Buying a home requires tons of money which would have to be accumulated over years and years. For some, being able to save can be sort out to be similar to a luxury, amidst all their expenses one has to bear. Even though many prefer to take advantage of traditional mortgage mechanisms, some others would prefer going in a different direction. One such instance would be that you have plenty of money to go around or your credit worthiness is not up to standard. Any which way, there are many other financing options to go about buying a home as opposed to mortgages.
Whole life policy
For those who have been accumulating money over a given period of time by making monthly premiums, have the possibility of being able to borrow against this particular cash value. This process is rather simple because it does not qualify as any type of law. All though, now you have the possibility of borrowing more, the value of your said whole life policy may tend to decrease over time, if not paid back.
With this type of financing, the need for you to make any kind of mortgage payments to the bank is wiped out, making it possible for you to be able to now make payments directly to the person from whom you bought the house from. When going into agreement it is clearly written up and defined as to what the initial and principle amount would be, at what interest rate the payments have to be done, the schedule of the payments and what measures will be taken in case an installment is defaulted. This process does not require any property manager South Yarra because you’re directly dealing with the seller.
Rent or Lease
One of the easiest ways to earn a home after a period of time is by taking advantage of the rent to own option, which is also similar to the lease option. This process is popular amongst many because it does not require a large initial down payment rather it is a culmination of small amounts paid every month that in turn adds up to being a larger amount resulting in the ownership of the home. If ever you feel this option better than the others, make sure to let your real estate agents know about your plans so that they can act accordingly.
It is true that it may be rather difficult to find financing options that are not in the form of mortgages. Nevertheless, for a person to fall into a particular category that inherently cannot afford a mortgage will have to find a way around the traditional forms of financing one’s dream of buying a home for themselves. For anyone finding it difficult in finding other financing methods will find what they are looking for in the list above. For more info about St Kilda real estate agents, visit http://www.wilsonagents.com.au/