A new retirement study provides further evidence that a growing number of Americans are at risk of a diminished standard of living once they stop working. The Center for Retirement Research shows 43% of working households were in danger in 2004 of having too little income to fund their retirement. But the study probably understates the proportion of retirees at risk. Its projections assume that people retire at age 65, cash in on their home equity through a “reverse mortgage” and exchange their assets for a stream of income by […]

There are many things to consider when purchasing a new home. Too often individuals seem to rely on what a mortgage broker tells them what they can afford when buying a home. There are some serious considerations to think about regardless as to what you here from everyone else. The thing that I have noticed among many of my young clients is that they get into the largest house possible without consideration as to the over all costs that will be required to be paid. According to the American institute […]

In looking at the most recent statistics among most Americans, one cannot feel frustrated about current trends. Many people are simply juggling their debt around with no thought of the consequences. Many people have decided to use their home as a bank, and when that has tapped out, they then decide to use credit cards. Then individuals have refinanced and started the process all over again. Amidst the refinance boom, households are experiencing high levels of debt accumulation. According to a Demos analysis of the Federal Reserve’s Survey of Consumer […]

The Millionaire Next Door says that one of their rules to wealth-building was to buy a house worth two times your annual income or less. This is an exceptional idea that few people are following. It could be argued that with the decrease of long term rates that three times a persons salary is the most one would pay for a home using a 30 year mortgage. Another method would be to determine the percentage of a person’s mortgage payment amounts to the monthly total after tax income. Most people […]