Jasper
  • Member for 6 years, 10 months
  • Last seen more than a month ago
  • Seattle
The mortgage company is trying to force us to make repairs after an insurance claim
46 votes

Your mortgage agreement probably gives you three options: Pay off your mortgage in full. Use the insurance company's deck-repair payment to fix your deck to be similar in quality to what it was when ...

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Oversimplify it for me: the correct order of investing
25 votes

Money is a tool. It helps you continuously give up that which you value least, and add that which you value most. It makes it easier to see the compounding effect of saving, investing, and "living on ...

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Overpaying on mortgage - How is term reduction calculated?
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14 votes

Here is a quick way to estimate the reduction in your term. The numbers you need to start with are in bold. Take the amount of the extra principal payment. For example, £ 500. Take your ...

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How come the government can value a home more than was paid for the house?
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12 votes

When a house is sold at a foreclosure auction, the selling bank usually does not provide the guarantees that a normal house seller provides. Furthermore, the previous owner may have neglected the ...

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Are lottery tickets ever a wise investment provided the jackpot is large enough?
11 votes

I estimated that the mean expected cash value of a $ 1.00 MegaMillions ticket in the July 5, 2016 drawing was about $ 1.23 = $ 0.18 consolation prizes + 258,890,850:1 chance of winning part of a cash ...

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Why do people buy new cars they can not afford?
11 votes

The car you dream of might not be available in your local used car market. Or if it is, there might be something wrong with it. Here are some reasons that a person might want to buy a new car. ...

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Why are Rausch Coleman houses so cheap? Is it because they don't have gas?
Accepted answer
10 votes

In northwest Arkansas, most of the houses this company offers do cost about 90 - 110 dollars per square foot. The exceptions use the Whitney plan, which has the following design features (and/or ...

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Is there any reason not to put a 35% down payment on a car?
9 votes

If you know that you have a reasonable credit history, and you know that your FICO score is in the 690-neighborhood, and the dealer tells you that you have no credit history, then you also know one of ...

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Does short-selling hurt companies' stock price in the long-term?
8 votes

D Stanley is correct that "Short sellers do not destroy value any more than stock buyers create it." But just like stock buyers can cause a company to succeed, short sellers sometimes cause ...

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How to shop for mortgage rates ?
6 votes

You can shop for a mortgage rate without actually submitting a mortgage application. Unfortunately, the U.S. Government has made it illegal for the banks to give you a "good faith estimate" of the ...

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Is it irresponsible for me to lease a $300/month car for 18 months?
6 votes

With a gross income of $ 95,000 per year, and a net savings rate of over $ 18,000 per year, a budget of $ 3,600 per year for automobile interest and depreciation is not irresponsible. But poor car ...

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Are AAA private-sector corporate bonds safer than government bonds?
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6 votes

If you are afraid of your government defaulting, then you also have reason to fear that your country's so-called "AAA" corporate bonds might not be a safe investment. When governments default, they ...

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How would I compute the difference between purchase and lease-to-purchase offers?
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6 votes

Yes. You did not notice the "$1,410 Customer Down Payment", the "$650 Acquisition Fee", the "$350 Disposition Fee" "due at lease termination", and the "$275 security deposit" for customers who do not ...

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Hidden downsides of real-estate property tax appeal?
6 votes

Many property appraisers use the property's assessed value (and the factors that go into computing it) to calibrate their appraisals. If successful, your property tax appeal will cause your local ...

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Do home loans ever have a limit on what can be paid toward the principal?
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5 votes

Some home loans have a pre-payment penalty clause. In the United States, one of the summary pages that the borrower signs has a very prominent checkbox for whether the loan includes a pre-payment ...

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How to calculate total interest payments for debt with two interest rates?
5 votes

You will need to solve this problem iteratively. A spreadsheet is a good tool for iterative calculations. One approach is: Start with the higher of the two interest rates. Compute the monthly ...

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Can a non-profit company make profit?
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5 votes

Yes. A thriving non-profit is likely to have an increasing "reserve" account. These reserves are the equivalent of a for-profit firm's "retained earnings" account. Depending on the tax and ...

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Is a seller obligated to agree to a Contingency Removal addendum?
5 votes

Talk to a good real estate lawyer, as soon as possible. Sometimes there are provisions in a contract requiring both parties to undertake certain legal actions. For example, if a homesite is sold ...

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Why don't companies buy back their own (cut-price) debt?
5 votes

Ford Motor Company did repurchase debt at a large discount during the 2008 financial crisis. One debt-ratings agency considered Ford's actions to be a distress sale, which is a form of default. Thus,...

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Won the lottery - how do I keep the money?
4 votes

Talk to a lawyer who specializes in family trusts and establishing family charitable foundations for "high net-worth individuals". Do this before you sign the lottery ticket. If you were planning to ...

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Need help on understanding how math is done on this example
4 votes

"Outstanding principal balance" is the amount you owe at any given time, not including the amount of interest you need to pay as soon as possible. The "capitalized interest" shown is consistent with ...

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Best return on investment for new home purchase
4 votes

I encourage you to think of this home purchase decision as a chance to buy into a community that you want your children to grow up in. Try to find a place where you will be happy for the next 20 ...

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I have a 2003 Dodge Caravan with 36,000 on it . Auto repairman says age of car means more repairs
4 votes

Age (as opposed to mileage or hard use) affects a car in the following ways: Rubber deteriorates. The tires need to be replaced eventually. Seals don't seal as well. Hoses become brittle. You ...

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Will I be able to purchase land?
3 votes

Here are some important things to think about. Alan and Denise Fields discuss them in more detail in Your New House. Permanent work. Where do you want to live? Are there suitable jobs nearby? How ...

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Why are premium bonds more likely to be called than discount bonds?
Accepted answer
3 votes

If a bond is trading at a discount, it is cheaper for the issuer to buy back bonds on the open market than to call the bond. (Calling a bond generally requires the issuer to either pay the par value, ...

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Why are auto leases stubbornly strict about visa status and how to work around that?
3 votes

In the U.S., most car dealers provide lease financing through one company (usually a subsidiary of the auto manufacturer). Whereas they provide loan financing through a variety of companies, some of ...

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I can completely pay off my mortgage early. Should I pay it off or invest?
3 votes

Advantages of paying off debt: Smaller "nut". You do not need as much cash flow every month to keep up with your obligations. This can give you The freedom to move, quit a job, et cetera, which can ...

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Cash in retirement accounts to buy a house?
3 votes

In your situation, you probably should not cash in your IRA and 401(k). A good mortgage lender will want to see that you have "reserves" -- money that you could fall back on if you hit a very rough ...

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Do I have to use the entire loan amount?
3 votes

You should shop for a car loan at another bank or credit union. There are lots of lenders willing to lend just the amount you need. According to Craigslist, you can buy a very nice 15-20 year old ...

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What return are you getting on your money from paying down a mortgage on a rental property?
3 votes

There are a few ways to look at this question. What is the return on equity? At any given time? Or averaged over the course of 30 years? What is the return on paying down the mortgage? What is ...

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