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  Provided to you Exclusively by Gregory Pavlich
Gregory Pavlich
Gregory Pavlich
Resource Mortgage Corporation
Office: 303-444-1200
Mobile: 303-717-1359
Fax: 303-444-6817
Email: gpavlich@rmcboulder.com
Website: www.rmcboulder.com
  Resource Mortgage Corporation
For the Month of May 2023 --- Vol. 17, Issue 5
  In This Issue  

"I always love going home anyway; it's where my roots are. I always like to go back. It's a good reminder of where I started and the journey that I still have to go on to get where I want to be." - Millie Bright

What to Watch - The Fed continues to hike rates, is there an end in sight?

When To Choose a New Home vs. a Fixer-Upper - The appeal of a fixer-upper home means you might pay less up-front, but how do you know if it's worth it?

Must-Have Tools for Homeowners - Learn what tools you should definitely have in your toolbox, regardless of your skill level.

Q&A: What Steps Can You Take To Prevent Water Damage to Your Home? Taking these precautions can reduce the risk of catastrophic flooding to your residence.

Please feel free to forward this newsletter to friends, family or co-workers who may find it helpful.

  What to Watch  

Fed Rate Hikes - What's Next?

In the coming months, the markets will be closely watching what the Federal Reserve (the Fed) has in store for future monetary policy. In its meeting earlier this month, the Fed raised the Fed Funds Rate to a range of 5.00% - 5.25%. Remember, this interest rate affects short-term loans like credit cards, autos, and home equity lines of credit.

The big question is whether this will be the last hike. When the Fed statement was released on May 3rd, it signaled there could be a pause in future hikes. However, Fed Chair Powell hosted a press conference after the statement release and began by saying that the Fed has not discussed a “pause” in rates. So, some mixed rhetoric spells volatility for rates.

The next Fed or Federal Open Market Committee (FOMC) meeting is on June 14th and at this time, traders are pricing that there will be a pause in rate hikes. What we do know is that if inflation pressures continue to ease, borrowing costs will continue to decline just as they have been since the multi-year highs seen last fall.

However, the elephant in the room is the wobbly banking system. The fear of banking contagion has elevated a cloud of uncertainty over the financial markets. It's not clear if and how many more banks will continue to have issues. The fear of this story has created a "safe haven" trade into bonds – where prices move higher, and rates move lower.

To sum it up, it doesn't look like borrowing costs are set to surge anytime soon, but that doesn't mean they can't have some highs and lows along the way.

Bottom line: Despite low inventories, now is always a good time to jump into homeownership. As the old saying goes, "Seek and you shall find." No one ever said that attaining a goal was easy.

Source: Mortgage Market Guide

  Housing News  

When To Choose a New Home vs. a Fixer-Upper

So you're thinking about purchasing a home but aren't sure if you should opt for a brand-new one or one that needs a little extra TLC. Sure, a fixer-upper typically is cheaper than one that no one has lived in, but is it worth it? Before you decide to go with a fixer-upper, ask yourself a few questions.

Do you mind living in a construction zone? Depending on the type of construction, you might need to find other housing for a while, so be sure to consider your living situation.

What type of repairs does the home need? Cosmetic repairs like painting and landscaping make the home prettier. Structural repairs involve the foundation and can be costly and time-consuming. You might want to pass if the repairs are structural. You should know what type of repairs are needed from a home inspection.

Do you have the time and money? Home repairs take a long time, so expect to spend much of your free time fixing up the home. Repairs can also be costly, especially if you encounter other issues and haven't budgeted for the additional expenses.

Buying a home is an expensive and involved experience, and the lure of a fixer-upper is that it tends to be the more affordable option. Before you decide to go with one that requires a little DIY, make sure you know what to expect when compared to a brand-new home.

Sources: Gravy.com, Bobvila.com, medium.com

  Home Improvement  

Must-Have Tools for Homeowners

Walking into a home improvement store, you'll be inundated with many different types of tools. There are tools for repairs and tools for creating projects. Don't forget about the must-have tools that every homeowner needs.

Hammer. Considered the workhouse of any toolbox, the hammer can help you with many different tasks. It can remove an errant nail, close a paint can, or drive nails into wood.

Pliers. This tool allows you to grip just about anything. Needle-nose pliers work well for small, tight spaces, while diagonal ones work best if you need to cut wires.

Power-drill. While a 12-volt drill should work, you might want an 18-volt or 20-volt one for additional power. That way, you can use the extra torque to secure larger screws for heavier shelving units.

Screwdriver. Instead of getting both a Phillips and flat-head screwdriver, get a four-in-one screwdriver. This option has two double-sided bits, including two Phillips heads and two flat heads.

Socket wrench set. While you can purchase a conventional wrench, a socket wrench provides you with numerous removable sockets in different sizes. A set with about 25 sockets should work well.

Tape Measure.You should have a tape measure that's at least 25 feet long and has fractions of an inch.

Making a small investment in tools can help you handle basic needs such as hanging a picture frame and putting furniture together. Over time, you can grow your collection to fulfill your needs and match your skill level.

Sources: Wired.com, Washingtonpost.com, Thisoldhouse.com

  What Steps Can You Take To Prevent Water Damage to Your Home?

QUESTION: How can you protect your home from water damage?

ANSWER: Water damage is one of the most common types of property-related loss, so it's imperative to try to prevent this from occurring to your home. Regardless of the time of year, there are several steps you can take to minimize the risk of water damage occurring.

Check your appliances regularly. Make sure your appliances aren't leaking. Upgrade your hoses, including the washing machine hose. Look at the water line of the refrigerator, and check your water heater annually.

Shut off the main water when you're gone. Before you head off on vacation, shut off your main water. Even a small leak while you're away can cause a major disaster.

Purchase floor pans. Consider installing floor pans underneath your appliances. Although they cannot protect you from a massive leak, they can prevent damage from undetected leaks.

Install leak detectors. These electronic devices detect water or flooding and set off an alarm. There are a variety of types and sizes available, and some include Wi-Fi capabilities, temperature sensors, and smart home integration.

Monitor your water bill. If you notice your water usage jumps tremendously from one month to the next without an obvious explanation, you might have a leak somewhere. Some common causes include a leaky toilet, a dripping faucet, and a broken water heater.

Water damage is no joke and can cost hundreds if not thousands of dollars to repair. Following these tips can lower your risk of bursting pipes and flooding. Taking preventive measures can keep your mind at ease by giving you one less thing to worry about.

Sources: Chubb.com, Biocleanct.com, Thesilverlining.com


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