If you have received a sizable inheritance, you may want to protect that money from possible claims from your current spouse or future spouse. To keep your inheritance separate, you'll need to make sure that those funds are always kept in their own account, never commingled and you never use marital funds in any way with the inherited money. You should probably talk to an estate planner to help you out and make sure your inheritance is safe.
While we all have seen shows on dream homes, we may not be able to afford those homes and may not want to actually live in those dream homes. You need to know how much you can afford when buying a house. When you know the amount, you still need to feel comfortable spending that amount on a monthly basis. A big mistake home buyers make is thinking they can afford a home and then realizing that they are spending too much of their money trying to keep their home. It's a common home buying mistake to buy more than you can comfortably afford. Make sure you are comfortable with your monthly home budget.
You may think that your divorce is final when you finally obtain a divorce decree. But you should know that some things may still left open: children may still be a source of issues after a divorce. But if you have not finalized all financial matters, you may still have troubles later on. If you owned a home and you signed the note and mortgage on that home, your only safe way to get yourself out of any problems that may arise from the home and the mortgage loan is to have the home refinanced with a new loan. Your name should not be on that loan and your name should come off the title to the home. When taking your name off the title to the home, you can use a quit claim deed or other deed generally used in your area.
When your options are limited, a short sale may be the best way to get out from under the debt burden of your home or investment real estate property. You can try to lease your property. But if you can't lease it and make it work out, and you can't sell it for enough money to pay off the debt on the property, you should talk to your lender about a short sale. But if you go down the short sale route on the sale of a home or investment property, try to get the lender to waive any right to go after you for a deficiency judgment.
Is This The Right Time To Refinance Into An Adjustable Rate Mortgage (ARM)?
For some homeowners, an adjustable rate mortgage (ARM) may be perfect for them. If they plan on living in the home up to seven years, an ARM loan may be all they need. For other home owners, the security and stability of a fixed rate thirty year mortgage may be the right thing. If you are considering refinancing, you have options available to you. If you plan on living in your current home a short period of time, you may find that it is the right time to take advantage of the low rates offered by an ARM. But for others that own homes, they may opt for the stability and security of a fixed rate mortgage (FRM). The decision on how much risk you want to take now if you refinance is yours. But in some cases, you can save quite a bit of money by going with an ARM over a FRM.
In years past, if you inherited property, you could inherit property and immediately sell it and you would incur no tax liability. In addition, if the person you inherited property from had an estate that was less than several million dollars, the estate would also have no taxes to pay. But in 2010, if you die, your estate will pay no estate taxes at all; no matter how large the estate is. But if you inherit the property, you now have to pay tax if you sell the property on the basis of what the difference between what the property cost the owner (plus some expenses) and what you sold the property for (plus expenses). We expect the estate tax laws to change, but for now we are left with the current rules that affect many homeowners that have property that has appreciated significantly.
Ilyce has compiled a checklist to be used by home buyers, and in particular, first time home buyers when looking for a new home. While her best selling book 100 Questions Every First Time Home Buyer Should Ask outlines many of the items in this checklist. It's good to have a handy list when shopping for a home. You can buy Ilyce's book at most bookstores and at most online bookstores including BarnesAndNoble.com, Borders.com and Amazon.com.
$8000 First Time Home Buyer Tax Credit Has Restrictions
Time is running out for the $8000 first time home buyer tax credit and also for the $6500 repeat home buyer tax credit. If you can sign a contract by April 30, 2010 and close on the home by June 30, 2010, you should make it under the wire. But you have to qualify for the tax credit. The home buyer tax credit has time restrictions, income restrictions and other rules that disqualify many from getting the credit.
Condo Association Problems Come With Declining Real Estate Market
The decline in the Real Estate Market has created problems for condo associations and homeowner's associations alike. As more home buyers have lost their homes to their lenders, condominium and homeowner's associations have lost a source of their revenue. As the revenue has dried up, condo associations need to make due with less money. Until the real estate market stabilizes, employment begins to come back, and lenders stop foreclosing on homes, more and more condo and homeowner's associations will have problems meeting their obligations.
Ilyce Glink Show Notes - March 14, 2010 - Invest Your Money Wisely in 2010. Learn how to deal with a stock market that seems irrational. Should you invest in bonds in an era or rising interest rates? And, how big a share of your investment portfolio should be international equities? All of the answers to these questions will be found at our next event: HOW TO INVEST YOUR MONEY IN 2010. Buy your ticket today and get 40 percent off the ticket price. Rob Goshen, a senior vice president with Mesirow Financial, joins us in the third hour of our special show today to talk about risk. He'll be at our event on March 27, 2010 at the Gwinnett Center. Visit Ilyce's blog for more show notes and helpful links.
