Deferring your mortgage payments during the Coronavirus Pandemic.
For most families in Edmonton and Area, your mortgage payment is your largest monthly expense. Most major lenders in Canada have announced that they are providing consumers with mortgage deferral options. This means that you can delay a payment or series of payments without affecting your credit score.
It’s not free.
These programs do not provide free mortgage payments, as many people have misunderstood. You still have to pay your mortgage payments at some point in time. Many banks are simply extending the total amortization of your loan to accomplish this short-term solution. Other banks use different means to accomplish a temporary deferral on a case-by-case basis.
It’s not for everyone.
Many homeowners should not defer their mortgage payments. Edmonton and area homeowners need to be aware that interest still accrues on the total balance of your loan even if your payments are deferred by a month or two. Overall, this increases your total interest paid across your mortgage or loan. These options are offered to provide short term relief to families that need it.
How do I get my mortgage payments deferred?
For homeowners looking to take advantage of these options, The Esposito Team advises you to speak directly with your bank in order to explore your options. Each bank has different requirements. Here is a list of contact numbers for Canada’s major lenders:
First National: 1-888-488-0794
Home Trust: 1-855-270-3630
Learn more about Edmonton & Area real estate here.
The Esposito Team is a family-run team of Edmonton & Area Realtors® with Century 21 Masters. For more details, contact us here.