Tag Archives: finance

Saving Before Moving to a New Place

Moving to a new houseMoving out your things to a different or far location can be a daunting task. The packing alone will require most of your time and can cost the time you need for resting or time with the family. Here are some tips on saving both money and time when moving to a new place.

Find a place that is fully furnished

Getting a place that is fully furnished will save you time in packing your things. You can also save money on hiring help to move and lift your furniture. It is far easier to pack your personal belongings compared to packing and making sure your furniture and appliances don’t get damaged during transport.

Sell the appliances and furniture from your old place

This can also be a way to ease things up when moving to a new place. Selling appliances in Fayetteville and furniture may involve a lot of planning and more time, but it will mean saving on hiring a van to move out. You can take photos of your furniture and appliances and post them online or get the help of professionals to take care of the job for you. This decision to sell your old furniture and appliances will provide you with additional funds when you move out, especially if you are moving to a fully furnished place.

Sell your furniture and appliances to the next person

If you are moving out because you are selling your place, mark up your price such that it will include your furniture and appliances. If you are renting, you can make arrangements with your landlady to purchase them or sell them to the next person that will rent the place. It is a more convenient solution especially if you have no time to pack.

Indeed, moving to a new place may mean more planning, money, time and stress. However, with these options, you can make your moving out less stressful yet more beneficial in terms of time and money.

Cash-Out Refinancing: Yes or No?

Refinancing in UtahA refinance takes place when a borrower takes out a new mortgage as a replacement to their current mortgage, with the goal to obtain a reduced interest rate. A cash-out refinance or refi is quite similar, but different in a way that the borrower will be refinancing for substantially more than the owed amount and then receives the difference in hard cash.

Understanding Cash-Out Refinance

To illustrate how a cash-out refi works, let’s say that you have a balance of $70,000 on your $140,000 home and you need a reduced interest rate, as well as $30,000 of cash perhaps for your child’s tuition at a fancy college. You could refinance your mortgage for around $100,000. This means that aside from getting a reduced rate on your $70,000 balance, you also get $30,000 in cash.

It’s crucial to note that while cash-out refinance is similar to a home equity loan, there are some key differences:

  • The home equity loan is entirely separate from your first mortgage, while a cash-refi is a replacement.
  • More often than not, home equity loans have higher interest rates than cash-out refis.
  • Cash-out refis come with closing costs, while home equity loans don’t.

Should You Consider Cash-Out Refinancing?

Home refinance providers and other experts in Utah noted that it’s not sensible if you’re planning on refinancing a higher amount with a higher interest rate. If your existing home loan has a relatively affordable rate than if you refinanced, consider a home equity loan instead. Likewise, if you are already 10 years into your 20-year mortgage, you’ll end up paying a higher principal than interest with every monthly payment.

With cash-out refinancing, you ultimately have to decide if you need the cash and if the savings each month will be worth it for you. Maybe you need cash for your children’s school fees or an unexpected hospital bill and you don’t want to touch the equity on your home. In the end, you must understand all the costs that come with refinancing, the savings, and your motivation for doing so.

A home refinance, regardless if it’s cash-out or not, is simply not sensible if you’re that far along into your current mortgage.

Steps to an Improved Cash Flow

Cash FlowThe leading reason behind small businesses failing and closing down is failure to manage cash. Even with the right product, the right value and the right mindset, without the right cash management strategy, a start-up will fail. In this competitive industry, cash is king, which is why you have to work on improving your cash flow.

Consult Experts

If you’re only starting in the business, you’d want to hear the advice of an expert. Money is something you can measure with metrics, which means it’s easier to learn, practice and improve your cash flow management compared to other business factors. Talk to a consultant or consider outsourcing your accounting side to a third party.

Craft a Plan

Either with the help of a consultant or your very own team, prepare your cash flow projections. It can range from a week up to a year of projection, depending on your business stability. An accurate cash flow plan can help you stay ahead of possible problems in the near future and cope better with these problems.

Be Detailed

Your plans should not only be accurate, but also detailed. To be a responsible business owner is to know how much cash you’re making, how much is coming from which, how much you’re spending, and on what. By noting these details, you can have a better outlay of your purchases, earnings, and savings.

Shortfalls Happen

Part of better cash flow management is also understanding that you might be in a situation of cash shortage. It would be best if you can be aware of this problem as early as possible. If you can’t, the best thing you can do is to be aware of the reason behind this issue.

Approach a lending bank who can be interested to help you out. You can also consider approaching your best customers to accelerate payment or raise cash by selling or leasing certain assets. Money is tricky to handle, but it’s not rocket science. It can be learned and mastered in time.

Private Placements: Understanding Regulation D

InvestorsPrivate placement is the sale of securities to a small number of investors like large banks, insurance companies, mutual and pension funds, and highly wealthy investors. It’s the opposite of public issue where securities are available for sale to the open. In the US, this kind of transaction is subject to regulations set by the Security and Exchange Commission (SEC). Registration isn’t necessary if the process has met certain requirements the Regulation D rule has required.

When hiring a private placement attorney or any other related expert in the field, it’s best to understand what Regulation D is and what it does. Here’s an overview to help you:

What is Regulation D?

Regulation D is a government program designed under the Securities Act of 1933 that allows companies to raise capital by selling equity or debt securities. It has two purposes — to become the exemption (to register) when selling securities in private transactions and the framework and documentation for doing the sale properly. It has three sets of rules:

  • Rule 504 – This permits to offer and sell a million of securities in a 12-month duration
  • Rule 505 – This involves a higher price, usually up to $5 million, in a 12-month duration
  • Rule 506 – This allows an unlimited amount of money, relying either on Rule 504 or 505.
Two Types of Regulation D
  • Equity – This is when companies sell partial ownership through the sale of stock or membership unit in the company to raise capital. There is no set debt service payment or repayment schedule, so investors gain profit when the company gains profit.
  • Debt – This is when companies raise debt financing by selling an important part of the company to investors with a set maturity date and annual rate of return. These tell when the funds will go back to the investors in full.

These are only some of the info you need to know about Regulation D. When planning to buy or hold private placement, be informed as much as possible.

Top Financial Sources to Fund Your Business during Hard Times

Business EmployeesThere are times that life gets too tough and keeping your head above water might be a struggle. Financial problems can hit anyone at anytime – not only you but also the other company owners. Big businesses have a higher risk of experiencing financial conflicts, whilst small businesses might need monetary assistance when it comes to financial setbacks they are currently encountering.

To go through such unfavourable business situations, there are different reliable financial sources you might want to consider.

Apply for a loan

For a small business owner like you, industry professional RapidLoans.co.nz shares that applying for a loan can help you a lot. You can apply for a business loan or simply an easy loan, if you want lower interest rate for your loan application.  Now, if you have an active loan, just try to negotiate favourable terms for you and the lender. Come up with resolutions that will help both parties in the long run.

Find another source of income

Have you discovered your unique talent? Make good use of your other abilities or special skills by finding another source of income to fund your business. Your favourite hobby, for instance, can give you additional funds, whilst having fun. If you have an active website for your business, invest on pay per click ads to have additional source of profit.

Ask help from family or close friends

There is nothing wrong with asking your family or a couple of your close friends to help you solve financial crisis. Let them know they can be your investors. You can also tell them you want to borrow some money from them and pay it for a low-interest or no-interest.

Find business investors or business partners

Just like with asking your family and friends to borrow money, you could find potential investors for your business. These willing investors or capitalists might be the ones who wanted to build their own business but cannot, or they simply want to provide capital and does not want to participate in day-to-day business operations.

Selling assets or personal items

If you are not comfortable with borrowing money from people or from certified lending institutions, you can sell some of your business assets that you no longer need. If not, sell those stuff things just left lying around the house, such as old gadgets or appliances.

Keep these things in mind when you are struggling to solve your financial issues. Just make sure to take the less risky way to fund your business. Explore ways; try everything.

Loans You Can Get Online

Man Using the LaptopAs an individual who needs to pay bills, you may get into some serious debts due to circumstances beyond your control. Emergencies do have a habit of surprising anyone, and most of the time these problems are financial in nature. What makes it even harder is you need a specific amount, but not all bank loans can speedily process your application. Here are some types of loans you may try instead.

Personal Loan

When you take a loan from lenders, you need to explain your reasons for requesting that amount. For personal loans, however, you’re entitled to some privacy, since you don’t need to specify the purpose. Lending consultants from Rapid Loans say a personal loan is a good way of consolidating multiple debts you can pay weekly or monthly.

The requirements of personal loans vary from one lender to another, but they often require proof of your capacity to pay, a certification stating you are a real person and a New Zealand citizen, and an agreement on when you are able to complete your payments. They don’t charge a big interest on top of your loan.

Payday Loan

Borrowers often use payday loans for various everyday expenses and utility bills. This financial help often has a specific timeline for paying, such as your next payday or a number of paydays after release of the amount you need. It’s easy to apply and get approved, and the loan may be granted quickly. They are invaluable for emergencies and are limited to your own salary, preventing you from accruing greater debts.

Bad Credit Loan

These are credit loans you can get despite having a negative credit record. You can take out a loan starting at a minimal amount to ensure you are able to pay it on time. Credit companies can be stringent with their requirements, but will offer higher credit limits for those who have a good standing.

Loans like these are easier to apply for. Look for them online, but before you make a decision, gather all the information you need.

Salt Lake City — The Most Ideal Mortgage Place

mortgage rate in Salt Lake CityKnow the real estate market and overall economic status in Utah, especially in its capital city, for you to get the finest mortgage loan plan.

As of March 2014, the cost-to-wage ratio in Salt Lake City, Utah was 3.88 with value-to-lease link recording 21.22 based on average sales worth. In this same period, rental-to-credit expenses ratio was 0.79, which depended on the adjusted lease regarding 100% credit-to-price fixed rate 30-year mortgage for the usual home fee.

2013 Economic Look

After giving up its hold as the top business state from 2010 to 2012, Utah is still known for its excellent commercial atmosphere.

For one, it grew by 2% annually since 2009 with a gross profit of $130 billion, earning the fourth highest economic expansion rate in the United States. The state actually has the edge when it comes to workforce, taxation, and laws. Moreover, Salt Lake City is likely to gain an 8.8% employment hike in the above-standard income category in the next few years.

In addition, mortgage rates in the capital city plunged within September to November, recording 4.42% from 4.95% for 30-year fixed, with 15-year fixed listed at 3.54% from 4.07%. It is said that the best mortgage rates are in Salt Lake City, as Utah has a 3.85% rate compared to the national average of 3.88% as of July 2015.

Realty State as of 2013

Single-family units sold at Salt Lake County rose by 5% at 11,686 houses as 30% of total sales were in Salt Lake City. Also, the county has gained back 80% of their top record of 14,878 units in 2006. In line with this, home cost rose by 26% at South Salt Lake, with Utah’s capital coming out as the other city with above 20% rise in house value.

Furthermore, the number of foreclosed properties and underwater loans went down in the capital city and all over Utah. In contrast, one out of five loans in the state in 2011 was considered underwater. With these types of credit going down to 8%, real estate demand, house transfer, and extra home funding became possible.

Now you know why Salt Lake City wants to be known as the mortgage capital in the US.