Humble Housing: How To Find A Dream Home That's Within Your Means

Searching for a home is always exciting, whether it's your first home or your fifth. However, buying a home is also a major expense. 

In fact, it is usually the most expensive thing you will ever buy. So it's very important to buy a home that's within your means. This guide will go over some of the best ways to find a dream home that's well within your budget.

Decide What You Can Afford

There are plenty of handy calculators online that can help you determine, based on your income and how much of a mortgage payment per month you wish to pay, what kind of house you can afford. 

Use these, as well as the amount of loan you are approved for, to determine what your price range is and stick to it. It's usually a better idea to buy in the lower end of your price range. 

That way it's less likely you'll get stuck later with a mortgage you cannot afford.

Hire A Real Estate Agent

A real estate agent (such as those with Re/Max Alliance - The Diane Stow Team for the Longmont, Colorado area, for example) know the local real estate market and can direct you towards houses that meet your needs, are in the neighborhoods you want and that are within your price range. 

They also might be able to direct you towards builders who can build your perfect home for a good price - for example, by buying someone else's designs rather than hiring an architect, you can save a lot of money.

Be Realistic About Fixer-Uppers

Decide what you can and cannot handle when it comes to fixing up a home. Most homes that are on the market for cheap have some kind of problem or another, ranging in severity. 

You can save a lot of money by buying a home with problems, but you also have to be able to fix those problems. Issues with the home must be disclosed and will be caught by your inspector, so you can make an educated decision about whether you can fix the problem yourselves, if it's worth it to hire someone to fix it or if you should just pass the property up entirely.

Compromise

You are unlikely to find an absolutely perfect home that has everything you want. Before you start hunting for a house, you need to make a realistic list of features that are must-haves, nice-to-haves and don't-want. 

This will help you narrow down homes to look at. For example, you might have to compromise about location, or trade off a bigger backyard for a better kitchen. It all depends on what you value more.

There are ways to find your dream home, or even build it, when you have limited means. Take these tips to heart and find a good real estate agent, and you should have pretty good luck on your search.

4 Types of Home Protection Worth Investing In

For most people, their home is their biggest investment. It is also the place where you and your family relax, enjoy each other and take respite from long days at work or school. Consider investing in these four types of protection systems for your home.

Gas Line Warranty

When the infrastructure in your area is old or there is construction taking place, damage could happen to the natural gas line. 

A crack or sudden break of a natural gas line could cause the leaking gas to be ignited by a spark. Gas line warranties provide you with critical financial protection in the case of a natural gas line breakage. 

The warranties also insure against accidental damage and natural wear and tear of the lines.

Whole Home Surge Protection

If you live in an area where brownouts are frequent or lightning strikes are common, whole home surge protection systems could protect your home from a fire. 

These systems provide a place where the energy from a lightning strike can be dissipated into the ground instead of spreading through your home's wiring. 

Surge protection systems are also useful for electrical fluctuations when the level of electricity dips and then surges.

Fire Sprinkler System

A fire sprinkler system could help to save your life and the lives of your household members in the event of a fire. 

Fire sprinkler installations can be done at the time a home is constructed, during a remodeling project or as a retrofit. Some companies, like Nor Cal Fire Protection, know that they are hardwired into the smoke detector units. 

The sprinklers are designed to stop the spread of a fire and give your family enough time to escape the home. Installations of fire sprinkler systems are accomplished within a few days.

Home Security System

Installing a home security system can give you peace of mind. These systems alert you and the local police in the event of a break-in. 

The alarms can also sound in case of a tornado warning, providing you with the opportunity to seek shelter in your basement or an interior room of your home. A security system may also allow you to call for emergency medical services.

These helpful home protection systems offer safeguards for different parts of the structure. They also offer peace of mind from significant financial losses that could occur from a natural disaster or criminal activity. 

Each of these four home protection systems allow you to take action and keep yourself and your family as safe as possible.

How You Can Get Tax Benefits on Home Loan

We’ve all considered getting a Home Loan at some point. Investing in real estate is never a bad idea. Real estate has had a solid record of increasing in value over time. Besides, there are also various tax benefits on Home Loans that you can avail.

But, a mortgage isn’t the easiest loan to get. In fact, it can be one of the hardest. This is where you should consider different lenders, various schemes, and the rates of interest that are offered. 

But it comes as no surprise that there isn’t much clarity on how Home Loans work. How do you pick the best Home Loan lender, one that suits your personal financial status?

Here’s a quick guide that can help you understand the complexities of Home Loan and how you can get one that works for you.

Why Go for a Home Loan

The obvious reason you should go for a Home Loan is the financial cushion it provides. A property is a serious purchase, and a Home Loan will make it easier for you to make that purchase. 

With it, you don't have to compromise on your lifestyle and lose financial stability. Besides, a Home Loan application is now easier to apply to than ever before.

There are also some other tax benefits that you can get on your Home Loan.

So, tax benefits on Home Loan can be availed under the following sections. These are government warranted and can only be found with banks, NBFC, and other financial corporations. 

So, a regular taxpayer is eligible to get the following tax benefits under these sections.

Section 80C

This falls under the Income Tax Act. It entails that tax benefits can be availed depending on the principal amount of said Home Loan. There is an upper limit of Rs.1, 50,000 on this tax. 

This tax deduction takes place irrespective of the time and date of the payment. Even the total amount for stamp duty and the registration is allowed for deduction. This will be deducted even if the Home Loan isn’t taken.

Section 24

This section makes the borrower eligible for a tax benefit even on the interest that is paid for the Home Loan. There is an upper limit of Rs.2 Lakh for this deduction. It’s done in a different manner. 

The interest of various investments over a period of time summed and then deducted. You can claim this on a yearly basis even if no payments have been during that year.

There is a slight catch. If you have taken a repair, reconstruction, renewal loan, then you aren’t eligible for tax deductions on the interest of said loan. So it’s best to keep that in mind when you go for a Home Loan.

Section 80EE

This section offers borrowers a tax benefit on the interest they pay for a Home Loan if they’re first time buyers. It's difficult to get this deduction due to two reasons.

One is that the total value of the property being purchased shouldn’t exceed Rs.40 Lakh. The second is that the amount sanctioned cannot go beyond Rs.25 lakh. The upper limit of the deduction under this section is Rs.1 Lakh.

Keeping these things in mind should get you the best kind of tax benefits possible on Home Loan. If you prefer a Joint Home Loan, then ensure that you and your partner have good credit scores. That can help reduce the interest rate.

4 Secrets to Securing the Best Auto Insurance Rates

Auto insurance is a fact of life for anyone who drives a car. Just about every state requires a minimum amount of insurance for those who get behind the wheel. 

Though auto insurance isn't that expensive for most people, you still want to do everything you can to pay as little as possible. Here are four secrets to securing the best auto insurance rates.

Shop Around

You may think that all insurance companies are the same, and that you will get the same rate from each one, but that usually isn't the case. 

Insurers have different underwriting standards, so that speeding ticket you got three years ago may figure prominently in one insurer's decision and not at all in another's. 

You can do the work yourself by going online or making calls to get quotes, or you can work with an independent insurance broker who can run your info by dozens of insurance companies to get you the best deal.

Don't Pay for More Insurance Than Needed

Many people pay for full auto insurance coverage because their agent encourages them to. Others may start out with full coverage on a new car and keep it through the years even though their car isn't worth much anymore. 

Paying only for what you need can save you money on auto insurance. The law requires you to have liability insurance, and if you have an old car that isn't worth much, that's probably all you need.

Raise Your Deductible

The deductible is what you pay out of pocket on a claim before your insurance kicks in, and the higher it is, the less your insurer has to pay out. 

Professionals, like those at Metropolitan Insurance Service Consultants, know that this lowers the insurer's risk and makes your insurance premiums lower. Just don't raise your deductible so high that you would have trouble paying it if you file a claim.

Don't File Small Claims

If you have a $500 deductible on your insurance policy and you have $600 in damage to your car, it is better to just eat that extra $100 and pay to fix the car without filing a claim. 

Filing lots of small claims will end up costing you more money in the long run in the form of higher premiums.

These tips won't guarantee your car insurance premiums are lower, but they will increase the chance. 

When looking for car insurance, make sure you educate yourself on the process and learn all the ways you can reduce your premium costs.