Money and Happiness in the U.S. – Better Life Index

Better Life Index, just released by the Organization for Economic Co-operation and Development (OECD).
Americans’ household wealth is about $102,000 on average, significantly higher than those in many other developed countries. Income inequality is high, however, with the top 20 percent of the population earning nearly $82,000 a year while the bottom 20 percent get by

Continue reading Money and Happiness in the U.S. – Better Life Index

Rethinking Housing: The Meaning of Homeownership has Changed

The meaning of homeownership has changed.
Here is what it means to be sensible about buying a home:

You should save up at least a 20 percent down payment.
You should get a 30-year fixed-rate mortgage.
You should spend no more than 30 percent of your gross income on housing.
If you have student loans or credit-card debt as well

Continue reading Rethinking Housing: The Meaning of Homeownership has Changed

How to Borrow and How to Lend - Lessons From The Interest-Only Mortgage

We learned some important lessons about consumer and borrower behavior from how interest-only mortgages were used during the housing boom which, now, seems so long ago.
Interest-only mortgages gave borrowers the ability to lower their monthly mortgage payment and save the difference. What the mortgage industry experienced was an outcome that was less noble. In fact,

Continue reading How to Borrow and How to Lend – Lessons From The Interest-Only Mortgage