does it make sense when you retire to buy a new home when your old one is paid off?
552639
no, because in most areas, the prop tax assessment is capped to match the rate of inflation, a transaction of property releases this cap and allows the assessment to match the sales price of the property.  This means that you could possibly end up paying higher prop taxes on a similar property even if the new house/old house were the same price
779493
It may not be a good idea to refinance just yet, most banks are now charging their usuall fee's to refinance and this cost could add up to more than you will save in a 15, 20 or 30 year note. Also, if the interest rate hasn't gone down over 1 % (from original rate) its not worth it. Additionally, refinancing is almost the same as getting the loan all over again, like the first time, it is considered a new loan, same paper work etc.....closing cost can be a drain and that is why you may want to wait a year before refinancing and hoping its 1% or more lower than your original interest rate.
638203
Yes in one sense but in reality no!\nIt will increase the pride and knowledge of knowing you owe less, can keep more if your sell, should understand your investment more, regarding what areas if you refinance the home in terms of how to invest the diff, invest wise and spend wise, you have more to gain with equity than without any!
404192
***********************************************************\nHopefully you currently own your home now. You can use the equity in your current home as a downpayment on a 2nd home. Use the 1st as a rental. This may mean refinancing your 1st home or getting a 2nd mortgage on it.\n\nI suggest you take your first $15 bucks you can spare, go out and buy the book "The Automatic Millionaire Homeowner" by David Bach. This book alone is more than enough to get you started, even if you don't think you can. You can also check out his website at www.finishrich.com/homeowner\n\nAnd by the way, don't let others tell you it can't be done or they know someone who tried, etc. They have good intentions. They are trying to protect you from disappointment (a feeling they've experienced). So thank them for being caring enough with thier warnings. But explain that what you can really use is thier encouragement and support and that any advice they have that might help you in your efforts would be much appreciated.\n\nDon't give up. And congratulations on your thinking big.\n\nHope this helps. Good luck.\n\n***********************************************************
278429
it might be better to buy one later because of the fact that the real estate bubble is about to burst. prices should fall on property. plus, by then you'll get a better rate because your putting down payment.
653527
Essentially, you're correct.   You'd roll the difference into your existing loan.  \n\nReally, it's a dumb way to buy a car, unless you've got yourself a lemon you want to get out from under.   You're paying on a car you own and one you don't own.
1008119
If a peson retires and proceeds to spend all of his income as he receives it, you are correct. At some point he will need to adjust his lifestyle to meet his income.\n\nFar better to plan on living on HALF of one's retirement income, reinvesting the other half for future growth.
321992
It is borrowing against the equity in your home you already have. If you have a 200,000 dollar house and you owe 80,000 on it, then you have 120,000 in equity. With a 2nd mortgage you can borrow against the 120,000 you have in your home as colatteral.\n\nIs it a good idea? It depends. You can usually get a better rate on a 2nd mortgage than you can with other kinds of loans. They are low risk loans for the lending institution-- they will take your house if you default. Thus, they can give you a better rate.\n\nIf you have quite a few working years ahead of you and feel you can pay it off, it might be a good idea. If you are nearing retirement, it might not be a good idea.\n\nIf you are going to use the money for a college education, it might be a good idea. If you are going to use the money for a weeklong cocaine and hookers binge, it might not be a good idea.\n\nOnly you can decide if it's a good idea or not.
359021
A lot of military personnel buy houses to live in when they are stationed somewhere, and then rent them out when they move to a new duty station.  There are rental management companies that can take care of the property for you when you are stationed somewhere else in the US or overseas.  Even though you won't be making much money on the rent, you will at least be building equity on the house.\n\nHowever, if you just intend to buy the house and sell it again in three years, you are exposing yourself to a lot of risk due to fluctuations in the housing market.  only buy the house if you intend to own it for ten to fifteen years.
994345
If you can, find another way to pay off your credit card debt.  Of course, this is assuming that you're not about to go bankrupt or anything.  It sounds like you're not, as you are moving into a new home.  Don't borrow from your retirement, as that will start a bad habit.  It'll make it easier to do again and again, and then you'll be left with no money for retirement.
742345
If you're planning to sell it in the next few months, no, since the costs to refinance would probably more than eat up any savings.  If you're planning to sell in a year, maybe.  Longer out than that, probably yes.
635353
real estate foreclosures or buying properties to fix and flip. I have been doing it for a few years now and will be retiring in the next 3 or 4 yrs. I am 39 and a contractor.
924239
Consider this alternative which is a three step procedure.\nIt is absolutely normal for a couple to sell one house and consider this option.\nStep 1  : Sell the house. Get whatever you can after you've paid off your mortgage. If you're thinking there isn't going to be any left for keeps, don't sweat it. Just settle this 'giant problem' first.\n\nStep 2 : This is the simpler part. Since it is apparent that it is generally easier to buy than to sell, you might consider lease-purchase option. Which means, when you move to your new location, it may not be a purchase straight away. Later if you decide this new home is really for you, then you can exercise your option to purchase by entering into a Sales & Purchase Agreement.\n\nStep 3 : If you decide NOT to buy, then your lease, maybe 5 years can be made into a very comfortable setting, the money which most people use up paying for mortgage facilities can be channeled into having all the gadgets you require to enjoy a  refined  quality of  life.\n\nOptional Step 4 : While you're enjoying Step 3, Save your money within these 5 years and invest in a smaller house, not for you stay in yourself, but to rent it and sell it for profits. Try not to take a loan. Invest in smaller a property because you can re-sell it faster. The idea is to have best of both worlds: one way you refine your lifestyle as in Step 3, and the other to purchase/invest into something which will snowball in value, without having to pay for mortgage services that eat into your savings. \n\nThe above is is truly the easy way, taken into consideration  all the mistakes I have made in properties and, learning from them.
104864
You can not "give back" a house, manufactured or otherwise. you can pay it off early, however depending on the loan you might have a prepayment penalty. If the bank "takes back" a home it is considered a foreclosure, and then you can kiss your dreams od buying stick built good bye for awhile (12 -24 months to get an affordable rate, plus you will not be able to finance as much of the loan). Your best bet is to sell the home, then buy one that is stick built. The problem is that your manufactured home has to be post 1976 in order to fall into HUD guidlines. If it is older than that then you need to find private funding as it can not be sold on the secondary market and no lender will finance it (has to qualify fanny or freddy). If it is newer than '76 talk to a realtor and get the house sold. There is nothing wrong with looking for, and drawing up a REPC on a house you would like while your other house is listed. You can make the purchase of the new home contingent on the sale of the old home. Or of you have good credit and make decent money, you can purchase the new home before the old home is sold. The old home just becomes a second home, or investment property depending on the distance from the old home to the new home. There are lots of options for you .. but "giving back" the man. home is not one of them.
160339
It means that you will be taking a new loan to replace your old loan.  This is good IF:\n- The interest rate of your old loan is higher than the existing rate.  This will make your new payment go down\n- You have built enough equity (read: paid for a long time), that way you can borrow based on your current home value and use the extra money for paying debt, remodeling, college, etc\n\nKeep in mind, you will have to pay all those closing costs, and origination fees to the lender again.
722317
This is when you purchase property without any deposit. Hence the 'no money down'. You would pay it off instalments as usual
396013
There are a number of questions that would have to be answered before anyone could really give you advice on this.\n\nAre you definitely moving in 2 years?  When you move, will you sell the condo or rent it out.  Do you have a systematic savings plan right now?  Is your interest rate you're paying now fixed or variable?\n\nIf you are currently saving toward a down payment and are sure you'll have enough when the time comes to move, then it's fine to pay extra toward your 2nd mortgage.  Also, if your moving in 2 years is uncertain, then I would think about paying extra against the mortgage. \n\nHowever, if you are not currently saving toward a down payment, or if you are but you're not sure if you'll have enough, then I would contribute toward that savings instead of extra against the mortgage.  You want to make sure you have saved enough because you have no idea what the real estate market or interest rates will be like in 2 years.  The condo market may crash again like it did in the 80's.  It's always better to have the cash set aside.  It gives you more options down the road.