Blog — James Whitener - Whitener Team

The Top Home Maintenance Mistake’s You Must Avoid

If you own a home, you understand just how important it is to take care of it. Even though a lot of people think that if it isn’t broken you should not fix it, that doesn’t mean you should not take care of it. Take a look at a few of the top home maintenance mistakes you need to avoid, and do not let your home fall into a state of disrepair.

Allowing The Dyer Lint To Build Up

Do not allow the dryer lint to build up. Allowing the dryer lint to build up can dramatically increase your chances of dealing with a house fire. Therefore, make sure you remove the dryer lint from the dryer after every load. Furthermore, make sure you clean the ductwork of your dryer annually. If you do not know how to do so, reach out to a professional who can do it for you.

Forgetting To Clean The Gutters

You might not be able to see the gutters from the ground level, but debris can build up in them from time to time. If you do not clean your gutters, they can get clogged. Then, water will have a difficult time draining, which means it will sit on your roof. This could increase your chances of dealing with a roof leak. Make sure you clean your gutters every few months. You may even want to install a device that can prevent leaves and branches from infiltrating your gutters.

Not Handling Winter Maintenance

No matter where you live, you must be on top of your winter maintenance. Make sure that your attic is properly insulated, and check your windows for any signs of leaks. You should drain your garden hoses as well, and don’t forget to make sure that your interior pipes are insulated. All of this is important because it can help you save money on your utility bills while also reducing your chances of dealing with a leak.

Invest In Routine Maintenance

These are a few of the most common mistakes that homeowners make. Your home is an investment, and you need to take care of it. Make a list of all the maintenance tasks you should perform, and stay on top of your maintenance schedule.

August 19, 2022/by whitenerteam_admin

The Top Home Maintenance Mistake’s You Must Avoid

Home Maintenance

If you own a home, you understand just how important it is to take care of it. Even though a lot of people think that if it isn’t broken you should not fix it, that doesn’t mean you should not take care of it. Take a look at a few of the top home maintenance mistakes you need to avoid, and do not let your home fall into a state of disrepair.

Allowing The Dyer Lint To Build Up

Do not allow the dryer lint to build up. Allowing the dryer lint to build up can dramatically increase your chances of dealing with a house fire. Therefore, make sure you remove the dryer lint from the dryer after every load. Furthermore, make sure you clean the ductwork of your dryer annually. If you do not know how to do so, reach out to a professional who can do it for you.

Forgetting To Clean The Gutters

You might not be able to see the gutters from the ground level, but debris can build up in them from time to time. If you do not clean your gutters, they can get clogged. Then, water will have a difficult time draining, which means it will sit on your roof. This could increase your chances of dealing with a roof leak. Make sure you clean your gutters every few months. You may even want to install a device that can prevent leaves and branches from infiltrating your gutters.

Not Handling Winter Maintenance

No matter where you live, you must be on top of your winter maintenance. Make sure that your attic is properly insulated, and check your windows for any signs of leaks. You should drain your garden hoses as well, and don’t forget to make sure that your interior pipes are insulated. All of this is important because it can help you save money on your utility bills while also reducing your chances of dealing with a leak.

Invest In Routine Maintenance

These are a few of the most common mistakes that homeowners make. Your home is an investment, and you need to take care of it. Make a list of all the maintenance tasks you should perform, and stay on top of your maintenance schedule.

August 19, 2022/by whitenerteam_admin

Understanding the Principal Limit on a Reverse Mortgage and What Happens if You Reach It

Home Mortgage Tips

Understanding the Principal Limit on a Reverse Mortgage and What Happens if You Reach It If you’re considering applying for a reverse mortgage, you’ll want to ensure you understand certain critical factors. One such factor is the principal limit. The principal limit will have a strong influence on your finances, which is why you’ll need to ensure you know – before applying for your reverse mortgage – what your principal limit is.

So how does a principal limit work, and how can you find out what yours is? Here’s what you need to know.

Principal Limit: The Maximum Amount You Can Borrow

Simply put, the principal limit is the maximum amount of money that you can borrow using a reverse mortgage. This maximum amount does not change if you pay off your reverse mortgage and then apply for a second one – rather, it’s a lifetime maximum that is calculated per-borrower. The principal limit is nationally legislated through the Federal Department of Housing and Urban Development.

Calculating Your Principal Limit Factor

Calculating your principal limit factor is fairly simple. The Department of Housing and Urban Development maintains a chart that shows you what your principal limit factor is. To look up your principal limit factor, all you need are your expected rate and the age of the youngest spouse in the home.

The principal limit factor is useful in determining what kind of a loan you can get. The size of the loan you can expect to receive is equal to your home’s value multiplied by the principal limit factor.

For example, a 72-year-old who owns a $300,000 home with a 10-year interest rate of 3% and a lender margin of 3% has a 6% “effective rate”. According to the table, a 72-year-old with a 6% effective rate will have a principal limit factor of 46.7%. That means the most this borrower can receive through a reverse mortgage is $140,100 – which is 46.7% of $300,000.

What Happens If You Reach The Principal Limit?

If you reach your principal limit, you will have exhausted all of the money available to you through a reverse mortgage – you will have used up all of your equity. A reverse mortgage is a non-recourse loan, which means your lender cannot pursue you or your heirs to recoup their money. In the event that you choose to sell the property, all of the proceeds will go to the reverse mortgage issuer – none of it goes to the homeowner.

A reverse mortgage can be an effective financial tool, but if you use up all of your equity, it may paint you into a financial corner. An experienced mortgage advisor can help you to determine if a reverse mortgage is an appropriate financing option for you. Contact your trusted mortgage professional today to learn more.

August 18, 2022/by whitenerteam_admin

Mortgage Shopping And Your Credit Score

Mortgage

Mortgage Shopping And Your Credit Score The vast majority of people have to take out a home loan to purchase a house. This means applying for a mortgage. Unfortunately, shopping for a mortgage can actually hurt your credit score. Any potential lender will probably have to do a hard pull on your credit. This could temporarily reduce your credit score by a few points. Those few points could make the difference between qualifying for a mortgage and getting denied one. Fortunately, there are ways for you to shop for a mortgage without hurting your credit.

Check Your Credit Score First

First, you need to check your credit report before you start shopping for a mortgage. By law, the major credit bureaus are required to give you at least one free credit report every year. This is your opportunity to take a look at your credit report and correct any inaccuracies that might be present. That way, you can correct these issues before you apply for a mortgage instead of after. This can save you a significant amount of time during the shopping process.

Get Pre-Qualified For A Home Loan

You should also get pre-qualified for a home loan before you start shopping in earnest. When you get pre-qualified for a mortgage, you receive an estimate of how much money you can borrow to purchase your home. This means that the lender will run a soft inquiry on your credit report, which will not impact your credit score. Pre-qualification is not as strenuous as the full approval process, and you will eventually have to go through the full application process to get your mortgage; however, getting pre-qualified is a great starting point.

Submit All Applications Rapidly When You Find The Right Home

After you apply for your first mortgage, you will have 45 days to talk to other lenders. As long as all of your other hard credit pulls take place within about six weeks, subsequent applications should not have an impact on your credit score. This means that you need to have all of your documents together, which will allow you to expedite the process. That way, you can find the best deal you can on a mortgage without unnecessarily impacting your credit score.

August 17, 2022/by whitenerteam_admin

What To Know About a 40-Year Mortgage

Mortgage

What To Know About a 40-Year Mortgage If you take a look at your mortgage options, you might find an option for a 40-year mortgage. Now, most lenders do not offer this as an option, but if you find yourself struggling to keep up with your mortgage payments, the lender may offer to restructure your loan into a 40-year term. Is this a smart move, and what do you need to know about this choice?

Your Monthly Payments Get Smaller

One of the top benefits of restructuring your loan to a 40-year term is that you shrink your monthly payments. By spreading out the loan over 40 years instead of 30 or 15, you don’t need to pay as much money every month. If you are struggling to keep up with your payments, you can make them smaller without falling behind by going with a 40-year mortgage.

You Free Up Cash

Another benefit of a 40-year mortgage is that you can free up some cash. This is cash that you can use to pay off other debts, save for retirement, or invest in other areas. Because you won’t owe as much money every month, you will have more money to play with, which can ease your financial burdens.

You Pay More Interest And Slow Your Equity Buildup

On the other hand, you need to think about the downsides of a 40-year mortgage as well. If you increase your payments to 40 years, you will pay more money in interest overall. In addition, you will slow the rate at which you build equity, which means that you might not walk away with as much cash when you sell the house. You need to balance these risks with the benefits of a 40-year loan.

Think Carefully About Your Loan Options

In the end, a 40-year mortgage is not always a smart move, but if the alternative is foreclosure, it is something to consider. While this type of mortgage can help you reduce your monthly payments, it could also increase the total interest you pay while slowing the rate at which you build equity. You should talk to a professional to ensure you consider all of your options before you decide if this is the right move for you.

August 16, 2022/by whitenerteam_admin

What To Know About a 40-Year Mortgage

Mortgage

What To Know About a 40-Year Mortgage If you take a look at your mortgage options, you might find an option for a 40-year mortgage. Now, most lenders do not offer this as an option, but if you find yourself struggling to keep up with your mortgage payments, the lender may offer to restructure your loan into a 40-year term. Is this a smart move, and what do you need to know about this choice?

Your Monthly Payments Get Smaller

One of the top benefits of restructuring your loan to a 40-year term is that you shrink your monthly payments. By spreading out the loan over 40 years instead of 30 or 15, you don’t need to pay as much money every month. If you are struggling to keep up with your payments, you can make them smaller without falling behind by going with a 40-year mortgage.

You Free Up Cash

Another benefit of a 40-year mortgage is that you can free up some cash. This is cash that you can use to pay off other debts, save for retirement, or invest in other areas. Because you won’t owe as much money every month, you will have more money to play with, which can ease your financial burdens.

You Pay More Interest And Slow Your Equity Buildup

On the other hand, you need to think about the downsides of a 40-year mortgage as well. If you increase your payments to 40 years, you will pay more money in interest overall. In addition, you will slow the rate at which you build equity, which means that you might not walk away with as much cash when you sell the house. You need to balance these risks with the benefits of a 40-year loan.

Think Carefully About Your Loan Options

In the end, a 40-year mortgage is not always a smart move, but if the alternative is foreclosure, it is something to consider. While this type of mortgage can help you reduce your monthly payments, it could also increase the total interest you pay while slowing the rate at which you build equity. You should talk to a professional to ensure you consider all of your options before you decide if this is the right move for you.

August 16, 2022/by whitenerteam_admin

The Latest News

The Top Home Maintenance Mistake’s You Must Avoid

The Top Home Maintenance Mistake’s You Must Avoid

Understanding the Principal Limit on a Reverse Mortgage and What Happens if You Reach It

Mortgage Shopping And Your Credit Score

What To Know About a 40-Year Mortgage

What To Know About a 40-Year Mortgage

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