Each month they struggled with making late payments, avoiding bill collectors, and did not enough money to put away for retirement.  The Smith’s are no different than many struggling financially. 

Many people are searching for answers on how to get financially free.  They chase get-rich schemes only to be taken; jumping from product to the next in hope of a financial jot.  However, you don’t have to cross your fingers nor do you have to pace your flood under the burden of stress.  Did you know that home owners have thousands of dollars at their fingertips? 

You might ask, “Where is this hidden Fort Knots?”  Before answering, let me ask a couple of questions.

If you had access to $100,000, what would you do with it?  What if I told you there is a way to get your hands on $100,000 legally within thirty-days, would that interest you? 

One of the best kept secrets is home equity.  If you owe a home, you are sitting on thousands of dollars that could used to generate immediate income.  

You may have heard about cash-out junkies.  Cash-out junkies refinance every time the interest rate wind blows. 

We don’t encourage you become a cash-out junky, but we encourage you to consider taking equity out of your home to reinvest in Real estate property. 

Your home is your Fort Knots.  Every day homes around the country appreciates but many home owners are fearful or lack the knowledge to make it happen.  Have considered purchasing commercial property, tax-lien certificate/deeds, distressed property, among man other exciting options. 

Let me share several point to help you before considering refinancing?

1. Don’t take money out of your home to buy liabilities such as: cars, boats, vacations, etc.  Although these are wonderful amenities, the purpose of cashing is to create money, not spend it. 

2. If you are going to refinance, make sure you are saving enough to justify it.  That is, your new interest rate should be somewhere between .75% – 1%.  This is every important because on a loan say $150,000, you could save $100 per month.  Over the life of loan, this would turn out to be a sagacious financial move.

3. Chose a fixed rate if you plan to remain in the home for long term.  Don’t get caught in the frenzy of Adjustable Rate Mortgage (ARM) just because it low. 

Adjustable rates can come back and bite during higher interest times.  Ask as many questions as possible with your lender before signing on the dotted line.

4.  Make sure you pay attention to closing cost.  We have all heard that someone secured a loan with no closing cost.  We don’t want to burst any bubbles, but every loan has closing cost, the question is where? 

There is nothing free under the sun and that includes mortgage loans.  Ask for complete disclosure and if you don’t understand, ask. 

5.  Beware of long-term balloon payments.  Some mortgage companies can come off a savior with a miracle loan that would help you avoid foreclosure.  What is the old saying, “If it sounds to go to be true, than it is.” Or, “If it walks like a duck, it is a duck.”  If the loans sound too good, look for RED FLAGS.

How can this happen?  When you read the fine print, you might find out that you have signed for an interest only loan.  The problem with this type of loan, the buyer is only making payment to interest, not principal. 

At the end of the loans, a balloon payment will come due and if the buyer can’t afford to make the balloon payment, their home would go into foreclosure.  Be very careful about hidden loan terms.

6. Don’t agree to any loan if you can’t make the payment.  If you take money out of your home, your payment will increase and you want to make sure it is within your budget. 

Although you are borrowing to reinvest, until you start receiving money from your investment, the payments are still required by law to be paid.  Stay within you budget not matter how smooth the loan agent talks. Now that we have provided options, how can your find a mortgage company?

What are some of the benefits of VCLoans.net?

1. Unlike online company, VCLoans.net will share your information with one company.  Your information will not be placed on the auction block among third-party companies.