![]() To create your medium-term goals, first, establish a vision for your long-term future self. If not, here’s how to think about it… How To Plan Your Medium-Term Financial Goals Hopefully, you are starting to see how your financial planning is interconnected. To determine your short-term financial targets required within the next 12 months. Which are to be achieved in more than 5 years.Īnd the necessary vision for the future. ![]() In my opinion, medium-term financial goals are critical for becoming financially successful.īecause they provide the support for achieving your long-term financial goals. The Importance Of Medium-Term Financial Goals ‘Once again, getting financial advice is critical,’ adds Hooper.Disclosure: At no cost to you, I may get commissions for purchases made through links in this post. The loan is secured against your property, so failing to keep up with repayments puts your home at risk of repossession. You still need to pass affordability checks and repay the loan over a period of time, just like a regular mortgage. Hooper says: ‘This is a very advantageous position to be in, and lenders will give you favourable deals as a result.’ Yes – but its technical name at this stage is an unencumbered mortgage. Having saved for years to pay off your mortgage, it’s critical that you take these next steps very carefully.’ Can I re-mortgage if I have paid off my mortgage in full? ‘Equity release is complicated, and is not the right course for everyone. Hooper adds: ‘It’s very important that anyone looking to do this sees a financial adviser. This preserves the portion of property you own for inheritance purposes. You can make interest repayments while you’re alive. This sum is repaid, with interest, when the property is sold – either after you die or move into long-term care. ![]() You take the cash value of a chunk of your home. There’s no guarantee of finding a buyer for your home either.Įquity release is another option. This might not appeal if there’s a limited supply of properties for sale in the area you want to live. There’s the option of downsizing, which frees up capital from a house sale, assuming the one you buy next is cheaper. What are my options when the mortgage is paid off? If you instruct a solicitor, they can help you finalise the arrangements, update the Land Registry, and obtain a copy of the title deeds. There is a small fee if you want an official copy of the deeds. Visit HM Land Registry (opens in new tab) to find out more. Plus, it’s wise to check the deeds to see if the property is registered with the Land Registry.’ Rachel Springall, a finance expert at comparison service .uk, says: ‘Homeowners need to ensure they have their title deeds back if they were held by a lender or solicitor. And you can reclaim the title deeds, which show the chain of ownership of a property. Your lender will surrender its charge over your home.Once you have officially paid off your mortgage, contact your bank to ensure any future direct debits or standing orders are cancelled.A redemption fee may also apply, also known as an ‘exit fee’.You may need to pay an ‘account fee’ if you deferred one to the end of your mortgage term.This is the final amount due to settle your home loan, plus any fees owed. First, contact your lender to find out your mortgage redemption details.But there are still a few boxes to tick and some paperwork to complete. The good news is that means no more monthly mortgage payments to make.
0 Comments
Leave a Reply. |