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A job loss can be devastating, especially if it happens unexpectedly and you dont have a lot of money saved and cant find another job right away. Aside from the anxiety associated with being out of work and trying to find a new job, theres typically an added level of concern when it comes to figuring out how to manage your mortgage so that you dont fall behind on your monthly payments.

Insurance Coverage Against Job Loss
If you have mortgage insurance, the policy might include coverage in case of unemployment. Depending on the terms of your policy, mortgage insurance might cover your loan payments, taxes and homeowners insurance premiums for a limited period of time. Review your policy or contact your insurance company to ask about coverage.

Options Available Through a Private Lender
If you think youll be unable to make your mortgage payments on time, or you can only pay a portion of whats due, contact your lender immediately. Explain your job loss and financial circumstances over the phone and in a hardship letter. The lender will appreciate that youre being honest and attempting to handle the situation responsibly. More often than not, theyll be willing to work with you by providing a range of options to keep you in your home.

Forbearance is one option your mortgage lender may offer you. Many major companies offer forbearance programs, which could allow you to lower your monthly payments for a period of time”or temporarily avoid payments altogether.

The lender might also suggest a mortgage modification that would permanently change the terms of your loan. A mortgage modification might add missed payments onto the loan balance so that they can be paid at the end of the repayment period, or it might adjust the interest rate or extend the length of the repayment period.

If your financial situation looks bleak, you might decide that you would be better off walking away from your home and renting an apartment or moving in with friends or family. In that case, your lender might agree to a short sale, in which you would sell the house and the lender would accept whatever amount was received, even if it was less than the balance owed on the mortgage.

Help From the Government
If your mortgage was obtained or guaranteed by a government agency, such as the Federal Housing Administration, Fannie Mae, Freddie Mac, the Department of Veterans Affairs, or the Department of Agriculture, you may qualify for a mortgage assistance program through the federal government. Terms vary depending on the agency involved and the homeowners situation.

Dont Panic
If youve recently lost your job, youre most likely worried about how youll cover your mortgage. That concern is understandable, but dont let fear overwhelm you. Many people have wound up in similar situations, and help is available. Contact your mortgage lender and the government to explore your options.

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

Published with permission from RISMedia.

Homeownership is a dream for many people, but some take on more debt than they should. If you’re thinking about buying a house, consider your income and current and potential expenses.

How Mortgage Lenders Decide How Much Applicants Can Afford
Lenders look at the total gross income of all individuals applying for a mortgage. This can include income from work, alimony, child support, disability benefits and Social Security.

Lenders typically allow borrowers to devote 28 percent of gross income to pay for a mortgage and associated costs, including taxes and insurance. Some lenders accept higher percentages. Where you live and your credit score will affect your interest rate, taxes and insurance premiums.

Lenders also consider applicants’ debt-to-income ratios. Debt can include loans, credit card balances, child support and other recurring monthly bills. Mortgage lenders generally want applicants to have a debt-to-income ratio at or below 36 percent of their monthly gross income.

The amount of a down payment affects the total amount borrowed. Many lenders require 20 percent, but some accept much lower down payments.

Don’t Borrow Too Much
A lender may approve you for a large mortgage because your situation looks good on paper, but that doesn’t necessarily mean you should borrow the full amount. You could face other expenses and lifestyle changes in the future.

Companies can lay off workers, restructure or go out of business at any time. Ask yourself if you would be able to find another job in your field with a comparable or higher salary in your area in a short period of time.

If you buy an older home or one that has not been well maintained, you might encounter a host of expensive problems. Appliances can break, a roof can leak, a foundation can crumble and pipes can burst. It would be better to borrow less than the lender approves you for and set aside money each month to cover repairs that will inevitably be needed.

If you have or plan to have children, consider all the potential expenses associated with raising and educating them. Even in the best of circumstances, raising kids is expensive. If a child has medical needs, you could face high bills and might be unable to continue working full-time. If you want to contribute to your children’s college education, factor that into your budget.

Don’t devote so much of your monthly income to your mortgage that you can’t afford to save for retirement. That could leave you with a big house that is paid off, but not enough money to cover food, medical expenses, maintenance and utilities when you are a senior citizen.

Proceed With Caution
When going through the exciting process of searching for a home, it’s easy to get carried away. You might fall in love with a house, but you need to keep a firm grip on reality. Consider possible future expenses and life changes and play it safe to avoid getting in over your head.

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

 

Published with permission from RISMedia.

Water conservation isnt only good for the environment; its also good for your bank account. According to the U.S. Environmental Protection Agency (EPA), easy-to-fix leaks in homes across the country waste a total of almost 1 trillion gallons of water every year. Furthermore, because the average leaky home wastes about 10,000 gallons annually, leaks could be costing you at least 10 percent more on your water bills”without you even knowing it.

Are pesky water leaks hiding in your home? To find out quickly, take the EPAs 10-minute challenge to search for common leaks using the agencys room-by-room checklist below:

BATHROOM
Toilets: Conduct a leak test by putting a few drops of food coloring in the toilet tank and letting it sit for 10 minutes. If color shows up in the bowl, you have a leak and might need to replace your toilet flapper. (Make sure to flush after the test to avoid staining the tank.)

Faucets: Listen for drips, and turn on the tap to check for water going the wrong direction.

Showerheads: Turn on the shower, and look for drips or stray sprays that can be stopped with pipe tape.

In the tub: Turn on the tub, then divert the water to the shower and see if theres still a lot of water coming from the tub spout; that could mean the tub spout diverter needs replacing.

Under the sink: Check for pooling water under pipes and rust around joints and edges.

LAUNDRY ROOM
Clothes washer: Check for pooling water, which could indicate a supply line leak.

KITCHEN
Faucet: Listen for drips, and tighten aerators or replace fixtures if necessary.

Sprayer: Check to make sure water is spraying smoothly, and clean openings as needed.

Under the sink: Check for pooling water under pipes and rust around joints and edges.

Appliances: Check for pooling water underneath dishwashers and refrigerators with ice makers, which could indicate a supply line leak.

BASEMENT/UTILITY ROOM
Water heater: Check beneath the tank for pooling water, rust or other signs of leakage.

THROUGHOUT THE HOUSE
Check for signs of moisture or mold on your walls, ceilings or floors. This could indicate that a pipe is causing trouble behind the scenes and requires the attention of a professional.

In addition to the 10-minute checklist, the EPA also suggests looking at your water bill. If a family of four uses over 12,000 gallons of water during a colder month, such as January or February, the house likely has a major leak problem. Compare your utility bills to see if theres a random jump in monthly water usage, as well.

Many household water leaks, such as running toilets or dripping faucets, are simple to fix. You can read a DIY book or watch an instructional video online, then take a quick trip to your local hardware store for supplies. Cracking down on leaks can help your community conserve water and, better yet, ensure your money isnt going down the drain.

Published with permission from RISMedia.

The future is now. Many homeowners across the country have embraced technological advances and incorporated them into their everyday lives. Thermostats, lighting, locks, security cameras, washing machines and more all come available as internet-connected devices and can be combined in a house to create whats been dubbed a smart home.

The added convenience of these devices, however, has also created new opportunities for cybercriminals. To help protect your smart home, the security experts at Norton offer the following tips:

1. Name your router. Your WiFi router is like the front door to your smart home, so dont stick with the name the manufacturer gave it, which might identify the make or model. Give it an unusual name not associated with you or your address. You dont want your router name to give away any personal identifiers.

2. Use strong WiFi encryption. In your router settings, its a good idea to use a strong encryption method, like WPA2, when you set up WiFi network access. This will help keep your network and communications secure.

3. Change default usernames and passwords. Cybercriminals probably already know the default passwords that come with many smart products. That makes it easy for them to access the devices and, potentially, the information on them.

4. Use solid passwords for WiFi networks and device accounts. Avoid common words or passwords that are easy to guess, such as password or 123456. Instead, use unique, complex passwords made up of letters, numbers and symbols.

5. Check the device settings. Your smart devices might come with default privacy and security settings. You might want to consider changing them, as some default settings could benefit the manufacturer more than they benefit you.

6. Disable features you might not need. Smart devices come with a variety of services such as remote access, often enabled by default. If you dont need a feature, be sure to disable it.

7. Keep your software up to date. When your smartphone manufacturer sends you a software update, dont put off installing it. It might be a patch for a security flaw. Mobile security is important, since you may connect to your smart home through mobile devices. Your home device makers may also send you updates, or you might need to visit their websites to check for them. Be sure to download device updates to help stay safe.

8. Audit devices already on your home network. It could be time to upgrade that old security camera. Take time to check if newer models might offer stronger security.

9. Use authentication. Two-factor authentication, such as a one-time code sent to your cellphone, can keep the bad guys out of your accounts. If your smart-device apps offer two-factor authentication, or 2FA, use it.

10. Avoid public WiFi. When managing your smart home remotely, its not a good idea to use public WiFi networks, as they can be very vulnerable. If you choose to use public WiFi, consider subscribing to a virtual private network (VPN) for additional security.

Published with permission from RISMedia.

Are you a bookworm? Do you want to give your home a chic update using what you already own? Perfect. Below are five tips for turning your favorite books into accents, centerpieces, and more.

Stacks on stacks. Stack books on end tables, counters and coffee tables that seem a bit naked on their own. Curate a small grouping”odd numbers work best”and stack or fan them in a way that’s pleasing.

Fill the fireplace. What can you do with your fireplace during off-season months? Fill it with books, that’s what! Stack an appealing group of books up high, add a potted plant or two and boom, you’ve turned a dead space into a book nook. Just be sure to clear them out when winter comes.

Color by room. This works best for people with a huge reading collection. Simply organize and arrange your books by color. You can segregate all your earth- and fire-toned books into a room that could use some natural accents, pile your crisp and clean colors into that all-white guest room, stack those daisy-yellow reads into the sunroom, etc.

Color by shelf. If you have a massive book shelf in one room and want to keep your family of books together, you can organize them by color in one place, much like you might with your clothes closet. One shelf for those bright greens and blues, another for pastels, another for blacks, and so on.

Create a tower or table. Find several wide books of the same size and heft, stack them on top of each other next to a low-lying bed or sofa, and boom: a side table! Top them with a vase of flowers and voila ” an accent extension.

Published with permission from RISMedia.