Automating Your Home with Smart Technology
With the advancements that have been made in technology in just the past decade, there are many new ways to incorporate faster, more efficient, and cost-effective solutions to everyday tasks and problems. One big trend that we are seeing right now is home automation, or “smart homes.” With the help of technology, today you can make the functions in your home almost entirely automated or controllable from a smartphone or tablet.
What exactly are the benefits of home automation?
Those with home automation save an average of 20% on home insurance
You can save around 15% on your energy bill
Based on national averages, you could save around $1,352 each year by automating your home
Better security and peace of mind
Control over almost all functions in your home from one tablet or smartphone
What are the capabilities of a smart home?
Thermostat: You can have the ability to control your thermostat even when you are not home. By adjusting the temperature when you are not home, you save on heating and cooling costs.
Security: With a smart home, you won’t need to be paranoid about whether you remembered to lock the doors to your home. Your smart home system can tell you if your doors are locked or unlocked. Also, with some advanced systems, you can trigger lights and television sets to turn on while you are out of town to give the appearance that someone is home.
Lighting: Some smart home systems have an “all off” button to help easily turn off every light in your home at once. Sensors can also trigger lights to turn on when motion is detected outside of your home.
Television: You can combine all of your remotes into one by using your smart home app on your tablet or phone. You can even set a sequence to dim the lights, adjust the room temperature, and start a movie with one click of a button.
Communication: You can send messages room-to-room through the television or to visitors through a touch screen outside of your home. You can also get notified if there is a leak in your basement or even when the kids make it home from school.
There are many options and benefits to making your home smarter and even the smallest steps could save you a considerable amount of money in the long run. Here are some of the best smart home devices you can implement in your home.
EXISTING HOME SALES SLIP, BUT STILL STRONG
Published Date 1/24/2017
Nothing new; yesterday the bond and mortgage markets improved, the 10 yr -6 bps to 2.41%, MBS prices +36 bps. This morning once again no follow-through as has been the case for weeks now. Yesterday the dollar under pressure, stock indexes a little weaker and news that hedge funds were lightening up on the bets f higher rates while money managers were buying 5s to balance their portfolios that are heavy with stocks. Trump backed away from the TPP trade pact and met with business and union leaders; this morning he is meeting auto executives he wants autos sold in the US to be made in the US. A very high hurdle but you can’t get anything unless you ask. Also, today Trump intends to sign two executive actions that would advance construction of the Keystone XL and Dakota Access pipelines. He wants more oil companies to have more freedom to expand infrastructure and transportation efficiency.
In the UK its Supreme Court ruled that the government must bring the Brexit to a vote in parliament before it can trigger Article 50 of the EU charter. Theresa May though said she will go forward to trigger the exit in March sticking with her plan. Ministers could bring forward an Article 50 bill as early as Wednesday, with an accelerated passage through both houses of parliament in a bid to meet the prime minister’s deadline for initiating the Brexit process. The consensus is that parliament will vote to continue the process.
At 9:45 AM EST this morning the FLASH PMI manufacturing index; 55.1 from 54.2. The Philly Fed was very strong and so is the manufacturing PMI at 55.1 for the flash January score, up 8 tenths from final December (up 9 tenths from the December flash) and the strongest reading since March 2015. Production is also as strong as it’s been since March 2015 while growth in new orders is the best since November 2014.
At 10:00 Dec existing home sales were thought to be down 2.3% to 5.538M. Sales were down 2.8% to 5.49M, Nov sales were revised better to 5.65M from 5.61M. Yr/yr sales up 0.7% after increasing 15.4% yr/yr based on Nov data. Median sales price $232,200 up 4.0% yr/yr. Prices over the last five years up 41%, inventories in Dec the lowest since 1999.
This afternoon Treasury will auction $26B of 2 yr notes at 1:00 pm.
Nothing else scheduled today, news from the White House and more confirmation hearings in the Senate. Trump intends to keep FBI Director James Comey in his post, the New York Times reported on Tuesday, as the bureau continues its investigation into potential ties between Trump aides and the Russian government.
The stock market a little better in early trade but looks heavy so far. The dollar better today after weakness yesterday. Two elements that are presently leaning against the interest rate markets. Interest rates remain in a tight range with an overlay of bearishness on the continuing belief the Fed will hold to its three rate hikes this year. Last week Yellen said the increases would be “gradual”; gradual does suggest a hike in March if the Fed does move three times this year. The FOMC meets about every six weeks so if it going to be gradual it must start soon or getting three in before year end would imply quick moves later this year. All that said, the Fed talks the talk but for three years hasn’t been able to walk the walk.
At 10:00 MBS prices lower by 6 bps from 9:30. Technicals (market action) still neutral. The outlook now is for higher rates but it isn’t happening yet. Mortgage rates in a narrow range, the treasury complex also chopping with no immediate trend. Stock markets and currency markets will dictate where rate markets trade today. Three weeks of no significant change in mortgage rates or the bellwether 10 yr note.
Take a look at the Daily Mortgage Market Overview.
Daily Mortgage Market Overview
Today’s Mortgage Rate Summary
How Rates Move:
Conventional and Government (FHA and VA) lenders set their rates based on the pricing of Mortgage-Backed Securities (MBS) which are traded in real time, all day in the bond market. This means rates or loan fees (mortgage pricing) moves throughout the day, being affected by a variety of economic or political events. When MBS pricing goes up, mortgage rates or pricing generally goes down. When they fall, mortgage pricing goes up.
Rates Currently Trending: Neutral
Mortgage rates are moving sideways to slightly higher so far today. The MBS market improved by +35 bps yesterday. This was enough to improve mortgage rates or fees. The market experienced moderate volatility yesterday.
Today’s Rate Forecast: Neutral
Domestic: There are no domestic events today.
Germany (# 4 economy): Still recovering from their latest terrorist attack, this morning we got their PPI which was much stronger than expected. Their MOM Producer Price Index gained 0.3% vs est of only 0.1%. And YOY it was up 0.1% vs est of a decline of -0.2%.
Japan (# 3 economy): The Bank of Japan left their key interest rate alone. In a 7 to 2 vote, they left all their key asset purchase levels and policies alone. But they did upgrade their economic outlook for Japan which some are considering a “back door” form of tightening.
China: Handed over our lost naval drone.
Today’s Potential Rate Volatility: Average
Since there isn’t economic news due out today, we’re not looking for much movement in mortgage rates. The only thing that is likely to move mortgage rates today is a surprising geo-political event.
If you are looking for the risks and benefits of locking your interest rate in today or floating your loan rate, contact your mortgage professional to discuss it with them.
Jim Marcinkowski joined the U.S. Army at the age of 17. While in the military, he moved my way up through the ranks to become a Staff Sergeant and Team Leader of a Bomb Squad. He participated in Desert Shield and Storm. This is where he acquired leadership and management skills. Upon leaving the military, he took a position as Manager of Administrative Services of a non-profit corporation. Jim was responsible for Human Resources and Fiscal accountability of approximately three million dollars in Federal, State, and local grants. This is some of the experience Jim brings to the mortgage business. He is committed to helping clients make the most educated and best financial mortgage decisions. Jim enjoys helping clients meet their housing goals, needs, desires and investment needs.
USDA Lower USDA Fees
Both the upfront guarantee fee and annual fee (collectively the “fee schedule”) for purchase and refinance using USDA Rural Development’s home loan program will decrease on October 1, 2016, the first day of fiscal year 2017.
The upfront guarantee fee will drop from 2.75% to 1%, and the annual fee from 0.5% to 0.35%.
This could possibly mean more buying power! Income limits and credit approval will apply, but this could be a wonderful opportunity for anyone you know considering buying a home in an approved rural area.
Want to know more? Contact Jim Marcinkowski at 239-936-4232
ABOUT INLANTA MORTGAGE
Headquartered in Pewaukee, Wis., Inlanta Mortgage was established in 1993. The company has grown to 35 branches in 16 states and over 240 employees. Inlanta Mortgage offers Fannie Mae/Freddie Mac agency products, as well as jumbo and portfolio programs. The company is an agency approved lender for Freddie Mac, Fannie Mae, FHA/VA, FHA 203K and USDA. Inlanta Mortgage also offers numerous state bond agency programs.
In 2016, Inlanta Mortgage was recently named a Top Workplace for a third consecutive year. Inlanta has been recognized as a Top Mortgage Employer by National Mortgage Professional and a Top 100 Mortgage Banking Company and 100 Best Mortgage Companies to Work For by Mortgage Executive Magazine. Inlanta has also received the Platinum Million Dollar USDA Lender Award.
Inlanta Mortgage, Inc. NMLS #1016.
Meaning of EOD Badge
THE WREATH is symbolic of the achievements and laurels gained by minimizing accident potentials, through the ingenuity and devotion to duty of its members. It is in memory of the EOD personnel who have given their lives while performing EOD duties.
THE BOMB was copied from the design of the World War II Bomb Disposal Badge; the bomb represents the historic and major objective of the EOD attack, the unexploded bomb. The three fins represent the major areas of nuclear, conventional, and chemical/biological warfare.
THE LIGHTNING BOLTS symbolize the potential destructive power of the bomb and the courage and professionalism of EOD personnel in their endeavors to reduce hazards as well as to render explosive ordnance harmless.
THE SHIELD represents the EOD mission which is to protect personnel and property in the immediate area from an inadvertent detonation of hazardous ordnance.
Bomb disposal in the United States dates back to April of 1941. EOD developed as an outgrowth of the British experience with German ordnance. The Unites States was not yet at war, but we were actively preparing for that eventuality. It was expected that if the United States entered the war, we would experience bombing of our cities and industries. As a result, the need for a bomb disposal program in this country received immediate attention.
In April 1941, the School of Civilian Defense was organized at the Chemical Warfare School, Edgewood Arsenal, Maryland, and part of the training was to be bomb disposal. The Commandant of the Chemical Warfare School requested assistance from the War Department to set up the Bomb Disposal School. The request was approved and forwarded to General Julian S. Hatcher, who was the Commanding General of the Ordnance Training Center, Aberdeen Proving Ground, Maryland. General Hatcher selected Major Thomas J. Kane to provide assistance.
It was decided that both military and civilian bomb disposal personnel would be trained by the Army. All responsibility for bomb disposal was placed under the US Army Ordnance Department. The location of the Bomb Disposal School was changed from Edgewood Arsenal to the Ordnance Training Center, Aberdeen Proving Ground, Maryland. In the interim the Navy, under a directive from the Chief of Naval Operations, instituted a Mine Disposal School in May of 1941. In December of 1941, the Chief of Naval Personnel issued another directive for the formation of the Navy Bomb Disposal School.
EOD in the United States is a joint service program. Each branch of the service has specific responsibilities assigned to it by DOD. Some of these responsibilities are unique to one service and some overlap between two or more services. In 1947, the Navy was assigned Joint Service responsibility for basic EOD training. In 1971, the Navy was designated as the single manager for all common EOD training and technology. Today, training continues to be provided by the inter-service staff at the Explosive Ordnance Schools located at Eglin Air Force Base, Florida and the Naval Surface Warfare Center Division, Indian Head, Maryland.
Successful officer and enlisted graduates are awarded the joint-service EOD badge which dates back to 1942. This badge is also officially recognized by local, state and federal law enforcement agencies.
Thank you http://www.goordnance.army.mil/eod/eod_history.html
Perhaps you are outgrowing your current house, or have been forced to relocate due to a job transfer? Regardless of the motivation for keeping one property while purchasing another, let’s address this question with the mortgage approval in mind:
So, Do I Have To Sell?
Yes. No. Maybe. It depends.
Welcome to the wonderful world of mortgage lending. Only in this industry can one simple question elicit four answers…and all of them may be right.
If you are in a financial position where you qualify to afford both your current residence and the proposed payment on your new house, then the simple answer is No!
Qualifying based on your Debt-to-Income Ratio is one thing, but remember to budget for the additional expenses of maintaining multiple properties. Everything from mortgage payments, increased property taxes and hazard insurance to unexpected repairs should be factored into your final decision.
What If I Rent My Current Property?
This scenario presents the “maybe” and the “it depends” answers to the question.
If you’re not quite qualified to carry both mortgages, you may have to rent the other property in order to offset the mortgage payment.
In that scenario, the lender will typically only count 75% of the monthly rent you are proposing to receive.
So if you are going to receive $1000 a month in rent and your current payment is $1500, the lender is going to factor in an additional $750 of monthly liabilities in your overall Debt-to-Income Ratios.
Another detail that can present a huge hurdle is the reserve requirement and equity ratio most lenders have. In some cases, if you are going to rent out your current home, you will need to have at least 25% equity in order to offset your payment with the proposed rent you will receive.
Without that hefty amount of equity, you will have to qualify to afford BOTH mortgage payments. You will also need some significant cash in the bank.
Generally, lenders will require six months reserve on the old property, as well as six month reserves on the new property.
For example, if you have a $1500 payment on your old house and are buying a home with a $2000 monthly payment, you will need over $21,000 in the bank.
Keep in mind, this reserve requirement is incremental to your down payment on the new property.
What If I Can’t Qualify Based On Both Mortgage Payments?
This answer is pretty straightforward, and doesn’t require a financial calculator to figure out.
If you are in this situation, then you will have to sell your current home before buying a new one.
If you aren’t sure of the value of the home or how your local market is performing, give us a ring and we’ll happily refer you to a great real estate agent that is in tune with property values in your neighborhood.
As you can tell, purchasing one home while living in another can be a very complicated transaction. Please contact us at anytime so we can review your specific situation and suggest the proper action plan.
Related Articles – Mortgage Approval Process:
- Basic Mortgage Terms
- How Much Can I Afford?
- Common Documents Required For A Mortgage Pre-Approval
- Top 8 Questions To Ask Your Lender During Application Process
- What’s The Difference Between An Investment Property, Second Home and Primary Residence?
- Seven Items Real Estate Agents Need To Know About Your Mortgage Approval