DEFERRALS:

We have been providing as much information as we can relating to DEFERRED mortgage payment options as it comes available.

Each lender policy is unique relating to this request. Please continue to reach out to your lender with any direct requests.

‘So far’ I have received some great success stories relating to my clients getting through to the lender (relatively quickly) and the deferral being easily approved.

I would love to hear all of your stories. If you are a client of mine and have reached out to your lender- please email me at tammy@elitemortgagechoice.com with a short summary of the information you were provided and if the request was successful. (or not)

It’s important that I have this information on file for the future.

If you have reached out to your lender and have not heard back yet, please have patience. Our lender partners are receiving mass volumes of requests and are doing their best to keep up with the inquires and traffic.

A reminder: if your employment and/or income has not been affected by COVID you will not qualify for a deferred payment. Please avoid calling the lender(s) at this time.

This is NOT a FREE mortgage payment option. Your payments are deferred and interest accumulates. Some lenders communicate this better than others.

 

HOW WILL YOUR CREDIT BE AFFECTED POST COVID?

We have been advised that mortgage deferrals should not show up as missed payments on your credit bureau, however time will be the one to tell.

Missed credit card, line of credit and loan payments may also negatively impact your credit.

It is important to do your best (from a cash flow perspective) to keep up on all regular financial requirements. Even just the minimum payments through the crisis.

THINGS to consider if you have a Home Equity LOC with a balance:

I am not hear to spread fear or worry.

I am here to communicate information so that you can make valid, educated decisions.

We are in unprecedented times and many unknowns ahead. The info below is to provide some clarity on some ‘what ifs’ we should be considering:

In 2008/2009 the banks were able to (and did in some cases) change the pricing and limits on Home Equity LOC’s.

The way HELOC’s are registered also allows banks to “call” the loan at any time.  In times of economic distress a bank ‘may’ decide to call the balance outstanding on a secure Home Equity LOC (requesting payment in a very short period of time) OR increase the rate.

What to do?

  • consider locking into a Fixed or Variable rate (on the home equity LOC portion)
    • This turns the HELOC into a contractual term mortgage.
  • consider restructuring the entire mortgage into one balance

Have questions? I am happy to look into your options.

Contact me directly at 306.933.3386 or email me at tammy@elitemortgagechoice.com 

APPLY online at www.elitemortgagechoice.com

We are here WITH you through these times. Should you have any questions please reach out.

Tammy Wandzura, Mortgage Broker AMP