Author: Mary Waters | Lending Agent
Investors seeking income have several high-quality options in dividend-paying exchange-traded funds, according to Morningstar. People often turn to dividend stocks during times of volatility, thanks to their defensive nature. While the market has had a tumultuous month since President Donald Trump announced his sweeping new tariff policy, stocks have lately been moving higher . On Friday, the S & P 500 was on track for its ninth consecutive day of gains, its longest winning streak since November 2004. Still, good dividend ETFs can work in all market environments, said Ryan Jackson, senior analyst for passive strategies at Morningstar. “The ability…
Key takeaways A first-time homebuyer is someone who has either never owned a home or who has not owned a home in the last three years. First-time homebuyer programs offer mortgages with low down payment requirements and other favorable terms or assistance. Buying a new house involves many steps, from securing a mortgage to negotiating with sellers. A real estate agent could be a valuable resource to help you navigate the process. What is a first-time homebuyer? A first-time homebuyer is someone who has never owned a home before, or someone who hasn’t owned a home for at least the…
Image by GettyImages; Illustration by Jessa Lyn Lizama/Bankrate Key takeaways Mortgage reserves are cash or other easily accessible assets you could use to make mortgage payments, above and beyond your down payment and closing costs. Reserves are measured in months. Six months of reserves means six months’ worth of mortgage payments. Not all borrowers need to have reserves. You may need to prove reserves if you have a lower credit score or are taking out a jumbo mortgage, for example. What are mortgage reserves? Reserves for a mortgage refer to cash or any other assets you could easily access to…
(Check out Carter’s worthcharting.com for actionable recommendations and live nightly videos.) A simple, short-term “pair trade” for your consideration: Buy PepsiCo (PEP) … Sell Coca-Cola (KO) . Three relative performance charts are below. Pepsi’s relative performance to Coke (underperformance) is at the most extreme (most pessimistic) as at any time in history. Our thinking here: play for a countertrend move, play for short-term mean reversion. 10-year ratio chart: PEP/KO Further below the 150-day moving average than at any time in the past 10 years. Play for a countertrend move, here and now… our thinking. 20-year ratio chart: PEP/KO Further below the…
The U.S. labor market stayed the course in April, beating expectations with a total of 177,000 nonfarm jobs added, the U.S. Bureau of Labor Statistics reported Friday. Economists polled by the data firm FactSet had been predicting 135,000 seasonally adjusted nonfarm payroll additions in April. The unemployment rate held steady at 4.2%, in line with consensus predictions. Sam Williamson, senior economist at First American Financial Corp., said in a statement that the back-to-back strong jobs reports in March and April likely means that the Federal Reserve will hold interest rates steady at its monetary policy meeting next week. “The labor…
The remodeling market appears poised for future growth, according to the National Association of Home Builders (NAHB). The association highlights recent data from the American Community Survey, which shows that nearly half of the owner-occupied homes in the U.S. were built before 1980 and have a median age of 41 years, up from 31 years in 2005. This aging housing stock, combined with a limited number of new homes on the market, indicates that a remodeling boom could be approaching. NAHB estimates that from 2020 to 2023, new construction added nearly 2.6 million owner-occupied homes, accounting for 3% of total…
Key takeaways When you owe more on your mortgage than your house is worth, your mortgage is “underwater,” or in a state of negative equity. Being underwater on your mortgage can make it more difficult to sell the home or refinance. If you have an underwater mortgage, your options include staying put and waiting for the home to appreciate, trying to get a new loan or requesting a short sale. What is an underwater mortgage? “Being underwater or upside-down on a home, car or any other asset means that you owe more than the current value,” says Greg McBride, chief…
Although the tech sector felt like it was in a freefall in April, it apparently was simply on a bungee cord as we have now seen the Nasdaq 100 ETF (QQQ) snap back more than 20% since the volatile April 7 lows. I want to use options to have the ability to capture even more upside as bullish momentum is driving the bears back into their caves. The S & P 500 is trying to string together a nine-day streak of gains, historic in itself. Front month Nasdaq Futures (June contract) reclaimed 20,000 this morning after nearly dipping under 16,000…
Solid first-quarter results were just the catalyst that analysts on Wall Street needed to continue singing the praises of Monolithic Power Systems — a key Nvidia partner. Monolithic reported earnings per share of $4.04 on revenue of $637.6 million in the first quarter, while analysts polled by FactSet were looking for $4.01 per share and $634.2 million. The Kirkland, Washington-based maker of integrated circuits issued a better-than-expected second-quarter outlook, forecasting revenue in the range of $640 million to $660 million. Analysts’ consensus estimates had called for revenue of $635.6 million in the current quarter. The company specializes in power solutions…
Key takeaways A reverse mortgage allows homeowners who are 55 and older to tap their home’s equity for tax-free payments. The loan comes due when you no longer live in the home, either because you move or pass away. To qualify, you must own or have nearly paid off your home, live in the home as your primary residence, and continue to pay property taxes, insurance premiums and other upkeep costs. What is a reverse mortgage? A reverse mortgage is a type of loan that pays off the current mortgage of homeowners ages 55 and older and then allows them…