Lori Blank & Associates

13

Feb

Real Estate

Consider an Adjustable-Rate Mortgage If You Plan to Sell Within 5 Years

Which is better -- a fixed-rate mortgage or an adjustable-rate mortgage (ARM)? It's a common question among home buyers and refinancing households. The answer? It depends. Fixed-rate mortgages offer the certainty of a known, unchanging principal and interest payment for the life of the loan. This stability can aid in budget-setting and financial planning, providing homeowners with a sense of security and peace of mind. On the other hand, adjustable-rate mortgages do not provide the same level of certainty. After an initial introductory period, the interest rate on the loan adjusts periodically based on prevailing market conditions. While this uncertainty…

12

Feb

By Lori Blank

Financial Reports

What’s Ahead For Mortgage Rates This Week – February 12th, 2024

This week is the release of Core CPI and PPI numbers for January. The only data release of note is the trade deficit and the usual unemployment reports for the prior week. The current trade deficit for the U.S. is operating precisely within expectations and correlating GDP numbers. This current week will provide further guidance for the Federal Reserve as the next release of inflation data is released. U.S. Trade Deficit The U.S. trade deficit rose slightly in December, but the annual gap still fell to the lowest level in three years and added to the economy's strong performance in…

09

Feb

By Lori Blank

Student Loans

Balancing Educational Debt with Homeownership Goals

In the pursuit of the American dream, many individuals find themselves walking a tightrope between educational aspirations and the desire to own a home. The burden of student loan debt can often seem impossible, making the prospect of homeownership feel like a distant dream. With strategic planning and disciplined financial management, it's possible to strike a balance between educational debt and homeownership goals. Here are a few effective strategies to help you navigate this delicate balancing act. Understand Your Student Loan Landscape: Before diving into homeownership, it's crucial to have a comprehensive understanding of your student loan portfolio. Take stock…

08

Feb

By Lori Blank

Home Buyer Tips

Home Warranty Plans: Protecting Your Investment and Budget

Owning a home is a significant milestone, representing a culmination of hard work, dreams, and financial investment. However, as any homeowner knows, unexpected repairs and maintenance issues can quickly arise, posing a challenge to both your peace of mind and your budget. This is where home warranty plans step in, offering a layer of protection and financial security for homeowners. In this guide, we'll explore what home warranty plans entail, how they work, and why they are a valuable asset for protecting your investment and budget. Understanding Home Warranty Plans A home warranty is a service contract that covers the…

07

Feb

By Lori Blank

Home Mortgage Tips

Understanding, Avoiding, and Mitigating Early Mortgage Repayment Fees

Mortgage prepayment penalties are fees charged by lenders when borrowers pay off their mortgages before the agreed-upon term. These penalties are designed to compensate lenders for potential lost interest income and can significantly impact borrowers who want to pay off their mortgages early. Here's what borrowers should watch out for and how to avoid or mitigate prepayment penalties: Understand the Terms of Your Mortgage Agreement: Before signing any mortgage agreement, carefully review the terms and conditions related to prepayment. Look for information about prepayment penalties, including how they are calculated and under what circumstances they may apply. There are generally…

06

Feb

By Lori Blank

Real Estate

Understanding the Influence of Demographics on Real Estate

Real estate is not just about bricks and mortar; it's a reflection of societal trends, economic conditions, and cultural shifts. One significant factor influencing the real estate market is demographics, particularly generational preferences. From baby boomers to millennials and Gen Z, each generation brings unique perspectives, lifestyles, and priorities that shape their housing choices and ultimately impact the real estate landscape. Baby Boomers: The Impact of Aging Population Baby boomers, born between 1946 and 1964, represent a substantial segment of the population whose housing needs are evolving. As they approach retirement or downsize empty nests, many baby boomers seek smaller,…

05

Feb

By Lori Blank

Financial Reports

What’s Ahead For Mortgage Rates This Week – February 5th, 2024

The largest and most impactful financial data being released is as always the Federal Reserve rate decision. This time it fit well within the expectations across the broader market and lending partners, in that the Federal Reserve still remains to hold the current standing, and is showing push back on any potential rate cuts coming March when the next rate decision is planned. Most of the economic indicators from last year and this month have added fuel to the speculation that the Federal Reserve has largely met their goals and there is a strong upside pending rate cuts. The other…

02

Feb

By Lori Blank

Technology

Redefining Real Estate with Automation and Technology

Smart homes are rapidly reshaping the real estate landscape, promising unparalleled convenience, security, and sustainability. With automation and connectivity at their core, these homes represent the forefront of technological innovation, offering homeowners unprecedented control over their living environments. The rise of smart home technology is driven by its ability to streamline daily tasks and enhance quality of life. From automated lighting and thermostats to voice-activated assistants, these systems simplify household management and create personalized experiences tailored to individual preferences. Security is a paramount concern for homeowners, and smart home solutions offer peace of mind through integrated surveillance cameras, motion sensors,…

01

Feb

By Lori Blank

Real Estate

How Do Mortgage Points Cut Your Interest Costs?

Those who are involved in the real estate industry likely know that mortgage rates are at an all-time low. At the same time, nobody wants to pay more for a house than they have to. Some of the most important factors that dictate how much someone is going to pay for a house include points and interest rates. While interest rates are incredibly low, there is a way to make them lower. This comes in the form of points. This is additional money that is paid upfront to get a better deal over the life of the loan. Even though…

31

Jan

By Lori Blank

Home Buying Tips

Understanding the Jumbo Mortgage and Why Refinancing is Different

The contemporary trend towards expansive dimensions is palpable in various aspects of modern life. Oversized soft drinks, large fast-food meals, and expansive smartphones have become ubiquitous. However, one unlikely sector experiencing a similar trend is the realm of mortgages. Delving into the specifics, what exactly constitutes a jumbo mortgage? How does it differ from its conventional counterpart, and what implications does it hold for potential refinancing? Here's a comprehensive overview. Jumbo Mortgages As the name suggests, the primary distinguishing factor of jumbo mortgages lies in the loan limit. Fannie Mae and Freddie Mac administer mortgage limits nationwide, contingent upon the…