Should You Rent, Or Buy?: The 3 C's

Many people are confronted, by the need, to make a decision, whether they should, buy, a home of their own, or, rather, rent a place, to live. We often state, owning a home, is the American Dream, but, unless/ until, we make our decisions, wisely, we might risk, the dream, becoming, more of a nightmare, than dream! Therefore, this article will briefly discuss, examine, and review, the so - called, 3 C's, of making the best personal decision, in this manner. 

1. Cash reserves: Before one buys, he must put together, significant cash reserves, so as to do so, wisely, and with far less stress! Not only is this essential, in terms of putting down a down - payment, and qualifying for a mortgage, but also, preparing for the potential necessary repairs, maintenance, renovation, and/ or any other obstacle, thrust in the face, of a homeowner. On the other hand, renters have a far more predictable, scenario, and potentially, less stress! Examine your personal situation, needs, wants, and priorities, and make the best decision, for you, and your needs, and goals!

2. Credit Rating: In order to obtain the best possible mortgage, if/ when you buy a home, you must pay keen attention, to creating, and maintaining the finest possible, credit rating. Before beginning your home hunting quest, obtain a copy of your credit report, and pay keen attention, to improving it. Avoid making costly mistakes, and if you decide to purchase, avoid taking out, any new credit, or borrowing, in the 6 months, or so, prior to seeking the mortgage. Become credit savvy!

3. Comfort zone: Each individual is different, and different things/ factors make some far more comfortable owning, while others are more comfortable, renting! Know your comfort zone, and act wisely, so you balance, comfort, with your needs, goals, and family situation!

Use the 3 C's, to help you determine, if renting, or buying, is best, for you! A wise, prepared person, acts wisest, in this regard!

3 Professionals, Smart Homeowners Must Trust & Count On

Since, for most people, their house, represents, not only the fulfillment of a key component, of the American Dream, but, also, their single - biggest, financial asset, doesn't it make sense, to proceed, as a homeowner, in the most prepared way, and be ready, for any obstacles and challenges? While a minority of individuals, possess the technical skills, abilities, and expertise, to analyze, recognize, and be capable of repairing systems, etc, which need attention, most, do not have these skills, etc! Therefore, a wise homeowner, asks around, and seeks, in advance, a small panel of quality technicians, and crafts - people, who can repair issues, while they are challenges, before they become problematic! With that in mind, this article will discuss, 3 of these.

1. Electrician: Every house, at one point, or another, requires the services of a professional, electrician! This person must be reliable, honorable, capable, and avoid, making issues, out of minor challenges, as well as recognizing true problems, from the onset! Using the wrong person, not only risks being dangerous, but, also, creates unnecessary stresses, and tensions. Before buying a house, have a qualified individual, check all the sockets, outlets, lights, electrical circuit box, etc, so as to reduce major problems!

2. Plumber: Plumbing issues, include: toilets, sinks, hot water tanks, water pipes, clogs, etc. It's important to have someone, who not only has the necessary skills, but is also, reliable, dependable, and fair/ honest. Ask your neighbors, etc, who they use, and whether they would recommend these individuals, and why!

3. Handyman: Having someone, who is capable of taking care of issues, as they arrive, in a wide variety of areas/ skills, is a smart approach, to home ownership! One's handyman should be responsible, responsive, skilled, and reliable, as well as fair and honorable! Holes in walls, minor repairs, small renovations and changes, etc, are needed, and necessary, for enjoying a home.

Homeowners, who are best prepared, become the happiest, and least stressed! Will you be ready, to own a home, of your own?

4 Needed Reserves, For Less Stressful Home Ownership

The better prepared, and ready, a homeowner, the less stressful, and more satisfying, the experience of home ownership, becomes. In order to prepare, one must recognize, and consider, and examine, 4 needed financial reserves, in order, to avoid unnecessary stresses, etc. While these aren't the only challenges, they are the most common, and, thus, creating these reserves, and committing to all the necessities, and discipline, the happier, and easier the overall experience. Here are a few of the approaches, and possibilities.

1. Monthly costs/ predictable: The predictable costs of home ownership, are those, you are fully aware of, from the onset! The wise homeowner, creates a reserve, of from 4 to 8 months, so, as to be prepared, for any negative contingencies, etc. These costs include the mortgage principal, and interest, escrow for real estate taxes, insurance, etc. Remember, while the principal and interest, might remain the same, real estate taxes often increase, annually, as do insurance premiums, etc. In addition, there is often, insufficient funding of the escrow, and it is recalculated, after the first year, or so.

2. Repairs/ unexpected and unanticipated: Along with owning a house, comes those unexpected, but necessary repairs! While some of these might be minor, the ever - increasing costs of hiring a plumber, electrician, roofer, etc, makes being prepared, a wise move. Funding this reserve, with an additional 6 months, or so, of reserves, is a wise approach, although requires commitment and discipline!

3. Maintenance - regular: Performing regularly scheduled maintenance, often, minimizes, further exposure, caused by being inattentive, or unprepared! Consider the possibilities, which includes seasonal maintenance, fixing minor issues (before they become major, etc), is a smart approach, but how one pays for these, is a necessary consideration!

4. Renovations - future needs, updating/ upgrading: When we first, purchase a home, of our own, our needs, may be somewhat different than they become, in the future! While, unlike the first three scenarios, can and should not, be delayed or put off, we can delay renovations, but, to enjoy, fully, where we live, we often need, to renovate and update/ upgrade. Only by planning, and disciplining ourselves, to have reserves, etc, will this be achieved, without undue stress!

The better prepared one is, the happier the home ownership, experience! Will you discipline yourself, so you are your own, best friend?

Mortgage Options & Alternatives: The More You Know!

For most people, their house, represents their single - biggest, financial asset, so wouldn't it make sense, for them, to proceed, with their eyes - wide - open, and act, in the best possible manner? In addition, the vast number of individuals, take advantage of some sort of loan, and/ or mortgage, and, therefore, often, consider, their monthly costs, rather than, merely the price of the house. Therefore, this article will attempt to briefly examine, consider, review, and discuss, some of the prevailing options and alternatives, regarding the best option, for an individual.

1. Fixed mortgage: Some loans come with, so - called, points, yet, it, seems, very few, understand, what this means. One point equals 1% of the mortgage, paid, up - front, so, for example, a $300,000 mortgage, with one point, means paying $3,000, in advance. This is sometimes, related to credit, while at other times, based on the specific type of loans, and/ or paying - down the rate. The length, or term of the mortgage, generally includes: 15 years; 20 years; 25, 30 and 40 years; and while, the longer, the rate, the lower, the monthly costs, but it also represents, more total payments. It's often a balancing act, between what one can afford, and the best way to proceed. The other advantage of a fixed mortgage, is, having an accurate picture, of one's monthly costs!

2. Adjustable/ variable mortgage: These also come with the possibilities of points, as mentioned above! Other considerations should include an understanding on what rates/ index, determine, the changes, in rates, at specific periods, and what those intervals might be! In addition, one should consider, whether there is a cap, on how much the rate can change, at each period, and overall, during the life, of the loan.

3. When one type, versus other: Many factors might determine, which way to proceed. Sometimes, one may only qualify, initially, because of the proportions and ratios, used, for a Variable mortgage, because, often, these have lower initial rates. Whether the rates are relatively high, at the onset, or low, often, is a major contributing factor, in terns of which is best! One should focus on what makes him comfortable, and paying attention, to both, the immediate, as well, as long - term, monthly rates. It's important to also consider, how long, you intend, to live somewhere, as well as what makes you most comfortable. In addition, don't ignore the fact, qualified homeowners, are capable of refinancing, if that makes sense, in the future!

The more one knows and understands, the better, prepared, he might be, for owning and enjoying, his home! Will you become an educated homeowner/ consumer?

The MINSTS Of Deciding To Buy A Home

We often refer to, owning a home, of our own, as the American Dream. Since, for most people, their house, represents, their single, biggest, financial asset, doesn't it make sense, to proceed, in a well - considered manner, and considering as many of the necessities, positives, negatives, and potential ramifications, and responsibilities, as possible, so, as, to be, as prepared, as possible? After over a decade, as a Real Estate Licensed Salesperson, in the State of New York, I have created, a simple, set of priorities, to focus on, and emphasize, which I refer to, as, the MINSTS of deciding to buy a home. With that in mind, this article will attempt to briefly, examine, consider, and review, using the mnemonic approach, some of the central components, and considerations.

1. Meets your present needs: What are your present needs, and priorities? Are you considering these, rather than pursuing some emotional attachments, etc, and becoming your own, worst enemy? Unless/ until, someone considers, in advance, what he needs, how is it possible, to know, what to look at, and pursue, and make the wisest decision, for his personal situation?

2. Imagines future necessities: What is the focus of purchasing a particular home? Do you hope, to, merely, purchase a starter - home, or, to buy, something, which meets, both your present needs, while considering your future necessities?

3. Neighborhood: What do you like about, the particular neighborhood? Why, and how does it address your needs, and priorities/ purposes? Will you consider, issues such as schools, safety, conveniences, etc, in a focused manner? Will you be happy, there?

4. Schools: Whether, you presently have school - aged, children, or not, the quality of local schools, and the school - system, are significant, in terms of real estate values, etc. However, you must also, carefully, consider, and examine, the balance between the quality of the schools, and the impact on your real estate taxes!

5. Transportation: Is the house, conveniently located, to a variety of forms, of transportation? Are their quality, public transportation, facilities, nearby this property? Are you close, but not, too close, so as to enjoy, quiet enjoyment of your home?

6. Safety: Before purchasing any house, closely examine, the public safety, and crime rates, in the specific area. Will you be able to live, in relative, peace - of - mind, because the area, is a safe one?

Consider these MINSTS of deciding, to buy a home, of your own. Protect your investment, and proceed, in a happy, fulfilled manner!

6 Inexpensive Ways To Lower Home Energy Costs

Homeowners, sooner, or later, discover, a significant, monthly expense, is what they pay, for their energy needs. This includes, heating, cooling, and electrical needs, and, while there might be many ways, to reduce these, many of the fixes, are somewhat expensive! With all the other stresses, and strains, of our every - day, lives, these might be extremely challenging, to afford, so, many of us, simply, continue, without making any attempt, to try to reduce our energy costs. While, they may not address, the total, overall needs, of a homeowner, in this area, this article will attempt to briefly consider, address, and discuss, 6, relatively, inexpensive ways, to lower energy costs.

1. Windows: Many people replace their windows, with more energy - efficient types, but, this is, often a costly, messy process! If those costs, are, beyond one's means, and/ or comfort level/ zone, they should consider, some ways, to make these somewhat more efficient. Sealing, and caulking around windows, making them more, leak - free, as do, making certain, any cracks, are repaired, etc. In addition, ensuring storm windows, work effectively, helps reduce, heat, which, literally, flies, out - the - window!

2. Doors: Much heating, and cooling, escapes, under, and around, entry doors, to houses. One inexpensive approach, is putting, a sweep, below, the bottom, of a door. In addition, examine, how the door, is hung, to ensure, it aligns, properly. There are also, seals, which can be used, around the sides of these entry - ways. Make certain, storm doors, close fully, as an additional protection, and savings!

3. Attic insulation: Is your attic, effectively, and efficiently, insulated? Might you benefit by rolling - in, some additional insulation, near the roof, of your house, where so much, energy, often escapes?

4. Light bulbs: Are you taking advantage of energy - efficient, light bulbs? Many of today's light bulbs, will save, a homeowner, significant amounts, on their electric costs.

5. Set - back thermostat: How one sets, and uses, his thermostat, have a significant impact, on our energy costs. We do not need, to heat our homes, or cool them, to the same degree, at all hours. Based on a specific homeowner's usage and needs, using a set - back thermostat, can create a significant savings! In addition, using a similar system, with air - conditioning, makes a real difference!

6. Do all preventive maintenance: Making minor enhancements, rather than waiting for them to become major problems, creates a savings, overall. Have your energy provider, or service company, do preventive maintenance, on items, such as your boiler, and burner. In addition, do minor jobs, yourself, such as putting insulation, behind, sockets, etc.

An ounce of prevention, and some common sense, often, makes a significant difference, in a homeowner's overall energy costs! Will you protect your single - biggest, financial asset - your house?

The 4 Seasons Of Home Maintenance

Home ownership, is, both, a right, and an obligation! A smart homeowner considers how, to effectively, maintain, his house, in the best, most effective way, to minimize costs, hassles, and keep the home, well - maintained! Rather than waiting for obstacles and challenges, to become problems, the wise ones, realize and recognize, it's a good idea, to do, regular maintenance, on a seasonal basis. After over a decade as a Real Estate Licensed Salesperson, in the State of New York, I have attempted to simplify this process, and refer to, this approach, as the 4 Seasons, of Home Maintenance.

1. Spring: Nearly everyone has heard of Spring Cleaning, and wise owners, approach this season, as an opportunity, to address, issues, which were brought on, by winter's weather. For example, in colder climates, houses undergo certain stresses, during winter. Front hallways, often suffer, because of the dirt, brought into the house, by bringing in the elements, such as snow, salt, etc. In addition, they clear leaves, address plantings, repair cracks on paved paths, driveways, and exterior foundation, as well as examining, whether the weight of snow and ice, have created challenges, with the gutters. Also, now that weather has warmed, it is wise, to seed lawns, and take care of all the little things, you needed warmer weather, to do!

2. Summer: Towards the end of Spring, and during the Summer, and early Fall, take care of landscaping. Do as much exterior/ outside work, when the opportunity arises, and, do so, proactively, before minor issues, become major expenses.

3. Fall: As trees begin to lose their leaves, clear them from lawns, paths, drains, gutters, etc, so as to be prepared, for more extreme weather conditions! Towards the end of the season, drain, and turn - off, exterior water sources, in - ground sprinklers, etc. Have a pre - winter, heating system, preventive maintenance, to ensure fewer heating problems, when you most need to heat, your house.

4. Winter: Thoroughly perform snow removal, and clear away, paths, pipes, etc, to ensure fewer issues and challenges. Avoid using harmful chemicals, when melting ice, etc, and there are many safe products, on the market, today. Using certain chemicals, often cracks cement, etc. Remove hanging icicles, in order to reduce the stresses and strains on your roof, and gutters. Make certain, early in the season, to minimize wasting energy, by using a setback thermostat, and doing minor efficiencies, such as door sweeps, caulking windows, insulating behind sockets, etc.

It's wise to have a home maintenance plan. Addressing these simple steps, generally saves a lot of hassle, and money!

Mortgage Options And Alternatives: The More, You Know!

Since, for most of us, our house, represents our single - largest, individual, financial asset, and most people, use some sort of financing, usually mortgages, to be capable of buying a home, doesn't it make sense, for people, to understand, recognize, and know, the different possibilities, when it comes to mortgages, and some of the options, and alternatives? The more one knows about this, the better, he will become, to make the smartest decision, for his personal situation. With that in mind, this article will attempt to consider, review, and evaluate, some of the options, and the advantages and disadvantages, of each of these.

1. Fixed Mortgage: Using a fixed mortgage, provides one, with the ability, to prepare, each monthly, because he knows, fairly well, what his monthly mortgage expense, might be! In addition, sometimes, these have points, which represent, a pre - payment (1 point = 1% of the mortgage principal), and, these are sometimes, necessary, to pay - down, the loan, in order to qualify, while, at other times, these are used, to lower the monthly interest rate. In addition, loans come in a variety of terms, and lengths, and, usually, the shorter the term, the lower the rate. However, shorter terms translate, also, to higher monthly payments. Terms are most often, either 15, 20, 25, 30, or 40 years, and each individual should recognize the difference, in terms of his monthly expenses. Many take longer - terms, so they can pre - pay, and pay - down, when affordable, while maintaining a lower requirement minimum!

2. Adjustable/ variable: An adjustable or variable loan, generally has a lower up - front interest rate, for a specific term, and changes, at specific points, in time. These may also have points, or none! Consider the specific index being used, to determine future rates, as well as any potential cap, both, each period, as well as an overall cap. Also consider, how often the rate might be adjusted.

3. Which one's for you?: Know your personal financial needs, and abilities, and act wisely! Consider several factors, including your personal comfort zone, existing rates (low, or high), probability of rates rising or falling, and what you might be able to afford!

The more one knows, about mortgages, the better the possibilities of making the best decisions! Will you learn, so you might protect, your best interests?