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A reverse mortgage is a loan for senior citizens. It is often used to cover medical expenses, and is becoming a common way for retired persons to supplement their existing monthly retirement income.
This is a loan that senior home owners may take against their current home. You don’t need to pay monthly installment in this type of loan. Instead, the lender will pay for you. You will pay the loan back from your equity when you’ve left the home either by selling it or passing away. Your children can keep your home by paying the loan back with interest if they don’t want to sell it.
The concept of reverse mortgage is confusing to many and very often analogous with the conventional mortgage but they are quite different from each other. A conventional mortgage is a falling-debt and rising-equity transaction. But in the case of reverse mortgages, you will be given money by the lender and you will not make payment. So, it will result in a rising-debt and falling-equity model. This is a perfect
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Looking at a snow-covered vista is perfect for pictures – but could be deadly to your house. It pays to be prepared for winter to avoid nasty surprises at spring time. How ?
- Trim your trees. Unfavorable weather can make overgrown trees and dead branches break and fall which can result to injury or property damage to you or your neighbor.
- Dispose of leaves and other debris from your gutters to prevent the formation of ice dams. Ice when it melts must flow away from your house.
Even if you are not home, people still come to your house like the postman, utility staff and delivery people. Broken stairs or railings may cause accidents, minor though they are, you or your insurance could still end up paying for them, so better have them repaired if they’re broken.
Try to scout out the markets in your choice to see if you can get a descent job which can alleviate some of your financial doubts. Or better yet, apply for jobs online and try to see if your skills are worth more than what you are currently earning. If you have children, you might have to consider the strain you will be placing on them when it comes to adapting to a new place and environment often associated with moves. With these things in mind, you might find out that you are better off than some others who are sharing your fate so do think properly of decisions steering away from bailout moves offered by lenders and banks.
Having a small place, whether a house or condo, is more and more common now compared to what it was a decade ago. The shift from bigger houses to smaller ones has happened steadily over the past few years, started by the economic problems across the world. Today, a lot of people are seeing the value, financially as well as in overall stress, in owning a smaller space.
If you are someone who enjoys cooking and gardening, you don’t need to worry. It is still possible to have your own garden and source of veggies in a condo. Plants like tomatoes, eggplant, okra, chili, lettuce, and arugula are all potted plants that can easily be grown and maintained in a condo. All you need to do is exert the effort in knowing what plants are suitable to the nook or corners you will be assigning for greenery and how to maintain these indoors. After which, you can surely enjoy your small space and your potted garden at the same time.
The National Association of Realtors, in it’s recently concluded annual conference challenged it�s members with an important task this year. The association through its president has announced dismay over the tons of bad publicity the Real Estate business has been getting these past few months due to fluctuating interest rates on mortgages. Many media people have said that the housing business is suffering a slow death but they say that it is all speculation and that the business of real estate is doing well and sales are up. They demonstrated this more by saying that the year 2007 was ranked the 5th ever highest season for home sales and that the jobs are getting better with more and more people getting employed. They ended by telling their members that they should straighten the facts in their respective areas of coverage disproving that the ever-worsening news has been the result of a few misinformed industry analysts who are up to no good.
More banks are expected to be affected by the current credit crunch that has stemmed off the sub-prime lending market’s problems. The ever lowering prices of homes (where many banks, national and local have investments in) is proving to tax on them heavily that if no changes occur, they could fall one by one. The next problematic avenue that is seen to arise from the financial crisis is the credit card sector due again to the effects of the slowing economy that has people scrambling to save and scrounge up all for savings for the uncertain future of the housing market.
Market analysts are seeing dip in house sales due to the rising number of people who are loosing their jobs. Industries are being forced to lay-off personnel to maintain their operations and stay through the rut in the economy. Most have the word of their employees of re-employment when things get better. The forecasts are still quite murky yet people are hanging on. Real estate will be changed forever by these events and people wish they would learn form their mistakes. Having a house to live in is just as good as having enough money to pay for their homes so they can keep living in them. The practice of getting people houses without proper financial planning sends them to the streets if economy fluctuates and they are left to fend for themselves with federal and state aid not sufficient enough for them to survive.
Lenders are finding it very hard to recover from the financial crunch and so do the previous owners of houses that have been foreclosed. We have seen this in the past months, that people are turning to desperate measures to assure nobody else benefits form their foreclosed homes. They trash it, some turn to arson and other crimes that render these houses un-sellable or in need of major repair for them to once again become appealing to sell. These cases are on the rise and arson being a crime is having more and more houses being razed to the ground by fires their previous owners have initiated. Call it frustration or call it desperation, it shows the true effects of the financial problems we are now experiencing that is bringing out the worst in some of us.
New home sales are at their lowest points in 13 years and the economic slowdown has further affected the usually booming new house market. Mortgage lenders are expected to come up with more than 20 billion dollars in funds to cover losses. The effects would be long lasting as analysts expect the shake down market not to recover till 2009. Prices continued to fall from January of last year by as much as 11%. The problems in the housing market just keeps on getting worse which may have prompted the move by the American President to publicly say and admit the financial market needs a complete shakedown and overhaul to prevent this from ever happening again. Lenders are very much stricter with respect to home loans as well as banks and other financial institutions that were hit hard by the problems in the housing market.
There are some ways to make sure your money works for you. Investing this is often a smart and advisable step. There are many ways to invest money. Some choose to look at the financial sector for this but not everyone is comfortable doing this. What a lot of people do is invest their money in property. You might think that this is not a great way to invest considering the real estate market but this is on the mend so more and more people have begun to go this way again.
There are also a few basic tips when investing in real estate. There are three basic things you can look at in order to know if you are making the right decision in investing in property. Take a look at price. Of course, where prices are high, this is an indication that the place is desirable. You can choose to buy there or look at nearby places that will have lower prices. These may rise in demand because of proximity and cost. Look at taxes- lower taxes are always better. Then look at schools. How well these are doing is an indication if an area is good or not.