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If you need money for an important project, you might be able to finance it by accessing the equity you’ve built up by paying your mortgage. A home equity loan and a home equity line of credit (HELOC) are two options. Before you decide to use either, make sure you understand the key differences between the two”and when it makes sense to utilize one over the other.

What Equity Is and When to Use It
Your homes equity is the current value of your house minus the balance owed on the mortgage. The amount you can borrow through a home equity loan or HELOC will depend on the lender and the amount of equity you have.

Before you decide to access your home equity, make sure you want to use the money for a legitimate purpose. Repairs or renovations that will increase your homes value can be a wise investment, but you shouldnt use your home as collateral to finance a vacation or to pay off a credit card bill from a shopping spree.

You also shouldnt borrow the total amount that a lender will allow just because you can. Using your home as collateral is risky. If you borrow more than you can pay back, you may lose your home to foreclosure.

Home Equity Loan vs. HELOC
With a home equity loan, you’ll receive a lump sum up to the amount the lender will allow. And you’ll have to pay the money back with monthly payments. The interest rate on a home equity loan is typically fixed, so your payments will remain stable, which can help with budgeting. The downside of a home equity loan is that if you borrow a large portion of your homes equity all at once and then the housing market suffers and your home loses value, you may wind up with little or no equity left.

A HELOC is more like a credit card. You’ll have a line of credit up to the amount determined by the lender, and you can use that credit to make several purchases in various amounts at different times. A HELOC often has an adjustable interest rate, and you only pay interest on the amount of credit you use. Your monthly payments may vary significantly depending on the interest rate and the amount of money you spend. You might be able to apply a fixed rate to part of the balance and make payments that are only used to cover interest.

Should You Borrow Against Your Homes Equity?
A home equity loan or HELOC can help you use the equity you’ve accumulated to finance long-term goals, but they should be used responsibly. Before you tap into your homes equity, make sure you’re doing it for the right reasons. Only borrow what you need, and be sure that you understand the terms and will be able to afford the monthly payments.

This article is intended for informational purposes only and should not be construed as professional or legal advice.

Published with permission from RISMedia.

If youre a homeowner, odds are you dont enjoy sifting through your mail and coming across your mortgage bill every month. So just imagine your shock and dismay if you opened the envelop, only to discover that your payment has inexplicably gone up. Conversely, youd probably get excited and shout woohoo! if your payment went down, right?

There are several reasons why a monthly mortgage payment might change, and some homeowners might get confused when it happens. According to the Consumer Financial Protection Bureau, here are five common reasons your payment could go up or down:

1. You have an adjustable-rate mortgage (ARM) and the interest rate changed. Check the type of mortgage you have. Some homeowners believe they have a fixed-rate mortgage loan, when their loan actually includes an adjustable rate. Many ARMs will start at a lower interest rate than fixed-rate mortgages, but when this introductory period is over, the interest rate will change, and the monthly payment will likely to go up.

2. You have an interest-only or pay-option loan and youre starting to pay principal. With these loans, you can postpone making principal payments for a while. That means that, for a period of time, youre only paying off the interest thats accumulating on the amount you borrowed to pay for your home. Eventually, you have to start paying principal, or the actual amount you owe on the home, and thatll make your monthly payments go up.

3. You have an escrow account to pay for property taxes or homeowners insurance and those expenses changed. With an escrow account, you pay certain property-related costs through your lender or servicer, little by little every month, instead of getting a big bill once or twice a year. Your property taxes and insurance premiums can fluctuate, and if they do, your monthly mortgage payment will change accordingly.

4. You were charged new fees. Your mortgage servicer may have charged you fees that increased your monthly payment. Check your monthly mortgage statement or any correspondence you recently received from your lender or servicer.

5. Its also possible that your servicer simply made a mistake. If you think your servicer made a mistake, call the company to check and request a corrected statement. If your servicer doesnt fix the problem over the phone, send a notice of error to the company explaining why you think it made a mistake in calculating your loan payment. Make sure you send the letter to the address your servicer uses for errors and information requests. This address should be listed on your statement or the servicers website”it might be different from the address where you send your payments.

These and several other reasons can cause your monthly mortgage payment to go up or down. You may receive a notice before changes occur, and make sure to check your billing statement for an explanation. If you still dont understand changes to your payments, or you suspect an error, call your mortgage servicer immediately.

Published with permission from RISMedia.

More and more homeowners are embracing green living. That can mean making substantial changes within the home, but the good news is that using environmentally friendly materials doesnt require compromising your design aesthetic. In fact, there are plenty of stylish and sustainable options for the whole house.

If youre remodeling your kitchen or bathrooms in the near future, consider these materials for eco-chic countertops that are sure to impress any potential buyers:

ECO by Cosentino
Cosentino is world-renowned for producing high-end surfaces, and the companys ECO line is no exception. As stunning as it is impressive, ECO is made from 75 percent recycled materials, such as glass, porcelain and earthenware. The result is a low-maintenance surface that reduces landfill waste and saves natural resources.

FSC-Certified Wood
Butcher block is both timeless and practical. When you use FSC-certified wood, its also an eco-friendly surface. The Forest Stewardship Council ensures that forests around the world are managed responsibly while guaranteeing that the wood has been sourced in a manner thats environmentally and socially responsible.

Durat
Durat countertops are stylish and durable, but, best of all, this surface is made from post-industrial plastic waste that would otherwise end up in a landfill. A sleek kitchen that reduces the burden on the environment is a win-win that you can feel good about with every meal you prepare.

RichLite
Made from 100-percent recycled paper, RichLite is an ideal material for kitchen countertops, and pretty much anything at all (its even used for exterior cladding). The composite material is available in a wide variety of colors and could easily pass for a stone surface, giving your kitchen a breathtaking look thats also sustainable.

IceStone
IceStone has been a leading surface for eco-friendly consumers for over a decade. Its terrazzo-like appearance is due to the fact that the material is made from recycled glass, Portland cement and non-toxic pigments. While it comes in an assortment of exciting colors, the one knock against IceStone is that its somewhat porous and should be resealed annually.

Published with permission from RISMedia.

A fresh coat of paint can give new life to a home. Whether youre a seller aiming to impress potential homebuyers, or you just want to change things up, painting is an easy and effective way to revamp your homes look for relatively cheap. That said, a bad paint job that results in uneven edging, stained floors or peeled paint can inadvertently make a home less attractive, making the whole effort counterproductive.

According to HomeAdvisor, you can avoid common DIY painting problems by taking these four simple steps:

Step 1: Choose the Right Paint. Most paint falls into two categories: water-based and oil-based. Water-based paint is easy to clean up, resistant to fading and works with different materials. Oil-based paint requires more cleanup and prep time, but works well for specialty jobs like painting wallpaper.

Accidentally choosing water-based paint over of an oil-based paint”or vice versa”wont ruin your painting job. But mixing outdoor and indoor paint will negatively affect the outcome of your project. If youre unsure which paint to use, ask an employee at your local hardware store.

Step 2: Prep Your Job. Many failed painting projects stem from a lack of preparation. Heres how to prep like a pro:

• Lay down drop cloths. Set up drop cloths first. Spills, drips and dust are inevitable during a painting project.
• Spread your Spackle. Use Spackle or another paste product to fill in any holes or cracks in your wall.
• Sand the walls. Gently sand your wall before applying any paint or primer. A rough surface will help your paint stick to the wall.
• Prime the walls. Previously painted surfaces dont need a primer. If youre working with a raw or rough surface, such as concrete, wood, plaster or drywall, primer is necessary. After your primer has dried, sand it down before adding your finishing paint.
• Tape off no-paint zones. Use painters tape to cover areas you dont want to paint, such as trim, outlets and molding. Run a putty knife over your tape to eliminate any air bubbles.
• Cutting in the corners. Cutting in means painting out several inches from your baseboards, window frames, outlets and door frames. Tackling hard-to-reach areas first will make it easier to paint larger areas later.

Step 3: Use the Right Tools. Before you begin painting, research the tools youll need to complete your project. If youre painting an exterior, youll be covering a bigger area. Larger rollers and paint sprayers will help you cover wider areas in less time. Outdoor painting also requires flat and angled brushes for cutting in and covering tight spaces. For indoor jobs, use flat and angled brushes to cut in tight spaces and smaller rollers to cover walls.

Step 4: Paint the Right Way. Begin in the middle of your ceiling and move outward, painting from side to side. After your ceiling is dry, cut in around the ceiling line, windows, doors and moldings. Then, use your roller to paint the rest of your walls.

Published with permission from RISMedia.

Feeling connected to nature has myriad physical and mental health benefits, from improved air quality to reduced stress levels. In our busy lives, however, it can be a bit challenging to cut down the screen time and immerse ourselves in the natural world. If youre looking to feel more in touch with the great outdoors, here are five ways you can bring it into your home and improve your living space.

Potted Plants and Trees
Theres really no such thing as having too many plants in the house. Studies have suggested that they can boost your immune system, decrease blood pressure and even improve your sleep cycle. Plus, they just look nice around the home.

Natural Materials
Using an abundance of organic materials, such as wood and stone, throughout the house can allow it to feel at one with the outside world. There are plenty of other ways to introduce earthy textures when decorating, like a Jute rug made from natural fibers or bamboo furniture.

Oversized Windows and Doors
Floor-to-ceiling windows and large glass doors are an excellent way to capture the sensation of having nature in your home. Theres a calming effect that comes about when natural light floods your living room, and you can enjoy a view that showcases your surroundings.

Outdoor-Inspired Decor
So you dont have a wide-open view of rolling hills and towering trees? Try decorating your home with a nature-inspired motif, like floral-patterned upholstery or wallpaper depicting a landscape. Surrounding yourself with scenes and colors from the outdoors can be the next best thing when youre feeling stuck inside.

Natural Aromas
Filling your home with the fresh scents of the outdoors is a surefire way to feel more connected to Mother Nature. That can mean keeping flowers around the house or using essential oils that are relaxing and have a positive impact on your mood, like lemongrass, eucalyptus or lavender.

Published with permission from RISMedia.