Life as you own with mark McDougal and Craig Miller. Remember you've got questions we've got answers 804924664. You may not take time to educate yourself about the single worst investment and opportunity have. That invest in the roof of your head in real estate we talked about your home financing making investments in real estate we keep the backs coach -- is just go back. -- Hi mark MacDougall and that -- Miller that's bright light that as you own heads and we appreciate you hanging out with -- -- on this. What is probably cold and blustery weekend because well it is cold and blustery pretty much everywhere in the in North America right now claims to be in place is even wouldn't expect a little blustery day -- a New Orleans. Give a shout out to our listeners New Orleans because we are on I. I heart radio a lot and so to those international listeners to the -- -- listeners into those up. Service men and ladies. That are. Are doing what they do each and every day we think you can listen the shell and in those service people we appreciate what you do put your life online each and every day for a our way of life and is merely a way of life and the way of life on our show is that we want educated each and every weekend when you check us out and we talk about the big investment in the roof over your head it. And then we cover so many things that fall under that roof to include what Craig. Lots of stuff let's do a lot that is out there still -- dealers that do the best person under an intro of the show say this the reason -- show's cult like as you own and his folks were here to help you. Own all these important aspects of your like your statement tax cleaning. It's like -- said the home to refer to it may be your real estate investment. Maybe it's further investing in a roof over your head but in a major remodeling project her room addition -- finishing a basement or or whatever it may be buying selling. When it comes to things that affect your pocketbook and a big big way we cover so we're gonna help you have the facts your empowered your formed in the and we own it. We help you own it by giving you this information for you to apply it so when you get out there and apply this stuff and take accountability you have a major. Big difference in your bottom line from here on out and remember you can check -- out at. Life as you own it dot com or if you got questions. You can email us questions like these you -- -- dot com or capturing 800 point 24664. We want to hear from you were here. Euphoria. Here Korea and we wanna hear from yeah. OK today shell are huge -- Craig you to. I am too legit to quit this year though nothing in there and read you just quit. -- -- how about the quote you just got I met mortgage transaction is it legit. Our Craig's got 33. Must do. What what to sweater on a bit. Three things you must do -- -- confirm. Is it too -- as the -- should you quit on also is at the bottom of the ninth inning in the foreclosure crisis or is it more like. Halftime of Super Bowl generally know what that means long sometimes entertaining and sometimes a little bit and nudity. I'm alma yeah diet but definitely it's considered a mid point write something at a time -- already sporting event halftime. -- and also speaking of the ninth inning or the fourth quarter we've got some suggestions on how to lower the tax bill come spring. Don't wait too long the clock is. -- Kenya. -- And Craig what else. We've got to. Holidays yeah coming up and we when you consider these gifts that will keep on giving the gifts they keep my love keeps on giving Greg. And I was not and so does mine minute okay and and as always we will have eight Craig gold in just a few minutes we'll give you where the interest rates are tech -- the national average and it. We have a couple what should you stay or should you go scenarios. What are those US well you hear some music starts today and then I will ask Craig. -- question and that question is from listener who gives us their scenario. How much they want their house with current interest rate is what they believe the value to our house is and how long they will only backed. House. And we tell them if they should stay or they should go in that mortgage sometimes it's in that house there wanting to know they give is enough parameters determine if they should purchase. Cause they're currently renting -- they should upside as you give as the deal -- enough information enough information. And Craig. Sometimes I will give you a quick concise answer. I will never give a quick and I didn't know slicing giving him the benefit of the doubt you'll be concise don't get me wrong all right quick so -- -- Ari are you have a good December. You know it's yes I am not gonna community center to remember him telling the Everett zero RR and it's just -- -- get Alexis. Spencer LA event at about nexus. Our alma so what let's let's jump right into those interest rates. This unit -- -- that all right our folks as mark mentioned every week we're gonna bringing the national average on interest rates now these are where new rates have been over the past week. Looking at the prior week as well we concede the trend which -- -- for the past two weeks now we might opine on where we believe -- if they're gonna go up -- down moving forward but. It's so hard to tell on this habits -- very volatile up and down. Market right now not a huge swings but -- there so how many give you a little bit of an opinion on that the remember the national average based on 200000 dollar loan amount. A person looked perfect credit in at least 20% or more equity so it's a purchase on -- put 20% down if it's a refinance you've got 20% equity. Slightly higher loan diapers changed slightly lower bit little bit bigger loan amount we'll smaller maybe would make a big difference but if you get any major differences he may be -- he'll hold different loan product. Now these all these national average is also include some fees some points. So things that you may not one of peso were needled by -- -- go over these rates thirty year fixed however. And right into it four point 45% over the past week. That's compared to four point five to the week before so very slight movement in the right direction for you who were trying to get a little bit lower interest rates. Fifteen years 3.4 seven burst 3.5 five again slight movement their downward in 3.4 seven this past week on a five year arm. Five your arm what is that adjustable rate mortgaged extra five years in and just after that. Amortized on a thirty year term 3.4 seven. That's verse three point 70 the week before sweet and nice. Movement in the right direction on adjustable rate mortgages and we're seeing more people take advantage. Adjustable rate mortgages right now since the thirty year rates are about a point higher. We typically see folks wanna take advantage of an adjustable rate if they think well I can save a point or more. -- do it take the chances of -- something and just coming later if you know you're gonna move if you know you're gonna. Potentially refinance for some reason -- pay your home off early there's nothing route taken just rate if you got a game plan. Are in lastly FHA FHA thirty year fixed four point 24. -- four point three for the week before so. Everything improved slightly. Nine -- make or break the bank for you what you should buy or not by refinance or not refinance but. It's always nice to pick -- a few extra saving pennies there to save and as I mentioned what went on what I -- point at you before we but this piece up is that. He's in costs are the number one thing you've got to pay attention to even compare rates you can shop for rate. Humble home mortgage lenders and we're gonna toppled about what makes a legitimate mortgage quote later on as mark mentioned but. Pay attention -- the season costs folks. People tell me all the time armed and quoted a quarter percent better than what you just told me that rates are at or even half a point I've seen -- that extreme of the different. And then we dig a little bit deeper you find out there are just tons. And tons of fees and charges all bundled up and there. You're buying down that rate folks -- you may never recover all those upfront fees that you're -- so watches these in Costa canyon. Compared to zero cost -- true no cost no closing cost option with a lender absorbs all it does not rolled into the loan charge you an idea what's that. They should probably consider calling certified mortgage planner. They should take it even called the big all the do you think army -- is coming directly and I would give them. All the advice in the world they want for free and then if that makes sense for them to -- a bunch of money on the net formative. -- folksy go to web sites like these you -- -- dot com or you can just call 804 point 24664. Ask for mr. Miller himself. And it will be Miller time for you okay. Let's let's talk about the foreclosure crisis it is entering the ninth inning and outcome is all but guaranteed according to realty track foreclosure starts reached at 95 month low in November. The all built attracted its November US foreclosure marker -- that a total of 52000. At. And change properties entered formal disclosure. For the first time in November down 10% from the previous month and 32%. From the year ago this is the smallest number foreclosure starts since December 2005. When the crash began when 49000. Up mortgages were put into. Foreclosure. -- put into the -- in foreclosure every got a sorry unstoppable because the music distracted me what's that mean should he stay or should meteoric trigger ready before go threatening. In liberty. -- -- -- Liberty Missouri let me -- -- I have a home worth about a 160000 I only go 38000 but he needs about 35 to forty grand worth of work slash updates. I have a fifteen year loan was seven years left on it. At five and -- percent I'm excited about paying it off so I don't know if I want to refinance that loan but need to cash in on some of my equity stakes at the house to get a line of credit. For home improvement ownership refinance the whole thing to get cash out at planned to sell 35 years. Folks stay tuned Craig will tell you if Brett should stay or or if you should go in just few moments like this you -- Our friends we are back to life as you own it. Britain liberty Missouri had sent us an email as estimate that house his work but -- 60000. Only those 38. But here's the -- almost 40000 dollars or somewhere around their worth the work into it. -- question -- should he take cash out refinance the first mortgage. And just do one new loan or should get -- credit home improvements -- as it -- -- me like he's only seven years -- of five new courses sounds -- -- got the feeling that. If he gets the green pay that thing off for composed paying off that some kind of -- the -- you know success. Landmark or something like that. Here's the answer -- you should go to a complete full refi your cash out. I refinance and -- whole kitten a brutal you've got to five and quarter rate on this with a seven years left he could do a ten year fixed you can do a fifteen year just depends on what she can handle. Nationalized the future cash out. Much lower interest rates it will be a fixed rate rather than getting that home improvement loan money credit whatever may be that rates can go up up up those will be adjustable. Yet have a fixed rate on the staying -- gonna sell three to five years I don't know that you get to where he paid off on the first mortgage anyway. But the bottom left for any yet they're listening is this video on first the -- in. If he's really Carolina credit isn't the same as the mortgage it's all the same thing folks put it all the pocket that has the lowest rate young put some of it your left -- -- your right pocket. And those same amount of money you could go into one pocket at a lower rate so. Refinance the whole thing -- in your gated to go all right mark was up on the agenda we're going to. Our rights. Ninth inning. Fourth quarter which is that we got suggests on how you talk about tax bill come Spring Hill. And as we said at the open the show tick tock tick -- the clock is ticking to do not. Dilly dally. Or lolly gag. Or. Procrastinate. Yeah what else could they do Khomeini as trying to cover in other words if you do it you procrastinate I have. All right so -- holiday season it's difficult time to think about taxes but we've got some suggestions of some things you can think about ticketed for the year -- -- Terry. Take charge of charitable donate don't want -- Terry Terry is -- word for. -- -- Okay where is it really is that if military -- TE RY. Yeah is not a spell it. Don't and you know there's a new -- that there's -- -- -- you -- -- rule if you would you can't use the word that he can't spell I can -- Terry -- -- -- -- good deck of phobia. I know how to spell it I noted means. And I used it and you have an -- few. Terry OK. Give up for an interior GA our way. OK so don't -- one on the list of those last chance tax breaks for 2013 at. I'll take charge of Gerald charitable contributions. If you make a donation of cash to charity in 2013. You can generally deduct it on to 2013 tax return. So remember donations made -- late in the year can reduce your year end tax liability so. Give give Dugard cons put -- also make sure that if you unit that makes more sense fugitive this year than next year. Getter done by December 31 on number two balance investment holdings take a look your portfolio for underperforming stocks that can be sold at loss by the end of the year. He can deduct up to 3000 worth of net capital losses in excess of your gains against other income. Remember there are some rules associated with that so so be careful on the always the fine print that did you. On the number three. Secure college tax breaks to get a college tuition bill that's due in early 2014. If you pay at issue you can take advantage of American opportunity college credit or the lifetime learning credits under 2013. Tax return. Not a prepaid for academic periods beginning the first three months of 2014. Reports hate. Required IRA distributions c'mon folks don't forget and he got a lot going on but it. Only get the goal penalty if you're due to take a mandatory withdrawals from retirement account for 2013. Don't -- to complete -- transaction by December 31. Neglecting to do so can result in a 50%. Penalty on the withdrawal he should have taken. Ouch yeah number five consider a Roth conversion in December 31 is the deadline to convert a traditional IRA into -- irate. Have to pay income tax on the amount placed in the Roth account but you escape taxes on future earnings. Accumulate so consideration. Converting that. Traditional diary to a -- RI AI RA need to be make made you read books I'm also. Where this year and if you wanna take advantage of 2013 -- east and out last but not least is make flexible spending account decisions and appointments. I he almost got hung up on this one a couple years ago. On the on money left at the end of the year. Plan now to deplete any balance by filling prescriptions buying eyeglasses or getting a dental check up and make sure folk you understand this. It is your employers though that writes that that determines the rules with most of these plans so if you accidentally would seek. Forgot and didn't use it until past the time and I'll tell you some of them allow you to use it up till late February sometimes march. Go to your employer look at your plan and you may get some relief they may just may give that money back but if you don't use it. It just generally goes into the plan providers pocket or goes and an employer's pocket use the money that's what it's therefore. Our president you know it's you -- -- a bonus to pick with you if you've got a. Reimbursed business expense is if you deduct things on the schedule C for self employed you got -- -- partnership LC setter in you've got invoices. To get accounts payable. In that you know they're coming at you and gonna come -- do early in January Miller junior whatever whether beaming its advertising is that minutes off the supplies maybe it's. Whatever that you know you got to restock something or even inventory. Which -- gonna sell more revenue spraying. You can go ahead and purchase those expenses. Now secure those expenses before the end of the year ended DEC is off of York. Taxable income. Cash basis cat person. Indeed depend you exit Rudy did some little -- semi sweet nothings in December that year got them out a bit like an advertising strategy or anything like that get yeah. D'Italia race strategy take you right off the top I'll quit yet. All right -- What else -- the case and doesn't even move on through brother okay. Well I've got to fifteen. Are you ready for the fifteen gifts we do that will do that for retirement credibility of those quotes that are floating around out there. Between mortgage lenders and you're not ratings numbers to the -- it quick. All right so well let's talk about some it's the holiday season as we've said several times before on the show. And the theme continues. We've got fifteen gifts. That we think will keep on giving these are compliments of our friends at it lingers magazine that. Folks I'd recommend you pick up the latest edition of kiplinger's because it is chock full. A fantastic financial information that you can teach our arms around. And if you've not heard of kiplinger's well. Even living under a rock indoor you outlets of the -- -- show. Or life as you own it either show up to say it was a cracked yeah well if you're checking -- out for the first time. Arm or your -- won those voices sound familiar how I heard them somewhere before. Craig you may have seen in some of the some of his comedic adventure such as so. What what was the movie -- on. Skipped -- off. -- -- you know ways of talking about the everybody because I'd like to track at a site and can't be ready for this you know Craig had an illustrious movie career prior to bludgeoning in the radio business and even. But a since he's the movie trivia expert I can't really company I was gonna say -- Five yeah it was an anchorman one area which rule which -- where you anchorman mode Ron Burgundy is based upon your your real primary -- -- career. But up folks if you if you're checking us out for the first I'm -- is we used to be. The -- money. -- fur almost five years and we became why did you -- just a couple months ago so sometimes you'll hear us talk about both shows affectionately. But Tom we got a fifteen gifts that keep on giving number one. Is not open up an investment account. How the child start investing -- opening a custodial account forum. Several brokerage firms offer such accounts with low minimums. No setup or annual fees and little to no charges for buying and selling shares. A great idea. How many number number two on the purchase business attire for a young college graduates someone that's possibly interviewing -- was trying to get into the workforce. You know and especially helpful gift. For those grants could be. That's possibly you invest in the suit for your son your child possibly you invest in. The professional work attire that might help them get a job and get opt you or pay roll. Number three -- -- -- donation in somebody's name. So think about it folks if you -- if you wanna do some good and you wanted to give a gift that keeps on giving. Instead of that that you know scarf those slippers whatever it may be even to a friend or loved one. That may have some residual value in this world. They -- donation to their favorite charity. From you -- -- -- tax deduction for that yourself that -- what. And we got a few more so we'll have to give those to become -- we've got. Twelve or ten or twelve more gifts that keep on giving -- the song. And Craig is gonna tell you how to know if your mortgage offer is legit or you need to quit likely -- -- stay tuned.