Asked by: Aventina Cortines
asked in category: General Last Updated: 24th June, 2020

How can I make my mortgage more affordable?

In This Article:
  1. Extend your repayment term.
  2. Refinance your mortgage.
  3. Make a larger down payment.
  4. Get rid of your PMI.
  5. Have your home's tax assessment redone.
  6. Choose an interest-only mortgage.
  7. Pay your PMI upfront.
  8. Rent out part of your home.

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Herein, how can I increase my mortgage affordability?

8 Ways to Boost Your Borrowing Power

  1. Pay off debts. When assessing your mortgage application lenders look at how much money you owe already.
  2. Close accounts.
  3. Improve your credit rating.
  4. Organise your accounts.
  5. Get a pay rise.
  6. Shop around</43>
  7. Spend less.
  8. Extend the loan term.

Additionally, can you borrow more than you need for a mortgage? Additional borrowing means that when you remortgage you borrow more money and therefore increase the overall size of your mortgage. You can then use these extra funds to pay for home improvements or school fees, for example.

Subsequently, question is, how many times my salary can I borrow for a mortgage?

Every lender works within the parameters of its own guidelines, therefore, some can be more generous than others. Most mortgage lenders use an income multiple of 4-4.5 times your salary, some offer a 5 times salary mortgage and a few will use 6 times salary, under the right circumstances.

Can you lower your monthly mortgage payment without refinancing?

Re-amortizing or recasting is a great way to lower your monthly payment without refinancing. You may be able to extend your mortgage loan to a 40 year term as well, this would lower your mortgage payment significantly. Many lenders offer this service for a small fee and the paperwork is minimal.

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