Delaware Mortgage Rates

Delaware Mortgage Rates

Equity Management – Securing Equity

John Thomas August 16, 2007 Tags: ,

Now that we better understand the advantages of equity extraction and investment, the next step is to explore specific methods of putting your cash to work for you. Again, these options are not for everyone, and they may not even be available to homeowners who have poor credit ratings or excessive outstanding debt. In fact, many mortgage experts recommend against withdrawing equity unless you have first assembled a management team to oversee its investment – and until you have fully committed yourself to exercise the financial discipline necessary to reap the long-term rewards. Keep Reading...

Equity Management – Working Equity

John Thomas August 15, 2007 Tags:

Home equity accumulates in four ways: the money committed in the original down-payment; any appreciation in the local housing market over time; physical improvements or renovations; and, of course, principal payments on the mortgage itself. Through these four avenues, cash value – or equity – steadily builds up in the property. While seemingly desirable on its face, this accumulation of wealth in the home has three detrimental consequences that are not generally well-understood by most consumers.

First, the cash in your home is “buried.” Not only is it unavailable in the event of a family emergency, but it is also vulnerable to lose due to periodic downturns in housing values, fire, or natural disasters such as hurricanes (insurance, where available, may not cover the full market value of your home). Perhaps more critically, cash trapped in property is earning zero interest, year after year. No prudent consumer would put money into a savings account or investment plan that yields no rate of return, but many homeowners do exactly that without a second thought when it comes to their mortgages. Keep Reading...

Home Equity Management – Unlocking Earning Potential

John Thomas August 14, 2007 Tags:

The explosion in the number and variety of mortgage instruments in recent decades – fixed- and adjustable-rate loans being the best known – now allows a knowledgeable lending agent to offer terms that are virtually custom-tailored to the needs of a specific borrower. While the basic 30-year fixed-rate mortgage remains the most popular type of loan, the growth in alternative instruments has given rise to a new class of professionals who can help you best manage your financial future.

Today’s mortgage consultant is far more than a bank agent or anonymous broker on the phone; he or she is an expert in the full spectrum of mortgages available. Most importantly, the mortgage consultant’s interest in your account extends well beyond the fee earned on a single loan transaction. Why? Because to properly manage the equity in your home, you will need a bi-annual mortgage “check-up” – an on-going series of regular reviews to determine whether and when to extract any accumulated equity in your home for the purpose of investing it in more lucrative, liquid, and secure funds managed by a reputable financial planner. Keep Reading...

Financial Planning Crisis

John Thomas August 14, 2007 Tags:

To any conscientious financial planner or mortgage consultant, the numbers are distressing. The federal government is so concerned that it has revamped provisions of the U.S. tax code at least three times in recent years in an effort to reverse the trend.

Recent studies have shown that most American families are now living beyond their means, cramped for cash, and few have taken adequate steps to secure their financial futures.

Only about four out of ten have established a tax-deferred savings fund – a 401(k), IRA or Keogh account – and even these forward-thinking Americans seldom contribute the maximum allowed. Today, the average balance on a 401(k) account nationwide hovers around $50,000; and half of all account holders have $15,000 or less saved against future uncertainties that often aren’t uncertain at all. Keep Reading...

Delaware Realtor Seminar – Mortgage Market Meltdown – August 22, 2007

John Thomas August 10, 2007

Free Seminar for Realtors & Financial Professionals

The Mortgage Market Meltdown  What it Means to You


The credit markets are in crisis, and the mortgage landscape is changing fast. But, ask yourself this.

Do you understand the key factors that led to the crisis?
Can you clearly and confidently advise your buyers and sellers on how to succeed in today’s market?
Do you have the right systems in place to adjust your business model for the changes yet to come?
If you answered No to any of these questions, you must attend this exclusive Mortgage Market Meltdown session and get the tools you need to stay ahead in this volatile market. This is your chance to protect your clients and your commissions! Keep Reading...

Protecting Your Credit During Divorce in Delaware

John Thomas August 7, 2007 Tags: ,

When a marriage ends in divorce, the lives of those involved are changed forever. During this time of upheaval, one thing that shouldn’t have to change is the credit status you’ve worked so hard to achieve.

Unfortunately, for many, the experience is the exact opposite. Unfulfilled promises to pay bills, the maxing out of credit cards and a total breakdown in communication frequently lead to the annihilation of at least one spouse’s credit. Depending upon how finances are structured, it can sometimes have a negative impact on both parties.

The good news is it doesn’t have to be this way. By taking a proactive approach and creating a specific plan to maintain one’s credit status, anyone can ensure that starting over doesn’t have to mean rebuilding credit.

The first step for anyone going through a divorce is to obtain copies of your credit report from the 3 major agencies: Equifax, Experian, and TransUnion. It’s impossible to formulate a plan without having a complete understanding of the situation. (Once a year, you may obtain a free credit report by visiting www.AnnualCreditReport.com.) Keep Reading...

Liquidity Crisis Wreaks Havoc With Delaware Mortgage Market

John Thomas August 7, 2007

Following the well-publicized subprime crisis earlier in the year, a major disruption in the credit markets broke out on an unprecedented and historic scale this week on Wall Street. This caused major write-downs of loan and security portfolios and brought down one of the top 10 Prime and Alt-A lenders in the country, American Home Mortgage, which stopped funding $800 million in loans beginning Monday and left thousands of home buyers stranded at the closing table with their home purchases. American Home Mortgage was the in house lender for Keller Williams Realty in Delaware and this whole situation has left many Keller Williams clients without loans. This illustrates the value of using a broker who would have been able to flip a loan that was with American Home Mortgage to another lender that is taking American Home Mortgage loans that didn’t fund or close but were approved. Keep Reading...

Pass Your Assets to Loved Ones…Not Uncle Sam

John Thomas August 4, 2007

If you donate have an estate plan in place, don’t worry¦the IRS has one for you. But you may not like it, so it’s always a good idea to get your finances in order and avoid incurring tax penalties and hefty estate taxes. Knowing the value of your estate and becoming familiar with several exemptions and tax benefits can help you hand your assets over to your loved ones¦without handing a portion of your hard earned assets over to Uncle Sam.

Some good news the new Federal estate tax exclusion increased in 2006 to $2 million per person. In the past ten years, that amount has increased over 230 percent, as the figure is up from $600,000 in 1996. Count on this tax exclusion figure to remain in effect until 2009, then the amount is scheduled to increase one more time to $3,500,000 per person. After 2010, it will supposedly be repealed altogether. Keep Reading...