Using or Losing Your Home Equity What Money Can’t Buy

Financial and Real Estate Pain Points

Joe went to the doctor one day and complained that his entire body hurt. He felt sharp pain anywhere he touched. After a thorough examination, the doctor was surprised to find Joe in perfect health. He was about to give up and send Joe home, but then noticed something. Upon closer examination, he realized Joe’s finger was fractured. Everything Joe touched was a pain point.

These days, I feel as though much of my conversations center around pain points that the average household is experiencing. In truth, this is done by design, as I have realized that it is best to explore and treat the root of the pain rather than to treat symptoms after the fact. When I tout that I provide “more than just a mortgage,” I genuinely mean it. I enjoy helping those who can benefit from my advice beyond their mortgage.

Anyone with debt today is grappling with the highest interest rate charges they have endured in decades, if not their entire life. Financial burdens are causing credit scores to drop, with access to credit being limited or extremely expensive. A lower credit score can lead to less favorable loan terms, including higher interest rates and more stringent qualification requirements.

Home buyers think that after going through the grueling home purchase, negotiation, and mortgage process, they can rest on their laurels and coast from there. It is not the case by any means. Owning a home comes with ongoing maintenance requirements – physical, financial, and emotional maintenance that only grows with each age and stage of life.

Changing life circumstances such as job loss, illness, or other unexpected events can suddenly make meeting monthly payments a financial strain. Many people struggle to maintain an adequate emergency fund, which can lead to financial pressure during unforeseen situations. Many individuals find it challenging to save enough for retirement, which can lead to financial insecurity in their later years.

Many have their net worth tied up in their homes. A house is not a liquid asset. Selling a home can take time, making it challenging to access the equity you have in your home in real time. When it’s time to sell, the process can be long and arduous, with various potential pitfalls, including finding the “right” buyer, settling on the “right” price, and dealing with everything else that comes up along the way.

Granted, pain points are not only prevalent concerning your home and mortgage. Many people find the process of estate planning complex and stressful, potentially leading to financial and familial strife. Similarly, the high and sometimes unexpected costs of healthcare can be a significant strain on finances. Another example that we are all too familiar with is how the rising cost of living due to inflation can erode the purchasing power of savings and investments.

Unfortunately, many people struggle with a lack of financial literacy, making it difficult to make informed decisions about managing their finances. Unfortunately, the list of financial pain points can go on and on. The good news is that someone like me is here to help, and more than happy to go through the particulars of your situation to guide you accordingly. As a resource with a vast network, you’d be surprised at who and what I can introduce you to help alleviate your pain points.

Shmuel Shayowitz (NMLS#19871) is President and Chief Lending Officer at Approved Funding, a privately held local mortgage banker and direct lender. Approved Funding is a mortgage company offering competitive interest rates as well as specialty niche programs on all types of Residential and Commercial properties. Shmuel has over 20 years of industry experience, including licenses and certifications as a certified mortgage underwriter, residential review appraiser, licensed real estate agent, and direct FHA specialized underwriter. He can be reached via email at [email protected].