Things to Consider Before Choosing a Mortgage
Buying a house is one of the most expensive purchases, so choosing the right mortgage is very, very crucial. You shouldn’t rush to move into your new home because you’ll neglect to shop around for the right mortgage.
As a result, this could lead into a financial mistake that can cost you thousands of dollars. Therefore, you should take the time to shop around and carefully choose the right mortgage for you and your family.
To avoid ending up with the wrong loan and prevent financial problems, here are the 4 things to consider before choosing a mortgage:
1. Consider the interest rate and annual percentage rate
You should consider the interest rate and annual percentage rate before choosing a mortgage. The interest rate is the total sum of money borrow and calculates how much your monthly payments will be. The annual percentage rate includes the interest rate along with other costs such as broker fees and some closing costs and calculates the total cost of the loan.
2. Consider the down payment requirements between lenders
You should consider the down payment requirements between lenders before choosing a mortgage. Many lenders offer insured mortgages with as little as 5% down payment. However, this low down payment comes at a price. In Canada, mortgage default insurance is requirement for down payments between 5% and 19.99%.
3. Consider all closing costs
You should consider all closing costs before choosing a mortgage. Closing costs are one-time fees lenders charge for a number of different administrative expenses. In addition, closing costs represent approximately 3% to 4$ of the total sale price of your home.
4. Consider acquiring a good faith estimate
You should consider acquiring a good faith estimate before choosing a mortgage. A good faith estimate is a document provided by lenders to home buyers upon completion of a mortgage loan application. This document is a breakdown of all potential costs and other costs associated with a mortgage loan.
10 Tips for a Happy Retirement
Retirement is a time for embarking on one of life’s greatest adventures. There’s a lot you can do to make retirement a great time of life. You shouldn’t be too concerned about the financial aspects of retirement planning. Aside from the financial side of retirement, you should also focus on retirement living. This means deciding on what you want to do for the rest of your life.
Here are 10 tips for a happy retirement:
1. Increase your financial stability
Can you afford to retire now? If not, what about a partial retirement? Do you have the opportunity to downsize your life? Many retirees or soon to be retired boomers are downsizing their lives to free up money for what matters most during their retirement years.
2. Develop new friendships
Did you know those who have strong social networks are 30 percent happier with their lives? There are certain retirement options that can offer the opportunity to develop new friendships.
3. Stay active and healthy
It’s important to stay active and healthy because when you feel good, it’s a lot easier to stay positive and open to new experiences. So make sure you eat well, stay active, and watch your weight. You can look into joining fitness facilities with pools, golf courses, tennis courts, and more.
4. Be social and stay connected
Maintaining friendships is crucial to your health and well being because you need people you can rely on emotionally and for real life help. Therefore, you need to be social and stay connected in order to surround yourself with meaningful connections.
5. Do what you love
Retirement is the time to sit back, relax, and truly enjoy life. You can set yourself up for success by choosing a care free lifestyle. One of the best ways to do this is to consider downsizing in order to free up time and money.
6. Research the best places to retire
It’s possible that you already live in the best place for you, but it’s also possible that there’s a better place for your retirement. Relocating to a more economical location may give you more money for retirement expenses.
7. Make your travel dreams a reality
Traveling is the most popular and desired for retirees and soon to be retired boomers. So you need to figure out how to travel if you want to have a happy retirement. You can make this happen by setting a goal and prioritizing that goal above everything else.
8. Keep a schedule and structure
What’re you going to do with your time once the 9 to 5 is over and done? You can make switching from a busy life to one where busyness only happens because you want it to by keeping a schedule. This will help you avoid the boredom and restlessness during this transition from working to being retired.
9. Spend your savings, but don’t stop budgeting
You’ll want to be sure that your retirement funds last as long as you need them to. So you’ll need to have a clear plan for making your savings lasts because you won’t have next week’s paycheck to fix your financial mistakes.
10. Hire a financial advisor
You’ll need to create a strategy to maximize your financial resources so it’s important to hire a financial advisor. A financial advisor will help you spend and save more wisely during your retirement.