Recently, many people have argued that we will not return to lower mortgage rates. That it is not possible to return to low mortgage rates. The thing is, when they say that, they always think of 3% mortgage rates, maybe 4%. In reality, mortgage rates could fall significantly from current levels while remaining much higher … Read more
If you’ve been home shopping since early 2022, when mortgage rates rose, you’ve probably encountered redemption. Buydown is used to reduce a buyer’s mortgage rate, either temporarily or permanently. This can make the mortgage payment cheaper for the first few years of the loan term, or for the entire 30 years. These buyouts serve as … Read more
Published on: June 12, 2024 Imagine you need to cover an unexpected expense, perhaps a car repair or medical bill. Should you use a personal loan or a credit card? Credit cards and personal loans offer a way to quickly access funds, but they are not one-size-fits-all solutions. Let’s take a look at the difference … Read more
Published on: June 14, 2024 Secured and unsecured loans are two broad categories of loans with one major difference: the need for collateral. For example, when purchasing your dream home, you might consider applying for a loan, but notice that the interest rates on home loans are significantly lower than on personal loans. Why then? … Read more
When applying for a loan, lenders consider several factors to ensure that you are a responsible borrower who can comfortably repay your debt. Lenders will only lend you money if they know you can repay them, but how can you be sure? This is where the debt-to-income ratio (DTI) comes into play. It’s a factor … Read more
Although mortgage rates have already seen some improvement since the election dust settled, they remain quite high. At last glance, the 30-year fixed rate was hovering around 6.875%, down about 0.25% from its recent highs. It’s been a good few days, but rates are still at least 0.75% higher than they were in mid-September. Why … Read more
Have you ever wondered why you pay interest on a loan or earn interest on your savings? It all depends on interest rates. Interest rates affect everything from mortgage and auto loans to the financial activities of businesses and governments. When you borrow money, you pay a fee to use it for a certain period … Read more
MSMEs are important to the country’s economy as they drive innovation, create jobs and contribute to GDP. MSME loans provide funds for MSME expansion or for carrying out day-to-day operations. However, the cost of these loans depends on the interest rate, which influences the financial health of MSMEs and their ability to grow. MSME owners … Read more
Published on: August 5, 2024 Personal loans generally have a repayment term of between 12 and 60 months, or even longer in some cases. However, it may happen that the borrower decides to repay the loan before the end of this period. Commonly called foreclosure, this process involves settling a loan before its due date. … Read more
It’s a story as old as time. Someone is trying to time the market, but failing miserably. Then, they either miss out completely or chase an opportunity that no longer exists, and in doing so, they may overpay. Recently, over dinner, a friend told me a story that seemed worth sharing. These were two families … Read more