5 Golden Resolutions for Homeowners in 2017!
Here are some tips on how to save money on mortgages and property tax
- Make your mortgage payments on time!
Most bill payers know that paying your bills on time is crucial to building a healthy credit score and a high credit score allows you to borrow money at a lower interest rate when it is time to make a purchase or refinance.
- Make extra mortgage payments or pay down that second
Making extra payments toward your mortgage principal can dramatically shorten the length of your mortgage obligation saving you huge expense in interest monies.
Consider making a plan to pay down your second mortgage; especially if your second loan has a variable rate. A payment that is manageable today because of a lower interest rate may rise in the future and you could face a painful payment hike.
- Refinance your mortgage
Can you benefit at this time by refinancing your mortgage to decrease your payment or lock in a low fixed rate?
Refinancing an adjustable-rate loan can make sense even if you end up with a higher payment. That's because a fixed rate will protect you from interest rate risk. (www.bankrate.com/finances)
- Fight your property tax assessment
Know your property value and review your property tax annually. If your house has declined in value in recent years, you might be able to save some money by contesting your property tax assessment. Your real estate agent can help with comparable sales data to validate an appeal.
- Earn homeowner’s insurance discounts
Some upgrades, repairs and modifications are of interest to the insurance company if these changes can decrease your risk of a claim. According to the Senior Vice President for public affairs at the Insurance Information Institute, major repairs and/or improvements made to your home within the last year could get you a discount or a lower quote on this year's coverage.
San Luis Obispo Realty, the leaders in San Luis Obispo Real Estate are always happy to help provide an opinion of valuation on your home. Call us today and let us provide you with a FREE Comparable Market Analysis!