Keep your housing costs down
9 On Your Side is kicking off a new week-long series: "Saving Money with Good Morning Tucson." First up, one of the biggest expenses anyone can incur -- housing. For most people, mortgages take up about a third of their monthly income.Photo: Video by kgun9.com
Web Producer: Mekita Rivas
TUCSON (KGUN9-TV) - On Monday, 9 On Your Side is kicking off a new week-long series: "Saving Money with Good Morning Tucson."
Every day we'll share nine ways to help you spend a little less and save a little more.
First up, one of the biggest expenses anyone can incur -- housing. For most people, mortgages take up about a third of their monthly income.
So how can you save a few bucks?
The experts at CNN Money say if you already own a home, take your mortgage payment and divide it by 12. Then, pay that amount extra every month.
It will equal one extra payment, which means you'll pay off your mortgage earlier. It may cost more up front, but will save you a lot in the long run.
Also, interest rates are at a record low. Shop around at different mortgage companies to see if you can refinance at a lower rate.
Finally, if you're having trouble making your payments, try writing a hardship letter to your lender explaining why.
And if you don't own a home, now may be the time to buy. With historically low interest rates and low housing prices, it's definitely a buyer's market.
So to get the most bang for your buck on a new mortgage, shop around.
Compare different mortgage companies' interest rates and fees. Negotiate your loan -- things like origination fees, legal fees and closing costs are all negotiable.
And finally, make sure you have a copy of your credit report. Your credit can affect your interest rate, so you want to be able to fix any mistakes before you apply for your loan.
You are entitled free credit report every year. To request one, go here.