Archive for February, 2008
One of the biggest way to impact your personal financial portfolio over your lifetime involves the decisions you make concerning your education. According to the US Department of Labor, graduating with even an Associates degree will increase your weekly earnings 25% over those with a high school diploma, and at the same time reduce your risk of unemployment by almost 1/3. Schools that offer internship programs, such as the Gibbs Norwalk location, further benefit the graduate immediately by increasing the likelihood of entering directly into the workforce in the field for which training was received.
The relationship your chosen school has with the community is one factor to be considered, especially if you plan to remain in the same area after graduation. Having a good reputation for producing capable graduates improves your prospects for employment after graduation, and the school’s career services can often help.
Even if you don’t plan to remain in the area, a school that offers internship opportunities give you a big advantage, even in fields where internship is not strictly required. Lack of work experience is the main factor that limits college graduates in their employment opportunities, as well as decreases the starting pay. Being able to point to work experience within the chosen field may set you ahead of other applicants, and might even garner you a higher starting salary, giving you a boost up in your earning potential that you might otherwise have to wait a couple of years to enjoy.
Another advantage of internships are the opportunity to discover whether or not you really are suited to work in a particular field and will enjoy your work. Participating in work internships early on in your college career will allow you to change majors before too many credits are wasted, if that turns out to be your decision.
Internships may be paid, in some cases, providing you with some additional income, but in many cases they are unpaid positions. College credit can often be received for work as an intern, however, so there are other monetary advantages besides compensation.
Overall, internship programs are something to consider in your college career.
The purchase of a new home is, for many people, their primary source of investment. Over the life of the mortgage, you will be putting a considerable amount of money into your purchase and, should circumstances change in your life, your home represents an asset that may be sold and can possibly return a handsome profit as well.
It only makes sense to consider ALL of the relevant information when purchasing a new home. This can be much more difficult, however, if you are moving across the country and are not familiar with the neighborhoods, schools, etc. associated with the home you are seeking to buy.
This is where websites offering information to potential home buyers can be a good start in researching the relevant factors. For example, if you are planning a move to the Chicago area, you can first visit Illinois homes to view a variety of locally helpful data. Illinois rates for a variety of loan types are compared, showing the weekly change, along with a comparison to the national rates. You can view the city popularity below and see that Chicago is indeed a major market, which is likely to impact favorably on resale values. Visiting the Chicago page will provide further details, along with a list of nearby cities you may also wish to check out in case you don’t want to buy a home right in Chicago.
Each state has similar information available. You can, for example, visit the Indiana MLS and view such information as statewide demographic details, or choose the city where you wish to see the same information. Even small towns are well represented. I checked Franklin, a town where I lived as a child. The population is now 1,264. You can view full demographic details with information such as ethnicity, family income, price of a home, education level, family size, age range, and even the average commute time. Housing-specific details include the percentage of owned homes vs. rented and the percentage of vacancies. Local hospitals, medical centers, schools, colleges, churches, and more details are provided. All of these factors influence the potential resale value of a home, as well as give a snapshot of the local market.
Another useful feature of such websites are the ability to view foreclosures and other specific real estate deals. While in the state of Indiana, since I am familiar with the cities there, I also checked out Indianapolis foreclosures. The important relevant information was provided in a list form for almost 6,000 foreclosures in that city alone. Each entry shows an aerial photo view of the home, address, foreclosure amount, number of bedrooms and bathrooms, square footage, usually the year built, the foreclosure company, the date the home was listed, and the auction date. More details are available from the listing page, but you do have to sign up to receive that information.
Much more useful information is included, from the mortgage calculator tools to more detailed relevant information. When I searched for my high school among the school listing, I was able to view the full county records and statistics, including expenditure per student, classroom ratios, graduation rates, how many students received free or reduced price lunches, the ethnic demographics, and more.
Use online resources to gather as much information about your planned move as you can, an you will be prepared to purchase a home in a neighborhood that will help you retain your home’s value and protect your investment, should you ever wish to sell it.
Reverse mortgages are a special type of mortgage that allows older homeowners to borrow against the equity in their home with no repayment required as long as they continue to live in the home.
Proceeds are generally tax-free, and don’t usually affect Social Security or Medicare benefits. The borrower keeps the title to the home, and does not have to make any monthly payments as long as they live in the home. The home cannot be foreclosed due to missed mortgage payments, since none are due.
In some cases you can use the money for whatever you want (depending upon the type of reverse mortgage you apply for), and in many cases there are no income restrictions. One caveat is that they are generally more expensive than other mortgages to originate, so if you plan to remain in your home for only a short time, a reverse mortgage may not be your best choice.
There are several types of reverse mortgages available. Proprietary reverse mortgages are one kind, offered by private lenders and generally with fewer restrictions. This type of reverse mortgage can be especially suitable if your home is more valuable and you would like more cash up-front than may be available from other types of reverse mortgages.
Some states are becoming more competitive, with a greater percentage of seniors coupled with many valuable homes, such as the market for California reverse mortgages. Competition among lenders often means better terms for consumers of mortgages.
In such an environment as this, a mortgage broker can assess your situation and present you with a number of offers from different lenders in order to secure the best terms for your particular situation. Particularly if you are in the market for a CA reverse mortgage, or any other location where competition is keen among lenders, be sure to contact a broker to consider the offers from their lender’s network, even if you are considering a different type of reverse mortgage.
The main option for low cost life insurance is a term policy. Term policies are intended to protect your family in the event of your death, and are purchased for a specified length of time only, after which time a new policy must be bought if you wish to continue coverage. They do not accrue a cash value as a whole life policy does, but do have much lower premiums.
Term life insurance policies provide the most benefit for families who would be financially devastated if the breadwinner dies anytime in the near future … say a family with young children who will need their parents’ income to support them for the next 10 years or so. Or in the case of a family with a debt that will be difficult to pay if someone dies where the term of the debt is about 10 years.
In these cases it is generally better to buy term insurance and then invest the difference between the cost of the term policy and what a more expensive whole life policy would have cost.
There are two types of mortgage suppliers a consumer may shop with when seeking a mortgage. One is a mortgage lender. The lender provides money to the borrower at closing, in exchange for the borrower’s promise to pay, and a lien on the property in case the loan is not repaid. Mortgage brokers, on the other hand, do not lend money. Instead, they work as an independent contractor and offer loans to the borrower from a number of different lenders. In general, the broker will solicit clients in the market for a mortgage and provide them with offers from different lenders and counsel them on the selection of a mortgage. They may also offer counseling to help the buyer qualify for a mortgage, will take the consumer’s application, and usually process the loan for the lender.
Consumers will usually receive better rates by dealing with a mortgage broker rather than a lender, because the broker will be able to offer the terms from a number of lenders, allowing the consumer to select the best deal available at that time. Also, they can specialize in helping consumers with particular needs, such as those with a poor credit history.
With internet access, this process has never been easier. For example, consumers can apply to get a loan with Centrro, a company with an online network of brokers and lenders, just by filling out a simple one-page form and submitting it, then waiting for several competing lenders to contact them.
This is similar to credit card comparison sites. In fact, some of the same loan networks carry different types of loans. You can also get a credit card with Centrro, and the company will soon be including personal loans in their service as well.
A number of factors influence the car insurance rates that a company will offer a consumer. The first and most obvious is driving history. Depending on where you live and how many and what kind of charges are against your driving record (and how long ago), your rates can increase by more than several hundred percent.
Almost all consumers also realize that some vehicles cost more to insure than others, depending upon how often that type of vehicle is stolen, the likelihood of injury while driving that particular model, and how likely you are to be involved in an accident if you drive a particular vehicle. Purchasing an SUV, since it is a common target for theives, will cause your rates to increase, for example.
Other factors influence your insurance rates, such as age, gender, marital status, and even credit history. The tricky part that you may not realize is that some companies use not just your simple credit score, but track other kinds of financial behavior (such as using alternative sources of financing) in order to justify raising your rates.
While you probably can’t even find out which companies penalize you for what behavior, the best way to keep your rates as low as possible is to compare the offers from various companies, so that if one particular company does penalize you for taking out a cash advance loan, for example, you can at least see the rates from another company that may not hold that against you.
So compare rates, and take every opportunity to educate yourself about the factors that influence your insurance rate in order to pay the lowest premium possible.
Speaking of blogs (as we did in our last post) we would also like to review another site that includes an informational blog along with their regular service. Mortgage Finders Network offers a variety of home refinance options, making it more likely that the consumer can find a mortgage that suits their particular needs. Along with this service, the helpful information provided in the blog can steer consumers in the right direction, whatever their current situation.
There are posts on a variety of topics suited to consumers in all areas of the housing market. Buyers may wish to know how to be able to purchase a home without making a down payment out of pocket, how to select the best mortgage and what all those terms mean anyway, how to avoid mortgage scams, how to decide how much house they can realistically afford, how to find the best house for their needs and how to negotiate the best deal on it. Outside links for buyers are listed with information on all aspects of purchasing a home.
Sellers will appreciate tips on selling their home, the seasons that affect sales and market prices, and information about having the home inspected for the buyer. There are links to outside resources for sellers as well that help with each phase of readying the property for sale and getting the best price for a home, and everything else along the way.
Homeowners who aren’t planning to sell can benefit from reading about securing a loan for home improvement, how to refinance their mortgage and save money in the process, refinances to avoid, and how to increase the value of their home (as well as mistakes to avoid that could potentially decrease its value).
And anyone can benefit by reading tips on how to start putting some of your money away in savings and the general money management tips offered within the blog posts.
If you are interested in refinancing though, that’s where the information is most helpful, since this is a mortgage finders service. Making the decision to refinance (or not) is covered with all of the details that may affect a particular consumer’s choice. Overall we have to say, there’s a lot of interesting reading here and it’s definitely worth a visit whether you are buying, selling, or considering a refinance or any other type of home loan.
There are TONS of credit card sites that allow you to apply online for credit cards. Some of them give good side-by-side comparisons or offer services to unique markets that make them stand out. However, we’ve found another interesting and, from what we have seen, quite useful, approach by a website offering credit cards.
This website includes an in-depth blog as part of their services. The posts that feature particular cards are useful in that they detail all of the information on a particular credit card offer and also explain exactly what kind of applicant would receive the most benefit from a particular offer. There is a notation if the card requires very good credit in order to be approved, saving time for unqualified applicants. Some cards provide special benefits for people living or working in a particular city.
However, we especially enjoyed the blog entries with general credit information. The explanations were easy to understand and the issues covered were those that affect many consumers. For example, does your spouse’s late payment affect your credit? (It can if you have a joint account, otherwise no.) Is it a good idea to have back-up credit cards? (It depends … especially on how you apply for them.) What is piggybacking? What exactly is encoded in that magnetic strip? Can I just keep applying for free initial interest cards and transferring the balances? There were dozens and dozens of informative articles on topics like these in the blog, and we found it to be quite useful and informative.
There is even a bit of humor on the blog (although admittedly we wouldn’t feature how to make a prison shank from a credit card, even if we were joking). However, the main benefit is in the large quantities of information that help with topics such as building a good credit score, managing debt responsibly, and understanding how the credit industry works. Overall, we really enjoying visiting their blog, and can recommend it to our readers.
With the advent of the growing network of cell phone service providers and carriers, there is a new opportunity cropping up for many landowners to easily earn lease income. Cell companies are leasing land (or in some cases, space on top of buildings) on which to erect cell towers, paying the owners a lease fee in consideration. The industry promises to be one involving a lot of flux, however, especially recently as a number of cell service providers merged and so eliminated some newly-redundant towers at the same time as areas under service have grown exponentially, so we have seen some opportunities fizzle while others increase. If you have considered leasing space to a cell service provider, or would like to approach one for the sake of making lease income, first learn all you can about the industry in its current state. You may also want to consider seeking information and/or help from an advocacy group dedicated to cell tower leasing. A number of programs are offered, including rent continuation programs that will continue to pay your lease rentals in the event the lease is terminated without cause.