Surviving the recession and your homeloan

The recession is over, well the technical recession is over. Many of the financial problems that the world has faced over the last while started with bad homeloans. Homeloans that were approved when they really should not have been. There has also been an effect on homeloans here in South Africa, and many owners have been under pressure and have seen house prices falling. There have been two recent reports on the homeloan market that don't agree with each other. So is the homeloan market starting to recover?

 

• FNB says it's getting better
• Standard Bank says it's getting worse
• Both only use figures from their own books

 

Banks hold the homeloans and they check the performance of those homeloans. The fact that the banks have different figures is not really surprising as they would have had different homeloan criteria when they approved those bonds. The fact that two major banks can have contradictory figures more than likely suggests that whilst some of the homeloan market is coming right, not all of it is yet, and that whilst technically the recession is over there are still pockets of problems in the homeloan market.

The recession will still have effects on us for the next few months at least. You may be feeling the effects of the recession still and want a bit of pressure taken off. There are professional mortgage application specialists out there who may be able to help you refinance your house while you wait for the economy to improve again. Rather than defaulting on your payments, get a homeloan specialist to help you hold on to your house and survive the recession in South Africa.