Improving your personal finances in 2017 could be as simple as this

New Year’s resolutions are a great way to start off the new year and improving on one’s personal finances should be a top priority. Owning a home offers an excellent solution to making this the year your finances take a positive turn in the direction you want. Home values have been increasing over the last few years and tapping into that equity to accelerate the paying off of unwanted high-interest rate debt is a great solution. With many credit card interest rates ranging from 15% to 23% liquidating the debt can be a struggle. 

Credit card interest rates and minimum monthly payments affect how long it will take to pay off your debt and how much your purchase will cost you over time.
Federal Trade Commission: Paying Down Credit Card Debt

FHA refinance home mortgage rates are dramatically lower and are still available in the high 3% range. The monthly savings can be applied back to the loan and pay off the debt in record time compared to paying the credit card company directly. In the article “5 Financial Resolutions for 2017” written by Kevin O’Leary a Contributor for CNBC, O'Leary makes a very compelling point.

2.    Calculate Your 90-Day Number
Your 90-day number is the total you’re left with after adding up all of your incoming cash over a three-month period and subtracting all expenditures over the same time frame. This tip is almost as important as paying your debts. You wouldn’t believe how many people are completely oblivious to their own financial situation!

He recommends calculating all of your income versus your expenses over a 90 day period to determine if you are improving your financial position or slowly making your situation worse. If your “90-day number” is negative, it is most likely due to not focusing on paying down debt or by being overextended with too many unnecessary expenses. The future of your financial stability can begin by using those extra dollars that you have been sending to your high-interest rate credit card companies to instead pay down the actual debt with a low-interest rate FHA home loan refinance.