Why Start With The House?

by Tom Tousignant

in Blog, Home Buying, Mortgages, Refinancing, Wealth Building

 For most of my clients, their mortgage payment is usually the largest check they write each month.  I’ve found that when I assist someone with their mortgage, that if they look at their mortgage in the context of their overall financial picture, they make better mortgage decisions, and better financial decisions.

  If the Mortgage is the largest monthly expense, and after time, home equity becomes many families’ largest asset, then isn’t it reasonable to assume that if your financial planning starts with your house, that you have a better chance of reaching your financial goals and succeeding financially?

The idea is to start with the house, and answer questions like these, when you are thinking of buying a house, or if you already own a house, make sure you have answers to these types of questions.

  • How expensive a house should we buy?
  • How big a mortgage payment should we accept, even if we can qualify for more?
  • How should the loan be repaid
  • How should the actual closing costs of a new mortgage be paid
  • How important are the income tax consequences of our mortgage decision and how should we maximize our tax savings?
  • How can we protect our equity?
  • How can our mortgage help us create wealth?

 It’s my belief that better decisions and better results come from asking a lot of questions – the fewer questions asked, the more likely that the result will not be as good as it could be.  For example, if the only question asked is, “What is the current rate today?” a home buyer could end up with the wrong loan program, an inability to repay the loan, or find themselves unprepared to handle one of the curve balls that life can throw occasionally.

 If you are thinking of buying, or thinking about your financial future, I encourage you to “Start With The House” and make sure that your mortgage and your house are helping you succeed financially.  Spend some time here on the website, see if you recognize any gaps in your plan, and let me know if I can help.

Comments on this entry are closed.

Previous post:

Next post: