Home Security, Don't Leave Home Without It
By: Brian Bees
Depending on your age or where you grew up, you probably remember never locking the door to your house. It seems like just yesterday, but those days are long gone. Our way of life has changed rapidly. Churches, schools, and neighborhoods are no longer social institutions linking entire families into a single community. People do not know their neighbors as well as they once did.
Crime and fear of crime threatens a community's well being. People become afraid to use streets and parks and suspicion erupts between young and old. Crime in turn feeds on the social isolation and lack of community ties.
The following are some crime facts in neighborhoods today.
- Burglary and thefts from auto's are the most prevalent neighborhood crimes.
- Household burglary is one of the easiest crimes to commit, and to prevent.
- Most home burglars are young amateurs looking for easy targets.
- In over one-half of household burglaries, there was no forced entry involved.
- Most home intrusions occur during daylight hours while homeowners are away. The burglar will in many cases watch your home for a few days to see when you are out.
Is the choice either to be burgled or turn your house into a high tech security fortress? Not at all. The first step is to know the ways burglars break into your home and what to look out for to reduce your chance of being burgled. Inexpensive precautions like installing better locks will make your dwelling more secure while at the same time a less desirable choice for the criminal. Install outdoor motion sensor lights. This is an inexpensive way to reduce the risk of someone coming onto your premises at night. Surveillance cameras have become quite affordable. Some models are wireless. Simply mount the small camera to monitor a particular area and the image can be viewed on your TV set. Make sure you do not make it obvious that you are away. Have a neighbor pick up your mail. Make a list of all your valuable items. Neighborhood Watch is a proven crime-reduction program. Members watch out for their neighbors and report suspicious activities to their local police department. Neighborhood Watch has helped to restore the "front porch" by bringing neighbors into contact with each other once again for a common purpose - to make our homes and streets safe.
What about installing a home security or surveillance system? Undoubtedly the largest benefit you receive when an alarm is installed in your home is the peace of mind in knowing that the percentage of homes that are broken into with an alarm is 97% less than homes that do not have an alarm. The homeowner should have a basic knowledge of the types of systems available to make the most cost effective choice. Perimeter sensors protect each door and window and detect an initial entry attempt. Motion sensors detect an intruder moving inside the house. Systems are either hardwired or wireless, using radio signals. Once an intrusion is detected the alarm system can sound a local alarm or contact an alarm monitoring company. The security representative surveying your home and living patterns can make recommendations for your best protection.
With the level of home intrusion increasing everyday there has never been a better time to make sure your home is secure.
Keyword Articles: http://www.keywordarticles.org
For more information I suggest reading The Ultimate Guide to Home Security E-Book. It is an instant-download that you can print. Visit www.home-security-solutions.net Brian Bees has 30 years experience in electronic security systems.
Wednesday, January 20, 2010
Friday, January 8, 2010
Mortgage Rates are going UP???
NEW YORK (CNNMoney.com) -- If you want to refinance your mortgage into a loan with a sub-5% interest rate, better hurry. Your window of opportunity is closing fast.
Lenders are still advertising rock-bottom interest rates, but for most borrowers, rates are rapidly rising into the 5%-plus category.
During the week of Dec. 31, the average 30-year, fixed-rate loan closed at 5.14%, according to mortgage giant Freddie Mac. That is significantly higher than the 4.71% it averaged at the beginning of the month, and experts say rates will go higher yet.
"Interest rates are up and they're not going to go down below 5% again," said Mark Zandi, chief economist for Moody's Economy.com, not for a while at least.
While homebuyers are still excited about these low mortgage rates, people who already have a loan and want to lower their costs are scrambling to lock in.
Refinancers act when the difference between the rate they're currently paying and the new one is at least a point or two wide, otherwise the costs of going through the refinancing wipes out any savings. In fact as rates rose in December, refinancings plunged, down more than 30%, according to the Mortgage Bankers Association.
A big reason for the jump is that a government program that has kept rates very low is winding to a close. The Federal Reserve has been purchasing mortgage-backed securities (MBS) since early 2009, scooping up as much as $1.25 trillion worth. That has dampened rate increases by providing a ready market for the MBS.
But the Fed's program lapses on March 31, when it cedes the playing field to private investors, who will almost surely demand higher rates to buy MBS. The Fed has already been slowing its purchasing, and that has correspond with the recent rate increases.
As Treasurys go . . .
Not just mortgage rates have turned north. Treasury yields have as well, another indication that mortgage rates are headed skyward.
The yield on the benchmark 10-year Treasury has grown steeply over the past few weeks. It stood at 3.2% at the beginning of December and has soared to 3.84% as of Tuesday, a 20% jump.
Mortgage interest does not track Treasury yields in lockstep, but the two tend to mirror each other's movements. "It's very unusual for mortgage rates and Treasury yields to go in different directions," said Stuart Hoffman, chief economist for PNC Financial Services.
MBS rates are always higher than Treasury yields because MBS investors demand a premium above practically risk-free Treasurys to compensate them for taking on more risk.
The difference between the mortgage rates and bond yield is usually somewhere near 1.7 percentage points, according to Keith Gumbinger of HSH Associated, a publisher of mortgage information. The current spread of about 1.2 percentage points is quite narrow.
That's bound to change, according to David Crowe, chief economist for the National Association of Home Builders. He believes mortgage rates will go up to about 5.5% by late summer. But other factors could push them into a larger-than-expected jump.
Economy bouncing back
For example, as the economy improves (it's hoped), businesses will expand production, hire new workers and open new sales outlets. All that requires borrowing in capital markets and the demand for lending will expand interest rates of all kinds.
A recovering economy also boosts corporate profits, making stocks a better bet for investors.
"Stocks tend to do better when the economy improves," said Hoffman. "Mortgage rates will rise to attract investment."
Hoffman's forecast is for rates to stay quite constant the rest of the winter and then elevate gradually during the spring buying season, the busiest time of year for home sales. He said they should hit about 5.5% by the end of June.
After that, the increases will slow, according to Hoffman, but still approach 6% toward the end of the year. He believes they'll cap at around 5.75% and are not likely to fall back to the 5% level again.
Lenders are still advertising rock-bottom interest rates, but for most borrowers, rates are rapidly rising into the 5%-plus category.
During the week of Dec. 31, the average 30-year, fixed-rate loan closed at 5.14%, according to mortgage giant Freddie Mac. That is significantly higher than the 4.71% it averaged at the beginning of the month, and experts say rates will go higher yet.
"Interest rates are up and they're not going to go down below 5% again," said Mark Zandi, chief economist for Moody's Economy.com, not for a while at least.
While homebuyers are still excited about these low mortgage rates, people who already have a loan and want to lower their costs are scrambling to lock in.
Refinancers act when the difference between the rate they're currently paying and the new one is at least a point or two wide, otherwise the costs of going through the refinancing wipes out any savings. In fact as rates rose in December, refinancings plunged, down more than 30%, according to the Mortgage Bankers Association.
A big reason for the jump is that a government program that has kept rates very low is winding to a close. The Federal Reserve has been purchasing mortgage-backed securities (MBS) since early 2009, scooping up as much as $1.25 trillion worth. That has dampened rate increases by providing a ready market for the MBS.
But the Fed's program lapses on March 31, when it cedes the playing field to private investors, who will almost surely demand higher rates to buy MBS. The Fed has already been slowing its purchasing, and that has correspond with the recent rate increases.
As Treasurys go . . .
Not just mortgage rates have turned north. Treasury yields have as well, another indication that mortgage rates are headed skyward.
The yield on the benchmark 10-year Treasury has grown steeply over the past few weeks. It stood at 3.2% at the beginning of December and has soared to 3.84% as of Tuesday, a 20% jump.
Mortgage interest does not track Treasury yields in lockstep, but the two tend to mirror each other's movements. "It's very unusual for mortgage rates and Treasury yields to go in different directions," said Stuart Hoffman, chief economist for PNC Financial Services.
MBS rates are always higher than Treasury yields because MBS investors demand a premium above practically risk-free Treasurys to compensate them for taking on more risk.
The difference between the mortgage rates and bond yield is usually somewhere near 1.7 percentage points, according to Keith Gumbinger of HSH Associated, a publisher of mortgage information. The current spread of about 1.2 percentage points is quite narrow.
That's bound to change, according to David Crowe, chief economist for the National Association of Home Builders. He believes mortgage rates will go up to about 5.5% by late summer. But other factors could push them into a larger-than-expected jump.
Economy bouncing back
For example, as the economy improves (it's hoped), businesses will expand production, hire new workers and open new sales outlets. All that requires borrowing in capital markets and the demand for lending will expand interest rates of all kinds.
A recovering economy also boosts corporate profits, making stocks a better bet for investors.
"Stocks tend to do better when the economy improves," said Hoffman. "Mortgage rates will rise to attract investment."
Hoffman's forecast is for rates to stay quite constant the rest of the winter and then elevate gradually during the spring buying season, the busiest time of year for home sales. He said they should hit about 5.5% by the end of June.
After that, the increases will slow, according to Hoffman, but still approach 6% toward the end of the year. He believes they'll cap at around 5.75% and are not likely to fall back to the 5% level again.
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