Home » Archive

Articles Archive for March 2006

World »

[31 Mar 2006 | No Comment | 305 views]

The SR-22 is a form that serves as proof to the Department of Motor Vehicles (DMV) that you have auto insurance, more precisely motor vehicle liability insurance.
If you have to carry an SR-22 your insurance company is under the obligation to inform the DMV if your policy is canceled, terminated or if it lapses. Canceling your insurance policy will generally result in your license being revoked until you acquire insurance coverage again.
You may be required to carry an SR-22 in general as a result of being considered a high-risk driver. Falling into this category might result from
* driving under the influence of alcohol or drugs (DUI)
* driving while intoxicated (DWI)
* serious moving violations or
* causing an accident while uninsured
In general proof of being covered by an SR-22 is necessary for the reinstatement of driver’s privileges after they have been revoked.
Regulations on how long the SR-22 has to be carried vary …

World »

[31 Mar 2006 | No Comment | 354 views]

The law in all 50 states requires any automobiles driven must carry liability coverage in the event you cause an accident. What happens if vandals deface your car or a tornado smashes your new Ford into a tree? Unfortunately you will be stuck footing the bill if your policy doesn’t have comprehensive coverage.
Comprehensive coverage is designed to protect your automobile against “acts of God” or a third party that may damage your car. You need to read your policy very carefully to make sure you understand what is covered and what is not.
Even though the state you live in doesn’t require comprehensive coverage, chances are if you lease or finance your automobile, it may not be possible to waive. The lender or dealership will probably require you to carry comprehensive insurance on your policy. The reason being the lender wants to make sure they will get their money back incase …

World »

[31 Mar 2006 | No Comment | 330 views]

Self-insuring Time Bomb
Just because you don’t want to talk about it, “doesn’t mean it isn’t there”. It’s there and it is not going away. I don’t like to dwell on a lot of statistics, but more of my experiences. What I am seeing is that there are more people needing long-term care than ever before. Why? We are blessed with an opportunity to live longer lives than ever before. Unfortunately, a statistic that cannot be ignored is that according the American Society on Aging 70% of people turning 65 will need some type of long-term care. The other, which I feel, is virtually unknown is that 70% of all married couples will have one partner need care. This one is the most compelling in my opinion because some married couples are living on a “hope and a prayer”. What I have witnessed is that some married couples have decided to …

World »

[31 Mar 2006 | No Comment | 336 views]

So, you want to refinance, but your credit is less than perfect? Don’t worry, all isn’t lost. You have some options. You can still refinance to take advantage of the equity in your home for extra cash. You can consolidate debt, pay for home remodeling or just about anything else with the extra cash. It could be used to get you on the path to financial independence. Remember, if you’ve got bad credit now, you can reclaim a good credit rating with just a little patience and prudence. If you’re trying to be financially secure, whatever you do, don’t use the cash from the refinance for frivolous purposes such as a vacation or new boat. You can leverage the equity in your home to achieve financial freedom through a cash out refinance, even if you’ve got bad credit.
Where can you start? First, you must collect all the necessary information. Pull …

World »

[31 Mar 2006 | No Comment | 338 views]

House hunting can be an exhilarating process as you try to pick that perfect property. Applying for a mortgage isn’t nearly as much fun. Following is an overview of how the mortgage industry works.
An Overview of the Mortgage Process
You have a nice chunk of money saved away for a down payment. You have started shopping for a home or have found the perfect property. It is time to enter the world of financing, better known as getting a mortgage. Before entering the labyrinth, it might help to get an overview of how the mortgage process works.
A mortgage simply is a debt instrument that acts to secure a cash loan to you on a home. In exchange for giving you the money, the lender puts a first lien on the prospective home for loan amount. If you default, the lender can foreclose and sell the home to recover the debt amount.
In …

World »

[31 Mar 2006 | No Comment | 528 views]

Financing for commercial real estate is a completely different game when compared to residential mortgage loans. It moves much faster and is much more flexible.
Commercial Real Estate – Hard, Hard, Hard Money Loans
When purchasing commercial real estate, financing is the most significant factor in determining whether the project is worth pursuing. Although there are a variety of commercial real estate loans on the market, we are going to look at hard money loans in this article.
Hard money loans for commercial real estate are often a matter of last resort. They aren’t good deals, but they can save a financing situation that has gone critical. Most hard money loans come with significant upfront costs and astronomical interest rates. When you are facing the prospect of losing a commercial property, however, they can be a godsend because they also are granted very quickly.
Hard money loans are considered very risky and are issued …

World »

[31 Mar 2006 | No Comment | 421 views]

With the raging hot real estate market of the last five years, mortgages have evolved wide spread options. The different home loans can be confusing, so lets look at the basic repayment options.
Repaying Your Mortgage Home Loans – The Basics
Jumbo loans, variable rates, fixed, interest only – the variety of mortgage home loans seems almost endless. One way to bring a little clarity to the situation is to look at the basic issue of how you have to repay the loan. Doing so can give you a better idea of what it is going to honestly cost you and whether you can realistically meet the obligation.
The traditional and most common mortgage repayment is one that combines capital and interest over time. The most basic of these loans has been the 30-year repayment mortgage with a fixed interest rate. You typically make a payment each month with part of the payment …

World »

[31 Mar 2006 | No Comment | 266 views]

Owning a home is undoubtedly the American Dream and the bedrock of middle class. Negative amortization, however, can turn the dream into a nightmare if you are not careful.
Home Loans and Negative Amortization
When you apply for a basic home loan, you obviously must repay the loan to the lender. The repayment of the loan is typically set over a certain time period with a certain amount being paid monthly. This process is known as the amortization repayment schedule. In some instances, however, the repayment schedule can be designed to have a very problematic result.
Home loan lenders have to compete for your business. To make themselves stand out, they will come up with unique mortgage packages that make it easy for you to get into a home that perhaps is a bit beyond your means. One of the techniques for doing this is a strategy known as graduated repayment. With graduated …

World »

[31 Mar 2006 | No Comment | 247 views]

When applying for a home loan, there are a number of factors you have to take into account. Loan to value is one of the key issues that will determine whether you get that loan.
Mortgage Factors: Loan to Value
When considering an application for a mortgage, lenders look at a number of factors. Regardless of the type of loan, they always look at loan to value ratios. The loan to value ration is simply a calculation that tells the lender and you the value of the property in question versus the amount of the loan. The ratio is determined by dividing the appraised value of the home by the amount sought for the home loan. For instance, assume a home is appraised at $200,000. If you apply for a $160,000 home loan, the loan to value is 80 percent.
In evaluating any loan of any type, lenders try to evaluate the risk …

World »

[31 Mar 2006 | No Comment | 242 views]

The equity you have in your home is the difference between what you owe on your mortgage and how much your home is worth. Home equity lines of credit let you access the value of your equity. Home equity loans are secured by your home; if you default on a home equity loan the lender could foreclose and sell your property.
There are many reasons people tap the equity in their homes, some better than others. Here are three smart reasons for borrowing against the equity in your home.
Pay Off High Interest Credit Cards
The interest a mortgage lender charges for a home equity loan is much less than you will pay for credit cards. Consolidating your credit card debt with a home equity loan will save you money in interest and make your finances easier to manage. Your monthly payment will be much less as well, and this should leave you …