How to Use Your Structured Settlement Funds for Your Home
After 18 months of on-and-off shutdowns due to the pandemic, it is clear that many people have found themselves facing inconsistent income. Even if you didn’t lose your job entirely, the fluctuations may have left you struggling to keep the roof over your head! If you have been looking for a way to pay off your mortgage or fund home repairs, selling a portion of your structured settlement payments can be a viable option. A structured settlement expert will purchase some or all of these payments, mitigating the detrimental fluctuation in the payment seller’s monthly income. The received funds can be put towards paying off mortgages or making necessary home repairs.
Homeowners with a structured settlement or annuity may be wondering how to use their payments for their mortgages or home renovations.
Mortgage Payments
Structured settlement payments can be used to pay off your mortgage and help you get out of debt. If you have a large sum that is coming soon, selling some or all of the funds from your structured settlement will allow you to reduce or eliminate monthly installment payments. Instead of getting one lump payment for your settlement, you can opt to get a percentage of your settlement needed in this instance. This can provide you with the cash flow necessary to pay off your existing mortgage faster. Since these payments are not guaranteed, they might be less than what is required for other loan types like an FHA or VA loan where there are strict guidelines.
Home Renovation & Repairs
Cash flow is often the biggest obstacle that homeowners face when trying to finance home repairs and renovations. Using personal savings can be risky if and when unexpected expenses crop up. Selling some or all of your structured settlement payments can help you get the cash you need without worrying about putting yourself at risk. As there are several ways to go about selling your future payments, it’s important to understand all of your options before making a decision that could impact you for years down the road.
Structured settlements are often established when an individual is awarded money in a legal settlement. Delete entire sentence, .
When you sell a portion of your structured settlement payments, there may be some tax implications and certain risks involved, please consult with your professional advisor.
If you would like to find out more about how selling some or all of your structured settlement payments can help with paying off your mortgage or making home repairs, contact Strategic Capital today! We will answer all of your questions, and determine if selling payments is a good option for you.
