Home / Mortgage Economics. The Basics.

Owning a Home is the American Dream

It's a great way to create wealth and pass it on to your family... to build a nest egg for college or retirement... and to protect against life's setbacks. It starts with being smart about money. Below are a few of the key steps that Lendability.com  recommends to being a successful home owner.

Organize

Set Money goals and develop a plan to reach them. Decide what's important to spend, then save the rest for a rainy day. If you want to purchase, this rainy day fund will help you achieve the necessary requirements for a down payment. Once you purchase a home, it is still important to save, as unexpected events can and will occur in your familiy's future.

Watch Spending and Savings

Putting a little money aside every month takes hard work and making difficult choices. But the rewards are great. Learn about the power of compound interest. Teach your children that a few hundred dollars invested now can turn into thousands of dollars over time. Prioritize your family's spending needs so that saving becomes second-nature.

Negotiate

Many consumers, including home-owners, feel trapped by debt. But there may be other options. Contact the people you owe. They may be willing to work with you to develop new payment plans. It will show you are serious and smart about money. If you become late/ delinquent on your mortgage due to your adjustable rate mortgage, you may even qualify for an FHA Secure loan.

Elevate Your Credit Score

The importance of good credit is a fact of life. Banks and credit card companies decide whether to lend you money and what interest rates you will pay based on your credit score. Be prepared to examine past choices and, if necessary, to change your money habits. Decisions you make today will impact your future options. Know what your credit score is and check it often to ensure your identity is protected.

Read (and Understand) the Fine Print

Consumers have more ways than ever to buy or refinance a home. Know your rights. Homeowners and Homebuyers  should understand their mortgage contract and be on the look-out for scam artists and predatory lenders. Lendability.com is an up front mortgage company that will ensure you never feel as if you have been taken advantage of. Lendability.com does not originate high-cost loans and guarantees that all borrowers will be informed before you sign on the dotted line.