Is a Mortgage Refinance the Best Option

How To Know If a Mortgage Refinance Is Your Best Option?

A mortgage refinance might workWhen interest rates are low, applications for a mortgage refinance are a major portion of the total of all mortgage applications. This is due because when mortgage interest rates fall, many borrowers see an opportunity to restructure their debt hoping to get a more favorable rate or term.

Simply having a drop in mortgage interest rates doesn’t mean that its the right thing to do for everyone. We all have different situations and lifestyles and everyone doesn’t fit into the “average” cookie cutter mold. Because of this, the following 9 points may help you if you are considering refinancing your mortgage.

  • The equity in your home

    Equity is one of the first items that a refinance lender will look at. If it’s not there within the banks’ guidelines, most conventional lenders will decline your request. During the last recession, many homeowners were underwater, some very deep.

    The value of homes has been rising as of late and the number of underwater loans has dropped. This varies from state to state and is determined by a number of factors. If your home has little equity, a conventional lender probably View full post…

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Tax Reform and Baby Boomers

Tax Reform and Its Effect on Baby Boomers

tax reform and baby boomersThe new Tax Cuts & Job Act (TCJA) has been a hot topic most of this year, both in social and financial circles. Tax reform will have different effects on many taxpayers in different situations.

Previous articles have discussed how millennials are affected by the TCJA tax reform, and now another group is in the spot light. Baby Boomers it’s now your turn.

To assist you in visualizing just how tax reform will affect various individuals in the baby boomer generation, we’ve provided a Tax Reform Calculator. Check out the different scenarios and create your own to give you an idea where you stand.

As you hear the drum roll in the background, we are about to reveal the parts of the TCJA that will mostly affect baby boomers.

  • The standard deduction has almost doubled
    For each filing status, the new standard deduction has almost doubled. What this means is that many taxpayers who have been itemizing their deductions in the past on a Schedule A will have no need to do it on 2018 taxes.

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Personal Loans – Are They Right for You?

What Are Personal Loans and When Are They a Good Idea?

Are personal loans right for you?There are many different loans out there intended for specific purposes. You could be taking out a mortgage to buy a home, using an auto loan to purchase a car, or taking out a small business loan for your startup.

A personal loan, however, can be for any of these things—or something completely different. Sometimes they’re a great idea, and sometimes not so much. Let’s dive in to what personal loans are, and how they are most commonly used.

 What are Personal Loans?

Unlike an auto loan or a mortgage, which are secured by the asset being financed, a personal loan is typically unsecured. Its approval is based mostly on the creditworthiness of the borrower.

Personal loans come with far more risk for the lender than View full post…

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How Do Reverse Mortgages Work

How Do Reverse Mortgages Work? – The Ultimate Guide

How do reverse mortgages work?If you’re getting near retirement age you may have come across this financial product. Just about everyone asks the same question, just how do reverse mortgages work? They continue to grow in popularity and the basics are relatively simple.

A reverse mortgage is designed for senior adults getting near retirement or already retired. Its similar to a conventional mortgage in one respect – it allows you to borrow against the equity that you have in your personal residence.

However, unlike a traditional mortgage where you are required to make monthly payments of principal and interest to repay the loan, with a reverse mortgage, you don’t. As long as you live in the home, none of the mortgages has to be repaid. Not until you sell the home, or it is no longer your personal residence, or the last borrower dies, is the loan repaid.

This program is administered by the FHA and does have certain conditions that must be met.

From a financial perspective, how do reverse mortgages work?

A reverse mortgage does differ from a conventional mortgage or a home equity loan. The latter two View full post…

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Medicare Facts & Myths

Health care costs in retirement: Medicare Facts & Myths

Medicare facts & myths(BPT) – As their 65th birthday looms, many people eagerly anticipate the affordable access to health care that Medicare will provide. After all, Medicare covers everything, right? Not exactly. Because of this common misconception, many people are caught off guard when they realize that each one of the dozens of Medicare options available to them comes with its own set of out-of-pocket cost implications. In fact, a survey of the newly retired found 43 percent are spending more on health care than they had planned & have a hard time understanding Medicare Facts & Myths.

The more you know about Medicare plans and costs, the better prepared you’ll be to avoid unpleasant surprises. Think you’re savvy enough to discern myth from fact when it comes to your health care costs in retirement? Read on to put your knowledge to the test.

Myth: When comparing Medicare plans, it’s best to choose the lowest-premium option to help minimize your costs.

Fact: While premiums are an important factor when choosing a health care plan, they should View full post…

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