Florida Housing Market

      My Boys, Grant and Drew at the Boynton Inlet

         Do you have an Equity Line?

I hope you had as good a Christmas as I did! Well this December brought more than cold weather, gifts and family. It also brought higher mortgage Interest rates.

You don't have to be in the mortgage industry to know that interest rates are not going any lower. They have in fact started to march higher, but don't panic, interest rates are still very low.

For those of you that have outstanding home equity lines of credit or know a family member who does, then you might want to consider locking your outstanding balance into a fixed loan.

The interest rates on an equity line are tied to the prime rate and when the Fed starts increasing the prime rate your interest rate rises as well. If you have a large outstanding balance on your equity line you might find yourself in a very uncomfortable mortgage before you know it.  

This is a very simple thing to do, it's not like refinancing and there should be no cost to change your variable interest rate into a fixed interest rate.

Just call your bank or whoever your equity line is with and ask them what your rate would be on your outstanding balance, taking it from a variable, to a fixed rate. If you have more unused equity in your equity line you will still be able to use that at a later time and that would remain at a variable rate.

Think about this NOW, before Ben Bernanke and the FED decide to start raising interest rates. If you will not be able to payoff the outstanding balance within a year or two then you will want to lock in a fixed rate.

Check with your lender now so you are familiar with what you will need to do and I will try and let you know if the odds of the FED raising rates starts to increase. We probably have a good six months or longer before this happens.

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           Check this out

Out of 100 people who start working at the age of 25,
by the age of 65 .....
1 is wealthy
4 have adequate capital in savings for retirement
3 are still in the workforce
63 are dependent on Social Security, friends, relatives or charity
29 are dead
Which statistic do you want to be?

How Do Your Ensure Your Future?  Taking action in the PRESENT!

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I love this quote from Eleanor Roosevelt :)

"Great minds discuss ideas, average minds discuss events, small minds discuss people" .

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