There is a lot being said about mortgages right now, because so many are in default. Whether your mortgage is a cheap mortgage or a remortgage, it is something that you have to be able to make payments on for several years.

Many lenders try to entice borrowers by telling them that regular pay increases will cover any deviations in their mortgage payments due to creative financing. This is where the problem comes in. You cannot count on regular pay increases. They are not a given. Getting a mortgage on the condition that you will get a 3% pay increase each year is not wise. There are only to guarantees in life and we all know what they are. Having a job, let alone getting an annual increase, is not one of them.