Thanks to the brand new investments and a widespread increase in attention and interest, cryptocurrency mining and investing seems to be on an all-time high once again. Those who were reluctant to make the decisive step and buy their first batch of cryptos now have diverse portfolios with half a dozen different assets to their name. As things are constantly improving, albeit slower than everyone would like them to, new uses of cryptos are also appearing.
There are many different ways in which one can use or spend their digital currency as they are much more present and popular now than years ago. When people adopt something on a larger scale, it only gets bigger and easier to own. The same is happening with virtual currencies. However, one huge aspect of finances is not quite there yet. Among the biggest issues for hundreds of millions of people around the world is their mortgage situation.
It is a constant worry for families because it is literally the question of whether or not they will get to keep the roof over the head, as well as for how long. To tackle this problem, people with certain amount of balance in their electronic wallets have wondered whether or not they could use cryptos to get a mortgage, as well as to pay it off.
In the article right here and now we are talking cryptocurrency and mortgages. If you wanted to know how you can use cryptos to get a mortgage, we have some useful tips for you that will surely help you out. Keep on reading the article and make sure to check out primebit-profit.com/ph in case you wish to learn more about all things cryptocurrency and how to get started.
Cryptos and House Deposits
There are many myths surrounding the hands-on use of digital assets. One of the biggest reasons why it took so long for the ordinary man to get involved in it is that you still cannot use it as openly as regular money. Common sense prevailed and people did not want to invest in assets they could not use.
Luckily, things changed for the better and you can now not only exchange the cryptos as any other asset, but spend it on goods and services. Can you do it with mortgages though and is there a way to make a deposit for a house using bitcoin, ethereum, or any other coin? The short answer to this would be no. Despite its wider presence and usage, there is still not a clear cut way to use any type of digital currency directly and get a mortgage deposit.
It is a complicated process that not everyone can complete anyway, and something still somewhat unfamiliar and not fully adopted as cryptocurrencies would complicate things even further. However, that hardly means that there is no way to reap the benefits of cryptos towards a mortgage. While it cannot be done directly, you can use the profits you have made from your cryptocurrency business and fund your mortgage deposit.
It does not matter how you got the money, as long as it is legal of course. Selling the currencies and having proof of it all will be more than enough for any individual to pay a mortgage deposit with the money they made from smart crypto trading and investing. Mind that most mortgage providers have no issue with denying and turning away customers as soon as they learn you plan to do this, at least if your funds are completely untraceable.
Crypto Mortgage Approval Rates
The biggest obstacle on your way to secure a mortgage deposit with your crypto balance is the fact that it is a strict case-by-case system. There are strict rules and procedures in place and most lenders want to see every single piece of evidence there is that prove that you converted the cryptos to traditional currencies.
This is not all either as those issuing mortgage deposits are really cautious and wary about this trend that is on the rise. To make matters even more difficult for an ordinary customer, some mortgage lenders contact financial crime units just to make sure there was no money laundering or tax evasion in the process. Banks statements might be in order if they deem your case extra suspicious no matter how honest and fair you were during your crypto endeavors.
Last but not least, you should also know that it is still not possible to declare cryptocurrency as income on the application either. This is, therefore, the biggest reason why it is so complicated and tiresome to go through the process and come out on top. Mortgage lenders do not accept cryptos as declarable income mostly because of how volatile it can be with spikes and drops in value. The banks would take on too much risk otherwise and lose a lot of money in the case of a sudden drop.
Now that you know how complicated things tend to be with this, here are some tips that should give you a clear advantage and make you a viable candidate for a mortgage. Remember that this is hardly a guarantee and more like a cover-all-the-basis approach.
1. Find a Trusty Place to Convert or Sell
The most important thing on your way to the mortgage is to find a good place to get traditional money for your cryptos. Leading crypto exchanges are your safest bet. Never do it “off the books” since you will look suspicious and you will never get approved.
2. Get Paperwork in Order
All throughout the mortgage deposit process, you will need to keep your paperwork in order and prepare every type of proof. Dates, conversion rates, places you bought and sold your assets… It should all be easy to read and transparent if you want the lender to take you on.
3. Look for the Right Lender
As mentioned, not all mortgage services are willing to do business with cryptocurrency customers. You need to do some research and find the ones that have no problems with it to increase your chances at a deposit. They are still rare, and depending on your location there might be only a handful of choices.
4. Stick to More Popular Cryptos
If you can, you should try to do business with the more popular digital assets and those that have been around from the start. Of course, bitcoin is the best course of action. Others like binance, ethereum, and tether are all viable options because financial experts know them.