Jeff Cost

Cincinnati Home Loan

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The Low Down On Heating And Cooling Your Home

February 7, 2014 by Jeff Cost Leave a Comment

The Low Down On Heating And Cooling Your HomeIf the temperature in your home is too hot at night, then you can’t sleep. If it’s too cold during the day, then you have to wear excessive layers.

Everyone has his or her own idea of the ideal temperature, but to keep it on that perfect number can get expensive. So, below we’ve outlined five ways you can take care of your heating and cooling system and help it run more efficiently.

1. Set It And Forget It

To maximize the effectiveness of your heating and cooling systems, you need to program your thermostat and refrain from changing it. Adjusting the thermostat makes your system work harder.

The best way to avoid tempting temperature changes is to choose a thermostat that fits your schedule, such as one with 7-day, 5-1-1, 5-2 or 1-week programming options.

2. Clean The Air Ducts

Even though your air filter catches most dust, over time debris can build up. The accumulation of dirt can restrict airflow throughout your ducts and even start blowing particles out of your registers.

Check inside the ducts and if there is any mold, dead insects, rodent feces or a thick layer of dust, then consider hiring a professional to do a deep cleaning.

3. Put Your Ceiling Fans To Work

Ceiling fans can help with heating and cooling by distributing the flow of air throughout your home. Most fans are reversible, which means they can push air down in summer to create a nice breeze and pull air up in winter to aid in circulating the heat. To change the direction of the fan’s rotation, look for a switch on its base.

4. Replace Your Air Filter

It’s standard to change your air filter every 90 days. However, you should take a peek at it every month. If it looks grimy and clogged, then go ahead and change it.

Also, consider investing in high-efficiency pleated filters. They have an electrostatic charge that grabs onto even the smallest dirt specks.

5. Consider Booster Fans

If one room in your house is always warmer or colder than the rest of your home, it might not be your HVAC system. It could be the ductwork. The twists and turns of air ducts, especially in older homes, can reduce airflow.

Booster fans are easy to install and do exactly what their name implies. They boost the flow of air to the part of your home in need of more heating or cooling. 

Filed Under: Around The Home Tagged With: Around The Home,Heating and Cooling,Thermostat

Can I Get Cash Out From My Home Right After I’ve Purchased It?

February 6, 2014 by Jeff Cost Leave a Comment

Can I Get Cash Out From My Home Right After I've Purchased It?Generally when you are purchasing a home, you are buying below the appraised value and you are making a down payment. The good news is this means you have “instant equity” in your home.

For some homeowners, this means may be considering taking cash-out from your home equity in order to pay off credit card bills, purchase a car or pay for college for one of your children. However, it is important understand, this may not be as simple as it sounds.

Cash Out Refinance, Equity Loan Or Second Mortgage

There are three basic ways to access the equity in your home which are common these include:

  • Cash Out Refinance – you refinance your current mortgage and you request cash-out for the equity. For example, if your home is worth $200,000 and you have a current mortgage of $100,000 you may be able to access an additional $60,000 to $70,000 in cash depending on your lender’s requirements.
  • Home Equity Loan – a home equity loan is typically a line of credit that you take out with your local bank. These loans are typically what are known as “revolving” where you can access the funds over and over again as you make payments. Home equity loan interest payments are generally not tax deductible.
  • Second Mortgage – in order to qualify for a second mortgage on your home, the lender would require you to meet specific credit requirements as well as certain debt-to-income ratios. Generally, new mortgage borrowers will not qualify for a second mortgage.

In most cases, lenders will require borrowers to have had their mortgage at least one year before they are allowed the option of any type of cash-out refinance.

What’s So Special About One Year?

The one year may seem subjective but there are some important things to keep in mind. When you applied for your original mortgage, your lender based their decision on your existing credit.

Before you can take cash out, you may need to demonstrate a history of making your mortgage payments on time, as agreed.

While you may already have a substantial amount of equity in your home, lenders are taking an additional risk if you are allowed to “tap into” that equity. Before you make the decision to access the equity, talk to your lender regarding possible restrictions including prepayment clauses.

Filed Under: Homebuyer Tips Tagged With: Homebuyer Tips,Home Equity Loan,Second Mortgage

Overpay On Your Mortgage Or Add To Your Savings, This Is The Question

February 5, 2014 by Jeff Cost Leave a Comment

Overpay On Your Mortgage Or Add To Your Savings, This Is The QuestionSo you find yourself with a little bit of extra money – perhaps due to a raise, an inheritance or an unexpected windfall?

Should you put all of your money toward paying down the mortgage on your home? Or would you be better off placing your extra cash into a savings account?

Deciding whether to pay down your mortgage or add to your savings is a complex choice and it depends on a number of factors in your personal financial situation.

Here are some of the things that you will need to consider when making the decision:

How Much Are Your Savings Earning?

Take a look at the savings accounts where you are keeping your money and assess the interest that your savings are earning. Is your money earning more in savings than you would save by paying down your mortgage earlier?

Does Your Mortgage Have Overpayment Penalties?

Some mortgage lenders will charge you a fee if you try to repay your mortgage earlier than the agreed upon term. Check with your lender to find out and calculate whether the extra costs will outweigh the benefits you get from overpaying your mortgage. If they do, put your windfall in savings instead.

What are Your Other Debts?

It doesn’t make sense to be overpaying on your mortgage if you have a lot of credit card debt that is charging you an enormous amount in interest. Prioritize your high-interest debt first before you think about overpaying on your mortgage.

Do You Have An Emergency Fund?

You should always have an emergency fund in cash that will protect you from having to use expensive credit card debt if an unexpected payment comes up such as a burst pipe or a flat tire on your car or if you lose your job.

A good rule is to have the equivalent of three to six months of savings in a bank account just in case you need it. This is a first priority and only when you have this emergency fund established should you consider overpaying on your mortgage.

These are just a few of the important factors that you should consider when deciding whether to overpay the mortgage on your home or place the money in savings. For more information, contact your trusted mortgage professional.

Filed Under: Mortgage Tips Tagged With: Mortgage Tips,Homebuyer Tips,Overpaying For Mortgages

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Jeff Cost
Sr. Loan Officer

Cincinnati, OH Mortgage Lender
NMLS# 21688


jeffrey.cost@ccm.com

Call (513) 403-6260
Fax (941) 567-5222

Cross Country Mortgage

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