Posts Tagged ‘buying a home’

Is Your Home Still a Good Investment?

Posted May 15, 2009 by Bernz

Earlier in the decade, it seemed like the old adage of “your home is your best investment” was a solid piece of financial advice. Housing prices across the country, especially in coastal areas, were booming. Homeowners who had purchased their homes ten to twenty years previously were making great profits on the sale of their homes.

homeownership21

And then along came the housing crisis of 2008/2009. As the mortgage market tightened up, houses sat empty waiting for buyers who never came. People found it difficult to refinance their mortgages to access the built-up equity in their homes. Instead of moving up to larger homes, many chose to fix up the ones they had. Housing prices dropped like a stone with an oversupply on the market and not enough buyers.

If the value of your home is part of your long term retirement plan, this new reality must be factored in as it may be here to stay for years to come. If your home drops in value to what you paid for it or less, does it make sense as an investment tool? Yes and no. (more…)


Posted in Financial Education, Investing in Real Estate, Investing Strategies | No Comments »

Doing the mortgage numbers: Home buying expenses that you need to prepare for

Posted December 9, 2008 by Bernz

Thinking of buying a home? Prices are very affordable. The catch is that you must have near perfect credit. If your credit is no then seize the opportunity. Just be ready to pay for costs other than your monthly mortgage. Here’s a quick run down on the out of pocket expenses that you’ll need to cover.

mortgage1) Add a40% to your mortgage to cover property taxes, home owners insurance and maintenance. Tip: If you pay less than 20% down you can save money by having private mortgage insurance rolled into your mortgage.

2) Expect to pay 2 to 3 percent in closing fees. You can pay these in cash or fold these costs into your mortgage. (more…)

Posted in Estate Planning | No Comments »


Disclaimer:

All the articles and content written here on Invesmint.com is for general information only and based solely on the authors personal opinions and discretion. It was not and should not be a substitute for professional advice. Visitors of this site (Invesmint.com) are encouraged to seek appropriate professional advice before acting upon the content or information from this site. Again, the content of this website is not a source for professional advice.

INVESMINT.COM hereby excludes liability for any claims, losses, demands, or damages of any kind whatsoever with regard to any information, content, or services provided at our web site, including but not limited to direct, indirect, incidental, or consequential loss or damages, compensatory damages, loss of profits, or data, or otherwise.