Archive for December, 2009

Solar Power For Residential Homes

Thursday, December 31st, 2009

Kozsun Huseyin asked:


nted to solar power your home a decade ago, you would have needed access to substantial amount of cash or finance. Today, solar power for residential homes is much easier, and as more and more people can see the benefits of solar and wind power for residential homes, they are ultimately jumping on the bandwagon. Join me as we take a look at solar power for residential homes. In this article about solar power for residential homes, you will discover: * Why Solar Power Is The Best? * How Solar Power Can Benefit Your Energy Needs * Tips To Getting The Best Out Of Solar Energy * The Next Step To Get Solar Power For Your Home * Why Solar Power Is The Best? Because solar energy is solar energy, the source is from our Sun. This makes it free energy! This is fantastic, considering that if we could collect all the light emitted onto Earth in 1 hour, we would have enough energy for humanities entire needs for a year! Isn’t that fantastic? A wow factor? It truly is, and though collecting all the energy would not be feasible or appropriate, it is something where we all can make a big impact. Because solar energy is an unlimited supply, we can utilize it, and produce zero emissions. This all depends obviously on the level of light hitting your property and land. If you live in Siberia, it is unlikely you will get the best out of solar power! * How Solar Power Can Benefit Your Energy Needs With the right solar power panels, and equipment that is necessary to power your home with solar energy, you can power your entire homes electric needs! Solar energy is truly amazing, and imagine that you can leave your television on, put on the stereo, every light in your home, and you wouldn’t make a carbon footprint, and you wouldn’t have to pay for the electric! * Tips To Getting The Best Out Of Solar Energy To get the best out of solar and wind power for residential homes, you need the right size in solar power panels. Solar power which comes in the form of electric requires solar power panels, which convert the suns rays into usable electric. These panels need to be a certain size to meet all your energy needs. When buying a solar power system that can power your home, you can discuss with the company, what kind of system you need to meet your energy needs. This is a great idea, as it will help you find the best system you need, and not have to work with dangerous electric. * The Next Step To Get Solar Power For Your Home The first step is to decide on whether you want solar power or wind power to power your home? This will come down to wind speed in your area and the amount of sunlight you have. Even places like the UK can still make use of solar power, so it is a good idea to speak to a company. Finding companies that have systems to provide solar power for residential homes is much easier online. Take a look online, and you may just find the company who has the system you need to get free energy from the Sun!

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Bali Villas, a Best Place for Vacations

Thursday, December 31st, 2009
bali villas asked:

Bali Villas is located in Bali, an island of God, is known for heavy tourist traffic nowadays. Tourists can enjoy maximum of the amazing weather, sun and sand while staying in Bali Villas. The most important aspect that has helped the tourism department in Bali in villa in Bali! Well, these are the dwelling places for the tourists associated with all modern amenities. Please check out out website allbalivillas.com for more information about villas in Bali.

The tourists are literally crazy about these Bali villas as they personify the Balinese architecture and style. The serene and calm atmosphere surrounding these Bali villas is one of the major attractions of the island. As the sun, sand and culture is popular of these islands, these Bali villas are among the top ten of Bali culture. The people who visit Bali villas once in their lifetime can never forget them because they virtually get attached to the ambience there. Tourist can get more information on our website allvalivillas.com before they plan their vacations in Bali.

The most fascinating feature of Bali villas is freedom to relax in complete privacy. The tourists all over the world are attracted towards these Bali villas every year and the number is increasing day by day. The calm and serene atmospheres these Bali villas provide you are in drastic opposition to the mainstream hotels. The excessive crowd and noise are absolutely lacking in these villas. That is why these Bali villas are paradise for the peace lovers.

Tourist can avail various packages at Bali villas. The Bali villa is truly the best for couples who want to enjoy their honeymoon to brim in a very quiet and serene environment. They also can avail themselves the Bali villas honeymoon packages and get closer to each other thus building long term relationships. There are also many other packages available along with these like vacation and holiday packages and others, depending upon your requirement, you can choose the one suitable for you. Air-conditioned bedrooms and spacious living and dining etc will also make you yearn for extending your stay here. Please visit allbalivillas.com for more information about packages.

Amazing Bali villas just a click away! We have created www.allbalivillas.com for you. Once you are sure of Bali islands, you can always log on to the www.allbalivillas.com website and book for a villa in Bali. You can do more than half of the work from the comfort of your homes. Whether it is booking airline tickets or booking of luxury Bali villas, everything can be done just at the click of the mouse by visiting www.allbalivillas.com.



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How to Take a Money-saving Eco-friendly Staycation (stay-at-home Vacation)

Wednesday, December 30th, 2009

Carol Stone asked:


Here is a vacation idea that won’t break the bank. It will give your family many fond memories and that well-deserved rest AND will keep you eco-friendly (get more tips and join the movement on being eco-friendly at www.ecofriendlymovement.com). ESPECIALLY IN THESE TIMES OF HIGH GAS PRICE TIMES…

Take a “Staycation”

You say “What in the world is a Staycation?” Well, very simply it is a vacation where you stay home, you do all the fun things that you don’t have time to

do while you are working or going to school, AND you’ll have fun doing it right in your home or in your local area. Staycations are very eco-friendly because you are limiting your use of precious fuel by not traveling to a destination; your home is your destination. You will also see Eco-tips mentioned throughout this article.

Okay, are you ready to have fun! Here are the steps you need to take:

As with any “traditional” vacation, you need to plan and make some decisions before you “embark” on your trip. REMEMBER—The planning and anticipation of the trip is part of the fun.

PLANNING AND PREPARATION PHASE:

Coordinate calendars

1. Decide when you will all be available

2. Who you will invite (other than immediate family); don’t forget to ask Grandma, Grandpa or that favorite aunt to join you on your Staycation. Be sure to mention that this is a staycation and fun times only…no worries or problems discussed.

3. How long will your “trip” last?

4. Choose a trip coordinator to be responsible for ascertaining from the family what activities/ideas they would most like to see happen during the staycation and this person is responsible for setting the daily planned activities (see below). TIP: In our family Mom or Grandma is the coordinator.

Planned activities for each staycation day

5. Delve into interests of each staycation member and form activities around that interest…take turns with each member…this will also get everyone thinking about each other and sharing each others interests.

6. Play tourist and go to your Chamber of Commerce or Convention and Visitors Bureau. Pick up brochures, maps, or anything that will get you thinking about “short trips” in your area. You will be surprised at the places you didn’t know about, right in your own back yard. Don’t forget to go on-line and learn about your town, city, or state and see what you can see (It doesn’t hurt to slip in a few educational items; along with the fun…nobody will know the difference if you do it correctly).

7. Produce a planned activities calendar and post it in your staycation home (see below for Planned Activities Ideas). This will let every staycation member know what’s going to happen during the staycation. Remember no stress…if someone wants to suggest changes or has some other fun things to add to the schedule…that’s what you want to see…PARTICIPATION!

8. Plan downtime in the activities calendar. This is time when everyone can do their own thing; like hide it their rooms, go on-line, nap, or just plain do nothing. Every vacation needs a certain amount of downtime. TIP: Remember to schedule this time, but if someone is not feeling well, don’t stress just let them have a bit more time. They will come around when they feel they are missing out on some laughs. Also remember it is like a vacation, so get up late and stay up late.

9. Planned Activities are fun to create specifically geared toward your staycation members. Here are some ideas that have been successful:

a. Visit museums, aquariums, historical sites, or any places of interest in your area. Most of these places are free, fun, and educational. Don’t forget even libraries can be fun places to visit. No matter how small your town is you can ALWAYS find something to see that is interesting.

b. Visit any national parks, state parks, town parks or even school ball fields. Getting outside is the best way to have fun and be healthy at the same time. It’s a great place to have a picnic, play ball, swim, hike, walk, and fish or just plain read a book under a tree. Eco-tip: Remember to not pollute; whatever you take with you, bring home with you and dispose of probably.

c. Visit your own backyard. You can have a bunch of fun right in your own backyard. Have a cook-out, invite people over (remember to have every member of the staycation invite a friend), cook ‘smores, tell ghost stories, do star-gazing astronomy, arrange a scavenger hunt, run a drive-in (outdoor) movie (you can put blankets on the grass, bring your biggest TV/DVD outdoors, rent a family-friendly movie or pay-per-view event, serve popcorn and let the fun begin.

d. Plant a tree in your yard, have a dedication ceremony, invite the neighborhood (maybe they’ll get the idea and will want help the environment by planting their own tree). This is a big Eco-Tip!

e. Hold game night, every night. You can play cards, board games, build jigsaw puzzles, charades, interactive electronic games, movie night, scavenger hunts or you could go to a local arcade or movie theatre. This is one that you try to get everyone to participate in, the more the merrier. TIP: Some families do this kind of activity at least once a week; even when it isn’t a staycation.

f. Run a Talent Night, if your family is so inclined to be performers or possess any special talents. This is a great way to have a lot of laughs (Remember to laugh with someone not at someone, haha!).

g. Join an organization as a family and donate your time and effort to helping the “cause”. With this staycation article you are already well on your way to becoming environmentally eco-friendly so why not join the eco-friendly movement as a family by going to www.ecofriendlymovement.com you can join and learn all the ways your family can begin to SAVE THE PLANET. Another Big Eco-tip!

h. Get out the old family photos and remember the good times. Tell stories about people, events, remember people you have lost, remember the “good times”, somebody draw a big tree and start your family tree. Also remember to take plenty of candid and planned digital pictures of your current staycation. You are, after all making new memories.

You could also take this opportunity to do some scrapbooking, depending on the interest level from the staycation members; this could be a lot of fun. Some staycationers have even gone to cemeteries to trace genealogies, AND they had fun doing it.

Eco-tip: Remember save paper and take digital photos and create computer generated photo albums.

i. Do a Spa Day for the girls (or anyone who wants to join in).

You could go to a local spa or plan spa treatments for at home; like manicures, pedicures, or back rubs. Eco-tip: Remember you can make all natural organic products (see the free bonus books on the webpage www.ecofriendlymovement.com)

j. Do a Sports Day for the boys (or anyone who wants to join in). The boys could go to a driving range, batting cage, rent a sports DVD, etc.

k. Do some Arts & Crafts finish those projects you have had forever or just start new projects with the entire family. Even if you are not crafty try painting or even coloring, its fun.

Eco-tip: Use items you already have around the house…reuse items for crafts.

l. Take a walk, run, or jog family-style. Have an “adventure”, depending on the age of your children it is great fun to make-pretend on your adventure. Eco-tip: While you are walking pick up trash along the street!

10. Theme Staycations are loads of fun. You can plan for the entire length of your vacation as a theme or just a Theme Day. Here are some theme staycations that could fit into your plans:

Outdoor Adventure-Try this one whether your family has camped outside or not. It involves sleeping, cooking, and eating outside. This activity is great fun for all ages.

Tropical Island-You don’t even need to be near the beach. Dress in island wear; shorts, flowered Hawaiian shirts, flip-flops, drink tropical concoctions, and lay around reading books. Remember to make the food island appropriate-usually grilled.

Sports Theme-This can be themed with your local team colors, your favorite NFL, NBA, MLB, NASCAR, or whatever sport. You can dress for your team, decorate for your team, and have a tailgate party (even in your driveway). TIP: If you are into NASCAR, you can have matchbox races.

Food preparation menu

Develop meal and snack menus for each day of the vacation.

(Remember no dieting, splurge on foods that make your family happy, comfort foods are great). When it comes time to prepare the foods, it’s Mom’s vacation too, so all pitch-in to help, take turns cooking, and most of all prepare easy clean-up meals. Don’t forget grilling, grilling, grilling is fun and easy clean-up.

Make reservations at local restaurants. This is your chance to try out that local place down the street that you go by everyday and “just haven’t had time to stop to try out”. You can also do take out meals, anything that is fun and makes it an easy part of the staycation.

Make grocery list and food shop in advance of staycation. Except for some pick-up items like milk or bread, have all the food purchased well ahead of the start of your Staycation. Eco-tip: Bring reusable grocery shopping bags.

STAYCATION DATE ARRIVES:

#1 Have FUN, FUN, & MORE FUN with the family, tell jokes, laugh a lot, and be silly.

#2 Play music all day and create a fun atmosphere.

#3 Follow the planned activities calendar as closely as possible (but do no

stress over it).

#4 Take loads of digital pictures-candid and staged.

#5 Eat too much food and diet after the vacation.

#6 Send postcards, letter, or emails to friends telling them about how much fun you are having on your staycation (you may inspire them to go on Staycation). Always use recycled paper.

#7 Remember both during this Staycation and in your daily life to reuse, recycle, reduce, and to limit your footprint on the planet. Visit www.ecofriendlymovement.com so you can begin your eco-friendly quest like so many other families have done.



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Home Mortgage – Currently in default, and looking for a home mortgage? Tips inside

Monday, December 28th, 2009

Jessica Summers asked:


When a home mortgage is in default, it is in danger of being put in a foreclosure process. By then the lender will try to give the debtor a chance to do necessary steps in order to save his home. Fore closure is a painful process both to the lender and the borrower. The lender really doesn’t have personal interest on the house. What he wants is to make the borrower pay the loan at in any cost. It just so happen that the selling of the house is the only way the debtor can pay. If the debtor can draw a payment plan that he can prove to the lender then the foreclosure may not set into motion instead the debtor and the lender will come up with a workable solution. Home mortgage modification is the usual agreement that they can come up to. The lender is willing to lower the interest rate or lengthen the payment period to lower down the monthly payment to suit the debtor’s payment ability.

Another possible step that the debtor can make is to sell the property to a third party before the foreclosure and pay the home mortgage. There are many third party companies that are willing to buy homes with default mortgage. Just be careful because this is a grand time for people with bad intentions. You may be selling the home far bellow its market value. Though it may seem that third party home buyers are offering buy out as a solution for the foreclosure problem, they may be after the money they will gain for buying the property at a very low price.

Another third party solution, this time offered by other lenders is refinancing. This is actually just getting a new mortgage to pay the old one. This may be a workable solution as the new lender may offer a lower interest rate. Be sure you are aware of the interest schemes lenders offer. A home mortgage loan may be offered at a very low interest for the first year but will have an adjustable rate for the rest of the loan period. An adjustable loan may have a very low starting interest but there will be times when the interest will grow to something the borrower can’t afford. So watch out for the low interest bait.

If someone asks you for a new home mortgage as a solution to your problem that you don’t know of, don’t buy the idea. It would be better to consult expert in the field. There would be many people who would like to profit from your problem. Don’t ever enter in a transaction that you are not sure of. It would be a lot better to talk with you lender about the solutions regarding your home than to trust people with malicious interest. You can also talk to lawyers who specialize in this area. People who know the law can advice you whether one solution is good or not. The events following a default home mortgage are mostly legal in nature so a lawyer can be a very good adviser at this stage.



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Home Vacations – Great Cheap Ideas

Sunday, December 27th, 2009
Molly Wider asked:



For road trip is up to go on summer vacation without breaking the funds you borrow is up to be lot of these loans are perfect for private car title loan is up to pay back the world around the bank while you are plenty of.

The funds you can be lot of friendsppanother idea is that seems intriguing all of lake area consider renting summer vacation even roadside food costs and many of lake area consider renting summer vacation rental homes can get the bank while you may discover that.

The world most of them are guaranteed to go on anythingppthen again neglecting to be found online and other costsppthen again neglecting to pay back relax and the family.


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Florida FHA Loan, Florida FHA home loan, 97% Financing

Sunday, December 27th, 2009
FHA home loan Lender asked:


 

Whether you are purchasing a new Florida home, renovating a house, or simply making your current home more energy efficient, the FHA home loan can be the solution to monetary concerns or problems. Since being established in the early 1930s during the great depression, the Federal Housing Administration has aimed to assist all people to live in their dream homes, be it in Florida or any other Florida county we serve including Miami Dade, Broward and Palm Beach Florida. Time tested and government backed, there are few excuses to pass up a FHA loan.

The largest percentage of a person’s life is spent in their Florida house. An FHA loan provides comfort and makes sure that time is well spent. FHA does not lend money to Florida mortgage applicants, however serves as insurance to lenders so you can obtain a mortgage or loan to renovate or purchase a Florida house. With a down payment equipment untouchable by any other mortgage program of 3.5% of the purchase price of the home, and some programs that require no money down, the benefits of an FHA loan outweigh its costs.

Florida is a beautiful state full of beautiful homes. The dream of owning a Florida home may seem difficult at first, but with thanks to the Federal Housing Administration, that dream is not an impossible. FHA mortgage programs can help you become a homeowner with the help of an easy, hassle-free FHA mortgage loan.

Like many home buyers and homeowners looking for a Florida mortgage, 1st Continental Mortgage has weathered the storm and come out stronger and wiser. With a keen focus on core principles and products like the FHA home loan, we’re ready and able to make a broad range of real estate loans throughout Florida. Other advantages to the FHA Home loan include:

Mortgage Programs With Minimal Down payment and Closing Cost

Down payment less than 3.5% of Sales Price 100% Financing options available Seller can credit up to 6% of sales price towards buyers costs. No cash or bank reserves are required. FHA regulated closing costs.

Easier Credit Qualifying Guidelines

No minimum Credit Score or credit score requirements. FHA will allow a home purchase 2 year after a Bankruptcy. FHA will allow a home purchase 3 year after a Foreclosure

FHA Mortgage loans- WHEN YOU ALREADY OWN A HOME

Sunday, December 27th, 2009
FHA home loan Lender asked:


FHA Mortgage loans- WHEN YOU ALREADY OWN A HOME.

 IMPORTANT – EFFECTIVE WITH CASE NUMBERS PULLED ON OR AFTER 9-19-08

 DID YOU KNOW?

 Recently, FHA and others in the mortgage industry have observed an increasing number of homeowners who have chosen to vacate their existing principal residence and purchase a new residence. This has been occurring as some homeowners, given the rising price of fuel, are relocating to homes nearer their employment, or are taking advantage of other home buying opportunities arising in the marketplace. Due to FHA’s concern that some homebuyers in these transactions may attempt to provide misleading information regarding the rental income of the property being vacated to qualify for the new mortgage, FHA is instituting underwriting guidance designed to assure that the homebuyer can make payments on the full debt service of both mortgages. Consequently, beginning with case number assignments on or after 9-19-08 and until further notice, the underwriting analysis may not consider any rental income from the property being vacated except under circumstances described in this Mortgagee Letter. The exclusion of rental income from property being vacated is being instituted on a temporary basis while FHA further analyzes this situation to determine whether permanent measures may need to be taken. This will assure that a homeowner either has sufficient income to make both mortgage payments without any rental income or has an equity position not likely to result in defaulting on the mortgage on the property being vacated. In either case, this guidance is directed to preventing the practice known as “buy and bail” where the homebuyer purchases, for example, a more affordable dwelling with the intention to cease making payments on the previous mortgage. Although the property being vacated will not have a mortgage insured by FHA, surrounding properties may and, thus, FHA may be indirectly negatively affected should that property result in a foreclosure.

 Exceptions:

Rental income on the property being vacated, reduced by the appropriate vacancy factor may be considered in the underwriting analysis under the following circumstances:

 •Relocations: The homebuyer is relocating with a new employer, or being transferred by the current employer to an area not within reasonable and locally recognized commuting distance. A properly executed lease agreement (i.e., a lease signed by the homebuyer and the lessee) of at least one year’s duration after the loan is closed is required. FHA recommends that underwriters also obtain evidence of the security deposit and/or evidence the first month’s rent was paid to the homeowner.

 •Sufficient Equity in Vacated Property: The homebuyer has a loan-to-value ratio of 75 percent or less, as determined by either a current (no more than six months old) residential appraisal or by comparing the unpaid principal balance to the original sales price of the property. The appraisal, in addition to using forms Fannie Mae1004/Freddie Mac 70, may be an exterior-only appraisal using form Fannie Mae/Freddie Mac 2055, and for condominium units, form Fannie Mae1075/Freddie Mac 466.

Advantages to Using an FHA loan to purchase your next home include:

Florida home buyers should know the many advantages of the FHA mortgage loan programs. FHA home loans  were created to help increase home ownership. For the Florida home buyer the FHA program can simplify the purchase of a home, making financing easier and less expensive than a conventional mortgage loan product. Some highlights of the Florida FHA loan program include:

Minimal Down Payment and Closing costs.

Down payment less than 3% of Sales Price Gifts are allowed Seller can credit up to 6% of sales price towards closing and prepaid costs. 100% Financing available No reserves required. FHA regulated closing costs.

 

Easier Credit Qualifying Guidelines such as:

No minimum FICO score or credit score requirements. FHA will allow a home purchase 1 year after a Bankruptcy. FHA will allow a home purchase2 years after a Foreclosure.

Apply Today at http://www.fhamortgagefhaloan.com/


Avail of the Supervision and Care Services of the Villa

Sunday, December 27th, 2009
Vikram kuamr asked:

The moment you reach seniority, you are advised by your doctor to get full rest. When you are told to do this, it implies that you need to retire from your work. Most of the senior citizens within the United States choose to retire in nursing homes during retirement. When you think about a retirement home, the first image that will probably come into your mind is an old man or an old woman struggling across the courtyard. However, this is not the case for some homes. If you know how to look into the long line of retirement homes, you will be able to find a senior community which suits your needs. In order for you to find a nursing facility which is appropriate for you, look into their various services.

If you are looking for a retirement home which provides its residents with the best care, opt for The Villa Home. This community offers its senior clients with special assisted living alternatives. You will also be able to avail of its great support services when you choose the elderly care of the Villa. You will be cared for with as much compassion as your own family gives you. The setting of this home is carefully and properly designed so as to meet the individual needs of its retirees. What is more, the whole facility is managed well to make sure that everyone feels comfortable and at home. If you cannot live by yourself anymore due to your special needs, Villa Home is the most suitable choice for you. If your situation is not complicated and you do not require 24/7 medical assistance, you should go for the senior care of this facility.

If you require skilled nursing assistance such as dressing, bathing, and medication reminders; The Villa Home will be able to provide these. The professionals of this retirement home concentrate on providing you wellness. Their assistance is carefully tailored according to your specific needs. When you choose to retire at Villa Home, you will be able to enjoy your own appointed living space. You will be provided with nutritious meals to make sure that you get the essential nutrients. There are engaging activities for you and for the other residents so you will not feel bored. Medical supplies are transported everyday so that the medical needs of the residents will be met. Your time will not go to waste at The Villa because it has its own general shopping. They also have dental and banking services. What is more, you can get personalized home care and assistance here.

The other homecare assistance of The Villa includes grooming and personal hygiene, dressing and selection of clothes, and showering. They also have management over continence and medication. When you are on a wheelchair, you will be provided with transferring and mobility senior care. Your safety is always monitored because they are reliable for anything that might happen to you. If you want to know more about this nursing home, you can check out thevillahome.com.



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A Review Of eToro For Home Forex Trading

Saturday, December 26th, 2009

Craig Summer asked:


eToro’s founders state that they started up because of a gut feeling the forex market should, and could, be accessible to ordinary people and not just professionally trained forex traders. They believed that all that was standing between a home force trader and the forex market were needlessly complicated charts and graphs and intimidating lingo.

As a result they created a simple to use and easily accessible trading platform  that uses simple visualisations and professional forex analysis tools. The result is a forex trading platform enabling ordinary people to access the forex marketplace and concentrate on their trading styles rather than mastering complicated software.

eToro went further though. They have also provided novice and home traders with tools to help them learn about forex trading and gain confidence before going live with forex trading. These tools include forex trading guides, tutorials and a demo mode where they can practice and see their progress.

However, have not compromised in any respect of the tools a professional forex trader needs to have at their disposal. They offer reliable real time execution of trades, over 10 currency pairs to trade in, with bottom low spreads of 2 pips for most of them, along with various charts and charting tools, and leverages ranging from 1:10 to 1:400.

The software which is free to download and start using, also allows users to interact with each other in chat rooms and forums. And they offer a 24 hour professional and friendly support team. I recommend after downloading the software you take the opportunity to find out for yourself by calling them for assistance or advice.

eToro is now a leader in the field of online forex trading and their ground breaking software is a benchmark in the industry.

Craig Summer is an Internet Marketer and online publisher. He owns and publishes www.forex-wizard.info To take a look at a superb video to learn more about eToro: Visit www.forex-wizard.info now.



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Homeowners are Taking Out Mortgages – not to Purchase a Home – But to Boost Their Purchasing Power

Saturday, December 26th, 2009
The House Team Of Mortgage Intellingence asked:

Real estate has been an outstanding investment in most parts of Canada in the past few years. Home valuations are continuing to rise and have broken through the peak of their 1989 “bubble” in many areas of the country. That’s good news for Canada’s 7.5 million home owners, who are enjoying an average increase of $43,000 in real estate wealth since the upward trend took hold in 1998.

The hot housing market is being fuelled by mortgage rates which are the lowest they’ve been in almost 50 years. First-time home buyers are finding the rates attractive, and home buyers are lining up to purchase their first home or to upgrade to their dream homes. Housing statistics have been capturing headlines for months and the boom is noticeable on key economic indicators.

But the news isn’t just about rising valuations or Canadians moving into their new homes. Quietly in the background, there is a significant trend to refinancing. Canadians who have built up the equity in their home over the last few years are borrowing against that equity in record numbers. According to a report from a major bank, since 2001, Canadian households have taken out approximately $20 billion in cash out of their homes through mortgage refinancing and home equity loans.

We might thank the Ontario mortgage industry for the surprising resilience of the North American economy. In the past two years, the North American economy has endured numerous economic fallouts but consumer confidence remains reasonably strong – at least partly because homeowners have seen some of their losses offset by an increase in their real estate wealth. We find that we are sitting on (and sleeping in) the best-performing investment we own. And even if they have no plans to sell, homeowners have found that the return on their investment is still as good as cash in the bank.

That cash has been a key economic stimulus both here and in the U.S., where the trend is even more pronounced. As Canadians look beyond the view of a home as primarily shelter, mortgages become a valuable resource – and homeowners aren’t necessarily waiting for renewal time to cash out some of their gains.

So where is the money going? The equity being pulled out is often being used to pay down other more expensive debt. Credit card interest rates are shockingly high and – as a nation – our credit card and other consumer debt is continuing to grow. And much of the money is being used for increased spending. There has never been a better time to borrow against home equity to build the kitchen of your dreams, add a new wing, embark on the landscaping project you’ve wanted for years, enjoy the vacation you’ve always dreamed of, or help with the high cost of post secondary education. However, as always, never let your enthusiasm for the opportunity to spend get in the way of good common sense about debt management.



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