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Published with permission from RISMedia.

If you’re overwhelmed by the cost of your mortgage or the amount of time you spend cleaning and maintaining your home, or if your kids have moved out and you have more space than you need, you may be thinking about downsizing. While there are many advantages associated with moving to a smaller house, there are some potential disadvantages you need to be aware of before making a final decision.

Reasons to Downsize
Most people who downsize do so to save money. There is no reason to make high monthly mortgage payments for a house with rooms that sit empty. Moving to a smaller home can help you dramatically lower your mortgage payments and save money each month. A smaller house will also likely have much lower utility bills. The money you save can be used to invest for retirement, take vacations, pursue a hobby or help others in need.

Downsizing can save you time. Fewer rooms means less cleaning. If you move to an apartment or condo, your landlord or management company will likely handle maintenance, landscaping and repairs, which can save you even more time.

If your current home is cluttered with possessions you have accumulated over the years, downsizing will force you to get rid of things you no longer need and to become better organized. If you often spend too much money on new clothing and household items, you’ll be less likely to do that if you move to a smaller home because you simply won’t have enough space to store them.

Downsides to Consider
If you enjoy hosting parties or large holiday gatherings, you won’t be able to do that as comfortably in a smaller house. Think about whether that is a change you and your family would feel comfortable making.

Some people find a smaller home cozy, but others feel cramped. Downsizing generally means having significantly less storage space. That means you’ll need to eliminate unneeded possessions and buy less when you go shopping. You can save space by using furniture with built-in storage and digitizing important documents, photos and even your music collection. Even if you prefer the greater simplicity and organization of a smaller space, it will still take time to get used to the change.

Many people take pride in having a large and impressive home. If that’s important to you, you may feel a loss of prestige if you downsize. Even if your family and friends love your new house, you may be tempted to compare your home to theirs and experience negative feelings.

Is Downsizing Right for You?
Moving to a smaller home is an excellent way to save money and to simplify and organize your life. Downsizing is also a major adjustment. Before you make the decision to find a smaller home, think about the many ways in which your life would change”and consider how you and other members of your family would feel about your new lifestyle. If you decide that downsizing is right for you, it can be the beginning of a rewarding new life.

Published with permission from RISMedia.

If you plan to lead a conventional life, odds are you will need insurance. Youll need health insurance, car insurance, and eventually home insurance. The latter is often the most perplexing since we have no prior experience with it as we do with health insurance.

What exactly is home insurance and how bullet-proof is your coverage? For starters, home insurance, in theory, provides you with financial protection against disasters. These disasters can involve your home, the contents of your home, or any liabilities within your property that could lead to a lawsuitlike when your dog bites the pizza delivery guy.

However, home insurance doesnt mean your homes invincible. Unless youve purchased specialized insurance, it cant protect you against floods, nuclear war, earthquakes, or poor maintenance. Dont slack off with your homes upkeep”negligence does not go over well in insurance court.

The most common scenario with homeowners insurance, however, involves receiving some sort of compensation for damage to your property and its contents. For when the time comes, it is important to know how compensation is calculated. The insurance company will either pay for the repair, or you can get cash value. However, while you might have paid $500 for your grill, the insurance company will pay you back whatever the grill is currently worth, usually a lesser value.

Homeowners insurance is an expense you cant avoid. And while it might feel daunting at first, theres comfort in knowing that youre protected against most calamities.

Published with permission from RISMedia.

Keeping eyeglasses clean, sanitized and free of scratches may seem simple enough.

With this cleaning method, you can ensure clean, scratch-free and smudge-free results.

Lightly rinse your lenses in lukewarm water to remove dust or debris that can cause scratches when wiped dry.

For lenses with a coating, use eyeglass cleaner spray.

Dry your glasses with a soft, microfiber towel or a cloth specifically made for your glasses.

With a disinfecting wipe, wipe down all the nooks and crannies, like nose pads, ear clips and even the hinges, as they can collect hair, dust and sweat.

For a scratch-free clean, avoid acetone products.

Don’t dry or wipe glasses with a paper towel, tissues or your t-shirt.

Using the wrong products to clean your eyeglasses can result in damage.

Published with permission from RISMedia.

If you need financing to buy a house, one option you might consider is a balloon mortgage. It offers lower interest rates and monthly payments than some other types of loans, but it’s important to understand the terms and consider your future plans to decide if it makes sense for you.

How It Works

With a balloon mortgage, you make relatively low payments for a period of time, typically five or seven years. At the end of that period, the remaining balance on the loan needs to be paid off in a “balloon payment.”

If you cant afford to pay off the loan, you can refinance to the current interest rate. Depending on how market conditions have changed in the time since you took out the mortgage, your payments might rise dramatically overnight.

Another option is to sell your home before the balloon payment is due. If you get a good price, you can pay off the mortgage, and you will have benefitted from several years of low payments before that.

Reasons to Choose a Balloon Mortgage

If you want to buy an expensive house, a balloon mortgage can be an attractive option. Since the interest rates are generally lower than those for other types of loans, you might be able to borrow more money than you otherwise could and buy a bigger house.

If you recently started a job in a field where you expect your income to rise significantly in the coming years, you can take advantage of low payments now and be able to pay more later. If you know that you only want to live in your house for a relatively brief period of time, you can make low payments while you live there and then sell the house before the balloon payment is due.

Potential Downsides

If you decide to take out a balloon mortgage and plan to stay in your home and refinance when the balloon payment comes due, you need to consider the risks. If your income goes down or your credit score suffers because of too much debt or late payments, you might not be able to qualify for refinancing at an attractive rate, or at all. Then you might be forced to sell your house or risk foreclosure. Interest rates could rise between now and then, and your payments after refinancing could skyrocket. It’s also possible that property values could fall. If you owe more than your house is worth, it will be difficult or impossible to refinance, which means you could face foreclosure.

Think It Over

If you’ll definitely sell your house in the next several years, a balloon mortgage could be a smart choice that could save you money. If you plan to stay, circumstances could arise that could make it difficult or impossible to refinance, which could force you to sell or lose your house. Figure out what you plan to do and carefully consider the pros and cons before you choose a balloon mortgage.

Published with permission from RISMedia.