Sunrise Homes & Renovations, Inc.

The Ultimate Payoff: Getting Debt Free Before Retirement

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The Ultimate Payoff: Getting Debt Free Before Retirement

For many people, reaching retirement is something to look forward to. At the same time, too many people still have a lot of debt by the time they retire. In order for people to really take advantage of everything that retirement has to offer, they should try to find a way to pay off all of their debt before they retire. In order to make sure this happens, there are a few tips that everyone has to keep in mind.

Try To Keep Housing Costs Low

First, it is important for everyone to try to keep their housing costs as low as possible. Housing is one of the major sources of debt that people have when they retire. This could come in the form of a mortgage that has been stretched out for a longer period of time in order to send kids to college.

At the same time, as people start to approach retirement, they should try to attack this debt as much as possible. Remember that cash is king. Paying off a mortgage before retirement can really help people improve their quality of life on the other side of retirement.

Pay Down Credit Card Debt

Ideally, individuals are able to pay their credit card bills in full every month. Yes, it is great to take out credit cards because of the rewards that they provide and the positive credit history this can create. At the same time, if individuals end up carrying a lot of credit card debt, this can end up hurting them in the long run. In addition to damaging someone’s credit score, this can also take money away from retirement. Therefore, it is important for everyone to try to pay down their credit card debt as quickly as possible. That way, they do not have to worry about this when they retire and have more money they can spend every month.

Get Ready To Retire Debt Free

By following these tips, everyone is able to enjoy their retirement just a little bit more. By trying to find ways to retire without any debt, everyone is able to set themselves up for success. That way, they will be ready to take advantage of everything that retirement has to offer.

 

NAHB: Rising Demand for Homes Boosts Builder Confidence

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NAHB: Rising Demand for Homes Boosts Builder ConfidenceBuilder confidence in housing market conditions reached a new record high in November according to the National Association of Home Builders. November’s index reading of 90 was five points higher than in October. Index readings over 50 indicate positive builder sentiment toward market conditions. Readings for the Housing Market Index fell below 50 in April and May as the COVID-19 pandemic grew.

Component readings for the Housing Market Index rose six points to 96 for current housing market conditions and one point to 89 for builder confidence in home sales in the next six months. Builder confidence in buyer traffic in new housing developments rose three points to 77. Readings for buyer traffic typically didn’t exceed 50 until recently. High demand for homes is associated with record-low mortgage rates and changing priorities created by the pandemic.

While demand for homes usually slows in the colder months, the pandemic has caused families to re-evaluate their housing needs as more people work from home and children attend school online or are homeschooled. Larger homes cost more, which contributes to home sellers moving to suburban or rural areas to accommodate the additional expenses of buying and maintaining larger homes.

Regional Housing Market Conditions Mixed in November

The NAHB reported gains in builder confidence in three of four regions. The Midwest led with a nine-point increase in builder confidence. The South and West also showed rising builder confidence, but builders in the Northeast reported a five-point drop in builder confidence.

Robert Dietz, chief economist for the NAHB said, “In the short run, the shift of housing demand to lower density markets such as suburbs and exurbs along with ongoing low resale inventory levels is supporting demand for home building.”  Rising demand for homes as compared to low numbers of pre-owned homes available is creating additional demand for new homes. 

Analysts said that the demand for new homes will last for quarters or years as it will take time for builders to catch up with the unusually high demand for single-family homes.

A seasonal slow-down in home sales coupled with a new and severe wave of COVID-19 cases may cause challenges for home builders in the coming months, but the current demand for homes could rise if city-dwellers continue to move to less congested areas. Recent positive news about COVID-19 vaccines could impact flight from cities to suburbs, but government approval, manufacture, and distribution of vaccines can’t happen immediately.

What To Watch Out For When Buying A Home

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What To Watch Out For When Buying A HomeBuying a new home is an exciting experience.  At the same time, it is also important for everyone to think about a few important topics that have to be discussed before they place an offer on a home. That way, everyone can rest easy, knowing they have done their due diligence when it comes to purchasing a new home.

Do Not Neglect The Noise Level Of The Neighborhood

One of the most commonly overlooked topics when it comes to buying a house is the noise level of the neighborhood. Some noise from the outside world is to be expected, particularly for those who move into a busy neighborhood. During a tour of the potential home, it is a good idea to ask realtors to lower the level of background noise. That way, people can get a good feel for what the potential neighborhood noise level might be like. 

Always Ask About The Age Of The Roof

One of the easiest facets of a house to overlook is the roof. At the same time, the roof is also one of the biggest parts of the home. Therefore, it is a good idea for everyone to make sure they do a thorough inspection of the roof. They should look for damages both from the outside as well as inside. Ask about the age of the roof as well. Be sure to check for damaged shingles.

Ask About The Age Of The HVAC System

Another topic that has to be discussed is the HVAC system. In general, people should expect to get between 15 and 20 years of life out of their HVAC system. If the HVAC system in the home is getting close to the point of replacement, then it might be a good idea to ask for a price reduction because the new homeowner is going to have to replace the HVAC system in the near future.

Perform Due Diligence Before Buying A Home

These are a few of the most important points that people have to follow when they are buying a new home. Asking about these issues ahead of time can prevent homeowners from being surprised down the road.

 

What’s Ahead For Mortgage Rates This Week – November 16, 2020

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What's Ahead For Mortgage Rates This Week - November 16, 2020Last week’s economic reporting included readings on inflation and consumer sentiment along with weekly readings on mortgage rates and jobless claims. Federal Reserve Chair Jerome Powell and Federal Reserve Board members addressed economic expectations resulting from the COVID-19.

Chair Powell said that there would be no quick fix for the economy and that the economy would suffer for four to six months until the pandemic slows. He also said that a COVID-19 vaccine would not be a panacea for the virus and said that “ the next few months could be challenging” as the virus spreads at a faster pace.

Inflation Stalls as Pandemic Progresses

The Commerce Department reported no growth in the Consumer Price Index and Core Consumer Price Index in October. The readings for both indices were identical with 0.00 percent growth, 0.10 percent growth expected, and September’s month-to-month growth of 0.20 percent. Medical experts predicted  that COVID-19 cases would surge as cooler weather arrived.

The cost of living rose from June to October, but this was a recovery from deep dips in consumer prices as the pandemic took hold. The year-over-year inflation rate slowed to 1.20 percent in October from September’s reading of  1.40 percent. Annual inflation was growing by 2.30 percent before the pandemic.

Mortgage Rates Rise, Jobless Claims Fall

Freddie Mac reported higher average mortgage rates last week as the rate for 30-year fixed-rate mortgages increased by six basis points to 2.84 percent. The average rate for 15-year fixed-rate mortgages rose by two basis points to 2.34 percent and rates for 5/1 adjustable rate mortgages jumped by 22 basis points to 3.11 percent. Discount points averaged 0.70 percent for 30-year fixed-rate mortgages and 0.60 percent for 15-year fixed-rate mortgages. Points for 5/1 adjustable rate mortgages averaged 0.40 percent.

First-time jobless claims fell last week to 709,000 filings. Analysts expected 731,000 new jobless claims based on the prior week’s reading of 751,000 initial jobless claims filed. Ongoing jobless claims were also lower last week with 6.79 million continuing claims filed. as compared to the prior week’s reading of 7.22 million ongoing jobless claims filed.

The University of Michigan’s Consumer Sentiment Index posted a lower reading of 77.0 in November as compared to October’s index reading of 81.6 percent and the expected reading of 82.3. The dip in the Consumer Sentiment Index reflected increased consumer concern as covid-19 cases rose,

What’s Ahead

This week’s scheduled economic reporting includes readings from the National Association of Home Builders Housing Market Index, Commerce Department reporting on housing starts, and building permits issued. Data on sales of previously-owned homes will also be reported.

The 3 Minute Guide to Real Estate “Flipping” and How to Get Moving Today

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The 3 Minute Guide to Real Estate If you’ve been thinking about investing in a real estate project you may have considered buying a distressed house or two at a steep discount in order to fix them up and sell them at a higher price. This is known as “flipping”, and in today’s post we’ll share a quick guide to flipping homes and how to get started with this type of real estate investing.

Assessing Your Budget and Tolerance for Risk

We’ll start by stating the obvious: when you buy real estate with the intent of flipping it, losing money is a very real possibility. You’ll need to assess your own tolerance for risk and decide how much you want to invest in your real estate venture.

If you’re new to buying homes it’s a great idea to start small – an inexpensive “fixer upper” house or a condo – and work your way up from there. Spend some time crafting a budget to assess how much you’ll be spending to acquire the home and in repairs or renovations, and what you expect to receive when you sell.

Shopping for Suitable Houses and Condos

Once you’ve got your budget prepared and your finances are in order you’ll need to start looking for a suitable home. The ideal listing is one that is priced at a discount to all of the other homes in the neighborhood as the home is in some state of disrepair or has certain issues that need to be fixed up. Spend some time browsing through local property listings which are sorted by price and note which options are the least expensive. This is where you’ll want to start.

Scale Things Up by Finding a Partner

After you’ve bought, repaired and sold a home or two you’re likely going to want to scale things up. Consider bringing on a partner who can help shoulder some of the workload or one that may want to invest capital so that you can buy homes in a higher quantity. Remember, this is business; if you work with someone else you’ll want to formalize your arrangement with a written contract.

As with any business venture, there’s a bit of a learning curve that you’ll need to overcome when you begin flipping houses. As long as you’re patient and ready to move when you find the perfect home, you’ll soon find success with your real estate investments. 

The Top Ways To Winter Proof A Home

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The Top Ways To Winter Proof A Home

As the temperature continues to drop outside, many people are worried about what is going to happen to their heating bills. Given the challenging economic year, nobody wants to pay more than they have to. On the other hand, there are ways that people can keep their heating bills as low as possible as long as they take steps to winter-proof their homes now. 

Prevent Drafts Under The Doors And Windows

One of the most common reasons why people end up using more heat than they should is that they are losing heat to the external environment. Often, this heat flows through gaps between windows and doors. Therefore, everyone has to make sure their windows and doors are closed when they are not using them. Then, consider adding stopgaps between doors and windows to prevent heat from exiting the home. If the windows are unlikely to be opened during the winter, then it might be a smart idea to seal them. 

Add Insulation To Hot Water Pipes And Tanks

Many people do not realize just how much heat they use keeping their water hot in their homes. It is a great idea for homeowners to add insulation to hot water tanks and pipes. By adding some simple insulation, the hot water heater is not going to have to work as hard to get hot water up to the right temperature. This can save homeowners a significant amount of money on their heating bills. 

Use A Smart Thermostat

Many homeowners run their heater when they do not have to. For example, they might run their heater when they are at work or asleep. This is unnecessary. By using a smart thermostat, everyone can set up a schedule for their heater. That way, their heater will shut off when the home does not have to be warmed to a specific temperature. At the same time, remember to warm the house to at least 55 degrees Fahrenheit at all times to prevent water from freezing in the pipes. 

Save Money On Heating Bills This Winter

These are a few of the top ways that homeowners can save money on their heating bills this winter without having to sacrifice their comfort.