Based on the kind of person that you are, you may be the kind of home owner who is always saving for the future and taking care of both large and small problems as they occur or constantly being overwhelmed by the day to day and month to month tasks of maintaining a home. Unfortunately, if you are a reactor rather than a planner, you may constantly find yourself going from one home emergency to another. And while some of these emergencies may be simple and inexpensive to repair, the problem with being a reactor is that you might let small things go until they become a big problems.
Obviously, being a planner is a better idea, but not all of us have the kind of personality that lends itself toward these tendencies. If you are someone who is not good at planning your routine home maintenance, then it might be in your best interest to have a list of plumbers, electricians, and HVAC contractors who you can call when things are not going well.
Another option that works well for many home owners is to pay for a contract with a home warranty company that will provide the services that you need for many minor repairs. The cost of parts are sometimes covered as well. Understanding the specifics of these home warranties, of course, is key to making sure that you are getting the help that you need.
Today’s Financing Options Can be Confusing
When all else fails, however, you may have to consider taking out a loan. Fortunately, there are loans that are available for many purposes. From home mortgage loans that help people afford major expenses like a new HVAC system, roofing, or siding, to recreational vehicle loans, there are ways to get a hold of the funds that you need. If, for instance, you want to create a home away from home when it comes to vacation time, there are many times when recreational vehicle loans are the best option.
With a home equity line of credit, property owners can make the most of their own money. Instead of having to pay someone else for the use of their money, there are are some kinds of loans that allow you to capitalize on the investment in your home that you have already made.
The latest economic research indicates that as many as 88% of home buyers have a mortgage, and further research would indicate that many of these mortgages are also helping fund additional expenses that a home owner may have. And while seven in 10 people have at least one credit card, many of these credit cards have rates that are much higher than what might be available through a home mortgage loan.
Let’s say, for instance, that you are interested in a year or tow of travel. The decision to take out one of the available recreational vehicle loans might be tempting, but there is another option as well. For example, with the latest shared economy options, it might be possible for you to rent out your own home and use those funds to pay your regular mortgage. With the current value of what you have already invested in your home, you may be able to get the recreational vehicle loans that have the best rate and make that smaller payment, while your renters are making your house payment. In the meantime, you can vacation and relax for this lengthy break as you travel the country in your new RV. When finished with the year or two of travel, you can make the decision to sell the RV or keep it and continue paying on the loan. All the while, however, you have been paying down your traditional home loan with someone else’s money.
Whether you are a planner or a reactor, there are financing options available. Not surprising, however, the planners are often able to find more affordable financing options. Just as you are twice as likely to find free checking at a credit union than other financial institutions, it is often in your best interest to plan ahead whenever you can so that you can choose from a wide range of available options. The future is often unpredictable, but with foresight you can be prepared.
