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Most people expect to pay off their mortgage and live in their house during retirement. Unfortunately, life doesnt always go according to plan. If a homeowner dies before paying off the mortgage, it could have implications for the estate and the persons heirs. Discussing the future and preparing for that possibility can make the transition easier on family members.

Who Is Responsible for Mortgage Payments After the Borrowers Death?
After a homeowner dies, the loan still needs to be repaid. Heirs who were not party to the mortgage are not financially responsible for making payments, but those payments will still need to be made in one way or another to avoid having the house go into foreclosure.

If the homeowner has a surviving spouse who co-signed the mortgage, he or she becomes responsible for payments. Another individual who co-signed the loan will be responsible for making payments, regardless of whether that person has an ownership stake in the house.

If there is no co-signer, other family members can choose to take responsibility for the mortgage and refinance the loan to get better terms. If they’re unable or unwilling to take on the mortgage, the executor can use funds from the estate to pay off the loan, or the house can be sold.

If the house sells for more than the amount owed on the mortgage, the balance can be used to pay off debts or can be passed on to heirs. If the house is worth less than the amount owed, the executor may negotiate a short sale or allow the house to go into foreclosure. If the owner had a reverse mortgage, the loan will need to be paid off after all borrowers have died or moved out of the house. If family members pay off the loan, they can keep the house.

Estate Planning Options
If possible, the homeowner can set aside money in a savings account or another financial instrument that family members can access after his or her death. That will help them continue to make mortgage and tax payments until they decide whether to keep or sell the house.

Life insurance can provide funds that can be used to pay off a mortgage in the event of the homeowners death. That can allow heirs to stay in the house debt-free or to move out and start over.

In some cases, it might make sense to put the house in a trust or an LLC or to add relatives names to the title to avoid the time and expense of going through probate. It’s important to discuss the legal and tax implications with an attorney and an accountant.

Talk to Your Family
Death is inevitable. The better family members plan for it, the smoother the transition will be for surviving relatives. Whether you own a home or a loved one does, have an honest discussion and seek advice from professionals so you can make the best decisions as a family.

Published with permission from RISMedia.

Becoming a homeowner doesn’t equip you with the basics of household know-how, although time and experience will likely teach you how to tighten up a leaky faucet. But technicians say that up to 30 percent of their service calls require nothing more than the flip of a switch or the push of a button to ‘repair’ the stated problem.

To save you from such an embarrassing experience”not to mention the cost of a service call”Readers Digest offers tips to help every homeowner recognize and ‘fix’ common issues:

The fridge is warm. Check to see that nobody messed with the temperature dial. Turn it up if need be, and be sure no food containers are blocking the fridge and freezer compartment vents, which supply the flow ofcold air.

The bathroom lights don’t work. Sometimes all the bathroom outlets or several exterior lights are powered through a single GFCI (the red button in the middle of some outlets located in one bathroom). If there’s an outage, push the reset button on the GFCI, and you could be back in business.

A kitchen appliance won’t turn on. When a light goes out in one room or a switch doesn’t turn on the coffeepot, check the main electrical panel for a tripped circuit breaker. Look for a switch that’s not in line with the others. Flip it fully to the off position, and then back on.

The toilet is running. The most common cause is a worn flapper that no longer seals properly. The flapper is easy to replace without calling a plumber. Your nearest home store can sell you the part and tell you what you need to know.

The paint needs a touchup. Mimic the texture a paint roller leaves on the wall without calling the painter. Dip an old washcloth in the paint, dab it on the spot, and toss it away.

The garage is stuffed. Before you call a carpenter to add more shelving, mount a section of wire shelving to the undersides of the beams to give you a row of neat storage nooks. Unlike solid shelving, wire lets you see what’s up there. Then pick up a pack of S-hooks at a home center, and turn a length of wire shelving intoa rack for holding garden and/or cleaning gear.

Interested in more home improvement tips? Feel free to contact me directly.

Published with permission from RISMedia.

Here are a few exciting features that kids will love having in their rooms.

Built-In Bunk Beds

Theyre a practical use of space, and you can add a trundle bed underneath for sleepovers.

Climbing Wall

Easy enough for any avid DIYer to install, give kids an exciting way to burn energy while improving problem-solving and building confidence.

Loft Area

It doesnt require particularly high ceilings to give kids a little nook above their bed where they can keep toys and build forts.

Swinging Chair

There are tons of different features you can hang from the ceiling, like swings, chairs or even a pod where they can curl up with a book.

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.

Published with permission from RISMedia.