Long before Facebook, Instagram, and Twitter changed the way we communicate and share information, there existed traditional social networks.
Although it's an old-fashioned concept, its value and importance will never go out of style.
For homeowners, growing families, and senior citizens, having a small group of people you can consistently turn to for support can make problems smaller and challenges a lot easier to glide through. Not only that, but having a solid connection with a few good friends, family members, and neighbors can help keep your spirits up, through both good times and bad.
When it comes to being a homeowner, raising a family, and growing older, here are some specific reasons why staying in touch with your social contacts can make life easier, less expensive, and safer:
Credit cards won’t be the only thing impacted by rising interest rates. Student loans, auto loans and retail product costs could also shift upward. So too could the price tag on home equity loans and mortgages. Get ahead of the change. Start taking steps like those highlighted below to avoid getting blindsided by a bigger mortgage.
Steps to worry free mortgage payments
Pay down debts early – Submit more than the minimum on debts, particularly debts that have interest rates tied to them.
Think short and long term before you make new purchases – Consider the short and the long term before you take on new debt. For example, you might be able to afford new furniture now, especially if you buy the furniture on a delayed payment plan. But, the purchase could put you in the hole six months later should you not receive the raise you were expecting or your work hours be scaled back.
Increase your home’s value – To stay ahead of housing market shifts, including rising interest rates, take steps to increase your home’s value. Re-paint your house. Wash the siding, plant trees, hedges or flowers to improve your home’s curb appeal. Also, repair appliances, roofing, cracks in sideways and the driveway.Upgrades like new kitchen cabinets, stylish light fixtures, bathroom faucets and floor tiles can also improve your home’s value.
Move to a fixed interest rate mortgage – You may have to pay closing costs and other fees to make the switch. But, a fixed interest rate can protect you from having to confront rising monthly mortgage payments each time feds raise interest rates.
Shop for a more affordable house – Reduce your housing debt. Start shopping for a house that you can afford. If you take this approach, buy your new house before rates go up again. Also, look at older homes and houses that need TLC. You could save big by buying an older home or a house that needs repairs if you have construction and interior design skills. There are people who earn attractive salaries repairing, upgrading and redesigning homes. If you have these skills, use them on your own house.
Rent out apart of your house – Generating additional income to pay for a bigger mortgagecould be as simple as renting out your finished basement or another part ofyour house. Before you rent, check your local housing codes to ensure that thespace you rent out meets regulations. Also, conduct a thorough background andcredit check on potential renters.
A healthy economy benefits everyone. A healthy economy can also cause feds to raise interest rates. When this happens, you might be fortunate and get a respectable job raise. You also might have to face the fact that your monthly mortgage payments just went up. By taking a proactive approach when interest rates rise,you could keep your finances stabilized. You might also discover innovative ways to turn your home into a bigger and more profitable investment.