Adjustable-rate mortgages are not the right choice for many homeowners, especially if they plan to own the home for a long time. Less than 3% of buyers choose an adjustable-rate mortgage according to NAR's 2021 Profile of Home Buyers and Sellers. With fixed-rate mortgages hovering in the mid 4.00% range, it's understandable that people select a rate that will not change over the term.

Appreciation and amortization are key factors in building equity for homeowners with mortgages. As the home increases in value due to appreciation and the unpaid balance goes down due to amortization, the equity increases.

While updating and remodeling certainly make a home more enjoyable and livable and increase the value, homeowners should not expect to recover 100% of the remodeling cost. Although remodeling and updating certainly make a home sell faster, some of the expenditures will not return their total cost, although some return more than others.

Existing FHA and VA mortgages are assumable to owner-occupied buyers who qualify at the note rate. This can be an alternative to paying higher current rates and benefit buyers with lower closing costs while saving money on the payment.

Mortgage rates have been kept artificially low by the Federal Reserve since the Great Recession in 2010. As a result, a whole generation of people have never known what might be called normal mortgage rates.

Real estate has been described as the basis of all wealth. Without considering income or investment property, buying a home to live in is a compelling way to build wealth or financial net worth.

A commonly known way to lower your mortgage payments is to make a larger down payment, especially if it eliminates private mortgage insurance and improves your credit score before applying for a mortgage.

We have all heard this expression that implies that had a person known earlier in life what they know now; they would have done things differently. The subject possibilities are endless. While no one has a crystal ball to see into the future, it may be possible to learn from people who have experienced similar situations.

Inflation is concerning because of the sustained upward movement in the overall price of goods and services while the purchasing value of money decreases. Tangible assets like your home consistently become more valuable over time. Your home is a good investment and a hedge against inflation in inflationary periods.

You don't have to have an Uncle IRRRL, but you must be a veteran with a current VA-backed home loan. IRRRL is an acronym for Interest Rate Reduction Refinance Loan. To refinance with this program, also called the VA Streamline, the loan must provide a net tangible benefit (NTB) in the Veteran's financial interest.

The Fannie Mae and Freddie Mac loan limits are adjusted annually to keep up with the cost of living. Still, it may not be enough with the appreciation experienced in many markets. When the conforming loan limit is insufficient, qualified buyers can turn to a jumbo loan.

Do you remember if or when you replaced your washing machine hoses? Are they the original hoses, and if so, how old is your washing machine? It is recommended that washing machine supply hoses should be replaced every five to seven years.

When the situation arises that you have a lump sum of cash to pay down your existing mortgage, there may be different options available. For example, pre-paying principal on a fixed-rate mortgage shortens the mortgage term, but the payment stays the same.

Soft inquiries, sometimes known as a soft credit check or a soft credit pull, do not impact your credit scores because they are not attached to a specific application for credit.

The annual percentage rate is a calculation to accurately reflect the cost of the mortgage, considering the note rate of interest, financing fees, and charges based on the term of the mortgage.

There's more to selling a home than you might think. Superficially, a person might think it will sell itself because, nationally, homes for sale receive 3.6 offers and sell within 18 days.

Credit utilization reflects how much of your available credit is being used at a given time. Lower credit utilization generally indicates that borrowers are not heavily relying on their credit and using their credit responsibly.

Homeowners know the need to periodically check certain things around the home to ensure that things operate properly and efficiently. If maintenance is required, it may be less expensive to take care of it early rather than waiting until it is not working at all.

With the rapid appreciation that homes have had in the last two years, most homeowners have equity. A common way to release part of the equity is to cash-out refinance, but some homeowners may not be eligible currently.

It is common for the spouse who keeps the home to refinance to remove the other spouse from the loan in divorce situations. Equally as common, first-time buyers who don't have enough income to qualify may ask a parent to co-sign and must add their name to the mortgage.