prepay mortgage
Ilyce Glink on WSB Radio – June 28, 2009
Today on the Ilyce Glink Show, Ilyce discussed refinancing your mortgage, and how a successful refinancing focuses on the refinancing trifecta: Can you shorten the length of your mortgage term? Can you lower your monthly mortgage payment? Can you lower your mortgage interest rate? Ilyce also discussed the “Cash for Clunkers” program, and took more questions from callers about FHA loans and property identification numbers, state and federal home buyer tax credits and mortgage prepayments. One caller wants to buy rental property but needs help fixing them up. Ilyce recommends checking out Angie’s List for contractor reviews. For more show notes and links to helpful resources, check out Ilyce’s blog.
Can I Combine My First Mortgage And Home Equity Line of Credit Into One Loan?
Can you refinance to combine a first mortgage with a home equity line of credit if you owe more than your house is worth? Borrowers across the country are finding that if they are underwater with their mortgage (that is, their house is worth less than the mortgage amount), lenders will not combine their loans into one mortgage with a lower interest rate. What are a borrower’s options? Samuel J. Tamkin explores the situation in this column.
Purchase Of Foreclosure Pays Off
If you purchase a foreclosed property, that decision can be a great financial decision. The investment can pay off if you buy the right property, at the right time and in the right location but you need to make sound financial decisions.
Retirement Expenses vs. Prepaying Loan
Prepaying your mortgage may not be right for you. For some homeowners, they can refinance once, twice or many times during the time they own a home. If they are about to retire, they certainly have financial choices and decisions to make. One of the choices might be to ensure that they are debt free for retirement. For some people, having more money to spend is better than being debt free. This reader believes he will outlive the term of his loan so he shouldn’t worry about the debt. He doesn’t need to be debt free. He can borrow today, spend today and have someone else worry about the debt later.
Prepaying Mortgage Right For Some
When money is tight, you might be unable to prepay your mortgage. But at other times, you can cut years of the length of your mortgage by making small prepayments. If you are retired and need cash in hand, making loan prepayments may not be right for you. If you need to borrow at rates higher than your current mortgage, you shouldn’t. This reader was able to manage his finances and his mortgage loan and over time was able to pay off his mortgage loan early.
Prepaying Mortgages With Low Interest Rates
Interest rates are at record lows. Does it make sense to prepay your mortgage when you have a really low interest rate? What’s the best way to prepay a mortgage loan with a low interest rate? How can you ensure that the mortgage lender knows when you are sending in prepayments to your mortgage loan? It’s up to you to track your mortgage loan prepayments and it’s easiest if you prepay the same amount every month.
Mortgage Interest Rate Matters Less Than Monthly Mortgage Payment Savings
You may be thinking about saving money by refinancing your mortgage, even if you have a pretty low interest rate already. But is looking at a mortgage interest rate enough when deciding about mortgage refinancing? What’s an alternate way to save money on your mortgage? You can keep your current mortgage and make extra payments. When you prepay your mortgage you can save money and you won’t have to pay mortgage refinancing costs.
Refinance Or Prepay Mortgage Loan?
What should you consider when you’re debating whether to refinance your mortgage loan? Making a good refinance decision depends on the interest rate and how soon you can recoup your closing costs. One alternative to refinancing may be to make extra mortgage loan payments. You may be able to get savings similar to a refinance but save the closing costs.
How To Best Spend Cash From Investment Properties
A real estate investor has found himself with extra cash each month and isn’t sure whether to pay down the mortgages or spend it on additional investment property. When it comes to investment property, every dollar that goes into the property is written off against the income the property brings in. It’s always a good idea to prepay a mortgage, but an additional investment property could bring in more positive cash flow as well.
Clark Howard Show Notes – Mar. 12, 2009
Clark Howard Show Notes for today
Ken inherited a windfall in excess of $150,000. He wanted to know how to invest the money or if he should pay off …
