Homes for Sale in Utah

The subprime market failed because many people took advantage of a good thing to create a money stream that was more on paper than real and they chose to put in their pocket instead of letting it build. With the use of the equity and appreciation of the home they soon learned the follies of second and third mortgages. I can blame much of this on greed and a misunderstanding of the purpose of home ownership. Here is what I recommend. Get a 30 year fixed mortgage and plan to make one additional payment on the mortgage annually. For example; you currently are paying $1348.94 for principle, interest, taxes and insurance, 12 times a year. Well, just make a 13th payment within those twelve months. This will convert your 30 year mortgage into a 22 year mortgage, saving you thousands of dollars over the life of the loan. Be certain to direct your bank or loan servicer what to do with the extra payment, “put it all on the principle”.This is the kind of creativity one needs to consider when buying a home not the earlier described use of creativity. This is how you build wealth overtime but it remains on paper. The joy of turning 30 years into 22 years is indescribable and is like freedom one has never experienced. Remember to avoid the second and third mortgage trap unless you have the knowledge and ability to harness the burden. Oh! one final thing, this works well in all kinds of markets up or down and allows you the freedom years ahead of time to negotiate if you must sell. You will not find yourself upside down (owing more than the home is worth). EVER!