Did you lose your job and can’t pay the mortgage? Learn how to apply for unemployment insurance

get a mortgage credit to buy a house or apartment is a dream that could have turned into a nightmare for those who were affected by the wave of unemployment that occurred during the Covid-19 pandemic.

According to data from the Mexican Social Security Institute (IMSS), in February 2020, 20.6 million formal workers were registered in Mexico. For the following five months, 1.19 million were lost due to the repercussions of the health crisis.

Although many of these jobs have gradually recovered and the trend continues to rise, the pocket of Mexicans continues to be impacted by the economic consequences of Covid-19, to which is added the effect of inflation.

In this sense, Karim Goudiaby, founder and CEO of the digital real estate company Neximo, indicated that 2022 was a challenging year, although the real estate sector has been characterized by its resilience.

“Those who invested their capital in the purchase of a house or apartment used their money to build a heritage and protecting it is the highest priority. If they were to lose their current job, they need to know what alternatives they have to avoid putting their homes at risk,” said the specialist.

mortgage credit insurance

One of the advantages of mortgage credits It is that they have unemployment insurance, which means that when the borrower loses his job, this tool comes in to support him with the monthly payments.

Carlos Diaz, manager of mortgage credit of proptech, explained that the benefits of the insurance depend on each bank, since some forgive the payment for up to nine months, once during the entire life of the term of the financing.

This insurance does not have any additional cost, although the benefit is only for salaried workers, that is, they are under an employer regime.

It should be mentioned that the mortgage credits Public institutions, such as the Housing Fund of the Institute for Social Security and Services for State Workers (Fovissste) also offer this option, although it is only for the most recent accredited.

Requirements to validate the insurance

It is important to know that in order to make unemployment insurance effective for a mortgage credit it is necessary to cover the following requirements:

• Before the job loss, have complied in a timely manner with the mortgage payments.
• The job separation must have been unjustified, the insurance will not be valid if it was a resignation or dismissal due to bad practices.
• Often it is requested to have at least 6 months in the same job.
• Other requirements vary based on mortgage and insurance policies, such as the age of the credit and the period that elapses since the loss of employment.

Keys to not lose the house

Finally, the manager mortgage credit de Neximo shared three ideas that will prevent the purchase of a house and its subsequent payment from putting the heritage at risk:

1. Have advice from an expert to start the process of a mortgage loan, since it must be adequate according to the ability to pay.
2. Have savings of at least two or three monthly mortgage payments. That way, if you lose your job, there is a “cushion” that the bank will be able to take month after month.
3. Avoid having too many monthly credit commitments, that is, trying to pay off all credit cards so that the mortgage is the only commitment.