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on the radio with Paul Petillo
Join Paul Petillo, Dave Kittredge and Dave Ng every week on Financial Impact Factor Radio as they to discuss everything from retirement to insurance, investing to estate planning, from getting started to preparing to stop.
books by Paul Petillo
I just published my fifth book - this time with Smashwords! ReBuilding Wealth in a Paycheck-to-Paycheck World by Paul Petillo, copyright 2011 This ebook is available across all platforms including iPad and iPhone, Amazon and Sony.
on personal finance
In the world of personal finance, asking what's the worst that could happen is not the same as asking: "will I be able to afford this?" or "have I saved enough for retirement?"
More personal finance
on retirement
The Who, What, When, Where and Why of Retirement
If things are good, for some they won't be good enough. If it turns out that things are not so good, someone will ultimately benefit for this off-chance negativity.
More on retirement planning
on mortgages
American dream or not, the games you may have once played with financing your home are not available for the vast majority of homeowners.
More on mortgages and homes
on insurance
Insurance : Life, Health, Auto, Home
Is the insurance industry the next victim of the financial crisis?
Health Channel
on investing
The mutual fund investor has a great many more options available to them in the post-Great Recession marketplace. The question is: are they right for you as you make a retirement plan using 401(k)s or IRAs?
More on investing
on twitter @PaulPetillo
special features
Zack's Investment Tools: Stock Screener or Mutual Fund Screener
Calculators
Privacy Policy
Ad Policy
Our recent financial discussions
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on your first mortgae
I hate to
go back to this, but how's your debt which will be termed by the mortgage people as your
debt ratio.
But what should you bring to the table?
This is your financial life laid bare. Credit checks are mandatory and there
is little you can hide from your lender or yourself. Nothing is "overlooked" and
everything is considered. So straighten your financial house first and let's look at
costs.
Houses aren't cheap and have been refered to as holes in the ground into which
money is constantly tossed. That's just the upkeep horror or the remodel scare.
Let's
assume that you are renting right now. A thirty year mortgage on $110,000 at 7.25% means a
monthly payment of roughly $750. Not counting taxes and insurance or furniture or paint
or... I could go on. Find a house worth this much and compare it to your current rent
standards. Ask yourself some questions. Are going to be in the area more than two years?
Are you going to be able to maintain a house yourself, or hire out? Can you live with the
costs?
Here's an easy way to figure how much you can afford:
Our hypothetical house cost $110,000 with a mortgage payment of $750
at 7.25% for 30 years fixed. If rates go down a quarter of a point, you can buy about 2%
more house. If they go up, you buy 2% less house
Using the same 30 year fixed model and a $1000 a month mortgage
payment at 7.25% will get you a $147,000 home. Rate goes up a quarter, you buy 2% less
house. Rate goes down, you buy 2% more.
$1250 per month @ 7.25% will get you a $183,000 home.
$1500 per month @7.25% will put you in a house worth $220,000
$1750 per month @7.25% buys a $257,000 home. For a complete step by step loan from beginning to end...click here
bluecollardollar: from the blogThe What-if Retirement Plan: Where could dominates the conversation
bluecollardollar: resources
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