Interest Rates

Mortgage rates are at historic lows. I just got 2.5% on a home equity line of credit. Andrew Ply, at Huntington Bank, is offering some great specials.

WHAT A YEAR THIS HAS BEEN. IT IS SO OBVIOUS TO ME THAT FINANCIAL EDUCATION MUST BE A REQUIRED COURSE IN ALL HIGH SCHOOLS AND COLLEGES IN THE COUNTRY. ANYONE HAVE ANY IDEAS ABOUT HOW TO GET THIS DONE?

If you have cash

If you have cash, this is the best time I have seen to buy real estate in several years. If you want a vacation home, they are plentiful, and some at amazing bargain prices. Here in San Diego where the weather is glorious year-round, you can buy some tremendous properties that would make great vacation rentals. Check out some home-exchange websites too. For example, you can exchange a property in California or Arizona for a beautiful lodge in British Columbia that cash-flows at 10% per year. And yes, real estate is much more fun to own than stocks and bonds.

buy half a house

If you would like to buy a property and can't afford to buy one alone, please check out www.buyhalfahouse.com to see how others have done this in the San Diego area. I own a property with another person as tenants in common. This type of ownership assures that my half will go to my heirs if I die and her half will go to her heirs. It can be a very convenient way to own a vacation property, which this property is for me. Call me with questions at 616 405 1932.

Titling of assets

The biggest problem many people have in estate planning is the proper titling of their assets. Joint with right of survivorship is only appropriate for spouses. Each person should have his or her own assets titled in the name of their living trust because if you just put someone else's name on your house you are technically giving them a gift of half of the value. Not a good plan........It is very simple to retitle an asset. Simply file a quit-claim deed in the case of real estate and give the bank a copy of your trust in the case of bank accounts. These simple steps can save a lot of time, money and heartache.

how you own assets

Hey Savvy Women, how you own your assets is more important than almost everything else. I will write more soon about this. Most everyone I ever meet has bad estate planning with huge consequences.

living trust

One major problem for most people that I have ever come into contact with is that they do not have proper estate planning. A living trust is essential for nearly everyone who has assets, not for just the wealthy. Holding assets jointly with anyone other than a spouse is very unwise, yet many people do this with property, brokerage accounts etc. The main purpose to have a living trust vs a will is to avoid probate which is costly and time-consuming. There are many sites online which can help you do this but you should have a good estate planning attorney review things to avoid pitfalls.