higher
One of the reasons property investment is in great demand is that property prices have never decreased. In fact, property prices can be hoisted up by 30% to 40% in a matter of years. By delaying mortgages, house prices can no longer be affordable by income because the installments are getting higher.
If house prices are higher, it is certain that the funds that must be prepared for a down payment or down payment will increase. Indeed, this year the government has lowered the terms and conditions for the down payment from the original 30% of the basic price to only 20% of the basic price.
However, given the rapid rise in house prices, the low down payment policy will have little effect.
Mortgage applications can be rejected
If you are an employee, know that the mortgage repayment limit is 55 years old. As for the self-employed, the limit is 65 years. Therefore, the older the age when applying for a mortgage, the less likely the bank will grant it.
The reason is that banks do not want to take risks because when they enter retirement age, people no longer have a steady income.
Interest Rates Are Getting Higher
Mortgage interest rates in Indonesia are experiencing a downward trend from year to year. But, don’t forget that Indonesia has entered high mortgage rates which reached double digits. Especially considering the unstable economic conditions. It is possible that this condition will repeat itself.
Housing Is Far From The City Center
Population growth has an impact on the high demand for housing. This has resulted in increasingly limited residential land. Due to the availability of land, developers also choose to build housing in areas far from the city center.
As a result, the longer people delay mortgages, the farther away the houses are available to live in. The distance from the house that is too far is not only a loss in terms of time, but also makes transportation costs more expensive.