Welcome to Mortgage Guide
Mortgage Closer Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
Mortgage Loa Versus Renting
from:There is a big debate these days whether it even pays to take out a mortgage loan or if renting ends up being cheaper. Since most people can’t buy a house outright with cash, and depend on getting a mortgage loa, there are some reasons that might make renting more attractive in the short-term. However, if you are looking for stability, a way to build wealth and a home you can call your own – a mortgage loa is the way to go.
The Benefits of Renting
Renting allows a certain mobility in your lifestyle. You sign a lease for a particular timeframe, and if you have to move you can still leave by paying a penalty. On the other hand, if you own your home, you can’t get out of your mortgage simply by moving. You have to sell the house and that can be a problem if your job takes you to many places. If you are very mobile, it’s difficult to make up the 6% you will have to pay the real estate agent to sell your home.
You do have fewer maintenance issues when you rent. If something breaks, you just call the landlord. A mortgage loa does not cover the monthly expenses of maintenance and they can cost a lot. If your roof needs to be replaced, you will spend in the thousands of dollars. However, if you rent the maintenance and appliances are taken care of by the leasing company.
The Benefits of a Mortgage Loa
While these types of benefits for renting are huge, there can be even bigger rewards for buying. When you rent, all of the money you spend for rent is not tax-deductible and does not serve to build up equity for you. In that sense, rent can be like throwing your money away. If you buy, you can find ways to generate equity and use the interest on the home mortgage loa payments as a tax write-off too. This can put you in a lower tax bracket and easily save you thousands, on top of the thousands you make in equity in a rising market.
There are many different types of mortgage loans out there. You can get an adjustable rate mortgage loa or a fixed rate mortgage. Often, the payments you make on a mortgage can be less than what you would pay for an apartment. However, this all depends on the housing market. Right now, there are some markets where rentals are cheaper than buying, so be sure to check your local market to find out which is best for you.
Mortgage Closer News
Check Cashing and Payday Loan Services in the US Industry Market Research ... - San Francisco Chronicle (press release)
Check Cashing and Payday Loan Services in the US Industry Market Research ... San Francisco Chronicle (press release) In addition to federal regulators, commercial banks have also taken a closer look at the industry's business model. After recognizing the high level of demand, they decided to craft similar loan products, putting even further pressure on industry ... |
STUDY: One In Three Homeowners Owes Bank More Than Home Is Worth - Huffington Post
 Los Angeles Times | STUDY: One In Three Homeowners Owes Bank More Than Home Is Worth Huffington Post The report is surprising since research released in March by CoreLogic estimated the number of "underwater" homeowners closer to 11 million, or roughly a quarter of all homeowners who have mortgages. The difference in findings may be due to methodology ... 16 Million Homeowners Still 'Under Water' In First Quarter |
Another week, another record low for mortgage rates - Bizjournals.com
Another week, another record low for mortgage rates Bizjournals.com Still, Richards reported she has seen a fair balance of loans made for purchase and for refinance, with purchase loans edging closer to making up half of all mortgages. “It had been about 70 percent refinance and 30 percent purchase, ... |
CEO: Ally closer to IPO, private equity sale after ResCap bankruptcy - Detroit Free Press
 Financial Times | CEO: Ally closer to IPO, private equity sale after ResCap bankruptcy Detroit Free Press By Nathan Bomey With the bankruptcy filing Monday of its distressed mortgage unit, Detroit-based Ally Financial moved closer to paying back more of the $11.7 billion it still owes US taxpayers. Ally and the federal government blessed the Chapter 11 ... Ally Financial IPO Unlikely This Year, Company Source Says Ally puts mortgage unit into bankruptcy |
ResCap Bankruptcy Would Move Ally Closer to IPO - Wall Street Journal (blog)
 Go Banking Rates | ResCap Bankruptcy Would Move Ally Closer to IPO Wall Street Journal (blog) WSJ colleagues Dan Fitzpatrick and Mike Spector report, Residential Capital, the mortgage unit, is nearing a bankruptcy filing. A filing for the mortgage subsidiary, called Residential Capital LLC, could come Sunday or Monday and would mark the last ... Ally Financial Subprime Mortgage Unit Files for Bankruptcy |