Tag Archive: interest

Should I use my extra money to invest or to pay off my home mortgage?

Answer: Most likely invest. Especially if you can do it in a tax-free vehicle like a 401-k or IRA. The key element is the tax effect. Interest on the home returns cash from the tax man. When you factor this in the effective interest on your home is probably a lot less than the expected …

Continue reading »

Should I take out a home-equity line of credit to pay down my mortgage to eliminate PMI?

My husband and I are currently paying PMI (Private Mortgage Insurance) on our mortgage. (We have no second mortgages.) I know we need twenty percent equity in order to eliminate PMI, but I don’t think we’re quite there. Is taking out a home-equity line of credit to pay down the mortage a good idea? I …

Continue reading »

Why is home mortgage interest a tax deductible?

Answer: Because the Gummint wants people to own homes. (Actually, the Gummint wants people to own expensive homes to pay property taxes on.)

questions about refinancing home mortgage? ?

with the fed cutting the rates so low, now would be a good time to think about refinancing right? my mortgage interest rate is currently 6.25 fixed, i think we owe about ,000 on it. my husband and i have excellent credit, and we’ve been in our home for 5 years. would refinancing lower our …

Continue reading »

If shantel and kwami made a downpayment of 20,000 on a 175,000 home, what would be their monthly mortgage paym?

If shantel and kwami made a downpayment of 20,000 on a 175,000 home, what would be their monthly mortgage payment assuming the finance for 25 years at 6.75%. How much would they save on each monthly payment by making the down payment? How much interest would they save over the life time of the loan? …

Continue reading »

Should I take out from my home equity line of credit to pay off my mortgage?

Mortgage interest rate is 5.625%. My home equity line of credit is just 2.75%. I have enough credit to cover the balance of my mortgage, and will certainly pay it off either way within the 10 year requirement. What are the ramifications? Am I missing anything? Answer: 1. Is the equity line a fixed rate …

Continue reading »

My return goes down if I enter my 1098 mortgage interest on my primary home loan. Do I have to claim this?

My tax return goes down if I enter my 1098 mortgage interest paid on my primary home loan. Do I have to claim this “dedeuction”? Yes, I am itemizing. Turbotax, I add the 1098, and the refund goes from 6k to 3k. Do I have to enter it? Can I forego this “deduction”? No idea …

Continue reading »

Is it better to pay your home taxes & insurance yourself or let the mortgage pay it?

Right now our home taxes & insurance are spread out through each month. Would it save any money if we just pay it ourselves each year instead of spreading it through the mortgage? I know it would obviously lower our monthly payments but I mean is there any other way it would be better. I’m …

Continue reading »

Will our current mortgage lender automatically finance us for another home purchase?

We are moving and selling the first home. We are in good standing with the current mortgage company. We have lived here for almost 3 years- we have had two payments that have been a few days late. Also, will they keep us at our current interest rate? Answer: No, the rate will be based …

Continue reading »

Older posts «