Here is some important information about lowering debt in Colorado. We all know that horse owners have a lot of financial things to deal with. The last thing you want to worry about is debt when running a dude ranch in Denver. Credit card debt in America is back to levels prior to the recession. The average credit card annual percentage rate, or APR, is just under sixteen percent. This is according to CreditCards.com and the site’s Weekly Credit Card Report, a trusted place to get information from many agents of the real estate business.
Homeowners have an advantage over renters when it comes to conquering debt issues. With a little basic money management, you can take those higher debt rates and replace them with lower debt rates. Credit cards and assets—such as personal cars, boats, motor vehicles, and other personal property—usually have interest rates higher than that of real estate loans.
Lowering Debt Rates
How can you get a low rate of financing? Did you know that borrowing against your home typically can give you the lowest rate of financing of anything else? An advantage of borrowing against a home is that the interest could be tax deductible. You could refinance your home mortgage to take cash out to retire personal debt as one option. Another way to do this would be to secure a home equity line of credit or HELOC.
Qualified mortgage interest includes acquisition debt. This can only be used to buy or improve a principal residence. Of course, this is only up to one hundred thousand dollars of home equity debt and it can be used for any purpose. We would all certainly like to become debt-free, paying the least amount of interest that you possibly can is a great first step to meeting that goal. Owning a home provides an asset that allows for options not available to renters. Seek professional advice from your friends at Colorado Horse Property.
