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• By Kevin Alvarez

The 5 Factors That Affect Your Credit Score (And Simple Ways to Boost Them!)

Information is brought to you by our partner, GreenPath Financial Wellness

Whether you’re looking to get your first credit card for everyday expenses or take out a mortgage to purchase your first home, credit is an essential tool for helping people to meet their financial goals.

When applying for a line of credit, the higher your credit score, the more likely you will be to qualify, and the more options you will have available to you.

Here, we’ll breakdown the 5 factors that affect your credit — in order of most heavily weighted to least—and the simple  yet effective steps you can take to give your score a boost.

Understand Your Current Credit SnapShot.

Federal law requires each of the three nationwide consumer credit reporting companies -Equifax, Experian, and TransUnion -provide you a free credit report every 12 months if you ask for it. While these reports don't contain your actual score, they can be very helpful in identifying what might be affecting it (as well as any inaccurate information that may need correcting). Request yours at annualcreditreport.com.

1. Payment History (35%)

Payment history is the biggest single factor used to calculate your credit score. Late payments (even a couple of days), past due accounts, and accounts in collections all have a negative impact on your credit. Regular, on-time payment of the minimum amount (or greater) will improve your credit score. A non-time payment history in the range of 18 months or longer will begin to show results in a growing credit score.

Set up automatic payments.

If your late payments are due to forgetfulness, this is the easiest way to ensure you never miss a future payment.

Change your billing due date.

Suppose you have multiple bills due on the same day of the month. In that case, it may be worth changing your payment due date to align better with your personal situation (e.g.,spacing out bills to make them more manageable, or ensuring your payment date is after an income deposit date.)

Explore hardship/deferment options.

If you’re having trouble making ends meet, call your creditors and request a forbearance or payment deferral. They may also be able to waive late fees or even allow a lower payment for a period of time.

2. Amount Owed (30%)

Your credit utilization is determined by the amount you owe—not relative to your income but, compared to the total credit limit available to you, expressed as a percentage.(For example, if your card balance is $600 and you have a spending limit of $2,500, your credit utilization is $600/$2,500 or 24%.) As a rule of thumb, your credit utilization should be no more than 30.

Quick Tips for Improving Amount Owed:

Pay down your balance early.

If you can make small payments throughout the month, this can help keep your balance down and lower your credit utilization.

Decrease spending.

Find areas where you can cut back on spending to lower your utilization. Our Prioritizing Expenses Worksheet can help you to determine what to cut.

Ask for a credit line increase.

Increasing your credit limit is the simplest way to decrease your credit utilization with out having to cut back on spending.

3. Length of Credit History (15%)

Although not the most heavily weighted category, the length of a borrower’s credit history is important. It’s an indication to the financial institutions what kind of borrower you maybe in the future. In addition to the overall time an individual has had credit accounts open, credit history is also determined by how long specific types of accounts have been open, and how long it’s been since those accounts have been used.

Quick Tips for Improving Credit History:

Get a secured credit card.

Backed by a cash deposit, a secured credit card can be an excellent low-risk way for those who have not had a credit card previously to start building credit.

Keep credit cards open.

Closing a credit card can negatively affect your score. If you have cards you aren’t using, placing a small recurring charge on them (such as a phone bill or streaming subscription) can help to keep the card active while keeping your overall credit utilization low.

4. Credit Mix (10%)

Credit mix is determined by looking at the types of credit you are carrying (this includes credit cards, retail accounts, installment loans, mortgage loans,etc.) as well as your payment history in each area.

Quick Tips for Improving Mix:

Explore loan options that work best for you.

Your credit mix isn’t the most impactful category, and you shouldn’t pursue loans unless they make sense for you and your personal needs. In fact, you may already have a fair credit mix—things like credit cards, personal loans, auto loans, and mortgage loans are all considered different types of credit.

Make sure you pay loans on time.

A good credit mix is moot if you aren’t making timely payments–ensure you are making at least the minimum payments on your outstanding loans each month.

5. New Credit (10%)

Research shows that opening several credit accounts in a short amount of time represents a more significant risk—especially for people who don’t have an established credit history.

Quick Tips for New Credit:

Open new credit accounts only as needed.

Every time you apply for a new credit card,this creates a hard inquiry on your credit,which will automatically lower your score. Having more credit than needed can also encourage unnecessary spending and lead to increased debt.

Understand how hard inquiries show upon your report for different types of loans.

While multiple inquiries over a short time frame for credit cards may result insignificant score damage, other types of inquiries—such as home or auto loans—are reported a little differently. Since lenders know people often shop around, these types of inquiries won’t hit your report for 30 days, and when they do,they’ll be counted as a singular inquiry.

So, there you have it. If you implement these tips, you should start to see a gradual increase in your credit score. Remember: Your credit score is based on patterns over time, with an emphasis on more recent information. Improving credit won’t happen overnight, but with persistence and consistency, your score should gradually improve over time!

Free Credit Report Review

Need some extra help navigating your credit report? GreenPath’s NFCC-certified credit counselors can walk you through a free review of your credit report. They’ll explain how to read the report and help you to make a plan for managing your credit score to support your goals.

Learn More

• By Kevin Alvarez

Understanding and Preparing a Savings Account – Financial Literacy Month

Have you been keeping an eye out on the housing market? What about the auto industry? Well before you can purchase your first home or a brand new car, taking control and understanding your debt is needed. The journey of reaching your next financial goal may sound like a daunting task, but having the understanding of what it will take to reach those goals is the mindset to strive for. Through then, you can create short term goals which will assist with building up to the overall financial goal.

In order to be properly set for the financial path forward, there are a few initial organizational concepts that need to be accounted for first.

Understanding Your Monthly Income

Do you know the difference between net pay and gross pay? Net pay is the amount you take home AFTER pay roll deductions and tax with holdings have been made. Gross pay is the amount that is shown BEFORE tax deductions like state tax, federal tax and social security.

The number to be aware of is your net pay. As the amount of money you are actually taking home is known and acknowledged, you can create a budget from a true dollar amount and track accurate financial habits.

Understanding and Cutting Your Spending Habits

Are you aware of any habits that add a burden to your wallet? When it comes to finding where you can save money, coffee is a common expense people adjust first. You don’t have to cut coffee completely, but you can easily save by making coffee from home. Purchasing coffee from your favorite café is costly compared to a home brewed pot which could even save you time, eliminate transportation costs and reduce the cost of coffee itself.

Gym passes are also a typical expense that could be adjusted to aggressively save. There may be a numerous amount of reasons for a gym pass, yet there is an equal amount of alternatives that could be implemented in order to save. Switching to a home workout and using online videos and blogs can provide structure to your workout all while saving again, on transportation costs, time and of course, gym fees.

These are both conceptual ideas that could translate to other aspects of monthly expenses, in order to start cutting your spending habits.

Understanding Your Saving Habits

Now that you understand your spending, you can focus on your savings habits and take advantage of different accounts that pay dividends at better rates than traditional big banks. Your typical savings account at a big bank does not offer the same interest rates as a credit union, so it’s often advised to open either a Share Certificate Account or Money Market Account to maximize your monthly savings through dividends.

Understanding How to Move Forward

Everyone’s financial situation is different and some situations require to pay debt down aggressively, with a small consistent stream going into savings. It is recommended to do both collectively even if the monthly deposited savings amount is small. As a member of SafeAmerica Credit Union you have numerous resources readily available to help keep you, financially on track. Being financially healthy is a goal in and of itself and allows the path to financial milestones to present themselves. Keeping to strict saving and spending habits allows you to keep debt down and reach your financial goals.

Learn how you can use a Share Certificate to your advantage as well as the liquidity of a Money Market below.

Share Certificates
Money Market

• By Kevin Alvarez

Financial Tools for Success – Financial Literacy Month

Information is brought to you by our partner, GreenPath Financial Wellness

April is Financial Literacy Month –  a good time to consider the importance of financial literacy education, especially with the economic uncertainties caused by the ongoing pandemic. Continuing our series of blogs sharing information as part of Financial Literacy Month, the focus today is on finding the right financial tools for success – whether the resources help us with budgeting, setting financial goals, or managing credit card debt, loans, or other debt.

Check out these financial tools to begin understanding options to figure out your finances.

Financial Calculators

A healthy financial future begins with an understanding of a person’s current situation. Online financial calculators help people run the numbers and answer questions related to financing their home or comparing how a debt management plan can help manage credit card debt.

Financial Wellness Resources

Being able to make healthy financial choices is about having good information at your fingertips. Much of that education is available online, but it’s important to tap into trusted resources. As an example, as a national nonprofit, GreenPath makes available a library of resources including worksheets, guides, educational on-demand webinars about managing finances, online learning experiences to help set a simple spending plan or prioritize expenses, and other educational tools.

Financial Counseling and Debt Management

Teaming with a trusted financial counseling agency gets the right information to help people make the best decisions about their future.

As a national nonprofit, GreenPath Financial Wellness provides free one on one financial advising with certified counselors. You’ll improve your financial literacy education with credit card debt counseling, debt management plans, student loan counseling, housing counseling, foreclosure mitigation, and debt management counseling

Based on a person’s full financial picture, people will understand how to pay down debt, steps to rebuild credit history, tips to create a savings strategy or other specific information to move forward.

As your financial institution, we proudly provide our members with insight through financial education and resources that may be of benefit. Through this, we can equip our members with knowledge to assist with helping to prevent financial stress, especially during when its most unpredictable.

Below is a list of available resources SafeAmerica Credit Union has for members:

Calculators

Here you can learn and calculate:

  • What your loan payments would be
  • What your auto payments would be
  • Should you refinance your auto loan at a lower rate
  • How long it would take to to pay off your credit card(s)
  • Should you transfer your credit balances to a lower rate with us
  • How much could you borrow from your home equity (HELOC)
  • Should you refinance your mortgage
  • Understanding your possible mortgage payment
  • How much would you need for retirement
  • how much should you save to reach your financial goal
Rates and Fees

Here you can stay up to date with our current rates for:

  • Savings
  • Checking
  • Credit & Personal
  • IRAs
  • Auto
  • Home
  • Fees
Educational Videos

Through our How-To Videos you will understand the following:

  • What is a Credit Union
  • How to enroll in Online Banking
  • How to use Our Mobile App
  • How to use Mobile Deposit
  • How to use mobile wallet
  • How to make a payment

Learn about online security through our How-To videos:

  • Getting back your stolen identity
  • Simple Tips for Secure Mobile Banking
  • Protect your Account through Strong Passwords
  • Wi-Fi Network Access Scams
  • What is Multifactor Authentication?
  • Protect Yourself from Phishing Attacks
  • Protect Yourself from Vishing Attacks
  • Protect Yourself from Gift Card Scams
  • Warning! Fake Cashier's Checks
  • How did a Virus Get on My Computer
Blog

Read our blog for continuous financial learning and updates:

  • Financial Literacy for Kids
  • 5 Factors That Affect Your Credit Score
  • What is a balance transfer
  • What is a Debt Management Plan

Our blog is constantly being updated on a monthly basis, so make sure to check back often!

We have also partnered with GreenPath Financial Wellness to provide exclusive and free financial education and counseling.

Learn more about GreenPath by clicking below.

Learn More

• By Kevin Alvarez

5 Reasons to Make a Budget – Financial Literacy Month

Information is brought to you by our partner, GreenPath Financial Wellness

Making a budget and following it are two powerful financial habits. It’s not always easy, or fun at first. But it is one of the best steps you can take to successfully manage your finances.  There are many reasons to budget and in the long run, it feels really good to see yourself accomplishing a goal.

 

Reasons to Budget (There's more Pros than Cons)

#1 – A budget helps you gain control of your finances

Think of a budget as a financial roadmap. It will guide you to your destination. It will also reduce arguments and improve relationships because you and your family will know where you are going financially, providing a smoother ride along the way.

#2 – Budgeting helps you achieve goals

Whether it is putting money aside for emergencies, a vacation or a college education, a budget helps you devote resources to those things that you determine are most important. Having a plan also promotes well-being and reduces stress.

#3 – A good budget keeps you honest

Documenting purchases allows you to figure out where your money is going.  It allows you to stay accountable to your goals. By keeping a budget, each dollar you spend is accounted for. That’s a powerful incentive to stay true to your good intentions.

#4 – Budgeting helps improve habits

If you spend more than you earn, you will drain your savings. And if it continues, you will take on debt.  By measuring how you spend your money, you will know for sure whether you’re headed for trouble, and you can take the steps necessary to improve your habits.

#5 – Budgeting helps you avoid debt and improve credit

By truly understanding how much it costs to be you, you can make adjustments to stop living from paycheck to paycheck. You may be able to identify ways to get out of debt and stay out of debt. By paying your bills on time and not taking on too much debt, you will take the most important step toward building good credit.

Use Greenpath's Budgeting worksheet to calculate your monthly expenses and income to get an idea of what you have to work with, what your commitments are, and what they have remaining to devote to their goals.

Click here for the Budgeting Worksheet

Learn More

• By Kevin Alvarez

Pay Off Your Debt

Information brought to you by our partner, GreenPath Financial Wellness

If you are dealing with debt, you aren’t alone. The average American household has an average balance of about $6,600 in credit card debt,  and that’s not taking into account home, auto, and student loans. Paying off your debt isn’t always easy, but having a plan can go a long way in achieving your financial goals.

Two of the most popular strategies for paying off debt on your own are the snowball method and the avalanche method. Both methods require making the minimum monthly payments on all but one debt, which you put extra money towards.

The Snowball Method

With the snowball method, you begin by paying off your smallest debt first. This method creates a sense of motivation and accomplishment from being able to pay off smaller bills at a higher frequency.

How it Works

Let’s say you have the following debts:

  • Credit Card A: $3,500, 17.99% APR
  • Credit Card B: $7,500, 15.00% APR
  • Personal Loan: $1,000, 10.05% APR

Using the snowball method, you would pay the minimum monthly payments to the credit card debts, and pay any extra that you can to the personal loan until it is paid off. You would then apply the extra payments to Credit Card A until it is paid in full.

Pros and Cons

With the snowball method, you are able to see progress faster. Quick wins can help you stay motivated to keep going. However, with this approach, it will take you longer to pay off your largest debts—and those are often the ones that carry the highest interest, so you’ll likely end up paying more overall.

The Avalanche Method

The avalanche method takes into account the fact that high-interest debts cost you the most money over time. Using the avalanche method, you pay off your highest interest debts first.

How it Works

Let’s look at the same scenario as above.

  • Credit Card A: $3,500, 17.99% APR
  • Credit Card B: $7,500, 15.00% APR
  • Personal Loan: $1,000, 10.05% APR

With the avalanche method, you’d pay the minimum monthly payment on Credit Card B and the Personal Loan, and pay extra towards Credit Card A, since it has the highest interest rate. Once it was paid off, you’d move on to Credit Card B.

Pros and Cons

This is the fastest way to eliminate debt and save on interest payments. However, it can take years to eliminate this debt while other smaller bills still trickle in.

Which option is best for you?

It comes down to what you feel most comfortable with. Ultimately the best method is the one you can stick to. If you’re motivated by quicker victories, the snowball method may be the right option for you. If you want to pay the lowest amount of interest, you’re likely better off choosing the avalanche method.

Learn More

• By Kevin Alvarez

What to Know About Financial Hardships

Financial stress can be a very uncomfortable issue to deal with. The process of regaining financial control seems like a steep climb but as with any problem, finding guidance with your financial hardship can provide the framework towards regaining control.

If you're struggling to pay your bills every month, you might be dealing with a financial hardship.

What is a Financial Hardship?

A hardship can be defined in a few different ways and usually depends on a number of factors.  Typically, a hardship refers to a situation in which you cannot keep up with your financial obligations due to a circumstance that is beyond your control.

What Causes a Financial Hardship?

There are many reasons for a financial hardship and more often than none, they happen to be a result from an uncontrollable life circumstance. Some of the common reasons for a financial hardship include:

  • Loss of job
  • A cut in hours or pay
  • Divorce of death of a spouse
  • Injury or medical illness
  • Unexpected events/family matters

Common Signs

There are also a handful of identifiers that can serve as a warning that you may be headed for financial distress such as:

  • Not making the minimum payments on financial obligations
  • Continuously making late payments
  • High credit utilization (high credit balances)
  • Using services as payday loans and/or cash advances
  • Using credit to pay for daily essentials
  • Lack of emergency funds

Acting on the warning signs will serve as a preventative strategy that will allow you to plan, organize and eliminate the possibility of falling into a financial nightmare. Simply doing the corrective measures of the previous mentioned warning signs will place you into a better financial position.

Financial Hardship

What To Do

If you experience a sudden change of income, it is often recommended to create a baseline budget that will cover all of your priorities. Writing out your priorities, in order of importance, and labeling them as such, will provide understanding on which priorities have a certain amount of flexibility. While it is never easy, making the needed budget cuts will allow you to keep the baseline income flowing into your priorities.

Speaking to your lender/financial institution about your specific circumstance will help determine the best solution for you and can provide some financial relief when it’s needed most. There may also be other programs and resources in your community that could be taken advantage of.

SafeAmerica Can Help

As a member of SafeAmerica Credit Union we have resources available to assist you.

Begin the process of a healthy and stress-free financial way of living through our nonprofit partner, GreenPath Financial Wellness. They can assist with:

  • Creating a debt management plan
  • Financial Counseling
  • Housing Services
  • Student Loan Counseling
  • Credit Report Review
  • Financial Education
GreenPath Financial Wellness

Financial hardships are deemed as a last resort resource and are not structured to be supplemental to any variations of money saving methods. To increase the possibility of being accepted for a financial hardship, one should be able to provide details and/or documents from resources they took advantage of before making contact for a financial hardship.

Important Links

GreenPath Financial Wellness
Foreclosure Prevention Strategies
Financial Hardship Assistance

If you need insight, guidance or a plan of action with your SafeAmerica Credit Union loan, our collections department is available at CollectionsDepartment@safeamerica.com.

• By Kevin Alvarez

How to Plan for Back to School Expenses in a Time of COVID-19

Information brought to you by our partner, GreenPath Financial Wellness

As families track the latest news about their communities K-12 reopening plans, it’s clear this is a school year like no other – especially as families plan for back to school expenses.

Will students return in the classroom? Will a K-12 student school year involve a mix of online and in-class learning? Or will school districts mandate that the school year be online, virtual learning?

A national organization that monitors retail activity shows that households tentatively plan to spend a record amount to prepare students for school and college. If districts aren’t providing laptops, many families will buy laptops and computer accessories in anticipation that at least some classes will take place online because of the coronavirus pandemic.

The retail survey shows that parents with children in elementary school through high school anticipate spending an average of $789.49 per family, topping the previous record of $696.70 they said they would spend last year.

While it isn’t a typical year when it comes to back to school shopping tips, with the right information, families can reduce their stress.

6 Steps to Plan for Back to School Expenses

The good news is that with a little planning, you can successfully manage additional expenses even in the midst of a pandemic.

As you plan for back to school expenses, shared here are six steps you can take.

1. Check in with your school district.

Whether preparing for online or in person, be sure your spending plan reflects what technology tools might be needed. Watch the news or local websites to keep tabs on what your district is planning for back to school. Check with your district if they will be providing school-aged children with laptops or other technology.

2. Think about your spending plan.

The pandemic has changed household finances, given unexpected loss or changes in monthly income. GreenPath’s budgeting worksheet is a great way to get a handle on the situation in terms of tracking income against expenses. Once you have a good handle on your current financial state, determine how much you truly feel comfortable spending.

3. Is it a “want” or a “need?”

Prioritize your needs list. What do you need to buy before school starts and what can you purchase later?

When thinking about virtual learning, does the family already have access to high-speed internet and a family computer, or are these items that need to be purchased? Will your district provide needed technology? What really needs to be replaced or what can be reused?

If new clothes are a need, watch for sales or online stores offering the most competitive pricing.

4. Avoid impulse buys.

Whether heading to the computer store to support online learning or buying a new backpack, stick with the plan.

Make it a family affair. Write out the shopping list together. If the kids want something that isn’t in the budget, offer them the option to chip in their own money.

Look at school shopping as an opportunity to get kids more involved or even suggest spending more of their own money on back-to-school supplies.

5. Watch those credit card balances.

If you use a consumer credit card, keep a close tab on the balances. This can be a simple process of assembling printed receipts in an envelope after each shopping outing. That way you’ll have a clear reminder of the credit card balances as they are incurred.

6. Consider teaming with a helpful resource.

Families looking for additional support before they head to the stores this fall have another option.

GreenPath’s professional, caring Financial Wellness Experts will assist you in assessing your financial situation and guide you to create a personalized plan to achieve your goals.

GreenPath works with thousands of people each week to pay off debt, improve credit, and lead a financially healthy life. When looking ahead to an uncertain school year, it’s helpful to start a conversation with a GreenPath a Financial Expert.

• By Kevin Alvarez

7 Things To Consider When Buying & Selling a Home Simultaneously

Information brought to you by our partner, CU Homeland/American Pacific Mortgage

There may be no greater example of multi-tasking than when you’re buying and selling a home simultaneously. It can feel like you went from 0 to 100 in no time flat! Whether you’re chomping at the bit to get settled into your new home or ecstatic about the price you secured for your current home, we know you have plenty of activity to go around.

So take a little time to get organized. Buying and selling a home simultaneously may seem overwhelming, but many people successfully navigate this balancing act not once, but a few times over the course of their adult lives!

1. Prepare, Prepare, Prepare

You’ve found the home of your dreams and you’re ready to kiss your old digs goodbye. There’s only one problem: your current home needs some work. The last thing you want to do is find yourself under contract to buy a home when your current home is not ready to hit the market.

So start early. Take stock of all the maintenance and repairs that need to be addressed, and get rolling on these ASAP. Remember, too, that markets cool. You may not secure the same price in December as you did in June, which makes timing all the more important when you’re buying and selling a home simultaneously.

2. Find Someone Licensed in Your Area

You may have loved the realtor and lender who helped you buy your current house. Unless you’re looking to move down the street, however, you’ll want to find licensed professionals who work in your desired area. This is especially important if you’re relocating to another state.

On the other hand, if you’re staying in the same area, it can be advantageous to use one realtor and lender when you’re buying and selling a home simultaneously. Professionals who are privy to the timing of both transactions can ensure a smooth transition as you move from one home to another.

3. Have a Backup Plan

Deals fall through. It’s just a fact of life. This can be twice as painful if you’re buying and selling a home simultaneously. Even though it’s not fun, this is the time to think and prepare for worst-case scenarios. Create an emergency fund, call movers and storage units to determine a Plan B for your belongings if you need them to be held temporarily, and make a list of hotels and short-term rentals before you may need to use them.

It always helps to have cash on hand as well. This can assist in smoothing out any last-minute snafus with movers or short-term rental agencies.

4. Temper Expectations

Some people use the funds from their home sale for the down payment on their new home when they’re buying and selling a home simultaneously. This can be done, but you should always keep your home-selling expectations realistic, especially if you’ve already earmarked that money for a new home.

We all know what our homes should be worth, but “should” and “are” are two different things. Your realtor can help you keep expectations in line so you don’t wind up with a down payment that is $30,000 less than you imagined. At the same time, you want to also be prepared in case the market softens and prices drop a bit. It’s best to operate off the assumption your home will sell for less than you expect, that way you have a little cushion if pricing is better than you imagined.

5. Compromise Whenever Possible

It’s easy to feel that we have all the power when we’re on the buying side of the equation. If you're buying and selling a home simultaneously, however, you’re seeing the sale from both sides of the fence.

So try to keep a good perspective. Us buyers can often feel entitled to an extra week of escrow, a few small repairs or some money off if we ask for it. After all, we’re the buyers! But keep in mind that your home also has buyers who may need a little time or a few concessions. Patience goes a long way, especially if you're buying and selling a home simultaneously!

6. Consider Contingencies

A backup plan is one thing; a contingency plan is another. The difference between the two lies in perspective. While a backup plan can handle worst-case scenarios and everything in between, a contingency plan deals with “if this, then that.”

For example, a rent-back contingency can allow you to rent your sold home back from the buyer for 30 to 60 days after closing. A rent-back contingency is typically used when you want to accept an offer on your house but you don’t have your next house lined up. Of course, even with this contingency you want to be mindful that you’re working on a deadline, but these types of agreements can provide some wiggle room if you're buying and selling a home simultaneously.

You can also make a contingency offer. This occurs when you put in an offer on a new home, but closing is contingent on securing a buyer for your current home. A home sale contingency can be great if you're buying and selling a home simultaneously, but it may also cause the seller to consider other offers. Your realtor can provide more guidance on whether this is the right move for you.

7. Review Financing Options

There are a variety of options out there if you're buying and selling a home simultaneously. If you don’t need the funds from your home sale to purchase your new home, then you can move forward with fewer strings attached. That’s not the case for a lot of us, however.

Fortunately, there are options and programs that can help. You can purchase the new home with a HELOC, or home equity line of credit, which lets you borrow against the equity in your current home. Bridge loans are another short-term option that can cover your down payment until your home sale closes. Some people choose to rent out their old homes if they’re not ready to sell, which can offset the mortgage while buying you some time.

Working with more than one home on more than one transaction can make it feel like you’re juggling above your talent level. It doesn’t have to, though. If you align yourself with the right professionals, take some time to prepare and think through the various scenarios and come into these negotiations with an open-mind, you’ve set the stage for a successful home buying and selling process.

We’re happy to help when you’re ready to start. As a SafeAmerica Credit Union member, you have access to CU Homeland/American Pacific Mortgage; our partner for all your home loan needs. Click below to learn more about the loan programs available to you or to get a rate quote.

Find a home loan solution here