Mortgage Protection For Investment Properties
Mortgage protection/Life Insurance for investment properties.
Our life insurance consultants will provide you with the cheapest quotes available from Ireland's leading life companies.
During the property boom many of us bought investment properties.
Unlike homeloans and in accordance with current legislation, lenders did not insist that investors take out mortgage protection as security for these investment property loans.
Whilst the taking out of such insurance facilities was recommended many felt that rising prices would cover any downside risk.
Investor's assets are now potentially exposed to negative equity
The price crash of 50% has resulted in an exposure in the investor's assets/estate to a shortfall being the difference between the current value of the property and the mortgage outstanding
For interest only positions the shortfall will be very close to the full 50% price fall. In fact the position will not be much different for annuity mortgages.
In the unfortunate event of an untimely death, lenders will look to the estate to cover this shortfall. This could cause hardship for those who remain and may involve a requirement to sell other estate assets.
Taking out a life insurance or mortgage protection policy now will deal with this issue and will take some of the stress out of an already difficult situation.
To check the cost of such policies whether to cover the whole mortgage balance or the shortfall, please call us on 01 8327250 or click above to get a low cost quote..