Can mortgage protection insurance be used for purchasing a haunted property?

hong-kong-gac6f57569_1920

Can mortgage protection insurance be used for purchasing a haunted property?

Factors affecting valuation and risks of haunted properties

In recent years, Hong Kong's property prices have remained high, prompting some buyers to consider purchasing haunted properties as a cheaper alternative. But can mortgage protection insurance be used for purchasing haunted properties? Let's explore this issue today.

 

What is mortgage protection insurance?
Mortgage protection insurance is purchased by buyers when obtaining a mortgage to reduce risks. The insurance company takes on some of the risks, such as making repayments if the buyer is unable to do so, to safeguard the interests of both the buyer and the bank.

Can mortgage protection insurance be used for purchasing haunted properties?
Yes, it can. However, the insurance company will reevaluate the property and be more cautious. Therefore, buyers may face lower valuations and approval risks when purchasing haunted properties using mortgage protection insurance. Moreover, if obtaining a mortgage through a large bank, the insurance company typically references the bank's valuation.

 

Factors affecting the valuation of haunted properties
The valuation and approval of haunted properties depend on four factors: the nature of the crime, the level of public attention, the number of fatalities, and the timing of the incident. Banks consider the severity of the incident when valuing the property, such as a unit where a dismemberment or murder has occurred being valued lower than one where a suicide has occurred.

Furthermore, if the property is considered an "extremely haunted" property, its valuation will affect the valuations of neighboring units, resulting in lower valuations for haunted units on the same floor. Therefore, if buyers only intend to purchase a unit on the same floor, they should consult and apply for mortgages from multiple banks simultaneously to obtain higher valuations. If a bank undervalues the property, buyers may consider using mortgage brokers to obtain fair valuations from banks.

However, it is worth noting that purchasing haunted properties always carries certain risks. Banks may decide whether to approve mortgages based on the situation, and if they cannot assume mortgage risks, buyers face repayment risks. Moreover, if the property's situation is too severe, banks may not even value it. Therefore, buyers should evaluate the risks and their repayment abilities before purchasing haunted properties.

 

In conclusion, using mortgage protection insurance for purchasing haunted properties is a viable option, but risks and valuation issues need to be taken into account. To obtain higher valuations, buyers should apply for mortgages from multiple banks simultaneously and consider using mortgage brokers to obtain fair valuations. Buyers should evaluate the risks and their repayment abilities before purchasing haunted properties.

 

需要幫忙? 請馬上透過 WhatsApp 微信WeChat 聯絡我們

掃描二維碼即時聯絡我們!

WhatsApp:+852 5991 2927

Whatsapp QR code

微信WeChat:probityproperty

WeChat QR code

聯絡我們

地址:香港中環德輔道中59號中南行301室

電話:+852 5991 2927

電郵:[email protected]

本網站為一站式物業按揭資訊分享平台,本網站所分享之服務計劃內容及價錢,均由本網站向相關銀行及金融機構銷售員查詢及提供,僅供參考。本網站並不保證於網站內顯示的物業按揭資訊內容均完全準確。本網站內所顯示的物業按揭內容等資訊僅供參考,實際收費及優惠由銀行或金融機構或公司決定及以該銀行或金融機構或公司最新發放的資料為準。如你發現本網站分享的物業按揭資訊有錯誤,歡迎聯絡本網站更正。本網站內分享之圖片只用作表達相關推廣資訊。本網站內分享之文章內容僅供參考,本網站並不保證於網站內文章內容均完全準確。推廣資訊以查詢時間為準,銀行或金融機構保留最終決定權,謝謝。