Every one who wants to construct a home and would want it to look beautiful with good interior and exterior and would also like their home to be most durable. Granite and marble make your home look modern, stronger and durable. A home can be made not just of marble but also by using different types of granites, marbles and other natural stone products.

The other important aspect is home improvement that means improving the features of a home, which also involves increasing its value. Home improvement is a big decision for everyone and does it for better look and for increasing its durability. When you think of home improvement the use of granite or a marble cannot be ignored.

A good home improvement plan should always include renovating the floor, kitchen and obviously bathroom and thereby it is invariable that one has to fallback on the use of marble and granite due to their durability.
By using granite and marble you can renovate an old house into an attractive one. Marble and granite columns provide an attractive look to homes by their attractive and vibrant look.
Use of marble in home construction:

Nowadays, prefabricated granite and marble products, marble slabs, and marble tiles are the most common marble ingredients widely used. Besides this other products such as marble columns, marble staircase and marble fireplaces are also widely used applications.
Granite – the most popular stone:

Granite is most popular product used in the construction of important portions of home. However, kitchen and bathrooms are two places where granite slabs, granite countertops and granite tiles are popularly used. These days a stylish and durable bathroom or kitchen cannot be imagined without the use of granite.
In the recent times you might have observed granite being used in home furnish as well. It has become a popular trend to use granite slabs on center table and dinning tables. These days designer furniture manufacturers also widely use granite for making attractive table tops.
Granite and marble are expensive but they are worth it:

Usage of granite and marble products in a home construction is always advisable, but is slightly expensive compared to other products. People should realize that even though using granite or marble in home construction might be bit expensive, but more of an asset. It is a one time investment and durable for lifetime. Granite slabs and marble slabs are extensively used in the real estate constructions because of their durability and rough and tough nature. They are used in construction, flooring and interior decoration as well.
Marble and granite are used not just for their durability. They are extensively used for their exclusive and unique look. When you think about home improvement you invariably think about renovating your home with granite or marble since you do not have to make investment on the same product again for a lifetime.
Another reason for the wide choice of marble and granite is because of their vide choice of design and colors which makes them unique.

For more information regarding Real Estate In Spring Hill or about Buying or Selling a Home In Spring Hill Florida please visit http://www.buybradenton.com/ 

Do you spend a lot of time in the kitchen? When considering upgrading your Spring Hill Property there are many choices in materials for counter tops. How you use your kitchen will help determine the type of materials you want to consider. Is it your preferred place to hang out, cut loose and relax after a long day? Many homeowners love the kitchen space, and they love it even more when they have beautiful countertops to work on. Like many, new countertops are probably at the top of your home improvement list. If you’re gearing up for a remodel on your favorite room in the home, then consider these popular material choices for a counter top upgrade:

Kitchen Home Improvement Materials – Ceramic Tile
Homeowners love ceramic tile because of the variety in texture, shape and color. It’s popular in the kitchen because it mimics natural stone and works well in the environment. Thanks to the manufacturing process it can be designed to give that natural stone look or even smooth porcelain. It works in a variety of uses, from backsplashes to countertops and cleans up easily.

Ceramic tile is a great choice for kitchen countertops because it’s heat and scratch resistant, easy to install and the price range is relatively low in comparison to other materials ($10 to $10 per square foot). The only downside to keep in mind is that grout lines in ceramic tiles can sometimes be difficult to clean.

Kitchen Home Improvement Materials – Plastic Laminate
Laminate offers the most range in terms of style and design when you’re doing home improvement in your kitchen. You can certainly find the right style and color to fit your kitchen and the price is comparative to ceramic tiles ($20 – $35 per sq ft). The greatest benefit of laminate is that it’s highly resistant to mold and bacteria making it easy to clean and sanitize.
An unfortunate downside is that this fabricated material is easily damaged, especially from knives. It burns easily if hot objects are placed on the surface and it can be easily stained. Homeowners must take extra measures to protect the surface once the install is complete, using placemats and cutting boards at all times.

Kitchen Home Improvement Materials – Stone Tiles
If you love the look of natural stone but you can’t quite afford a custom cat pad of quartz, then stone tiles are a great option. You can get the substantial look of an expensive piece of granite without all that investment on the front end. Natural stone tiles typically cost in a range of $20 to $40 per sq ft, with the price variance dependent on the type of stone. Most homeowners opt for slate or granite, with slate topping out because of the rich color and soft texture.
Stone tile cleans and sanitizes easily however it does require a strong sealant. Stone is naturally porous so if not properly sealed the material will stain easily and absorb liquids quickly – including grease and oils. If not properly seals, the stone can quickly mold and harbor bacteria & germs.

Kitchen Home Improvement Materials – Wood
Wood is a great option for countertops in the home and homeowners love the rustic ambience it lends to the kitchen in a home improvement project. If you like the farmhouse appeal of wood then this material is a great choice. Butcher blocks lead the interest for countertops, mainly for the look and durability. Cost can vary from $20-$50 per sq foot depending on the type of wood chosen. Wood is forgiving, more so than other materials. Bang it up and it seems to gain character rather than turn ugly. The only downside with wood is that it needs to be sealed and oiled regularly to sustain it’s look and strength.

Kitchen Home Improvement Materials – Natural Stone (Quartz and Granite)
Natural stone is the perfect gift for you kitchen straight from mother nature. Rather than trying to piece together individual sections or materials you can work with natural cut stone like granite or quartz, custom designed to the exact fit for your cabinets. Granite is popular for the color and pattern variety while Quartz takes the cake for sheer durability and toughness and resistance to bacteria. The cost ($40-$80 per sq ft) is worth it, because these counter tops will last the life of your home (and then some). Just make sure your cabinets can stand the weight of the countertop.

For more information regarding Real Estate In Spring Hill or about Buying or Selling a Home In Spring Hill Florida please visit http://www.buybradenton.com/ 

Discussing a Rental with a Roommate in Spring Hill FL
Sharing a Spring Hill rental properties, be it an apartment or a house, can either be a dream come true or a dwelling headache. There are numerous benefits of having roommate; however, therere also foreseen drawbacks. Any time these types of drawbacks could lead to serious problems such as distressing atmosphere in few instances and also unsafe living environment in other circumstances. There are a couple of ways a tenant can safeguard themselves any time upon sharing Spring Hill properties that are for rent with a roommate. This consists of verifying your possible roommate cautiously as well as your roommates rental agreement.

The Advantages and downsides of Having a Roommate

Having a roommate could possibly be beneficial in some instances. The principal advantage is monetary. Tenants who opt to live with a roommate basically reduce their rent by 50 per cent or perhaps on thirds if they choose to have two roommates. This is perfect for occupants who would like to have bigger apartments but couldnt afford to pay the price without the aid of a roommate.

Another benefit of having a roommate is the possibility to share home responsibilities along with a roommate. Obviously this is just a mere advantage when your roommate prefers to do his part on a normal basis. If this isnt the case, it could result to great disadvantage which will be tackled deeply in the portion of drawbacks.
Apart from that, one of the most considerable drawbacks of having a roommate is being deprived of privacy. People who stay alone feel it comfortable not having time for them while theyre staying within their house. On the other hand, when a renter includes a roommate, there is no chance that the tenant will find time for himself while staying on his apartment.

Another disadvantage of having a roommate will be taking charge of the household responsibilities. Roommates need to discuss household responsibilities such as cleaning frequently the house but there is a possibility that a single roommate may failed to do his part. This can create animosity and conflict amid roommates. When this occurs, it produces a kind of conflict that makes the living situation not comfortable.

Include the Roommate on the Leasing Contract

Lastly, apartment renters and Spring Hill homes rentals should be guaranteed their roommate or roommates on the local rental contract. This is very important since it really helps to guard all the roommates. Inclusion of all of the roommates helps prevent a roommate from leaving unjustly in the apartment. Placing each one of the roommates names on the leasing agreement further helps prevent one roommate from not accomplishing their lease payments on time. It will also help prevent a single roommate through becoming lawfully in charge of not paying the rent during the procurement of the lease contract.

For more information regarding Real Estate In Spring Hill or about Buying or Selling a Home In Spring Hill Florida please visit http://www.buybradenton.com/

Simple Bathroom Remodeling for your Spring Hill Homes.

If you’re like most people, when you think of bathroom remodeling a big price tag comes to mind. However, it doesn’t have to be as pricey as you might think. There are lesser expensive ways to remodel your bathroom that provide a lot of bang for the buck and material choice can play a huge role in reducing the cost. This article provides a professional bathroom remodeling contractor’s look at how you can tackle this project even on a limited budget.

Flooring
While installing flooring is a job best left to professionals, the material you choose for your flooring can dramatically raise or lower the cost. For example, while beautiful, marble tiles are expensive. Consider whether faux marble or even vinyl tiles with a marble finish will work for your bathroom. They’re both lower in cost, but can provide the same beautiful finished look. Go to your local home improvement store and compare the costs of different types of flooring, including marble tiles, ceramic tiles, stone tiles, vinyl tiles, vinyl sheet flooring, laminate flooring, and more.

Fixtures
Another installation job you’re better off leaving to a professional contractor, you can bring the cost of your fixtures down by altering the materials you choose. For example, instead of choosing a granite countertop for your bathroom, consider other materials that can provide just as nice a look, including stone, faux granite, granite tiles, and more.

The same goes for choosing the materials for your faucets, sink, tub, shower, toilet, mirror, lighting, and more. Even choosing a less expensive finish for simple things like your towel racks, soap dishes, and more can help. There are so many options today, including faux options that give the look of a certain material without the price.

Paint
One of the easiest ways to freshen up your bathroom is with paint. While this is certainly something most homeowners can do themselves, many opt not to in bathrooms because of the many angles and fixtures to paint around. You can’t really go less expensive with paint since they’re all priced around the same amount, but you can lessen the amount of paint you’ll have to use by painting your walls with a primer first.
Use a tinted primer that is the closest to your finish paint color to further reduce the number of coats you’ll need to apply. For example, don’t use a white primer if your finish color is a deep wine color because the white will bleed through and you’ll need several coats of your finish color.

You can have the bathroom of your dreams with professional installation by paying close attention to the materials you use. You can also save money by shopping around. Visit home improvement store websites and sign up to receive their emails so you’re notified of upcoming discounts. Also consider shopping online as many internet retailers can offer low prices and free shipping since they don’t have a physical storefront to maintain. If you keep these tips in mind, your bathroom remodeling project will be a huge success.

For more information regarding Real Estate In Spring Hill or about Buying or Selling a Home In Spring Hill Florida please visit http://www.buybradenton.com/

Home improvement – home remodeling
There is only one way to increase the value of your home in Hernando County Florida. Home improvement or home remodeling or remodeling are often used to indicate home projects those need modifications and additions to the existing Home construction. But the type of work is varying based on various communal factors as well as property owners’ choices. If they want to sell their home to get more amount from their old homes they might think add some value by investing little amount on their old homes.

In other words it might be used to add extra features and better look to live happily with their children’s and etc. In this case home location will also make more impact; home owners will determine the above factor before taking remodeling decision. Whether it may be common hall, kitchen room, bathroom, rest rooms or to dividing as two or three partitions for their kids comfort and flexibility are the major concerns.
Often home owners will opt home improvement when their old home needs fresh look, spacious rooms in case of congested structure, interior design that needs to take place, exterior improvements when Parking places are not sufficient for parking or they even want to develop avenue garden and wall coloring etc. If the task is small or big these need expertise decision to continue further. More over it will save our valuable time and money also.

In any remodeling project the partitions are not an easy task. It takes lot of money and human effort, also every owner want trying to keep properly their previous things like flooring, painting wall adjustments. Unlike other remodeling projects home owners keen to invest more money on kitchen remodeling projects for creating or arranging new cupboards, adding extra features and adding sinks etc.
While remodeling painting is one of the most powerful aspects as it creates different kind of moods whenever people enter the rooms hence it is purely a professional job. In both cases home improvement and home remodeling will serve home owner when they plan cautiously.

Author Bio: Jimson is one of the best authors at hire a contractor now. With the extensive civil engineering experience he has been writing qualitative tips to educate his line of visitors. As Home Remodeling, Home improvement, Remodeling and construction fields need more knowledge and concentration it’s viable to every body to have minimum knowledge.

For More Information About Real Estate In Florida and Homes For Sale In Hernando County Please visit http://www.e-loanmortgage.com

Home improvement – home remodeling
There is only one way to increase the value of your home in Hernando County Florida. Home improvement or home remodeling or remodeling are often used to indicate home projects those need modifications and additions to the existing Home construction. But the type of work is varying based on various communal factors as well as property owners’ choices. If they want to sell their home to get more amount from their old homes they might think add some value by investing little amount on their old homes.

In other words it might be used to add extra features and better look to live happily with their children’s and etc. In this case home location will also make more impact; home owners will determine the above factor before taking remodeling decision. Whether it may be common hall, kitchen room, bathroom, rest rooms or to dividing as two or three partitions for their kids comfort and flexibility are the major concerns.
Often home owners will opt home improvement when their old home needs fresh look, spacious rooms in case of congested structure, interior design that needs to take place, exterior improvements when Parking places are not sufficient for parking or they even want to develop avenue garden and wall coloring etc. If the task is small or big these need expertise decision to continue further. More over it will save our valuable time and money also.

In any remodeling project the partitions are not an easy task. It takes lot of money and human effort, also every owner want trying to keep properly their previous things like flooring, painting wall adjustments. Unlike other remodeling projects home owners keen to invest more money on kitchen remodeling projects for creating or arranging new cupboards, adding extra features and adding sinks etc.
While remodeling painting is one of the most powerful aspects as it creates different kind of moods whenever people enter the rooms hence it is purely a professional job. In both cases home improvement and home remodeling will serve home owner when they plan cautiously.

Author Bio: Jimson is one of the best authors at hire a contractor now. With the extensive civil engineering experience he has been writing qualitative tips to educate his line of visitors. As Home Remodeling, Home improvement, Remodeling and construction fields need more knowledge and concentration it’s viable to every body to have minimum knowledge.

For More Information About Real Estate In Florida and Homes For Sale In Hernando County Please visit http://www.fhaforall.com/

The Federal Government is definitely the largest customer of goods and services. The government has purchased all types of goods and services such as foodstuff, raw materials, research, properties, development, and even maintenance services and staff.. You can compare the government to a corporation if you take a close look.. The other companies will merely look very small.. If the company runs a business, then the government is a organization managing the nation.
In order to provide the essential services for the country and its constituents, the government needs to buy what it require. Just like an office purchases utilities, supplies, along with other services for it to operate, the Federal Government must do the same thing. Government expenditures have reached as much as $500B in several goods and services..
Thousand of employees have been laid-off due to the fact of the economic catastrophe which also pressured companies to downsize.. The time to invest in government contracts is now.. The current release of the Stimulus Package is enough explanation.. The stimulus package is an supplemental budget from the government that allows it to shell out more to stimulate the suffering economic climate Exactly what does it mean? It means $787B will go in to the economy into diverse projects and programs. The government will buy services and products from, who knows, it may be you. With the stimulus package currently out and circulating, the time has come to sell to the Federal Government, a government contractor.
A government contractor is usually a company or individual with products or services the government is interested. For those who have what the government needs, during a crisis it sure does need a ton; chances are you can get a government contract. The nation is in an economic hole and the government needs to pull it out of that hole. What better way to lift up than a spending spree, infuse money into the economy and try jumpstarting it. Businesses may not hire more workers and fire many. The Federal Government nonetheless is looking for ways to get the stimulus money into the economy through contractors.
An undesirable economic environment and a government willing to spend billions in dollars, currently is the best time in selling to the Federal Government.

For more information regarding Real Estate and Buying or Selling a Home In Spring Hill Florida please visit http://www.buybradenton.com/

Here is Part 3 of our Home Financing Guide. In this segment we take a look at everything to do with interest rates, and explain the difference between an Interest Rate and an APR. Borrowers often wonder why the APR is higher than the interest rate, and we will adress that and several other key issues with regard to the rate below.

Interest rates reflect the cost to borrower money as charged by the Lender. The higher the interest rate the higher the monthly payment (given the same loan terms). Interest rates in the mortgage market tend to be pretty volatile. That means that the interest rate offered on any given day can vary from the previous day. The reason is that the perception of mortgage lending risk and the market value of mortgage investments is affected by the mood of the financial markets (just like the value of the dollar and the stock market) and therefore interest rates can change daily or even more frequently. There are laws that protect consumers from usurious (very high) interest rates but reputable lenders such as Allied are well within those parameters.

Interest rates offered can vary by the type of Loan Program, Loan Terms and the Qualifications of the Borrower. For example Jumbo loans typically include a higher interest rate than a Conforming Conventional or FHA loan. In the case of Loan Terms the shorter the loan period (e.g. 15 years versus 30 the lower the rates may be, but if little to no down payment is made on a home, the interest rate could be higher. And finally in terms of Borrower Qualifications the borrower with better credit may get lower rates than one with poorer credit. So just because one individual gets a low interest rate does not mean that another person that got a higher rate was taken advantage of.

How do Variable Rates work? A variable rate loan is one where the interest rate is subject to change based upon ‘financial index’ changes. There are several commonly used indexes but the most often used are the US Treasury Bill, LIBOR (London Interbank Offering Rate) and the Prime Rate. When those indexes go up or down that can cause the interest rate to change on the loan.
Most mortgage loans that have a variable rate have a ‘fixed period’. That means there is a period of time (usually in years) that rate remains the same as when the loan was first obtained. For example a 5 year ARM (Adjustable Rate Mortgage) will keep the same interest rate for 5 years before being subject to change.
But then the big question is “If my rate is subject to change, how high can it go?” Fortunately there are “caps” that are set to control how much interest rates can change over the life of the loan. There are three caps usually shown like this: 2-2-5. In this example the first cap is the percent that the interest rate can jump when it can first change. So if you started with a 5% rate on a 5 year ARM, then on the 6th year it is possible for the rate to move up to 7% but no higher for that year. But this does not mean that the rate will automatically jump up to 7%, that depends on whether the financial index used moved up or down; it is possible for your rate to go down as well. The second number shows how much the rate could change each subsequent period (or year in this case) so it can never go up more than 2% any given year according to this example. The last number provides a lifetime limit. In this example the interest rate can never go higher than 5% when the loan first started which in this case would be 10%.
So why would someone want a variable rate loan? Because the rate usually starts lower and the borrower is willing to take the risk that the interest rate will not be too high in the future. But some savvy borrowers know that they will not hold the loan (or property) longer than the fixed period of the loan. So they may buy a home with a 7 year ARM but know they will sell the home in 5 years. That way they were able to get a lower rate but do not worry about the possibility of that rate changing based on their plans for selling the home. ARM Loans should be considered very carefully, and not all ARM’s are created equal. If you are consindering an ARM it is important to know what the CAPS (the maximum the rate can adjust at intervals) are. Also it is important to know and understand what type of index will be used. The index will determine the rate and the adjustment period’s, and some indices are more stabe than others. For more information about ARM’s call Steve Fingerman for complete detailed explanation about the benefits and short comings and risk of an ARM. In today’s market, ARMS are very seldome being used.

Lower interest rates shouldn’t always end up being the deciding factor on accepting a loan. For example one could pick a variable rate program because its interest rate was lower to start with than a fixed rate loan (e.g. 5.0% versus 5.5%). But since the variable rate loan can increase their interest rate in the future, that same 5.0% loan could be 7.0% or higher in the future depending on the financial markets. That person may want the security of a fixed rate and therefore is willing to have a slightly higher rate than an Adjustable Rate Mortgage may provide.
In many cases the Borrower has the ability to “buy down” the interest rate either on a temporary or permanent basis. Obviously the term buy down means that the borrower has to pay for the advantage of a lower rate. In those cases the borrower needs to do their homework to see if the buy down cost versus the monthly payment savings is worthwhile for them to buy down. As a rule of thumb the shorter one plans to stay in the mortgage or home, the less worthwhile buy downs are. But if it will be a many years then the cumulative savings overshadows the initial cost. Be sure to look closely at interest rate buy downs (or Discount Points). A lower rate may not be worth the extra cost.
Sometimes borrowers will choose use a slightly higher interest rate on a loan to cover their up front (closing) costs. To them the initial costs including a down payment are more of a challenge than the monthly payment so they are able to slide the interest rate up a bit to cover their out of pocket costs. For others a quick refinance to take advantage of lower market rates may not utilize the lowest interest rate that is available just so there are no out of pocket costs to conduct the refinance, but they know they will begin saving money right away with the refinance and are not concerned.
“Why is my APR higher than the interest rate that was quoted to me?” APR is the calculated Annual Percentage Rate based on a complex formula. It is not the same as the interest rate you actually pay but it includes the interest rate as part of the calculated number. (The good news is that Mortgage Loans use what is called a Simple Interest which means the interest is not Compounded like a credit card is which makes credit card interest so high. It’s not unusual to see credit card APR’s around 20% or more!) APR includes in its calculations all of the costs of the loan in addition to the interest rate and divides than into the loan amount reduced by the costs. That may not be easy to understand but the end result is that the APR on a mortgage loan is usually always higher than the true interest rate of the loan.

---

For More Information regarding Interest Rates or buying a home in Hernando County, and how they can effect your loan please contact me directly and I will be happy to review all of your options with you. I look forward to hearing from you soon.

Steve Fingerman
Branch Manager

Hernando County Mortgage Lender
4117 Mariner Blvd.
Hernando County Florida, 34609
Office 352-688-7949
Cell 727-946-0904
Hernando County Mortgage Lender

Here is Part 3 of our Home Financing Guide. In this segment we take a look at everything to do with interest rates, and explain the difference between an Interest Rate and an APR. Borrowers often wonder why the APR is higher than the interest rate, and we will adress that and several other key issues with regard to the rate below.

Interest rates reflect the cost to borrower money as charged by the Lender. The higher the interest rate the higher the monthly payment (given the same loan terms). Interest rates in the mortgage market tend to be pretty volatile. That means that the interest rate offered on any given day can vary from the previous day. The reason is that the perception of mortgage lending risk and the market value of mortgage investments is affected by the mood of the financial markets (just like the value of the dollar and the stock market) and therefore interest rates can change daily or even more frequently. There are laws that protect consumers from usurious (very high) interest rates but reputable lenders such as Allied are well within those parameters.

Interest rates offered can vary by the type of Loan Program, Loan Terms and the Qualifications of the Borrower. For example Jumbo loans typically include a higher interest rate than a Conforming Conventional or FHA loan. In the case of Loan Terms the shorter the loan period (e.g. 15 years versus 30 the lower the rates may be, but if little to no down payment is made on a home, the interest rate could be higher. And finally in terms of Borrower Qualifications the borrower with better credit may get lower rates than one with poorer credit. So just because one individual gets a low interest rate does not mean that another person that got a higher rate was taken advantage of.

How do Variable Rates work? A variable rate loan is one where the interest rate is subject to change based upon ‘financial index’ changes. There are several commonly used indexes but the most often used are the US Treasury Bill, LIBOR (London Interbank Offering Rate) and the Prime Rate. When those indexes go up or down that can cause the interest rate to change on the loan.
Most mortgage loans that have a variable rate have a ‘fixed period’. That means there is a period of time (usually in years) that rate remains the same as when the loan was first obtained. For example a 5 year ARM (Adjustable Rate Mortgage) will keep the same interest rate for 5 years before being subject to change.
But then the big question is “If my rate is subject to change, how high can it go?” Fortunately there are “caps” that are set to control how much interest rates can change over the life of the loan. There are three caps usually shown like this: 2-2-5. In this example the first cap is the percent that the interest rate can jump when it can first change. So if you started with a 5% rate on a 5 year ARM, then on the 6th year it is possible for the rate to move up to 7% but no higher for that year. But this does not mean that the rate will automatically jump up to 7%, that depends on whether the financial index used moved up or down; it is possible for your rate to go down as well. The second number shows how much the rate could change each subsequent period (or year in this case) so it can never go up more than 2% any given year according to this example. The last number provides a lifetime limit. In this example the interest rate can never go higher than 5% when the loan first started which in this case would be 10%.
So why would someone want a variable rate loan? Because the rate usually starts lower and the borrower is willing to take the risk that the interest rate will not be too high in the future. But some savvy borrowers know that they will not hold the loan (or property) longer than the fixed period of the loan. So they may buy a home with a 7 year ARM but know they will sell the home in 5 years. That way they were able to get a lower rate but do not worry about the possibility of that rate changing based on their plans for selling the home. ARM Loans should be considered very carefully, and not all ARM’s are created equal. If you are consindering an ARM it is important to know what the CAPS (the maximum the rate can adjust at intervals) are. Also it is important to know and understand what type of index will be used. The index will determine the rate and the adjustment period’s, and some indices are more stabe than others. For more information about ARM’s call Steve Fingerman for complete detailed explanation about the benefits and short comings and risk of an ARM. In today’s market, ARMS are very seldome being used.

Lower interest rates shouldn’t always end up being the deciding factor on accepting a loan. For example one could pick a variable rate program because its interest rate was lower to start with than a fixed rate loan (e.g. 5.0% versus 5.5%). But since the variable rate loan can increase their interest rate in the future, that same 5.0% loan could be 7.0% or higher in the future depending on the financial markets. That person may want the security of a fixed rate and therefore is willing to have a slightly higher rate than an Adjustable Rate Mortgage may provide.
In many cases the Borrower has the ability to “buy down” the interest rate either on a temporary or permanent basis. Obviously the term buy down means that the borrower has to pay for the advantage of a lower rate. In those cases the borrower needs to do their homework to see if the buy down cost versus the monthly payment savings is worthwhile for them to buy down. As a rule of thumb the shorter one plans to stay in the mortgage or home, the less worthwhile buy downs are. But if it will be a many years then the cumulative savings overshadows the initial cost. Be sure to look closely at interest rate buy downs (or Discount Points). A lower rate may not be worth the extra cost.
Sometimes borrowers will choose use a slightly higher interest rate on a loan to cover their up front (closing) costs. To them the initial costs including a down payment are more of a challenge than the monthly payment so they are able to slide the interest rate up a bit to cover their out of pocket costs. For others a quick refinance to take advantage of lower market rates may not utilize the lowest interest rate that is available just so there are no out of pocket costs to conduct the refinance, but they know they will begin saving money right away with the refinance and are not concerned.
“Why is my APR higher than the interest rate that was quoted to me?” APR is the calculated Annual Percentage Rate based on a complex formula. It is not the same as the interest rate you actually pay but it includes the interest rate as part of the calculated number. (The good news is that Mortgage Loans use what is called a Simple Interest which means the interest is not Compounded like a credit card is which makes credit card interest so high. It’s not unusual to see credit card APR’s around 20% or more!) APR includes in its calculations all of the costs of the loan in addition to the interest rate and divides than into the loan amount reduced by the costs. That may not be easy to understand but the end result is that the APR on a mortgage loan is usually always higher than the true interest rate of the loan.

---

For More Information regarding Interest Rates or buying a home in Hernando County, and how they can effect your loan please contact me directly and I will be happy to review all of your options with you. I look forward to hearing from you soon.

Steve Fingerman
Branch Manager

Hernando County Mortgage Lender
4117 Mariner Blvd.
Hernando County Florida, 34609
Office 352-688-7949
Cell 727-946-0904
Hernando County Mortgage Lender