Tag Archives: finance

Your Practical Guide to Becoming Wealthy

Successful businessmen on an investment meetingBelieve it or not, there are many people are averse to the idea of becoming wealthy. This is because of the amount of work involved. It also means having ambition, which will require them to push themselves to become better.

There is nothing wrong with not pursuing wealth. However, if opportunities present themselves, will you resist them? If you do not want to become ultra rich, it still makes sense to build your wealth steadily for your stability. And the tasks involved should be broken down into bite-sized pieces. Here are some tips:

Invest in your health

In the hierarchy of wealth and investment, health is the foundation (thus the saying, “health is wealth.”). You have to make sure that your well-being is covered because what will help you build your wealth are your mind and body. Other than following a healthy lifestyle, you may want to invest in affordable health and life insurance plans to protect yourself in case something happens.

Have more than one source of income

You will rarely hear a millionaire who has only one source or income. If you are after stability, you need to have more than one source of income. Doing this will make sure that the cash flow can cover all your needs, wants, and requirements for self-improvement.

Invest

Do not just save! You have to learn to invest your assets in financial instruments that will yield money. Stocks, bonds, and equities are just among the things you can invest in. You can learn them by yourself, but you can always find a financial advisor and broker to do the investing for you. If you are bold enough, you can always invest in a business.

On top of these things, you need to build your network. Remember, you are not a self-made person. What you will become is a result of your relationships, both personal and professional. And cultivating your relationships and networks will help you achieve your financial goals.

Recent Mortgage Changes: What People Can Do

Mortgage Loan AgreementSince the beginning of 2017, mortgage experts have predicted the steady and continuous rise in mortgage rates. As rates always stay in flux in spite of predictions by experts, rate decreases may be a welcome change for home buyers. Reductions in mortgage rates only go to show that you need to lock in a mortgage before rates rise even higher.

This may yet be the best mortgage rate you can find in Utah.

Mortgages Jump Down

Just this March 22, mortgage rates went down considerably. The 30-year fixed mortgage fell from 4.19 percent a week ago to 4.05 percent by this Wednesday, a 14-basis-point change. Additionally, the 15-year fixed mortgage went down 10 basis points to 3.23 percent.

A Small Jump for ARMs

5/1 adjustable rate mortgages, on the other hand, only decreased by 3 basis points from 3.29 to 3.26 percent. The decrease may be small for 5/1 ARMs, but more home buyers have turned to them since the election. Although only 9 percent of mortgage applications consist of ARMs, the 9 percent is an unprecedented high since October of 2014.

Fewer Mortgage Applications

Overall, however, in spite of the emerging popularity of 5/1 ARMs, mortgage applications took a sharp drop. The Mortgage Bankers Association reported a decline of 2.7 percent. What do all of these trends have to do with you?

Find a Mortgage or Refinance

The times may be telling you to lock in the best mortgage rate you can find here in Utah. When you already have a mortgage, it may then be time to refinance. The market for refinancing has slowed down which has lead lenders to close refinance transactions.

With more eagerness from lenders to refinance, you can expect lower rates or reduced costs as long as you negotiate with them well.

You can continue to monitor changes and developments in mortgages. Home buyers can get themselves pre-qualified for a mortgage early. Homeowners, on the other hand, can watch out for the perfect time to refinance. Lenders, for now, close refinance transactions in 47 days.

You still have a chance to find or refinance a mortgage that will suit your financial capacity.

Understanding Credit: Things to Know About Auto Loans in Australia

private loan in AustraliaAside from a house, a vehicle is probably one of the most costly purchases you’ll make in your life. However, you can’t get carried away with all the excitement because you have to decide how you’re going to pay for the car you want.

Many banks and private lenders in Australia offer auto loans and they’re strictly regulated by the Australian Securities and Investments Commission (ASIC) and the Australian Prudential Regulatory Authority (APRA). This means that you could be certain you’ll be subjected to fair fees and charges:

How Auto Loans Work

Like other loan types, you’ll have many options depending on your specific needs and eligibility. You could choose which features you need, keeping in mind that you have to repay the entire loan — on time in a predetermined period. For instance, you might go for a fixed interest rate to know exactly the amount you need to repay each month. If you’re looking for an auto loan that you could make additional payments at your convenience, you have to make certain that you won’t be penalised for doing so.

When and How to Repay

Auto loans have to be repaid over a shorter time period than other loans like mortgages, but you could discuss your preferred loan term with lenders. If you have enough savings, consider putting it towards your car deposit. If you’re in the market to replace your existing car, Boettcher Motors and other well-known dealers say that you could consider trading it in. The lower your loan amount, the easier it is to repay.

All loans, regardless of the type, carry their own rewards and risks. Although your loan gives you the power to buy the car you’re eyeing, make sure that you could afford the monthly loan repayments or else your lender might repossess your car.

Be on the lookout for potential hidden charges that would add up over the life of your auto loan, and remember, a larger deposit typically means a lower interest rate.

Multifamily Loan: How to Get Financing for a Multifamily Property

property financing optionsIf you’re looking to buy a multifamily property, but is unsure of your financing options, you’re in for a treat because there are mortgages that specifically target multifamily home financing. This could be your key to purchasing duplexes and three- to four-unit homes. However, it is crucial to note that available financing options for multifamily properties would depend on whether you plan to occupy one of the multifamily units.

Are You an Owner-Occupant or Merely an Investor?

This is a crucial question because as an investor, your only option is a conventional loan. As an owner-occupant, however, you could select among conventional loans, Veteran Affairs (VA), or Federal Housing Administration (FHA). In general, owner-occupants are better off with FHA loans. Even when you’re buying a multi-unit building, you would only have to spend 3.5% down payment, says Bonneville Multifamily Capital and other experienced multifamily lenders.

On the other hand, investors are stuck with conventional loans and would have to spend between 20% and 30% down payment depending on the property’s number of units. This higher down payment requirement is mainly due to lenders considering investors a higher risk. With this in mind, investors must have good credit scores and enough cash reserves since they would also have higher interest rates and upfront fees.

What About the Qualification Requirements?

Borrowers would have to satisfy the standard eligibility requirements of conventional mortgages and FHA loans, with the lowest rates commonly going to borrowers who have credit scores of 740 and up. Loan requirements are likewise similar, but take note that borrowers can’t have a non-occupying cosigner for FHA loans on multifamily properties.

Debt to income or DTI ratios for conventional loans can’t be higher than 45%, with a relatively flexible requirement for FHA mortgages. In addition, FHA borrowers could use gift money for their entire down payment, but conventional borrowers should only use some of their personal savings.

Can You Apply for a Utah Mortgage with a Bad Credit?

mortgage loan in UtahThinking of applying for a mortgage in Utah? Then you need to ask this question: do I have a bad credit score? In the world of mortgages, credit scores matter. Banks and other types of lenders use them to gauge your risk level and your capability of paying off the loan. It makes perfect sense if they avoid those with low scores.

But what is a bad credit score? If you have one, does it spell the end of your mortgage dreams?

Defining the Term

Many lenders use the term “bad credit score,” but the truth is there’s no exact definition for it. It depends on many factors including the mortgage requirements for every lender. On the average, however, it is anything lower than 682 (although other lenders may consider scores 579 and below as bad).

How can you acquire this score? Determining the actual score is a complex process, and usually, it has something to do with your credit history. If you failed to pay off your mortgage, you declared bankruptcy, or you are always late with your repayments, you are more likely to get a low score.

Can You Apply for a Mortgage?

Having a bad credit score doesn’t mean you can no longer apply for a mortgage, but you need to be realistic: the journey may not be easy. Many banks may deny your application or provide you with a short payment term and loan amount. Others will give you a high-interest rate.

If you have a bad credit score, work with a mortgage loan company like City Creek Mortgage in Utah, which can help you in the loan process such as shopping for lenders. The more banks you approach, the higher the chance you’ll come across lenders that have special programs for those with bad credit.

Do you have a bad credit score? Don’t wait until later to do something about it. Work with mortgage professionals who can help you find a good solution to your issue.

Processing an Online Loan

How You Can Take Advantage of Fast Online Cash Loans

Processing an Online LoanMany people normally turn to family, close friends, or relatives at times when they just can’t seem to get a break with all the financial obligations coming their way. However, not all people are comfortable with borrowing money from family, relatives, or friends, while those who are comfortable doing so sometimes find that their potential lifeline are also strapped for cash at the moment.

Fortunately, there are many reputable online lenders willing to provide fast cash loans credit, such as rapidloans.co.nz. If the scenarios below are familiar to you, you can also consider online cash loans to help you out:

  • You need help paying unexpected medical expenses.

Regrettably, medical expenses can come unexpectedly and at a time where you barely have enough cash to get by. With a quick online cash loan, you can easily apply online and get your cash quickly so you can settle your bill with the hospital.

  • You need crucial home upgrades now.

Maybe your ancient roof just won’t stop leaking, the paint in your house is peeling all over, or you feel that your driveway will swallow your car whole if you don’t have it fixed immediately. Maybe you also need to do some renovation work to make room for a new child. Whatever your reason for having your home renovated, fast cash loans credit lenders can help you out.

However, before you begin your search for online loans, try to obtain quotes from different contractors and builders so that you have a general idea of how much cash you will need. Likewise, you should factor in an additional 20% on top of the quotes you’ve obtained since renovation oftentimes go over the proposed budget.

  • You need to have your car fixed ASAP.

There is nothing worse than your car giving up on you when you’re about to set off for an important meeting or a possible sale. Majority of people only own one car and if this is the case for you, consider fast cash online loans to have your car repaired immediately.

  • Your kids need stuff for school.

If you have a couple of kids, the beginning of the school year will usually mean more expenses in the form of school fees, uniforms, books, and other associated expenses. If you need some money to get through this trying time, a quick online loan can considerably help you out.

Loans are essentially credit, but this is a good way to actually hold the money instead of a non-physical like that of a credit card. Still, spend it wisely.