Survival

Isn't it funny how stress gets to us and sometimes we don't even realize it. Of course my back is on the fritz, has been for 3 days now. I have to mend myself and it is difficult when there is not much help in my household. My boys will do something for me if I beg and plead with them. At night when I am supposed to be sleeping, my mind just races and worries about money, a job and how I will survive. Then I don't get much sleep and I'm sure you can figure the end result. I have survived other detriments to my financial picture and managed to rise above it all. It's just now it seems much more severe. I don't have a spouse or boyfriend to lean on and it sure would be nice to have that special someone to lean on. Wouldn't it be great if we could all ban together to help each other? After all that 's all we really have is each other. So today I will try to do some positive things and help reduce my stress and look for the good things in this day.

Remember: It is what it is

The power of information

Everyday we need information and we give information in all aspects of our life. We need to make sure we have all the information and that it's correct. When you talk to a Loan Officer about a home loan there are specific and basic pieces of information you will need. If you go prepared the loan application process will be so much smoother. You will need your ID, drivers license, passport or equivalent, and social security card. Your most recent pay stubs covering a one month period and past 2 yrs W2's. If self employed you need your past 2 yrs tax returns with all schedules. Most recent 2 months of bank statements, if you don't have a bank account now, you need to go open one up. Your money for closing costs, down payment and reserves needs to be documented as to where it came from, so get an account opened today. If you have a 401K through work bring the most recent statement or any life insurance policy with a cash value will also be good. If you have CD's, money market or a trust be sure to have all that information for the LO to be able to verify with a verification of deposit, VOD. If you pay or receive child support bring the divorce decree or child support order. Landlord information or if you live with family you will need those names and addresses. You will also need to bring a check for your credit report as the LO will pull your credit while you are there and be sure to review the whole report to be sure all credit good or bad is yours. If you have paid collections or tax liens or judgments in the past they may very well still show up on your CR as those places say they will report the payment to the credit bureaus and they rarely do, so also keep all your documentation and information of paying these things for the future.
Yes a lot of information is needed to buy a home, but the end result of home ownership a very rewarding feeling. So be prepared and the whole mortgage loan application will not be as painful as you have heard.

Remember: Information is knowledge

Role Models

We don't know when growing up that we might someday have children and have to know what to teach them about life. They sure don't give you a handbook at the hospital while checking out that instructs you on how to be a good role model in all aspects for your children. We mainly rely on our Parents and Grandparents, who, by the way also were left with the same dilemma. So each generation stumbles through and we all try to do the best we possibly know how. What I have learned as a single Mom for many years is to show my boys how to work hard to earn a living and be successful and to SAVE. My Parents struggled like I have for many years and my Brother and I really didn't know it, because they covered up their money troubles, I'm sure they didn't want us to worry. Of course I am still to this day very fortunate to have both my Parents and they are still married to each other, 50 yrs. This is something many people today don't have. With that my Dad was and still is a hard worker and very smart. He worked outside the home while my Mom was the domestic engineer. She kept all the inner gears of our household running smoothly as possible, while Dad traveled for his job every week. So over the years after I became an adult, married and divorced with 2 boys to raise, I realized I had learned how to survive on very little money while trying to "rob peter to pay paul", after many years it became very tiresome and old. I have finally figured out how to make myself save money and am trying to teach this same philosophy to my boys so they won't have to face crisis's unprepared. There is nothing worse than thinking you have more money in your bank account and then you discover how wrong you were. One clerical error can cost you hundred's of dollars. I know, I have lost many, many dollars this way. Our Parents are our role models and they do the best they can. Mine did. I have learned from them that you continue to do what you believe in and be positive about it everyday and you will be successful. My Dad has been successful and I have too for not going to college. My degree is in the Mortgage business.
Think about what you have ever learned from your Role Models and try to incorprate that into your life.
So start today by writing down a simple budget plan for yourself and your kids can start learning as early as 12. You can use notebook paper, write down what income is coming into the household and what your bills, expenses are to go out for the month. Once you see it on paper and know in your head how much money you have for wiggle room, you will tend to not overspend. In today's times we all have to learn how to build our wealth by spending our money very carefully.
If you ever have a question or comment, please feel free to email me. I am always willing to help people think in the right direction.

Remember: Think smarter not harder

Why good credit is good

Good credit is like money in your pocket. Even if you have no credit and lots of money this is still not good. The lending industry these days view someones credit history as a gauge for how they might repay a loan. If you have no credit there is no way to know if someone actually pays their bills and on time. Sometimes you can provide what is called alternative credit to show how you pay your bills, ie; utilities, car insurance, rent/housing, etc; In today's times lender's are more apprehensive in lending when there is no history of repayment unless you put down a good amount of money which in most lender's eyes says you won't walk away at the risk of losing all that money, just as if you threw it out the window. There are many things you can do to improve your credit when it is tarnished. Some people think once they have the bad credit there is nothing to do about it.
I have been in the Mortgage business 24 yrs. and my credit is not what it should be. However, I have been a single Mom for many years and that does sometimes put many extra strains on how we dole out our money in order to continue with daily life. I have struggled and still do with tarnished credit against me. I am working to get it cleared up, but it does take time and diligence everyday. I have found that most of us like to spend, spend, spend. I have not really done a lot of spending, but I have made stupid choices in what I may have spent money on and thus the snowball effect takes place. I know many people in my position that only have themselves to borrow from and in the end that costs us much more money than we ever intended. I believe that good money skills should be taught when you are a child and I know I wasn't. My Parents struggled when my Brother and I were young and eventually they got it all straightened out and got through it. I watched this and both my Brother and I have continued to have money issues, rough credit and no savings. I am now a homeowner and have started saving with a small savings account and through a 401K at work. If you really think about it, the cost of a pizza meal delivered is what you could put in a savings account a month. If that's all you can do for now, that is a great start. It is never too late or too little. I have 2 boys and I am trying to instill good spending and saving habits and it is still difficult to do. My oldest is 23 and works now for 15 mos. and keeping a job was the most important part first, now it is about saving and not spending. My other son is 15 and of course likes to spend money he doesn't have. I am working on that as well.
So my whole point is that you may hear out in the world that you must save so much and if you don't start when you are an infant you will never have any retirement, all this negativity, anyway, you can do whatever you want as long as you continue to think positive and make positive changes, large or small. You can do it. So today start writing down how you can improve your whole financial picture without taking food off your table or doing without. Try brown bagging your lunches more, making meals at home more. None of this will kill anyone, it is what our families did and we need to stay away from the fast food life as much as possible, so much more expensive yet people today have gotten caught up in the fast lane of life and forget really how to live. So start today to show yourself how you can begin to improve your credit quality and become a homeowner someday yourself or buy that new car that you need and learn to change your spending habits. All of this is just about 3-6 mos away if you really put your mind to it.

Remember: Make good choices.