Life is a Balancing Act - What's the Key? "The key is not to prioritize what's on your schedule, but to schedule your priorities." ---Steven Covey
It's all about perspective! "The North Texas home prices peaked in June and have since declined about 4.4%," so the Dallas Morning News says. However, Patricia says, even though there are mortgage rate changes, and there are declines, there are still GREAT options for eligible homebuyers.
From the moment we are born, life is a balancing act. An infant will never learn to walk if it doesn't get moving, hold on, crawl, pull up, grunt, and make some noise. A child doesn't listen to the Media or consult with Financial Advisors. They trust the people who care the most and helps them every step of the way. As a REALTOR®, Mother and a Grandmother, that's a fact! So hold on! Don't panic when you hear what the Media has to say. Talk to a credible Lender in your local area who knows the market best based on your personal finances and financial needs.
"Dream big. Start small. Act now!" ---Robin Sharma
One option a lender could recommend is a second mortgage, it's usually to reduce the principal balance on the first mortgage enough (without a 20% down payment) so that the borrower is exempt from paying mortgage insurance on a conventional loan. That can be a significant savings!
The problem with people is that everyone has their own opinion on past experiences. Well meaning people are well.... people with an opinion. People can be right. Or people can be wrong. Set up a confidential meeting with a credible Lender. Speak with your Lender as if your life and livelihood depends on it - Patricia says so!
"I want to see if I can. I don't know if I can. I want to find out. I want to see. I am going to do what I always do; I'm going to break it down to its smallest form, smallest detail, and go after it. Day by day, one day at a time." ---Kobe Bryant (8/23/78 - 1/26/20)
Kobe Bryant was one of the most respected athletes of all times. He wasn't born a champion, he won five NBA Championships and became one of the greatest basketball payers in his 20-year career with the Lakers by working hard, smart, and acquiring knowledge through education. He had advisors, coaches, mentors, and surrounded himself with positive people he trusted. His legend live on.
When it came to basket ball, I got hooked in High School when Michael Jordan was just beginning to get noticed. A lot has changed in sports, and in the financial housing market! In the past, rates on second mortgages were typically a little higher. Also, the first mortgage was subjected to a 'risk-based pricing adjustment' imposed by the GSE's that increased the rate on the first mortgage to the client, and made this not always beneficial.
THINGS CHANGE - Did you know today the rates on second mortgages can be less than your first mortgage rates for some borrowers? Pay attention. Speak to a credible Lender. Rates on a second mortgage can be less than your first mortgage rates for SOME BORROWERS. This anomaly won't last forever. For example, when you displace $100,000 of principal balance with a loan that has a lower rate, you reduce your annual interest expense - check with your Lender. Verify. Know your personal risk.
There is so much to learn and so many reasons why owning a home makes better sense than renting or waiting to see what others do. Do it now for you. Contact your local credible Lender and as Stephen Covey said, "Schedule your priorities."
And don't forget. Hold on! Be brave and do your best to succeed.