Who is applying for Midkey home loans?
Take a look at these tables to see what borrowers are doing with the equity they are unlocking, since we launched in May, with their Midkey “No Monthly Payments” Home Loans:
- 28% have applied for a Midkey to renovate their homes,
- 17% are unlocking the equity in their current home to afford the overall costs of living (school fees, for example),
- 13% are using their Midkey to make a lump sum repayment on their 1st mortgage, which reduces their regular payment amount and gives them more control over their monthly cashflow.
You’ll see that some borrowers are paying off other debt (such as credit cards and personal loans), and others are paying essential bills, putting the funds into their businesses, buying themselves a new home, or helping their child buy a home. We have borrowers who are currently unemployed, so they are paying for living expenses with their Midkey because their bank lenders won’t increase their loans.
The second table essentially illustrates how our borrowers, intend to pay back their NO MONTHLY PAYMENTS home loan. The majority, 29%, plan to pay off their Midkey by downsizing their home; 14% expect to pay it back when they receive other income (other than from investments, inheritance, asset sales etc), 11% expect to be in a better position to refinance their 1st bank mortgage to pay us back, others plan to sell their business, an asset or an investment property in the future, or they are expecting an inheritance and will then pay their Midkey.
“These numbers and reasons will change as more borrowers discover our Midkey home loans, and we’ll share more of this important new data as we expand into other cities”
Richard Young, Co-Founder & Co-CEO of Midkey.
