3 Easy Tips To Protect Your Deck This Winter

Barbecue season is all but over, and you won't be spending as much time out on the deck. Don't let it get you down, though. Spring will be here before you know it. There are a lot of things that can wear down and damage your deck, so protect your deck and make sure it stays in tip top shape over the winter.

Cover The Furniture

You want your deck to look as good in the spring as it does now. The first step is to cover all the furniture (don't forget the grill!). Cover everything with commercial furniture covers or just use a tarp. Be sure that the covers fit snuggly.

They won't do any good if they're blowing through the neighbor's yard. If you've got the space, make room in the garage for the deck chairs and table. They'll last longer if you store them indoors for the winter.

Give It One More Good Cleaning

Dirt and dust can get trapped in the wood over the course of the summer, not to mention dog slobber or barbecue sauce. If you let these things stain your deck all winter, it will be a pain in your neck to get them out in the spring. Make sure to give your deck a thorough cleaning before it gets too cold.

You can use a pressure washer to spray away all the dirt. However, be careful not to splinter your wood, as pressure washers are powerful. Another option is to scrub the deck down with a brush. 

There are several commercial cleaners to choose from, but don't get one with bleach. You don't want your wood to fade. If this sounds like too much work, consider hiring someone to give your deck a professional cleaning.

Moisture Is The Enemy

Rain, sleet, and snow will seep into the cracks of your deck all winter. They can cause discolor, warping, and even cracking. Now is the perfect time to use a waterproof finish to seal all the little cracks in your deck and keep out the moisture all winter. There are a wide variety of finishes to choose from. Choose a darker or lighter finish to give your deck a new look.

We're leaving behind the days of barbecues and swimming pools, and replacing them with wool socks and fireplaces. Over the winter you can't give your deck as much attention, but you can make sure it stays healthy and strong until spring. A good deep cleaning and a fresh new finish are your keys to avoiding cracking, warping, fading, and mold. Put in the time now, and you'll extend your deck's life by years.

Why Should One Consider Refinancing Their Mortgage Now?

Refinancing a mortgage is a golden opportunity to lock in today's low interest rate for the next 15 or 30 years. While interest rates now are still low, there's a good chance they will be heading up in the coming months.

The Fed won't maintain the current bond purchasing level forever, and just as rates spiked in September when the Fed hinted the bond purchasing would change, rates will spike even more when purchasing levels actually do change.

As interest rates remain very low for 30-year and 15-year mortgages, homeowners can benefit greatly from a refinance. Several types of people in particular should consider refinancing.

Carrying A High Rate

Anyone with an interest rate well above today's level should think about a refinance. Unless the homeowner is planning to sell within the next few years, a refinance will almost always save money in the long run if the rate can be lowered by at least a percent.

Switching From FHA To Conventional

Given that FHA mortgages now carry mortgage insurance premiums for the life of the loan, it makes a lot of sense for borrowers to switch away from them when they can. Refinancing may be possible once the homeowner has built up enough equity to qualify for a mortgage from a traditional lender, without the burden of mortgage insurance.

ARM Coming Up On Adjustment

The low rate of an adjustable rate mortgage sticks only for the first few years of the mortgage. After this point, the rate adjusts each year based on market trends. Rather than paying the adjusted rate, which is almost always higher, homeowners can refinance into a new fixed rate mortgage to lock in one of today's low fixed rates for the duration of the mortgage.

Cash Out To Consolidate Debt

Homeowners carrying high-interest debt, like credit cards and personal loans, can often benefit from consolidating it into their mortgage. As long as they maintain at least 20 percent equity in their home, they can get a cash-out refinance for an amount higher than their current mortgage balance. They can then use the difference to pay off high-interest debt.

City Lights Or Starlit Nights, What Home Location Is Best?

If you are looking to buy a home, you might be wondering whether you should be looking for properties that are right in the center of the city or property in a rural area a short drive away.

The rural or urban decision will ultimately be up to you, as there are advantages and disadvantages to either option. The main difference will lie in your priorities – what type of lifestyle is most important to you?

Living In The City

One of the main perks of buying a property that is located in the heart of the city is that you may be able to enjoy convenient public transportation and you won't have to use a car to get everywhere.

You are likely to have a shopping center and a supermarket within walking distance of your home, as well as other important amenities such as a doctor's office, a pharmacy, a post office and more.

Also, if you enjoy attending concerts, visiting art galleries or enjoying other artistic events, you will find many more of these concentrated in the city center. You will also enjoy more options when it comes to shopping.

Of course, living in the city center means that property prices are usually a lot higher and you will likely end up with a lot less space for your money. Your kids might not have as much room to run around (unless you find a home near an urban park or a playground). Also, the hectic pace of the city, with all the traffic and high rise buildings, can be stressful for some.

Living Outside Of The City

When you buy a home just a few miles outside of the city, you will find yourself experiencing a completely different lifestyle. You will be a lot closer to nature, with plenty of walking trails and wild areas right outside your door. The air will likely be cleaner and you will be able to see the stars better at night time.

Many people feel safer letting their children play outside in the countryside and the cost of housing is usually lower than in the high density downtown core. Some people also prefer the peace and quiet of the city and would much rather go for a walk in the woods or have a campfire than attend a cultural event – so the country is the right place for them.  

Of course, possible disadvantages of rural life is that it can be inconvenient and time consuming to drive into town to get supplies or to meet up with friends. You must own a car in order to get around, as the public transportation system will not be as good as it is in the inner city.

These are just a few factors to consider when determining whether you would choose the city life or the country life.

Lastly, there are sometimes special home loan programs that focus on specific city areas or rural properties.  It would be a good decision to consult with your trusted mortgage professional right away in order to find out all of your options.

The Government Shutdown And Its Effect On Existing Home Sales

Existing home sales for September fell by 1.90 percent from August's revised reading of 5.39 million sales to 5.29 million sales. Economists had expected 5.30 million sales for September, so a slow-down in existing home sales had been anticipated.

The National Association of REALTORS cited higher home prices and mortgage rates as factors contributing to fewer sales of previously owned homes.

Home Prices Easily Outpaced Income Growth

According to Lawrence Yun, NAR's chief economist, home prices "easily outpaced income growth." Consequently, affordability has fallen to a five-year low. Mr. Yun also indicated that a government shutdown was expected to affect home sales in October.  

NAR also cited a "notable increase" in federal flood insurance premiums as a deterrent to homebuyers in flood zones. The premium increase was set for October 1. 

There is some good news. The NAR reported that existing home sales had increased from 4.78 million in September 2012. As compared to the reading for September 2013, this was an annual increase of 10.70 percent in existing home sales.

This increase represented the 27^th consecutive month for increasing sales of existing homes on a year-over-year basis.

Higher National Median Home Price

According to the NAR report, the national median home price increased by 11.70 percent to $199,200 as compared to one year ago. This was
the 10^th consecutive month of double-digit year-over-year increases in existing home prices.

NAR estimated that it would take five months to sell the 2.21 million previously owned homes currently available, which indicates that available existing homes remain in short supply.

Sales of distressed properties rose to 14.00 percent share of existing home sales, up from August's share of 12.00 percent. August's level was the lowest share of distressed properties sold since NAR began tracking monthly sales of distressed properties in October 2008. Sales of distressed properties during September included 9.00 percent foreclosed properties and 5.00 percent short sales.

Distressed properties typically sell for less than market value; fewer distressed properties included in existing homes for sale would contribute to higher prices. September's percentage of distressed sales is down by 10 percent year-over-year.

What's Ahead For Mortgage Rates This Week - October 21, 2013

Many of the economic and housing reports typically scheduled were delayed by the federal government shutdown.

The National Association of Homebuilders Wells Fargo Housing Market Index for October was released Wednesday with a reading of 55, lower than the projected 58 and previous month's revised reading of 57. The original reading for September was 58, which was the highest measure of builder confidence since 2005.

NAHB cited concerns over mortgage rates and the federal government shutdown and its consequences as reasons for homebuilder confidence slipping.

While the NAHB HMI reading was lower than last month, it remains in positive territory as any reading over 50 indicates that more home builders are confident about housing market conditions than those who are not.

Pent-up demand for homes is fueling home builder confidence, which grew by 34 percent over the past year and exceeded the rate of home construction growth.

NAHB Releases Housing Starts Data For September

The Census Bureau was unable to release data on housing starts for September. NAHB released a report estimating September housing starts would be approximately 900,000 units on a seasonally-adjusted annual basis.

Single family home construction is expanding while multi-family home construction remains volatile. The NAHB report estimates single-family housing starts for September at between 620,000 and 630,000 homes annually.

Fed Beige Book: Residential Real Estate Improved, 4 Districts Report Slower Growth

The Fed released its "Beige Book" survey of its 12 banking districts on Wednesday. eight districts reported little or no change in economic conditions and 4 districts reported slower economic growth for September and October.

Real estate and home construction were improved, although several Fed districts reported concerns over rising mortgage rates.  The Beige Book report was based on data gathered October 7, one week after the government shutdown began.

Mortgage Rates, Weekly Jobless Claims Jump

Freddie Mac reported increases in average mortgage rates; the rate for a 30-year fixed rate mortgage was 4.28 percent with discount points unchanged at 0.70 percent.This was five basis points higher than the previous week.

The rate for a 15-year fixed rate mortgage rose by two basis points to 3.33 percent. The average rate for a 5/1 adjustable rate mortgage rose by two basis points to 3.07 percent. Discount points for both 15 year mortgages and 5/1 adjustable rate mortgages were unchanged at 0.70 percent and 0.40 percent respectively.

Weekly jobless claims reported on Thursday rose from the prior week. 358,000 new jobless claims were filed as compared to the expected number of 335,000. During the prior week, 373,000 new jobless claims were filed. The latest data was from the week of October 7, the second week the government was shut down.

What's Ahead: Delayed Government Data Expected

Some federal agencies have given dates for releasing data delayed by the shutdown. These included Nonfarm Payrolls and the Unemployment rate for September, which are set for release October 22. The Consumer Price Index and Core CPI for September are scheduled for October 30.