In recent years, millions of homeowners have taken advantage of low rates and refinanced their mortgages. This article describes the advantages and possible pitfalls associated with a “refi.”   Before You Start:   Remember that refinancing to reduce debt can be a smart move, but refinancing in order to borrow more for consumer purchases (car, vacation, etc.) could set you back significantly. Read the fine print on your current mortgage to learn whether you’ll be [...]

Before touring homes for sale, it’s important to start off with a budget on how much you can afford to spend. Knowing what monthly mortgage payment you can handle will also help you narrow the field so you don’t waste time touring homes that are out of your reach.   How to start The key factor in figuring how much home you can afford is your debt-to-income ratio. This is the information lenders use to [...]