Tag Archives: finance

Is There Hope for Underwater Homeowners?

Underwater Mortgage

Underwater MortgageUnderwater MortgageBeing a proud owner of an underwater mortgage is a combination of bad timing and bad life choices. You probably put almost nothing down to begin with, decided to pay just the minimum monthly, and hoped for the house pricing to boom in your area — which never happened. The result: negative equity.

While you’re partly responsible why your home loan has submerged, your salvation may also be in your hands. The options may not be great, but it’s not yet time to raise the white flag and let foreclosure happen.

Here are the ways you can positively deal with it:

Have a Fresh Start

Refinancing offers the most desirable scenario for underwater homeowners. The government has laid out a variety of loans to rescue you, and even allow you to benefit from the lowest rates in the market.

For instance, if you have an existing government-backed mortgage in Utah, applying for an FHA streamline in Salt Lake City lets you start from scratch with a simplified process.

All refinancing options, however, have certain qualifications. Just make sure you pass every requirement, or find a way to meet the conditions ASAP to get you started sooner than later.

Get Some Breathing Room

Loan modification is another path underwater loan owner takes. Your lender may offer a program to lower your interest rate or your overall monthly payment either in the short term or for good. This process may be time-consuming and potentially hurt your credit score, but at least you get to work your way toward positive equity in the years ahead.

Sell the Property Short

If you’re feeling hopeless about your situation, one escape route is short sale. If your lender agrees to let you sell the property for less than what you owe and call it quits, that would be a huge relief. Make sure, however, to see a real estate lawyer to ensure the agreement would suffice to free yourself from any deficiency, and a tax professional to know if you owe the government anything.

According to City Creek Mortgage, finding yourself underwater is a tricky situation, but you’re not beyond saving. Assess your situation carefully, and come up with a solid long-term plan to decide the best option to pursue.

Asset Protection Planning: Why You Need It Right Now

Asset Protection

Asset ProtectionAsset ProtectionAsset protection planning will enable you to shield your hard-earned assets from potential creditors — former spouses, lawsuit plaintiffs, discontented employees, and other people who think that they have a legal claim on your assets. Asset protection likewise involves maintaining your assets through reducing income, gift, and estate taxes so that you and your family will be able to enjoy the fruits of all your hard work.

Will I Really Need Asset Protection Planning?

In the past, individuals who were considered to have high-risk jobs or careers such as doctors mainly used asset protection planning, or those who regularly engage in activities considered high-risk. Today, however, due to the risk of being sued and considering the complexities of estate planning and tax laws that also vary from state, it’s advised that you consider asset protection planning if you have a significant amount of assets. If you have assets that you’re afraid of losing or don’t want to lose, you should consult with an asset protection lawyer to talk about the various ways you can secure your future. Assetprotectionatty.com’s asset protection lawyers in California suggest getting experts who use a strategy which is upheld when challenged.

Whom Am I Protecting my Assets from?

Problems have a way of cropping up unexpectedly and it is these kinds of problems that could actually threaten your seemingly “secure” financial future. In this context, asset protection planning is crucial since it will allow you to prepare ahead of time for potential problems in the future. This problem can be a costly divorce, alimony settlement, a personal injury lawsuit from someone you injured, a malpractice case, or significant taxes from the Internal Revenue Service (IRS).

Timing is Everything

As with all things in life — timing is everything. Asset protection planning will only work if start taking action as early as possible. For example, if you choose to wait until a creditor goes after you, it may already be late to protect your assets. To see if you can benefit from asset protection planning, consult with an experienced asset protection lawyer California so you can start mapping out a secure and stable asset protection plan. Remember, timing is crucial, and unfortunately, a preventable mistake. Consider asset protection planning as insurance — get it before you actually need it.

A Solid Road to Success: How Being in the Army Secures Your Future


armyarmyThe fast-paced digital world is constantly changing. Technology and knowledge that were introduced five years ago may now be outdated. What profession could you choose that stands the test of time and any or all social, political and physical upheaval in Singapore?

One answer: Singapore Armed Forces Officer.

The great thing about being part of the Singapore Armed Forces National Service (SAF NS) is that you get the benefits and pay that other officers have in the field of your expertise and choosing.

What do SAF Officers get?

Being part of the country’s armed forces may not be overly lucrative, but it ensures comfortable living after service. Here are some of the highlights of their benefits package:

  1. Savings account separate from salary

The Singapore government opens an account for you and adds funds that can be withdrawn after six years in service. They’re essentially saving up for you; the amount depends on your rank and credentials.

  1. Bonuses

You get a midterm, performance and sign in bonus that can go up to $30,000 for each type. You also get merit-based bonuses as well as risk allowances for hazardous and off-hour assignments.

  1. Career Fulfillment at 6 years

According to the SAF website, you’re supposed to get to your desired position in as short as six years. You don’t have to wait for promotions or for higher officers to resign—your progression is guaranteed as long as you put in the work.

  1. Scholarships

Continuing education provided by the government through scholarships is guaranteed. You can get post-graduate studies, training and leadership development to help you even after your stint with the SAF.

While a post with the SAF may mean long hours and intensive training, the financial rewards and job security cannot be beaten.

Smart Financing: Why a 100% Home Loan is Not That Risky

home loan

home loanhome loanMany prospective home buyers have the income to support a mortgage payment, but do not have the savings to make a 20% down payment. This makes it difficult for them to qualify for a conventional mortgage. Fortunately, alternatives do exist. The question is, “Are they worth it?”

While UtahLoanPros.com says that 100% financing mortgages are certainly convenient, they tend to have higher interest rates or special requirements (like a guarantor). This is why many borrowers think of them as risky. This isn’t necessarily the case, though.

A no-down payment home loan has several advantages that may not be obvious, but can actually offer you increased financial security.

  1. Building equity sooner – Rather than throwing your money away by renting, you can start building your home equity. You can pay off the mortgage earlier and qualify for a HELOC in case you need more credit later on.
  2. Having money for emergencies – You have the money right now to make a sizable down payment, but doing so might leave you without a decent emergency fund. What will you do if your car breaks down, or if you need to pay medical bills?
  3. Locking in the price – In a hot housing market, it is all too possible for the prices to rise beyond the reach of most home buyers. If you wait until you have enough money for a down payment, you may find yourself unable to buy property in your ideal locations.
  4. More flexibility – Should you suddenly get a raise or a large windfall, nothing is stopping you from putting that money into your mortgage. While the interest rate is a bit higher, you can still reduce the loan’s duration by years and minimize your costs.

Of course, as with any mortgage, circumstances are everything. There are definitely some great advantages with putting down 20%, such as not having to pay for private mortgage insurance. The key is to look at your financial situation and determine which option makes the most sense.