Finance And Refinance .com

The term “mortgage” appeared at first in the Old French as “dead pledge”, because in the old history when somebody didn’t pay the dues the pledge ended in death. Either they fight with swords or the person who didn’t pay the tribute was killed. Mortgage is a well known solution for those who need rapidly some cash in order to pay often a real estate with the condition that it would be paid later. It is not a kind of debt; it represents the security in money for the borrower. You can think about the mortgage like an interest between lender and borrower. For the lender it means security.

There are some terms regarding to mortgage . Mortgagee is usually the lender. Lender gives the money, and the borrower due to the mortgage persuades the lender. The debtor or the mortgagor has to get to know the conditions of the mortgage. Mostly mortgages are related to real estates , but naturally not even for lending purchases it is possible to take mortgages.

The annual percentage rate (APR) is the measurement which is to count the cost of the mortgagor.

In Spain, Ireland, and Australia and also in the United Kingdom have appeared some markets in order to provide services for mortgagors. People need homes, but they don’t have enough cash.

Before you are going to have a mortgage loan, you have to talk with your bank specialist or manager, and agree in a maximum term. After this term there is an amortizing loan which has to be paid. It has another type negative amortization, but not all the mortgage loans do have this amortization.

It is very difficult to decide to borrow, mainly if you are forced to mortgage. Getting to know the possibilities is just the first step. On the Internet there are free mortgage calculators which help the borrower in researching and planning. It is a very helpful method also to learn about the existing mortgage. It is easy to follow the payments, the rates, the amortization schedule and the pay-off dates.

Borrowing is a very complicated decision; due to the mortgage payment calculator it may be relaxing. It is also helpful for those with home mortgage, who want to count the monthly, yearly paid dues.

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During antiquity and middle ages, slavery was common. The strong guy went to the weak guy, slaped his head and suddenly, the weak one, if he wanted to live, become a slave.

Financial Slavery is a modern form of slavery. You don’t need to send the army to fight with the future slave. You don’t have to FORCE people to become slaves. You can only lure them. It’s so easy. We, humans, are so easy to be tempted.

Give us some colored glass and some little bells and we give away our most precious stuff to have them. Our life (or parts of it). HAVE is the most important verb for us, instead of BE. I have a car, I have money, i have a sexy woman, i HAVE. It should be like this: I am proud, I am free, I am happy, I am relaxed, I am smart, I am….

Anyway, financial slavery is the newest and most powerful form of slavery. You make a loan. 2-3-4-5-6 loans. you keep paying loans at a double-triple price. You consolidate, refinance. You prologue suffering.

Financial slavery is very weird. Is based on our stupidity. We want to be slaves. Because we want to sell our future, to buy some happiness. How sad is the fact that most Americans think as fun as shopping? This is sad. People are stupid. Because if everybody would be smart, who would work for us? We need shit-take-care-guys, we need stamp-lickers, etc

Whenever we use a credit card, we are a step further financial slavery. Because there is no such thing as a free lunch. Everything’s got to be paid eventually. So, when you buy colored glass, you WILL spend a large part of your life serving for your masters. :)

Think. Live. Don’t be a slave. Avoid financial slavery

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Here we have a category of persons I don’t trust. The mortgage brokers.

Would you trust a person to give you the best solution for yourself when this solution is the one that brings him the smallest commission? I wouldn’t. Mortgage brokers are this category of people. In theory, you go to them, tell them what you want and they recommends you the best option. You think the best option is YOUR best option, but is NOT.

Mortgage brokers will recommend you what brings them the higher commission. They are not stupid to recommend what is best for you and so they could win several hundreds dollars, when they could fool you choose a variant that will bring them thousands.

So be careful.

Also, mortgage brokers are focused on closing the deal. They do not care about your particullary situation. That you could go out of job, out of money. They are interested ONLY in their pay. So, it’s better to talk with some friends, to get the advices from them, tehn from these sharks - mortgage brokers.

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In case u have wondered what is a mortgage, here is my definition for it.

MORTGAGE = a way to sell your future to the banks.

This come for a guy that has, as we speak, 6 loans and 5 mortgages :) So, for sure i know what is a mortgage.

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Do you need a 40 year mortgage?

Hahaha. 40 year mortgage? Do you really think that you will live that long? :)

Ok, let me tell you my opinion on mortgages on long period. 40 year mortgage, 30, or above this period :)

First, it really helps to go for a long period, because you have smaller monthly payments.

Especially if you are in your early 20s, it helps to kick start your life. Make your calculations, have an optimistic scenario, a pessimistic one and an extra pessimistic scenario :). And, if it sounds ok, go for it.

However, you must be aware that in the first years you are paying only interest, and no capital. So, if you can take a 40 year mortgage, be careful, because, on long run, it will cost you like hell. And do you thing the property you are buying it, in 40 years it will cost more then double? Francly, I doubt. Because houses, especially the american ones, are made of wood. So termites, weather, bad mantainance deteriorates the house. And in 40 years, the product lifetime is almost ended. Also, if you get a depression like this one, when prices are falling, it means you will lose tons of money. Or you live in a future chicago area, that will be hard hit by a recession. You can call you threw away money

A 40 year mortgage shold be repayed as soon as possible. Even after 3-5 years. This way, you will save tones of money, that otherwise will be spend for nothing. And also check the commision to reimburse in advance the credit. Also the contractual conditions… Otherwise you can have some nasty suprises. 40 year old mortgage could be an interesting and usefull tool, if you use it wisely.

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