Tag: selling

Life Insurance Over 50

For individuals who are young and in good health, shopping for life insurance is often easy and stress-free. Most of the time, young people only need to decide how much coverage they want and apply for a free quote online. Some companies that market term life insurance coverage even let qualified applicants start their policies without a medical exam.

Once you have reached the age of 50, however, your options for life insurance may not be quite so robust. You may have to buy a lower amount of coverage in order to secure a monthly premium you can afford, and it’s more likely you’ll need to undergo a medical exam and face increased scrutiny over your life insurance application.

Fortunately, you can get life insurance in your 50’s and even in your 60’s. You’ll just need to adjust your expectations, and you should be willing to shop around to ensure you’re getting the most coverage for a price you can afford.

Unique Challenges for Individuals Over 50 Buying Life Insurance

As you start shopping for a life insurance policy, you’ll probably notice a few factors that are working against you. These factors aren’t your fault, but they still affect your ability to qualify for life insurance coverage or affordable monthly premiums.

  • Your Age: Where life insurance can be downright cheap when you’re young and healthy, policies only get more expensive as you age. Once you’ve surpassed the age of 50, the price you’ll pay for a meaningful amount of coverage can easily balloon. This is why it’s more important than ever to spend time shopping around and comparing life insurance quotes.
  • Your Health: The older you are, the more likely you will have acquired a chronic health condition that can make getting life insurance coverage a challenge. You’ll need to answer health questions when you apply for a life insurance policy, and the answers you provide could set off alarm bells with the life insurance provider or bar you from purchasing a policy at all.
  • Policy Length: Another issue when you’re older is the term of coverage you can qualify for and purchase. A 30-year term policy will likely be fairly expensive if you’re already 55, for example, whereas a 10-year term policy that only provides a decade of coverage will likely be more affordable. Many older individuals opt to buy permanent coverage that lasts a lifetime, yet permanent coverage like whole life or universal life can also be incredibly expensive.

How and Where to Find a Life Insurance Policy if You’re Over the Age of 50

Regardless of the challenges you’ll face while buying life insurance over the age of 50, you can still purchase this important coverage. With that being said, you’ll never know which insurance company is best unless you compare the best life insurance companies, such as Banner Life Rates.

When working with only one insurer, you are locked into just that insurance company’s underwriting requirements — as well as that insurer’s prices. And, while it may sound strange, not all life insurance coverage is underwritten or priced identically.

For example, an applicant who applies to one insurance company may be accepted as a “standard” policyholder and charged an average premium rate, while he or she may be accepted only as a “substandard” policyholder at another carrier and charged a higher rate of premium — even though they submitted the same answers to the questions on the application for coverage.

This is why it is essential to work with an expert in the insurance field that can submit your information to numerous insurance carriers. Just like when shopping for any other important item, it’s always best to compare prior to making your final determination.

This is where we come in. When shopping for insurance, we can help you compare dozens of plans and companies in a matter of minutes. This way, you can compare pricing and coverage amounts without having to apply with each individual insurer.

Regardless of your age or health, it’s important that you get the insurance coverage that your family will need. You can start comparing quotes from the best life insurance companies by clicking your state below.

No matter where exactly you are in your 50’s, we can definitely get a policy that meets your needs. We know that planning for your death is not a fun task, but it’s one of the most important things that you can do. You don’t want to leave your family struggling to cover your final expenses at a time when they should be grieving and celebrating your life.

Do People Over the Age of 50 Still Need Life Insurance?

You may be wondering if people still need life insurance coverage once they’re in their 50’s. After all, life insurance coverage is geared to people who need income replacement during their working years, as well as those with children and other dependents at home. By the age of 50, you should be winding down your working years, and it’s possible your kids have moved out to begin their adult lives. Why would you need life insurance at this point?

The thing is, consumers can easily need life insurance at any age, and this includes those who are over 50. Although your children may be grown and are no longer depending on your income for their living expenses and needs, there are numerous other reasons for having — or for keeping — this essential financial protection.

Some of the most important reasons can include:

  • Burial Insurance: Regardless of your age, you’ll eventually need burial insurance to cover your final expenses. Today, the average cost of a funeral can easily exceed $10,000 when factoring in items such as the funeral service, burial plot, headstone, transportation, flowers, and a casket or urn. If there are final medical and hospice costs incurred, this could add significantly to the total.
  • Estate Taxes: Estate taxes are another potential area of concern for those who are over age 50. For those who are faced with having to pay estate tax upon death, this liability can erode up to 50% or more of a decedent’s assets. If there is no plan in place, such as life insurance proceeds, for paying these taxes, survivors could end up selling off other assets such as retirement investments or even precious family heirlooms in order to come up with the money. And unfortunately, when such assets are sold in this manner, they are often done so at far below market value.
  • Pension or Retirement Income Replacement: When a retiree dies, their pension may not continue on for their spouse. Buying a life insurance policy can ensure your spouse has some income to keep up with living expenses and enjoy life once you’re gone.
  • Business Succession: Life insurance can help business owners who are over age 50 to use as a business succession tool. Proceeds from a life insurance policy could be used to keep a company running while a replacement owner or partner is located, or while a suitable buyer for the business is found.

These are just a few of the reasons individuals over the age of 50 may want to purchase life insurance, but there are plenty of others. Just keep in mind that, no matter what age you are, it’s only natural to want to leave something behind. A life insurance policy can help you do exactly that, which is why consumers in nearly every age group purchase this important protection each year.

Which Type of Life Insurance is Best if You’re Over the Age of 50?

When shopping for a life insurance policy at any age, it’s easy to become overwhelmed by all the options you’ll find online. Before you commit to shopping for life insurance policies, you should know and understand how each type of coverage works.

Term Life Insurance

Term life insurance is sold for a certain length of time or a “term,” which means that the policy will cover you for only a certain period before it expires. Most term policies are sold for 10 years, 15 years, 20 years, or 30 years. With a term life insurance policy, you are purchasing basic “no frills” coverage. This means that you are obtaining pure death benefit coverage without any cash value or savings component.

Even though the coverage on a cheap term life insurance policy runs out after a given period, these policies can be beneficial in certain situations. For example, term policies are often considered for “temporary” needs such as providing protection during the length of a 15- or a 30-year mortgage balance. In other words, if an individual wanted to make sure that the balance of their home mortgage was paid off for his or her survivors in the event of death, they could purchase a term life policy for the same length of time in which they will have a remaining mortgage balance.

If a term life insurance policyholder wishes to continue their coverage upon the policy’s expiration, they will need to reapply at their current age and health condition. This will typically mean that the premium amount for the new coverage will be higher, and that’s true even if the face amount of the policy remains the same. For many people, this is no problem because the premiums on term policies are much lower than the alternative options.

Related: How Much Does a Million Dollar Term Life Insurance Policy Cost?

Permanent Life Insurance

If you don’t like the idea of your life insurance expiring, then go with a whole life insurance plan. Permanent life insurance plans never expire, but they are more expensive.

The money that accrues in a permanent life insurance policy’s cash value component can typically be borrowed or withdrawn by the policyholder for any need that he or she sees fit. This can provide the policyholder with additional funds for the down payment on a home, the purchase of a car, debt repayment, or even for supplemental retirement income in the future.

Although the premiums for permanent life insurance can be more expensive than premiums for a term policy, the amount of the premium on a permanent policy will typically be locked in for life. This means that the policyholder will not need to worry about his or her premiums increasing in the future — even if they get sick or wind up with a chronic health condition.

In addition to all of the other uses of life insurance for those who are over age 50, a permanent life insurance policy can also be used for the simple purpose of supplementing one’s savings.

For example, a whole life insurance policy can help you to build up cash on a tax-deferred basis that can be drawn upon in the future in a number of different ways. Unlike money that is invested in the unpredictable stock market, funds that are inside of the cash value of a whole life insurance are provided with a guaranteed rate of growth. In addition, because of their tax-deferred nature, funds are allowed to compound over time with no tax due on the gain until the time they are withdrawn in the future.

This can provide not just safety, but also peace of mind in knowing that the principal is protected regardless of what is happening in the market, as well as in the economy overall. In addition, the death benefit on these life insurance plans is also tax-free to the named beneficiary (or beneficiaries). This means the money can be used by survivors for their financial needs, and all without having to hand over a portion of it to Uncle Sam.

While whole life is the most popular type of permanent life insurance coverage, you can also look into universal life insurance, variable life insurance, or even variable universal life. These niche policies tend to work better for consumers who have a specific financial goal, but they could work well for your needs depending on your situation.

Life Insurance with No Medical Exam

Many who have severe health issues may have to look into the option of no medical exam life insurance. This is often the only option for those who have been declined for life insurance in the past.

Each time an individual applies for life insurance coverage, the underlying insurer is essentially taking a risk on whether or not it will be required to pay out a claim. If the insurance carrier feels that the risk is too great, it will either charge the insured a higher rate of premium or it will deny the applicant for coverage altogether.

The good news is that people over 50 in the market for life insurance still have plenty of options — you just need to know where to look. You may assume that you won’t be able to get affordable coverage, but that’s why we suggest that you look into a no medical exam plan from Haven Life to get your life insurance protection.

A healthy man who is 50-years-old can pay as little as less than $15 a month for $100,000 in term life insurance coverage, whereas a healthy 59-year-old can pay as little as $27 a month for the same policy. Even at the age of 59, a $400,000 policy can cost less than $100 a month. Note that these are non-smoker rates for a 10-year term policy.

If you have health conditions like cancer, heart disease, or diabetes while looking for life insurance, you can expect increased rates. Smoking will also increase the rates for life insurance for individuals who are ages 50 to 59.

The Bottom Line

At the end of the day, you’ll never know how much you might need to pay for life insurance unless you shop around. And really, that’s the main piece of advice I hope to impart on individuals ages 50 and older.

Purchasing life insurance coverage can be more challenging when you’re over the age

The post Life Insurance Over 50 appeared first on Good Financial Cents®.

Source: goodfinancialcents.com

How Much House Should I Afford?

The internet is a treasure trove when it comes to finding information that can help you buy your first home. Unfortunately, searching for “How much house can I afford?” will mostly lead you to online calculators that use an algorithm to come up with a generic estimate.

To come up with a figure, these calculators ask you for details like your zip code, your gross annual income, your down payment amount, your monthly liabilities, and your credit score. From there, they come up with an estimate of your debt-to-income ratio (DTI), or the amount of bills and liabilities you have in relation to your monthly income. 

The truth is, most lenders prefer your debt-to-income ratio to be at 43 percent or lower, although some lenders may offer you a loan with a DTI slightly above that.

Either way, the figures these calculators throw at you are a simple reflection of what a bank is willing to lend you — not an estimate of what you really can or should spend. 

Let’s dig in a bit more to what factors to consider.

Factors that Should Impact Your Home Purchase Price

One of the main factors to consider when deciding how much to spend on a home is how much you want to pay for your mortgage each month. What kind of payment can you commit to without sacrificing other goals?

A mortgage payment calculator is a good tool to use in this case. With a mortgage calculator, you can see how much your monthly payment might be depending on the amount you borrow, the interest rate you qualify for, and the term of the loan. 

While you decide on a monthly payment you can live with, there are additional details you should consider. The main ones include:

  • Down Payment: If you’re able to put down 20% of your home purchase price, you can avoid private mortgage insurance, or PMI. PMI adds an additional cost to your mortgage each month (usually around 1% of your loan amount), although you can have this charge removed from your loan once you have at least 20% equity.
  • Property Taxes: Find out the annual property taxes for any home you’re considering, then divide that amount by 12 to figure out approximately how much you’ll need to pay toward taxes in your mortgage payment each month. Also remember that your property taxes will likely go up slowly over time, which will increase your monthly housing payment along the way.
  • Homeowners Insurance: Your homeowners insurance premiums will also vary depending on the property and other factors. Make sure to get a homeowners insurance quote so you know approximately how much you’ll pay for coverage each year.
  • Home Warranty: Do you want a home warranty that will repair or replace major components of your property that break down? If so, you’ll want to price out home warranties that can provide coverage for your HVAC system, plumbing, appliances, and more. 
  • Other Monthly Bills: Take other liabilities you have into account, and especially the big ones. Daycare expenses, college tuition, utility bills, car payments, and all other bills you have should be considered and planned for.
  • Financial Goals: Are you trying to save more than usual so you can retire early? Or, are you saving in a 529 plan for future college expenses? If your financial goals are a priority (as they should be), then you’ll want to make sure your new house payment won’t make saving for other goals a challenge.
  • Upgrades and Repairs: Finally, don’t forget to come up with an estimate of how much you might want to spend on repairs or changes to your new home. A property that is new or move-in ready may not require much of anything, but money you plan to spend on a major renovation should be taken into consideration along with the purchase price of your home.

Hidden Expenses to Plan For

The factors you should consider when figuring out how much home to buy are pretty obvious, but what about all the expenses of homeownership you can’t always plan for? The reality is, you will need to do some work on your home at some point, and many of the most popular repairs can cost tens of thousands of dollars on their own. 

These repair and renovation cost estimates from Remodeling Magazine’s 2020 Cost vs. Value study are just a few examples: 

  • Garage door replacement: $3,695
  • Vinyl siding replacement: $14,459
  • Wooden window replacement: $21,495
  • Asphalt roof replacement: $24,700

In addition to major repairs like these, you’ll also have repair bills for your HVAC system, mulch to buy for your flower beds, and ongoing costs for maintenance and upkeep to pay for. You may also decide to remodel your older kitchen one day, or to add an extra bedroom as your family grows. 

As you figure out how much you should spend on a home, remember that you won’t know exactly how much you’ll need for home repairs or upgrades. Most people set aside some money for home maintenance in their emergency fund, but you can also set aside money for home repairs in a separate high-yield savings account. 

How to Calculate How Much House You Should Afford

All of the costs we’ve outlined above probably seem overwhelming, but keep in mind that most major home repairs will be spread out over the years and even decades you own your home. Not only that, but you will hopefully start earning more over the course of your career. As your paycheck grows, you’ll be able to set aside more money for emergencies and potentially even pay your mortgage off faster.

So, how do you calculate how much house you can afford? That’s really up to you, but I would start by tallying up every bill you have to pay each month including car payments, insurance, utilities, student loans, and any other debts you have. From there, add in some savings so you have money to set aside for your investing and savings goals. Also factor in money you set aside for retirement in a workplace account.

At this point, you could consider other factors that might impact how much you want to pay for a home. For example:

  • Do you need to build an emergency fund?
  • Are children on the agenda, and should you play for daycare expenses?
  • Do you like being able to save more money for a rainy day? 
  • Do you want to have one spouse stay at home in the future?
  • How long do you want to pay off your home loan?

Once you’ve considered all other factors, you may decide that you should set aside money for some other goals, like future daycare bills or college savings. Maybe you decide you want to pay double on your student loans so you can pay them off early, or that you want a 15-year-home loan with a larger monthly payment instead of a traditional 30-year loan. 

Either way, experts tend to agree that your mortgage payment should be no more than 25% of your income. For a $7,000 monthly income, that means your payment shouldn’t exceed $1,750. If your income is $5,000 per month, your monthly payment should be no more than $1,250 per month. These are ballpark estimates, and your property taxes and homeowners insurance premiums (or estimates) should also be figured into this amount. 

What to Do If You Already Spent Too Much?

If you already overspent on your home, you’re probably wondering which steps to take next. Maybe your monthly mortgage payment is making it impossible to keep up with other bills, or perhaps the home you bought required a lot more work than you realized. 

Either way, there are some steps to get back on track financially if you bit off more than you can chew. Consider these options:

  • Refinance your mortgage. Today’s incredibly low rates have made it so almost anyone can refinance an existing mortgage and save money these days. If you’re able to qualify for a new mortgage with a lower interest rate, you could lower your monthly payment and save money on interest each month. Compare mortgage refinancing rates here. 
  • Cut your expenses. Look for ways to cut your spending on a daily basis — at least until you figure out what to do in the long run. Figure out areas of your budget where you might be spending more than you realized, such as dining out, getting takeout, or going out on the weekends. If you can cut your monthly spending somewhat, you can find more money to use toward your mortgage payment each month. 
  • Get a roommate. Consider renting out your guest room in order to get some help with your mortgage. If you live in a tourist area, you can also rent out a space using platforms like Airbnb.com or VRBO.com. 
  • Sell your home and move. Finally, consider selling your home and moving if you have enough equity to do so without taking a financial loss. Sometimes the best thing you can do in a financial crisis is cut your losses and move on.

The Bottom Line

How much house you can afford isn’t always the same as how much you should afford. Only you know what your monthly bills and liabilities look like each month, and only you know the goals and dreams you really should be saving for.

When it comes to buying a home, you’re almost always better off if you err on the side of caution and borrow less a bank will lend. Buying a modest home can leave you with a lot more choices in life, but buying a home you can’t really afford can leave you struggling for years to come.

The post How Much House Should I Afford? appeared first on Good Financial Cents®.

Source: goodfinancialcents.com

Homie’s Greater Phoenix, AZ Housing Market Update November 2020

The local Arizona housing market has been hot nearly all year long. As we get closer and closer to the year’s end, will the trends continue? We checked out all the stats for Arizona’s market during November. Check out what we found out!

Monthly Sales

According to data from the ARMLS ® from November 1, 2020 to November 30, 2020, monthly sales in the Phoenix metro area rose significantly from where they were at this same time last year. With a +27.4% year-over-year increase, sales landed at 8,886 for the month.

While this number is a slight drop from the previous month of October, the -8.3% month-to-month decrease in sales is in line with the typical slow down in the market as the year starts wrapping up.

Monthly sales graph

Data retrieved from ARMLS®.

List Price

At $453.9K, November saw a +6.4% year-over-year increase in average list price. Median prices also rose. With a +10.0% increase from November 2019, the median list price in November was $330K.

List Price Graph

Data retrieved from ARMLS®.

Sale Price

Average sale prices increased by +18.0% between November 2019 and November 2020, landing at $418.7K. With a slightly smaller jump, median sale prices still rose significantly with +16.8% year-over-year increase. The November median sale price was $331.0K.

As forecasts predicted, these numbers are slightly lower than sale prices in October of this year. The average sale price was -1.5% lower than that of October and the median sale price was -1% lower. For next month, the average sale price is projected to increase, while the median sale price is expected to have another small decrease. Check back next month to see how these forecasts turn out.

Sales Price Graph

Data retrieved from ARMLS®.

Days on Market (DOM)

While many metrics in the market slowed down this November compared to the previous month, the Average Cumulative Days on Market did not. This number continues to steadily drop, showing homes are being sold more and more quickly. Landing at 41, the Average DOM saw a 2-day decrease from October of this year and a 17-day decrease from November of last year.

Graph of Average Days on Market

Data retrieved from ARMLS®.

Want to Know Your Home’s Value?

If you’re thinking of selling soon, you’re probably wondering how much your home is worth. Click here to request your free home value report from a Homie pro!

A Message From Sales and Operations Manager, Wayne Graham

Going into December, inventory is 28.2% lower than it was a year ago. In fact, some areas are experiencing record low levels of inventory. However, In contrast to the record low levels of inventory, we’re seeing record-high levels of sales. Demand increased by 27.4% between November 2019 and November 2020. Low supply and high demand are one of the surest guarantees of rising sales prices.

But even though prices are rising, according to the National Association of Realtors Housing Affordability Index it is still very affordable to buy a home in Phoenix compared to historical market trends. This is still possible because of extremely low-interest rates. So overall, home affordability is still in a good historical place in the Phoenix area.

Turn to a Homie

With our dedicated team of professionals, we can help you navigate the real estate market easier than ever. Click to start selling or buying with a dedicated and experienced Homie agent.

Want to learn more about buying or selling? Sign up to get more info directly to your inbox!

What are you interested in?

The post Homie’s Greater Phoenix, AZ Housing Market Update November 2020 appeared first on Homie Blog.

Source: homie.com

Former NBA Guard Jarrett Jack Selling $2.8M Georgia Mansion

Jarrett Jack Georgia Homerealtor.com, Matthew Stockman/Getty Images

Former NBA guard Jarrett Jack is dribbling away from his Sandy Springs, GA, mansion. The grand home is back on the market for $2.85 million.

Following a 13-year stint in the league, Jack, 37, is ready to vacate his Atlanta-area home. He first placed the home on the market in November 2019, asking $3 million, but has sliced the price steadily over the past year. The Maryland native purchased the property in 2009 for $2.15 million.

Built in 2009, the luxury build on 1.3 acres is entered via a circular drive that features tropical, landscaped grounds. With six bedrooms and 6.5 bathrooms, the interior offers a whopping 11,000 square feet of living space.

Standout features include an oversized foyer with a spiraling double staircase, high ceilings, as well as floor-to-ceiling windows throughout the home.

The chef’s kitchen offers top-of-the-line appliances including a gas range, double ovens, high-end cabinetry, a center island with seating, and an eat-in nook.

The now essential home office offers eye-catching coffered ceilings, built-ins, and large windows that provide great views and natural light.

JJ
Front exterior of mansion in Sandy Springs, GA

realtor.com

JJ
Living area

realtor.com

JJ
Chef’s kitchen

realtor.com

JJ
Dining nook

realtor.com

JJ
Home office

realtor.com

JJ
One of two master bedrooms

realtor.com

JJ
Master bathroom

realtor.com

JJ
Master closet

realtor.com

JJ
Bar

realtor.com

JJ
Gym

realtor.com

JJ
Cabana/outdoor kitchen

realtor.com

JJ
Pool area

realtor.com

For a buyer in need of options, the residence offers two master suites to choose from. The main level master suite offers a fireplace with a sitting area, spa tub, a huge walk-in shower, and a spacious custom walk-in closet.

The second master suite can be found on the upper level and offers several upgrades and an abundance of windows. French doors open to a large balcony overlooking the private and secluded backyard. Guest bedrooms also include private bathrooms and walk-in closets.

The home also offers a perk-packed terrace level, with an entertainment bar and hangout area, a fitness center, and a home theater.

Step outside, and you’ll feel the resort style vibe from the pool and spa, to the covered cabana with seating area, and a television to keep up on hoops action in the outdoor, built-in kitchen.

The listing details note that the home is conveniently situated near Chastain Park, as well as shops and restaurants. Downtown Atlanta is a just a 16-mile commute.

In 2005, Jack broke into the NBA with the Portland Trail Blazers. After three seasons in Rip City, Jack made his way all over the league, playing with eight other squads as a dependable guard.

Jessica Cooke Scarborough with Beacham & Company Realtors holds the listing.

The post Former NBA Guard Jarrett Jack Selling $2.8M Georgia Mansion appeared first on Real Estate News & Insights | realtor.com®.

Source: realtor.com

Extreme Makeover’s Ty Pennington Lists Bright and Beautiful Venice Beach Home

Reality TV star Ty Pennington, known for changing people’s lives with his energetic personality on the original version of Extreme Makeover: Home Edition, is now looking to cash in on his own home makeover. Pennington has just listed his house — a beautiful and bright 1927 Craftsman in Venice, Calif. — for $2,795,000.

Pennington put his home design expertise to good use and carefully restored the property earlier this year with the help of his trusted interior designer, Patrick Delanty. Delanty, also known to be Halle Berry’s designer, has long been working alongside Ty Pennington, serving as his design director for Extreme Makeover and running his on-air design segments, most notably his presence on The Oprah Winfrey Show, Rachel Ray Show, NBC’s Nightline and Good Morning America.

Just like its reality TV star owner, the home is bright, cheerful and quirky, with colorful interiors exuding creativity and style. The property is listed by Patrice Meepos of Compass.

inside ty pennington's bright home in venice, california
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 

Tucked away on a one-way street near the beach, Venice Boardwalk, canals and Abbot Kinney’s hot spots, the original 1927 dwelling has 3 beds, 3 baths, and a sizable living room with decorative fireplace, along with a sunken family room with large windows overlooking a newly landscaped, private back yard with koi pond.

inside Ty Pennington's house in Venice, CA
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 
living room in Ty Pennington's house in Venice, CA
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 
ty pennington bedroom
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 
sunken living room in ty pennington's house
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 
inside Ty Pennington's house in Venice, CA.
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 

The ground level hosts the kitchen, laundry room, and bedroom with direct backyard access, as well as a full bath. On the upper level, there’s a master retreat and a second bedroom. 

Ty Pennington added quite a few special touches to the 2,102-square-foot home, including bamboo flooring, baths adorned in vintage-inspired ceramic tile, a master bath sporting a standalone shower and an antique cast-iron freestanding tub, kitchen with concrete countertops and a wraparound, porcelain-tiled porch. There’s also a beautiful backyard that looks like a great place to entertain guests.

ty pennington kitchen
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 
ty pennington kitchen island
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 
ty pennington backyard
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 
ty pennington backyard entertaining area
Ty Pennington’s house in Venice, CA. Image credit: Anthony Barcelo 

While Ty Pennington did not return to host HGTV’s 2020 version of Extreme Makeover: Home Edition (which is hosted by Modern Family‘s Jesse Tyler Ferguson), you can catch the two time Emmy award winner in his other home improvement series, Trading Spaces — which recently restarted airing after a 10-year hiatus.

You can also get more tips from the home design expert from his latest book, Good Design Can Change Your Life, which is an intimate look at Ty’s design inspirations and is full of décor advice and tips. While we haven’t yet had the chance to pick up the book ourselves, according to his website the book is part reference, and part behind-the-scenes from Ty’s own home remodeling, which means the Venice home is already a bookshelf hit.

More beautiful celebrity homes

Morgan Brown Re-Lists Stunning West Hollywood Home Amid Split from Actor Gerard Butler
Wayne Gretzky is Selling his $22.9M California Home Designed by ‘The Megamansion King’
Chrissy Teigen & John Legend Buy $17.5M Beverly Hills Mansion After Cashing Big on Previous Home
5 Fabulous Homes of Your Favorite Formula 1 Drivers

The post Extreme Makeover’s Ty Pennington Lists Bright and Beautiful Venice Beach Home appeared first on Fancy Pants Homes.

Source: fancypantshomes.com

6 Types of Home Loans: Which One Is Right for You?

kroach/iStock

If you’re a first-time home buyer shopping for a home, odds are you should be shopping for mortgage loans as well—and these days, it’s by no means a one-mortgage-fits-all model.

Where you live, how long you plan to stay put, and other variables can make certain mortgage loans better suited to a home buyer’s circumstances and loan amount. Choosing wisely between them could save you a bundle on your down payment, fees, and interest.

Many types of mortgage loans exist: conventional loans, FHA loans, VA loans, fixed-rate loans, adjustable-rate mortgages, jumbo loans, and more. Each mortgage loan may require certain down payments or specify standards for loan amount, mortgage insurance, and interest. To learn about all your home-buying options, check out these common types of home mortgage loans and whom they’re suited for, so you can make the right choice. The type of mortgage loan that you choose could affect your monthly payment.

Fixed-rate loan

The most common type of conventional loan, a fixed-rate loan prescribes a single interest rate—and monthly payment—for the life of the loan, which is typically 15 or 30 years. One type of fixed-rate mortgage is a jumbo loan.

Right for: Homeowners who crave predictability and aren’t going anywhere soon may be best suited for this conventional loan. For your mortgage payment, you pay X amount for Y years—and that’s the end for a conventional loan. A fixed-rate loan will require a down payment. The rise and fall of interest rates won’t change the terms of your home loan, so you’ll always know what to expect with your monthly payment. That said, a fixed-rate mortgage is best for people who plan to stay in their home for at least a good chunk of the life of the loan; if you think you’ll move fairly soon, you may want to consider the next option.

Adjustable-rate mortgage

Unlike fixed-rate mortgages, adjustable-rate mortgages (ARM) offer mortgage interest rates typically lower than you’d get with a fixed-rate mortgage for a period of time—such as five or 10 years, rather than the life of a loan. But after that, your interest rates (and monthly payments) will adjust, typically once a year, roughly corresponding to current interest rates. So if interest rates shoot up, so do your monthly payments; if they plummet, you’ll pay less on mortgage payments.

Right for: Home buyers with lower credit scores are best suited for an adjustable-rate mortgage. Since people with poor credit typically can’t get good rates on fixed-rate loans, an adjustable-rate mortgage can nudge those interest rates down enough to put homeownership within easier reach. These home loans are also great for people who plan to move and sell their home before their fixed-rate period is up and their rates start vacillating. However, the monthly payment can fluctuate.

FHA loan

While typical home loans require a down payment of 20% of the purchase price of your home, with a Federal Housing Administration, or FHA loan, you can put down as little as 3.5%. That’s because Federal Housing Administration loans are government-backed.

Right for: Home buyers with meager savings for a down payment are a good fit for an FHA loan. The FHA has several requirements for mortgage loans. First, most loan amounts are limited to $417,000 and don’t provide much flexibility. FHA loans are fixed-rate mortgages, with either 15- or 30-year terms. Buyers of FHA-approved loans are also required to pay mortgage insurance—either upfront or over the life of the loan—which hovers at around 1% of the cost of your loan amount.

VA loan

If you’ve served in the United States military, a Veterans Affairs or VA loan can be an excellent alternative to a conventional loan. If you qualify for a VA loan, you can score a sweet home with no down payment and no mortgage insurance requirements.

Right for: VA loans are for veterans who’ve served 90 days consecutively during wartime, 180 during peacetime, or six years in the reserves. Because the home loans are government-backed, the VA has strict requirements on the type of home buyers can purchase with a VA loan: It must be your primary residence, and it must meet “minimum property requirements” (that is, no fixer-uppers allowed).

USDA loan

Another government-sponsored home loan is the USDA Rural Development loan, which is designed for families in rural areas. The government finances 100% of the home price for USDA-eligible homes—in other words, no down payment necessary—and offers discounted mortgage interest rates to boot.

Right for: Borrowers in rural areas who are struggling financially can access USDA-eligible home loans. These home loans are designed to put homeownership within their grasp, with affordable mortgage payments. The catch? Your debt load cannot exceed your income by more than 41%, and, as with the FHA, you will be required to purchase mortgage insurance.

Bridge loan

Also known as a gap loan or “repeat financing,” a bridge loan is an excellent option if you’re purchasing a home before selling your previous residence. Lenders will wrap your current and new mortgage payments into one; once your home is sold, you pay off that mortgage and refinance.

Right for: Homeowners with excellent credit and a low debt-to-income ratio, and who don’t need to finance more than 80% of the two homes’ combined value. Meet those requirements, and this can be a simple way of transitioning between two houses without having a meltdown—financially or emotionally—in the process.

The post 6 Types of Home Loans: Which One Is Right for You? appeared first on Real Estate News & Insights | realtor.com®.

Source: realtor.com