06
Sep
By lizlaurenb
Real Estate

Vacation Home or First Mortgage Payoff?

Imagine having some extra cash on hand, enough to make a significant financial decision that could potentially shape your future. You've worked hard to build equity in your home, and now you find yourself at a crossroads. Should you invest in a vacation home or use the money to pay off your first mortgage? Vacation Home-Pros A Place to Escape: Owning a vacation home provides you with a tranquil getaway, a place to unwind and recharge. It offers the potential for making lasting memories with family and friends. Rental Income: If you decide not to use the vacation home year-round,…
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01
Sep
By lizlaurenb
Real Estate

What Is A Floating Interest Rate?

A floating interest rate, also known as a variable interest rate or an adjustable rate, is an interest rate that can change over time. Unlike a fixed interest rate, which remains constant for the entire duration of a loan or investment, a floating interest rate fluctuates periodically based on certain factors or benchmarks. The advantage of a floating interest rate is that it can offer flexibility. When interest rates are low, borrowers can benefit from reduced interest payments. However, if interest rates rise, the cost of borrowing will also increase. How Does A Floating Rate Work? A floating interest rate…
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31
Aug
By lizlaurenb
Real Estate

What Are The Pros And Cons Of ‘No-Deposit’ Mortgage Deals For First-Time Buyers?

"No-deposit" mortgage deals for first-time buyers refer to mortgage options that allow buyers to purchase a home without having to put down a deposit or a down payment. Here are the pros and cons of such deals: Pros: Lower upfront costs: The most significant advantage of a no-deposit mortgage is that it eliminates the need for a substantial upfront deposit. This can be beneficial for first-time buyers who may struggle to save a large sum of money for a deposit. It allows them to enter the property market sooner. Increased affordability: With a no-deposit mortgage, first-time buyers can purchase a…
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30
Aug
By lizlaurenb
Real Estate

Reasons You Need an Insurance Binder and How to Get One

An insurance binder for mortgage loans is a document that provides proof of insurance coverage for a property that is being financed with a mortgage loan. Mortgage lenders require borrowers to have insurance coverage on their property to protect their investment in case of damage or loss. When a borrower applies for a mortgage loan, the lender typically requires proof of insurance coverage before they will approve the loan. An insurance binder is a document issued by the insurance company that provides temporary proof of insurance coverage until the official insurance policy is issued. The insurance binder for mortgage loans…
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23
Aug
By lizlaurenb
Real Estate Tips

How the Purchase and Refinance Mortgage Process Works

The purchase and refinance mortgage processes are similar in many ways, but there are also some important differences. Here is a general overview of how each process typically works: Purchase Mortgage Process Determine your budget: Before you start shopping for a home, you need to figure out how much you can afford to spend. You can do this by calculating your monthly income, expenses, and debt, and getting pre-approved for a mortgage. Find a property: Once you know your budget, you can start looking for homes that fit your criteria, whether that's size, location, or other factors. Make an offer:…
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21
Aug
By lizlaurenb
Real Estate

Will Buying A New Car Impact The Ability To Buy A New Home?

Making major life decisions often involves a delicate balancing act. Among the most significant choices individuals face are buying a new car and purchasing a new home. Both ventures represent milestones in one's life, bringing excitement and anticipation. However, there is a complex interplay between these two financial endeavors that can significantly impact a person's ability to achieve their dream of owning a new home.  Here are some factors to consider: Debt-to-income ratio: When you apply for a home loan, your lender will consider your debt-to-income ratio (DTI) to determine whether you qualify for a mortgage. Your DTI is the…
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10
Aug
By lizlaurenb
Real Estate

Will Pre-Approval for a Mortgage Hurt My Credit Score?

Obtaining a pre-approval for a mortgage is an important step when you're planning to buy a home. It gives you an idea of how much you can afford, helps streamline the home-buying process, and strengthens your position as a serious buyer. However, many people worry that the pre-approval process might negatively impact their credit score. In this blog post, we'll dive into the details to determine whether or not a pre-approval for a mortgage will hurt your credit. Understanding Credit Inquiries To understand how pre-approval affects your credit, we need to discuss credit inquiries. When you apply for credit, such…
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08
Aug
By lizlaurenb
Real Estate

Most Renters Are Paying Far More Than Their Landlord’s Mortgage

It is not uncommon for renters to pay more in rent than their landlord's mortgage payment. This is because landlords are typically looking to make a profit on their rental properties, and they will often set their rent prices based on market rates rather than the cost of their mortgage. There are several reasons why renters often pay more than a mortgage payment: Renters are not building equity: When you make a mortgage payment, you are building equity in your home. Equity is the value of your home that you actually own. As you pay down your mortgage, you own…
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04
Aug
By Lori Blank
Real Estate Tips

Financial Considerations When Buying a Home

Purchasing a home is one of the most significant financial decisions many individuals make in their lifetime. It involves a substantial investment of money and requires careful consideration to ensure long-term financial stability. To navigate the complexities of the home-buying process, it's essential to be well-informed about the various financial considerations involved. In this blog post, we will explore key factors to consider when buying a home to help you make informed decisions and achieve financial success. Establishing a Realistic Budget: Before diving into the home-buying process, it's crucial to establish a realistic budget based on your financial situation. Consider…
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