As the weather turns colder, my attention turns to reconnecting with loved ones and remembering to be grateful for all the good in my life. I have wonderful friends, a promising future, good sense, and love. Thank you for being part of my world. ~Mardin, (408) 210-2073
You were planning on buying a home recently, but your mortgage pre-approval drowned in a sea of rising interest rates. You may still want to buy a home eventually, but until something shifts, you can use this unexpected extra time to rethink your needs, adjust expectations, and prepare for buying later. Meanwhile, my advice is…
Re-evaluate your current situation. In slowing down your house hunt, you've given yourself the gift of extra time. You can reassess what's realistic and desirable for you, without pressure.
Improve your financial position. If you don’t have enough down payment or monthly income to offset higher monthly payments, then you can take more time to build savings through a side job or by increasing your salary.
Adjust your interest rate expectations. You’ll probably need to stomach higher monthly payments for years to come. If rates do drop in the future, you can refinance. If they don’t drop, then you’ll have built equity.
Consider these alternatives. If building wealth through home ownership is more important to you than living in the home you own, then you might consider buying a rental property instead of your primary home. You might also consider qualifying for an ARM (adjustable-rate mortgage).
Even if you can afford to buy now, should you wait for home prices to drop? Prices will likely come down eventually. But will they come down enough to offset higher rates? Rates are likely to rise even further in the next few months, so locking in a rate now might ensure you of a better monthly payment. And you might be able to negotiate a lower price now, instead of waiting for that same price later.
If you want to buy now, or need to make a plan for next year, contact me for a no-obligation consultation. Mardin, (408) 210-2073
November Quiz QuestionCan you read the one-word message in the stereogram below?
Send your answer for a chance to win a $5 coffee card! Last month's Q&A: What can you hold in your right hand, but never in your left hand? Your lefthand. Congratulations to last month's winner!
Nuggets of News
If you call it a Terraced house, is it worth more?
A terraced house in the UK is a type of house that is joined to other houses by their side walls, like an American townhouse or a row house. But a rose by any other name would smell as sweet, to quote Shakespeare. Sadly, simply renaming a townhouse a 'terraced home' probably won't raise its value.
Don't be fooled by listing scams...
When you're trying to buy a home, and the perfect deal comes along, you naturally want to jump at it. But before handing over your deposit, do due diligence on the listing itself, not just the house. Is the property really for sale? Read about the Torrance brother and sister scammers who took in nearly $12 million this way. Call me for help when you want to buy a home safely.
Daily step count and walking speed lower dementia risk
In a recently study of dementia, researchers in the UK found that adults who walked about 9,800 steps per day at a higher cadence saw a measurable decrease in dementia incidence risk compared other walking amounts. In a weird coincidence, 9,800 steps is just shy of the magical 10,000 steps a day we’re “supposed to walk” — a number plucked out of the blue by the marketing department of a Japanese exercise equipment company several decades ago.
Leftover white bean turkey chili recipe
This recipe is one of our favorite post-Thanksgiving meals! You can make it with leftover turkey or anytime with rotisserie chicken. So easy and fast that even a can-opening college student can do it:) Enjoy! Go to the recipe.
“You cannot do a kindness too soon, because you never know when it will be too late.”
—Ralph Waldo Emerson
30 or 15 year mortgage - which is better?
On one hand, author Patrick Villanova shows the results of paying a longer mortgage with a lower monthly payment and investing the difference. And on the other hand, a shorter mortgage with a higher payment, then investing the same amount after paying it off. Read this really clear summary on Smart Asset.
An Emergency Kit Is a Great Gift
Holiday shopping surveys show that consumers will be buying more practical gifts this season than purely fun and frivolous gifts. What could be more practical than an emergency kit? Disasters can happen anywhere, any time. It’s important to have resources at hand in case you need to move quickly. Research what your loved ones might need for their local area, based on the kinds of emergencies they might experience.
How much should you pay a real estate agent to help you buy a home?
In real estate, when we talk about “hiring” a buyer’s agent, we don’t mean you have to pay them any money. In most cases, the buyer's agent is paid from the proceeds of the sale of the home the buyer is buying. Looking for a home to buy? Hire me as your buyer’s agent to help you find the right home and represent you in the purchase. (408) 210-2073
How to get a financial planner when you don’t have money to invest
Many financial planners are paid by a percentage of the money you invest. But many people don’t invest enough to make them attractive to financial planners of this type. Yet we all need financial planning advice. Where do the rest of us get it? Here are a few possibilities:
1. Pay for a fiduciary financial advisor. That’s someone you’ve hired to review your financial situation and make recommendations. If you go this route, make sure they’re well-versed in tax liabilities and inheritance law. 2. If you already have a tax accountant, they may also be able to offer you some limited financial advice. 3. Do your own research and create your own plan. This solution is not recommended, but it is a great first step in combination with number one above. 4. Look online for free help and workshops to bridge the gap between doing it yourself and hiring an advisor.
Just for Fun
Fun facts you thought were true, but...
Napoleon Bonaparte wasn't all that short. At 5'5" to 5'7" (depending on the source) his height was normal for men of his time. The rumor of him being short came from British propaganda that satirized Bonaparte.
Black Holes are not holes. They're hugely dense areas of space with massive gravitational pull that sucks in anything caught within its orbit. Even light particles can't escape the strength of the pull, giving the sense that things are falling into a deep hole.
Banana trees aren't trees. Bananas grow on huge plants that are a kind of herb, distantly related to ginger. The "trunk" of a banana tree is a giant pulpy stalk. While bananas contain seeds, most of the bananas we eat are propagated using root stock.
