What is PMI (Private Mortgage Insurance)? 

One thing many first-time homebuyers are somewhat blindsided by is PMI (Private Mortgage Insurance). You may see it mentioned in some real estate advertisements, but not fully understand what it means. While PMI isn’t necessarily required for everyone, you should expect to pay it if you’re applying for a mortgage that isn’t backed by the government (FHA, VA, and USDA loans, for instance) or if your down payment is less than 20 percent of the value you’re borrowing.  Essentially PMI is protection for your lender. If you’re unable to make your payments, then the insurance helps lenders recover their losses.…

April 11, 2023Borrowing Basics No Comments
What is PMI (Private Mortgage Insurance)? 

One thing many first-time homebuyers are somewhat blindsided by is PMI (Private Mortgage Insurance). You may see it mentioned in some real estate advertisements, but not fully understand what it means. While PMI isn’t necessarily required for everyone, you should expect to pay it if you’re applying for a mortgage that isn’t backed by the government (FHA, VA, and USDA loans, for instance) or if your down payment is less than 20 percent of the value you’re borrowing.  Essentially PMI is protection for your lender. If you’re unable to make your payments, then the insurance helps lenders recover their losses.…

Financial Diets vs. Lifestyle Changes 

If you’ve ever tried to shed a few pounds, you know there are plenty of diets to choose from. And whether they’re dictating how much you can eat or what types of foods are acceptable, most diets have one thing in common – they’re unsustainable.  Sure, they might provide a quick fix to get you back in your favorite pair of jeans, but they won’t keep you healthy in the long term. The same “diets” are commonplace when it comes to finances. You can set goals to save more money or cut back on frivolous spending, but long-term success will…

April 6, 2023Borrowing Basics, Future Planning, Wallet Wins No Comments
Financial Diets vs. Lifestyle Changes 

If you’ve ever tried to shed a few pounds, you know there are plenty of diets to choose from. And whether they’re dictating how much you can eat or what types of foods are acceptable, most diets have one thing in common – they’re unsustainable.  Sure, they might provide a quick fix to get you back in your favorite pair of jeans, but they won’t keep you healthy in the long term. The same “diets” are commonplace when it comes to finances. You can set goals to save more money or cut back on frivolous spending, but long-term success will…

20% Down Isn’t Always Needed

We’re going to say it! YOU DON’T NEED TO SAVE 20% FOR A DOWN PAYMENT ON A HOME.   Let’s be honest. Saving 20%, especially in today’s economy, isn’t realistic. But purchasing a home can be a great financial decision that can reward you for years to come.   Buying a home is an investment in your future. Let’s say your rent is $1,500 monthly. If you keep that same rent for the next 30 years, you will have paid $540,000. And that’s being optimistic, considering rent tends to increase exponentially by the year! You wouldn’t get any of that money back…

March 30, 2023Borrowing Basics No Comments
20% Down Isn’t Always Needed

We’re going to say it! YOU DON’T NEED TO SAVE 20% FOR A DOWN PAYMENT ON A HOME.   Let’s be honest. Saving 20%, especially in today’s economy, isn’t realistic. But purchasing a home can be a great financial decision that can reward you for years to come.   Buying a home is an investment in your future. Let’s say your rent is $1,500 monthly. If you keep that same rent for the next 30 years, you will have paid $540,000. And that’s being optimistic, considering rent tends to increase exponentially by the year! You wouldn’t get any of that money back…

Don’t Forget These Details When Home Buying 

As you prepare to buy your first home, it’s likely that you have already spent significant time researching the home-buying process. Fiscally you’re ready. You’re preapproved for your mortgage. Your monthly budget is ready to go, and a stellar real estate agent is in your corner. Now you just need to find that dream home!  Tips Before Making an Offer  Buying a house can quickly turn into an emotional decision. You find a home that would be perfect for raising your young family – schools are close by, and your commute to work is only ten minutes away. However, before…

March 2, 2023Borrowing Basics, Wallet Wins No Comments
Don’t Forget These Details When Home Buying 

As you prepare to buy your first home, it’s likely that you have already spent significant time researching the home-buying process. Fiscally you’re ready. You’re preapproved for your mortgage. Your monthly budget is ready to go, and a stellar real estate agent is in your corner. Now you just need to find that dream home!  Tips Before Making an Offer  Buying a house can quickly turn into an emotional decision. You find a home that would be perfect for raising your young family – schools are close by, and your commute to work is only ten minutes away. However, before…

10 Ways You Can Use a Home Equity Loan 

Homeowners often talk about tapping into their home’s equity to solve various financial challenges. But what exactly is home equity? And if you tap into your home’s equity, how can you use those funds?   What is Home Equity?   Home equity is the difference between the appraised value of a home and what you currently owe on the house. For example, if your home’s value is $450,000 and you owe $200,000 on a mortgage, your home’s equity will be $250,000.   However, you may not be able to borrow this entire amount. Other credit factors and lender limits will determine the…

March 2, 2023Borrowing Basics, Future Planning, Wallet Wins 2 Comments
10 Ways You Can Use a Home Equity Loan 

Homeowners often talk about tapping into their home’s equity to solve various financial challenges. But what exactly is home equity? And if you tap into your home’s equity, how can you use those funds?   What is Home Equity?   Home equity is the difference between the appraised value of a home and what you currently owe on the house. For example, if your home’s value is $450,000 and you owe $200,000 on a mortgage, your home’s equity will be $250,000.   However, you may not be able to borrow this entire amount. Other credit factors and lender limits will determine the…

Land Loans: Everything you need to know.

What is a land loan?  Land loans are used to buy property without a home on it. Sometimes these are confused with construction loans, which are for people who want to build a house. The difference is that land loans are typically used by people who want to build a home in the future but may not want to jump into building and financing a home immediately.  Types of Land Loans   Unimproved Land Loan: a loan for large plots of land with no structure on them, and without a current source of water, or septic/sewer.  Improved Land Loan: a loan…

February 24, 2023Borrowing Basics, Future Planning 2 Comments
Land Loans: Everything you need to know.

What is a land loan?  Land loans are used to buy property without a home on it. Sometimes these are confused with construction loans, which are for people who want to build a house. The difference is that land loans are typically used by people who want to build a home in the future but may not want to jump into building and financing a home immediately.  Types of Land Loans   Unimproved Land Loan: a loan for large plots of land with no structure on them, and without a current source of water, or septic/sewer.  Improved Land Loan: a loan…

Uncommon Uses for a Personal Loan

Whether online, in-store, or via phone, credit cards remain one of the top payment choices among consumers. However, though credit cards are convenient, they are not always the best financing option – especially for larger ticket items. Commonly overlooked, personal loans are typically a much smarter choice that offer a slew of financial perks credit cards don’t. Discover why they are so beneficial and some of their lesser-known uses.  What is a Personal Loan?   A personal loan can be used for just about anything. These short-term loans offer flexible repayment periods, typically ranging between six months and four years. As…

February 1, 2023Borrowing Basics 2 Comments
Uncommon Uses for a Personal Loan

Whether online, in-store, or via phone, credit cards remain one of the top payment choices among consumers. However, though credit cards are convenient, they are not always the best financing option – especially for larger ticket items. Commonly overlooked, personal loans are typically a much smarter choice that offer a slew of financial perks credit cards don’t. Discover why they are so beneficial and some of their lesser-known uses.  What is a Personal Loan?   A personal loan can be used for just about anything. These short-term loans offer flexible repayment periods, typically ranging between six months and four years. As…

Is a 0% APR Balance Transfer All It’s Cracked Up to Be? 

You’ve probably already heard the sweet siren song of the promotional 0% balance transfer rate. The trick is to decide whether offer an offer like this can work out for you without getting confused.  Follow these tips—and watch your step! This path might not be as enticing as it seems.  Crunch the Numbers  When you look at offers like this from big banks and credit card companies, it comes off as pretty tempting. After all, what could be better than paying no interest for several months on your debt? However, most credit card companies are not in it for your…

December 29, 2022Borrowing Basics, Wallet Wins No Comments
Is a 0% APR Balance Transfer All It’s Cracked Up to Be? 

You’ve probably already heard the sweet siren song of the promotional 0% balance transfer rate. The trick is to decide whether offer an offer like this can work out for you without getting confused.  Follow these tips—and watch your step! This path might not be as enticing as it seems.  Crunch the Numbers  When you look at offers like this from big banks and credit card companies, it comes off as pretty tempting. After all, what could be better than paying no interest for several months on your debt? However, most credit card companies are not in it for your…

Why You Should Consolidate Debt in the New Year

The holiday season has come and gone. While you can’t put a price tag on the memories, you might feel the burden of the debt accrued from making those memories. If you’re a bit anxious about paying back your holiday debt, there’s a relatively easy solution – debt consolidation.   Consolidating debt may sound complicated and more intimidating than slowly paying down your current balance. However, the process is easier than you might think, and it could save you a significant amount of money long term. It’s a win-win!   What is Debt Consolidation?  Debt consolidation is transferring one or multiple loans…

December 29, 2022Borrowing Basics, Wallet Wins No Comments
Why You Should Consolidate Debt in the New Year

The holiday season has come and gone. While you can’t put a price tag on the memories, you might feel the burden of the debt accrued from making those memories. If you’re a bit anxious about paying back your holiday debt, there’s a relatively easy solution – debt consolidation.   Consolidating debt may sound complicated and more intimidating than slowly paying down your current balance. However, the process is easier than you might think, and it could save you a significant amount of money long term. It’s a win-win!   What is Debt Consolidation?  Debt consolidation is transferring one or multiple loans…

7 Tips to Save for Your First Car

Buying your first car is an exciting experience! After all, with your very own vehicle, you can finally experience the freedom and independence you’ve been wanting.   However, buying a car also means you’ll have additional expenses each month. If you’re financing your vehicle, you’ll have to consider the down payment and ongoing monthly payments. Plus, you will need to budget for gas, insurance, and maintenance.   While saving for your first car may take some time, you’ll be on the road to freedom in no time by utilizing these seven tips.   1) Determine How Much You Need to Save.   The first…

October 3, 2022Borrowing Basics No Comments
7 Tips to Save for Your First Car

Buying your first car is an exciting experience! After all, with your very own vehicle, you can finally experience the freedom and independence you’ve been wanting.   However, buying a car also means you’ll have additional expenses each month. If you’re financing your vehicle, you’ll have to consider the down payment and ongoing monthly payments. Plus, you will need to budget for gas, insurance, and maintenance.   While saving for your first car may take some time, you’ll be on the road to freedom in no time by utilizing these seven tips.   1) Determine How Much You Need to Save.   The first…