The Impact of the Corona Virus on the Rapid Increase in The Number of People Reviewing Mortgage Repayment Conditions

Number of people reviewing mortgage repayment terms surges Impact of Corona Virus September 12 at 5:39 p.m.

As the impact of the new coronavirus becomes longer, it is becoming difficult to pay mortgages as planned, and the number of people who review repayment terms and reduce monthly repayments is increasing rapidly. There are a number of people who are forced to sell their homes due to delays in repayment of loans, and the Financial Services Agency has called on financial institutions to consult with financial institutions immediately if they have trouble repaying their homes.
The Japan Housing Finance Agency, which handles mortgage loans, is responding to a review of repayment terms and conditions for people who have lost income due to the new coronavirus, extending the repayment period by up to 15 years to reduce monthly repayments or reducing repayments for a certain period of time.

According to the support organization, it became difficult to pay the mortgage as planned due to the spread of the infection, and the number of changes in repayment terms was two in March, but it has soared since April to 1483 in June, 1205 in July, and 987 in August.

In addition, as the effects of the new virus have been prolonged, many real estate companies in Yokohama have been asked to sell their homes because they have not been able to pay loans since the middle of last month.

There have been a number of cases where loan payments have been delayed, causing large amounts of delayed damages and being forced to sell their homes.

The Financial Services Agency is u.S. calling on financial institutions to consult with financial institutions immediately in case they are having trouble paying off their loans.

Some people had to part with the apartment.

Some people couldn’t pay their mortgages and had to part with their apartments. A man in his fifties in Kanagawa Prefecture bought an apartment for about 20 million yen 13 years ago when he was newly married and lived with his wife and the son of a junior high school student.

I took out a 35-year loan and paid 50,000 yen every month. Until now, we have continued to pay back while making ends meet, but due to the spread of infection, the number of jobs at the site of signboard companies has decreased, and the income of about 200,000 yen a month has almost disappeared in July.

For this reason, I have been using my savings to pay my loan, but I don’t have any prospect of recovering my income, and my son, who is in his third year of junior high school, is planning to take a high school entrance exam next year, so I decided to part with my apartment to pay for my education.

A buyer was found in July, and the sale amounted to more than 14 million yen. However, it is said that there is little money left at hand when the remaining loan etc. are paid.

On the 5th of this month, the man’s family left the apartment full of remembers and moved to a nearby rented room.

The man said, “I was going to stay in this place for a long time, so I never thought I’m going to let go of my home in Corona. My son has been growing up in this house since he was born, so I think he is more attached to him than he is. I’m sorry to make you feel hard because you’re moving because of your parents. I had no place to take my anger, and now I feel a mixed feeling of regret and sadness.”

Real estate company “consult with financial institutions immediately”

It is said that real estate companies in Yokohama have been consulting with real estate companies since the middle of last month about not unable to pay their mortgages and want to sell their homes.

Ryu Somoto, CEO of the real estate company Restart, said, “Many people have endured receiving repayments from financial institutions for a period of time after the spread of the infection, or by spending national benefits on payments, but the effects of Corona have been prolonged, and many people have recently received consultations that they have been forced to sell. There is also a series of delinquency, “if you can’t pay the loan this month, your home will be auctioned off,” and everyone has been forced to the point where they don’t have to wait any more.”

On top of that, “When you are having trouble paying a loan, there are many people who sell it after it becomes helpable by doing a new debt in consumer finance or cutting off your savings, but if you do so, the debt will swell and you will not have any money left at hand even if you let go of your home. It is important to consult with financial institutions as soon as it becomes difficult to repay the loan.”