Thomas Skiffington, CRS, GRI, CRB, ABR, ePro, CLHMS, SRES, RECS, CDPE, ECOBROKER
701 W. Market Street
Perkasie, PA 18944
Office Phone: 215-453-7653
Toll Free: 800-440-remax
January 7, 2014 6:30 pm
Homestead protection. State and federal laws that protect against the forced sale of a person’s home by creditors. Also, upon the death of one spouse, provides the other with a home for life.
January 7, 2014 6:30 pm
A: A mortgage makes homeownership possible for most people. In the simplest terms, it is a loan that is secured by real property. The lender holds title to the home until the loan is completely repaid. If you fail to pay up, the lender has a right to take the property, sell it, and recover the money that is owed.
The amount of a mortgage will vary greatly depending on the down payment you make to reduce the amount of money that is needed to finance the home. You may put as much money down as you like, or you can sometimes pay as little as 3 to 5 percent of the purchase price, or sometimes nothing at all. The more you put down, the more you reduce the amount that is financed, thereby lowering your monthly payment.
The monthly payment consists of both principal and interest but also typically includes additional amounts to cover property taxes and insurance – specifically hazard insurance and private mortgage insurance, the latter of which is required for down payments less than 20 percent of the purchase price.
Homebuyers in the U.S. have access to several different types of mortgage loans.
January 6, 2014 10:24 pm
Nobody likes to pick up extra pounds during the holidays, but nearly everyone does. For those determined to lose them quickly, we all know Rule Number One: Use willpower and cut back on food!
From Glamour.com, here are nine more tips for shedding pounds without (too much) pain:
- Dump the holiday leftovers – Yep, that means the leftover fudge as well as the stuffing and gravy. You can’t eat what isn’t there.
- Plan ahead – Treat it like a budget and plan your daily and weekly meals ahead as much as possible. When you do that, you are much less apt to just graze all day and/or make poor last-minute meal choices.
- Eat all day – Five or six small meals during the day (salads, fruits, veggies, nuts, and small portions of meat, eggs or poultry) will keep you from feeling really hungry and falling off the wagon.
- Get moving – Burning the calories you do take in is always a smart strategy. Walk during lunch hour, work out at the gym, or take a short run in the morning or evening – or just get out in your own driveway and shoot some hoops with the kids.
- Hit the protein – Start the day right with a protein-fueled breakfast to keep you full longer. Try eggs, cottage cheese, yogurt on its own or a yogurt fruit smoothie.
- Cut out the white stuff – This includes less nutritious carbs like white bread, white bagels and white rice as well as extra sugar or salt. Substitute yams for white potatoes and choose whole wheat breads and cereals. Try plain yogurt instead of sour cream and mustard in place of mayo.
- Veg out – Vegetables are healthy appetite suppressors. Keep a variety of colorful veggies washed, cut up, and very handy front and center in the fridge.
- Hit the bottle – Water reduces cravings, flushes out impurities, and helps keep you feeling full. Carry it with you wherever you go. Try it in a thermos with lots of ice cubes and lemon.
- Be patient – Think ‘progress’ and ‘baby steps.’ Don’t try to rush it. Rejoice each time a pound drops off.
January 6, 2014 10:24 pm
As the temperatures drop and snow days are keeping many indoors, it's more important than ever to make sure your home is properly prepped for the cold. Some common-sense cold weather tips include:
- Make sure your home is properly insulated to preserve heat. Inspect doors and windows and apply caulk or weather-stripping where necessary to keep cold air out. Close drapes, blinds and garage doors to retain heat and keep cold air out.
- Keep extra blankets or sleeping bags for each person inside your home. Dress in layers of loose-fitting, lightweight, warm clothing.
- Use a sturdy fireplace screen when utilizing a fireplace or wood burning stove.
- Never use a gas stove, charcoal grill or lantern intended for outdoor use inside your home as deadly carbon monoxide gas could build up.
- Maintain a three-day supply of water and non-perishable food. Convenience foods that do not require cooking are good to have on hand.
- Avoid frozen pipes by opening faucets and maintaining a constant drip, or wrap pipes in insulation or layers of newspapers.
- Use care when burning candles, especially around children or pets; open flames are a dangerous fire hazard.
- Charge electronic devices such as cell phones, laptops and tablet computers.
- Keep a flashlight, portable radio and extra batteries handy in the event a power interruption occurs.
- Never use a portable generator inside the house or a closed garage in the event of a power outage. Ensure the proper generator is selected and installed by a qualified electrician. When operating a generator, the power coming into the home should always be disconnected. Otherwise, power from the generator could be sent back onto the utility lines, creating a hazardous situation for utility workers.
January 6, 2014 10:24 pm
As you shovel your driveway and dig out your car from recent snowfalls, it may be time to consider your homeowner's and auto insurance policies.
First, damage to your house and its contents caused by weight of snow or ice, creating a collapse, is covered under standard homeowner's insurance policies. Freezing conditions such as burst pipes or ice dams, when water is unable to drain properly through the gutters and seeps into a house causing damage to ceilings and walls, is also covered.
Most damage resulting from fallen trees is covered by your homeowner's policy, but consumers should check with their company before calling a tree removal service as removal costs may also be covered.
Consumers should also ask their insurance company about food spoilage as a result of a power outage, debris clean up, structural damage to your home, rain spouts, sewage problems, broken water pipes, freezing pipes and furnace damage, to name a few.
For drivers, your auto insurance coverage pays for damage you, or someone driving the car with your permission, may cause to someone else's property due to ice, snow and slippery roads. This also includes damage to lamp posts, telephone poles, fences, buildings or other structures your car may hit.
Damage to your car resulting from colliding with another car, object or as a result of flipping over is covered if you carry the optional collision coverage of your policy. It also covers damage caused by potholes.
If you opted to carry comprehensive coverage on your auto policy, damage to your car caused by heavy wind, flooding, falling ice or tree limbs is covered.
The Insurance Department recommends these steps to help make the insurance process easier to navigate:
- Contact your insurance company immediately and follow the instructions given to you by claims personnel. Keep a log of the people you spoke with and ask questions if you do not understand instructions.
- Separate damaged and undamaged property for the adjuster to examine. Do not throw away damaged property until your company's adjuster advises you it is all right to do so.
- Wait for the adjuster to arrive! Do not call anyone to repair or replace your loss without first getting instructions from your adjuster.
- If your home is damaged, make only temporary repairs until a claims adjuster looks at the damage. Permanent repairs could trigger a denial of your claim.
- Be careful when choosing a contractor to make repairs. Before signing a contract, check references to make sure you are working with a reputable firm.
- If your claim is denied, review the terms of your policy for what is or is not covered. You may also file an appeal to your insurance company's claim manager. If questions remain, feel free to contact the Insurance Department.
January 6, 2014 10:24 pm
Housing codes. Local regulations that set minimum conditions under which dwellings are considered fit for human habitation. It guards against unsanitary or unsafe conditions and overcrowding.
January 6, 2014 10:24 pm
A: Your real estate agent has information on lender loan requirements and will be able to calculate a rough monthly figure you can afford based on the maximum monthly payment for the loan, taxes, insurance, and any type of maintenance fees. This pre-purchase evaluation by the agent can save you a lot of time spent looking at properties you cannot afford.
Lenders also routinely calculate what you can afford and can pre-qualify you for a loan even before you begin your home search. This way, you know exactly how much you can afford to buy.
Lenders generally stipulate that you spend no more than 28 percent of your gross monthly income on a mortgage payment or 36 percent on total debts.
Ultimately, the price you can afford to pay for a home will also depend on other factors besides your gross income and outstanding debts. They include the amount of cash you have available for the down payment, your credit history, current interest rates, closing costs and cash reserves required by the lender, and the type of mortgage you select.
January 4, 2014 4:03 pm
For many baby boomers looking to retire in the next few years, the biggest worry is not whether or not they can retire, but if they’ll outlive their savings.
It’s a valid concern: One of every four people turning 65 today can expect to live past their 90th birthday, and one in 10 will live past 95, according to the Social Security Administration.
For a married couple, there's a 58 percent chance that one of them will live to 90.
With 10,000 boomers turning 65 every day, according to the Pew Research Center, it’s something on the minds of many Americans.
“I went into this business because I hated seeing people who’d followed the rules – saved money in a 401k, put their kids through college, gave to charity – get to retirement and find they didn’t have enough to sustain them for more than a few years,” says Andrew McNair, founder and CEO of SWAN Capital, and author of “Don’t be Penny Wise & Dollar Foolish.”
“It’s not enough to have a certain amount of money in your portfolio, you want to have a guaranteed check coming in, in addition to your investments.”
Whether you’re years from retirement or planning for it now, McNair says these three New Year’s resolutions will be the best you ever made:
• Resolve to plan for expenses in retirement to equal or exceed your expenses today. Many people assume their expenses will decline once they retire – they forget that they’re going to have a lot more free time to do what they love, McNair says. “What are your dreams? Will you want to travel? Take up a new hobby? Meet friends for golf two or three times a week? Those likely are going to be expenses you don’t have now,” he says. Also, once you retire, things don’t magically last forever. The rug in the dining room, the fridge in the kitchen – eventually they’ll need to be replaced or repaired. Also, as you age, medical expenses either appear or increase. Sit down and think about what your ideal retirement looks like, and presume that it will be for at least 30 years. Make a list and take a guess at what those activities cost – even if your retirement is years away. How much money will you need coming in each month or year?
• Resolve to get most of your investments out of tax-deferred plans. If you’re working for a company that provides a match for 401k contributions, by all means, contribute up to the maximum match. “That’s free money – you’d be crazy not to take advantage,” McNair says. But investments that can be more strategic in terms of taxes should also be considered: Roth IRA, municipal bonds, life insurance or real estate. No one expects taxes will go down – they’ll be going up. Uncle Sam already has a lien on your IRA or 401(k); don’t let his lien, the taxes you’ll owe, continue to grow. Go ahead and pay now, and your future retired self will be glad you did.
• Resolve to have a portfolio that generates a steady or guaranteed paycheck. The ideal financial security for retirement is having a guaranteed income that increases with inflation, McNair says. “I suggest planning for an income that meets or exceeds your annual income now so, for example, if you’ll be getting $1,000 a month from Social Security at age 62 and your current income is $4,000 a month, you need to have a plan to guarantee $3,000 a month to cover that gap.” Annuities and life insurance are investments that may provide an income you cannot outlive, so consider them for at least part of your portfolio. “You don’t want them to make up 100 percent of your portfolio, but they should provide the foundation,” McNair says.
It’s important to start thinking now about where you want to be in retirement and what combination of investments will ensure you have the lifestyle you want for as long as you live, he says.
“At 65, you don’t want to be making risky investments because you’re panicking about not having enough money.”
January 4, 2014 4:03 pm
(BPT)—We live in a busy world full of demands on our time and attention—everything from keeping up with our families and careers to making sure we are taking care of ourselves and answering our cellphones by the third ring.
To meet all of life's challenges, sometimes you need to take a step back, sometimes you need to take charge, and other times it makes sense to delegate tasks to someone else - often times a professional such as a contractor, attorney or financial advisor. But for most people, turning things over to someone else shouldn't mean tuning out completely—especially when it comes to something as important as your financial future. When it comes to money and investing, most people feel more confident keeping one hand on the wheel to help ensure their best interests are being served.
But how do you know if you're doing that now or not? Here are three questions every person who invests should ask to determine how involved they are with their investments and if they're getting the level of engagement they want from their current investment professional:
1. Does my broker encourage me to be actively involved in my investment strategy?
Ninety-seven percent of Americans who are highly engaged in various activities in their lives say they want to be involved in the decisions that their broker is making, according to a Schwab study of engaged Americans conducted in May 2013. Does your broker make this easy for you to do? Sitting down and having a conversation with your broker to discuss the level of involvement you want is the first step. You should determine how and when you'd like to be contacted so your broker can keep you up-to-date on major developments in your financial situation. Make sure you feel empowered to ask questions and your broker's answers make sense, you are comfortable giving feedback, and your broker encourages you to check in as frequently as you want - on your terms.
2. What are my broker's recommendations based on?
Do you ask for the rationale behind the recommendations your broker is making for your money? Not only do you deserve an explanation, but you need to understand how your broker's recommendations are suitable for your unique goals, risk tolerance, time horizon and ongoing changes in your personal and financial situation—as opposed to being the same cookie cutter ideas everyone else receives. It's also a good idea to make sure you understand how your broker is compensated for the advice you receive and the products being recommended.
3. Do I understand the progress I am making toward my goals?
Schwab's study of engaged Americans from May 2013 found that 56 percent of those surveyed have a customized financial plan, which is an important first step to taking ownership over your financial future. But do you understand the progress you are making in that plan? It's important to have simple and transparent benchmarks and measures, so make sure your broker offers the tools you both need to track progress against your goals.
If you weren't able to answer these questions on your own, it may be time to ask your broker. Communication is key to any good working relationship and your broker is no exception. It's worth the time and effort to make sure you are on a path toward a successful financial future.
January 4, 2014 4:03 pm
Installment payment. Periodic payment, usually monthly, of interest and principal on a mortgage or other loan.