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Homeowners insurance is supposed to cover catastrophes such as fires, hurricanes and a tree falling through the roof. But there are some much lesser problems that a typical insurance policy can cover.

Here are some of the surprising things covered by many home insurance policies. Check with your insurer first to see if youre covered for them:

Riot: Called a civil commotion by insurers, riots can include vandalism, fire and explosions, which are normally covered by home insurance. Having a state of emergency declared in your area because of rioting could make it easier to file a claim, as could a police report on damage to your home.

Volcano: If your home is in the path of an erupting volcano, your home is covered. Earthquake damage, however, isnt covered by most standard policies.

Dog bite: Up to $300,000 in medical care may be covered if your dog bites someone. Other claims, such as for pain and suffering in a civil lawsuit, may only be covered up to a certain amount or may require additional coverage.

Spoiled food: If a storm caused your power to go out and the food in your refrigerator is spoiled, your homeowners insurance should cover the cost of replacing the food. However, check if youll have to pay a deductible first and if its low enough to make filing a claim worthwhile.

Items stolen on vacation: Your belongings should be covered wherever you go by a homeowners policy, including on vacation under an off-premises provision. Had your laptop stolen in Lithuania? You should be covered. For more expensive items, such as a wedding ring, you may need to buy an additional rider to cover it.

Dorm theft: Just as your belongings are likely covered when youre on vacation, so are your childs things at college ” up to a point. A dorm room on campus may be covered by your homeowners policy, but off-campus housing may not be. The liability limits on a students belongings may be lower, so an expensive computer or bike may need to also be covered by renters insurance.

Gazebo: Your home is covered, and so is your entire property. This can include structures such as gazebos, storage sheds and patios. Tell your insurance company that you have such structures, and provide photos and other documentation such as work orders to show they exist and how much they cost.

Feel free to contact me for more real estate tips.

Published with permission from RISMedia.

Just as you want to put your best financial foot forward when applying for a mortgage to buy your first home, you also want to prepare your finances before refinancing a home loan.

A mortgage refi can pay for a kitchen or bathroom remodel, for example, or for something as simple as replacing a homes windows. A home equity line of credit or a home equity loan are two common ways to refinance, and preparing for the process can make the approval process smoother. You could even qualifyfor a lower interest rate on your home loan by improving your credit score.

Here are some things to do before applying for a mortgage refinance:

Check Your Credit Report
Federal law allows people to check their credit reports for free each year. Since there are three major credit bureaus”Experian, Equifax and TransUnion”consumers can check with each agency every four months for free.

Fix any errors you find, such as late payments that you have proof of paying on time. Eliminating any errors can improve your credit score and allow you to borrow more money at a lower interest rate.

Pay Down Debt and Save Cash
If your credit card balances are near your credit limits, pay the debt down so that its no more than 30 percent of your credit limit. Lenders dont like to see credit cards that are maxed out or close to it, and may consider you a credit risk if youre using most of your available credit.

Keep your credit card balances low for at least a few months before applying for a home loan refinance.

Also save as much money as you can in your savings account as a way to show that you can weather a financial storm such as a job loss or major medical cost. Having six months or more of expenses saved is a good goal.

Low LTV
If you owe more than 80 percent of your homes value, then you may be too high to qualify for a loan refi”or at least at a good interest rate.

A loan-to-value ratio, also called LTV ratio, is a lending risk assessment that was done before you applied for your original home loan. The more money you put toward a down payment, the lower the ratio and the lower risk you are considered to be. Buying mortgage insurance can help offset a high risk.

As part of a home loan refinance, a lender will order an appraisal of your homes value. Your real estate agent can help you prepare for this by giving you a rough estimate based on recent home sales in your area.

If you put down 20 percent toward the purchase price of your home, for example, then you owe 80 percent of its value, giving you an LTV of 80 percent. You could have more than 20 percent equity, however, if your homes value has risen. If home values have dropped in your neighborhood, then you may want to rethink refinancing for now.

Published with permission from RISMedia.

Paying off your mortgage early and living mortgage-free so you can use the money for other things”such as travel and an early retirement”can sound like a pipe-dream thats impossible to get to, but it doesnt have to be.

If you have a 30-year mortgage, there are a few ways to cut that time in half, or at least come close to it:

Add a Monthly Payment Each Year
This easy step will cut about three years off a 30-year mortgage by spreading out one extra monthly mortgage payment over a year.

Start by dividing your monthly principal and interest by 12 and add that amount to your monthly payment. At the end of the year youll have made 13 payments in 12 months.

Doing that with a $200,000 mortgage will pay off a 30-year mortgage three years and three months earlier, saving you $18,000 in interest on a loan at 4.5 percent interest.

Refi
Lets say youre five years into a 30-year fixed-rate mortgage, such as the one listed above at 4.5 percent interest for a $200,000 loan. Refinancing to a 15-year loan at 4 percent will pay off the mortgage 10 years earlier and save you more than $60,000.

Your monthly principal and interest will increase from $1,013 to $1,345, so youll need an extra $333 per month to be able to afford it.

Shorter-term mortgages often have lower interest rates, so only refi your loan if you can get a lower rate to make the refinancing costs worthwhile.

If you dont want to refinance but have the extra money each month to increase the payment, then you can pay off the loan in 15 years instead of 30 by making the extra payments. Just make sure to let your lender know that the extra money should go toward the principal.

Use a Windfall
If youve received an annual bonus at work, large tax refund or other financial windfall, putting it toward your mortgage can take a few years off the debt.

Making an extra $10,000 lump-sum payment toward the principal balance on our mortgage sample above would pay off the mortgage two years and four months earlier, saving you $19,000 in interest.

Downsize
Its a drastic move, but selling your home and downsizing to a smaller, less expensive home is another way to lower your mortgage debt.

The profits may allow you to buy a smaller home for all cash. At the very least, a smaller mortgage will allow you to pay it off quicker by making the same payments you did on your old house.

Qualifying for a Home Improvement Mortgage

Making improvements to your home can pay off in a few ways. Additions, upgrades and general property improvements can increase the value of a home, and make it more comfortable to live in.

Using your home loan as a home improvement mortgage to pay for repairs and improvements to a home can be an easy way to come up with the money without having to dig in your bank account.

Home equity loans and lines of credit are two of the most common ways to finance home improvement loans. Theyre secured by the equity in your home, have low interest rates, and the interest you pay is usually tax-deductible.

Home equity loans are a type of second mortgage. Theyre secondary to your primary mortgage, meaning if you dont pay your mortgage and face foreclosure, the secondary loan will only be paid after the primary mortgage is paid off.

The usual home equity loan provides a sum of cash you can spend as you want to, and is a fixed-rate loan repaid over 10 to 20 years.

A home equity line of credit, also called a HELOC, is a line of credit that can be drawn upon as you need it. HELOCs are typically adjustable-rate loans when youre borrowing money, but can be changed to fixed-rate when you pay them back.

To qualify for equity loan, you need home equity, credit and income. Youll need 25 to 30 percent equity in your home so that you can borrow from it and have enough money left for a financial cushion.

For example, if your home cost $400,000 and you owe $300,000 on it, you have $100,000 in equity, or 25 percent. You can borrow a portion of that $100,000 through a home equity loan.

Most home equity lenders will allow you to borrow up to 80 percent of the equity you have in your home. In the above example with $100,000 equity, youd be allowed to borrow $80,000.

A good credit score of 650 or higher is usually good enough to qualify. Youll also need enough income to cover your debt payments, which include your mortgage and new home equity loan. They shouldnt exceed 45 percent of your gross monthly income.

With those ideas in mind, remember to shop around for a home improvement loan. The loan doesnt have to be with your current mortgage lender, but can be with any lender.

Published with permission from RISMedia.

When its time to move your art collection, here are a few helpful tips to keep in mind.

Get Art Insurance

Before you do anything, make sure every valuable item is insured.

Art Handlers

Moving masterpieces is a serious undertaking, and there are services available to handle it every step of the way.

Qualified Movers

If you dont feel that professional art handlers are necessary, at the very least, make sure your moving company has experience with valuable items.

Climate-Controlled Storage

If your artwork needs to be stored before it can be moved into a new location, choose a facility that can provide climate-controlled storage.

Published with permission from RISMedia.

In addition to being unsightly, mold in your home can create numerous health problems, from breathing issues to skin irritations, fevers and more. Below are some tips for keeping your home mold-free.

Treat topically. Homeowners often have their own mold-murdering solution they prefer. Whether you prefer vinegar, hydrogen peroxide or bleach, clean surfaces monthly to keep mold growth under control. Make sure you research your topical solutions before applying them ” bleach to a painted wall can discolor it.

Add ventilation. In addition to removing mold when it pops up, adding ventilation to an under-ventilated space can be key in keeping mold at bay. Your bathroom and basement are prime mold spots, so decide whether or not you should add an extra window to open the space.

Seal spaces. A crack in your basement’s foundation may be the culprit of the mold popping up. Have an expert do a walk-through with you to point out problem areas and then plug them up to battle mold even when you’re off-duty.

Published with permission from RISMedia.