Real Estate

Since the economy has improved post 9/11, many people are considering purchasing real estate.   Do purchase a property if you have completed your due diligence.  Many folks buy a property that they qualified for according to the banks.  Don't forget about putting aside 6 month's mortgage payments and taking out a home equity line of credit as soon as possible.   A HELOC can protect you in the event of job loss.  Once it is established, you can utilize it to draw against in poor economic times.  It can be used for home improvements and is a tax deduction. It can be used to accelerate yout mortgage pay down.  You only pay when you draw sgainst it.  This loan can be used again and again over the length of the loan as you pay it off.   If you have a $25,000 limit and use 10k, once you pay the 10k off, the entire 25k remains available again.  Don't rely on the banks to ensure you have enough money to maintain your property.   Rely instead on savings and a revolving HELOC.