WEBVTT - Friday Flight - Mortgage Rates at All Time Lows and Back to School Spending #231 0:00:00.120 --> 0:00:02.640 Welcome to How the Money. I'm Joel and I and 0:00:02.800 --> 0:00:05.440 Matt and today we're discussing mortgage rates at all time 0:00:05.480 --> 0:00:27.200 lows and back to school spending. Yeah, Joel, not only 0:00:27.240 --> 0:00:29.680 are we gonna talk about how mortgage rates uh interest 0:00:29.760 --> 0:00:32.199 rates that they are at all time lows, but we're 0:00:32.200 --> 0:00:34.360 also going to discuss what to do if you can't 0:00:34.479 --> 0:00:37.240 pay your rent, So if you don't own a place, 0:00:37.680 --> 0:00:39.159 or if you're not looking to own a place, what 0:00:39.280 --> 0:00:41.960 to do if you are in a renting situation. Yeah, 0:00:42.000 --> 0:00:43.559 and back to school spending. By the way, I use 0:00:43.600 --> 0:00:46.040 that term loosely because I realize a lot of people 0:00:46.040 --> 0:00:48.960 aren't actually physically going back to school, but there's still 0:00:49.000 --> 0:00:51.320 money to be spent, right and there's still things that 0:00:51.360 --> 0:00:54.280 people need, and in a particular electronics right now for 0:00:54.440 --> 0:00:56.360 a lot of their kids who are doing schooling from home, 0:00:56.440 --> 0:00:59.279 there are deals to be found. Man, speak of electronics 0:00:59.320 --> 0:01:02.280 real quick, Are you still rocking your your bone conduction 0:01:03.240 --> 0:01:06.280 wireless headphones? I sure am, Yeah, where like the sound 0:01:06.360 --> 0:01:09.280 vibrates through your your skull bones? Yeah? I really like 0:01:09.400 --> 0:01:12.399 my They are the Aftershocks brand. I guess there are 0:01:12.440 --> 0:01:14.720 probably a couple of different brands, but they're by far 0:01:14.920 --> 0:01:17.760 the most well known and and yeah, I really really 0:01:17.800 --> 0:01:19.920 like them. I have a pair of over the ear 0:01:19.959 --> 0:01:22.600 headphones too that I that I use sometimes, but if 0:01:22.600 --> 0:01:25.640 you're serious listening, I don't want any noises. It just 0:01:25.720 --> 0:01:27.720 kind of depends on what I'm doing, especially if I'm 0:01:27.800 --> 0:01:29.760 riding the bike and I want to listen to something 0:01:29.800 --> 0:01:32.040 like on my bike commute. I love the bone conduction 0:01:32.040 --> 0:01:34.880 headphones for that because you can also hear what's going 0:01:34.880 --> 0:01:37.920 on around you when it comes to pedestrian or carnaways. Yeah, 0:01:37.920 --> 0:01:40.200 it's like having multiple inputs for your for your brain 0:01:41.080 --> 0:01:43.000 in those situations. I just pulled one of my earbuds 0:01:43.000 --> 0:01:46.040 and so I just got there. You go. Both work well. 0:01:46.040 --> 0:01:48.040 The reason I asked is I just got some super 0:01:48.120 --> 0:01:51.680 cheap oh Amazon Lightning Deal earbuds. I've been rocking like 0:01:51.720 --> 0:01:53.720 these old school ones, the kind that like sits over 0:01:53.760 --> 0:01:55.800 your neck and then like the wires come out of 0:01:55.840 --> 0:01:58.080 that thing and then it like loops up and plugs 0:01:58.080 --> 0:02:00.200 into your ears. They still work, but I am not 0:02:00.280 --> 0:02:02.080 able to run with those because the thing kind of 0:02:02.080 --> 0:02:03.960 bounces around on my neck and that your buddsend up 0:02:04.000 --> 0:02:06.200 like popping out of my ear and plus as well. 0:02:06.240 --> 0:02:08.560 I've caught them on my thumbs before, like on my hands, 0:02:08.639 --> 0:02:10.400 and when they're kind of plugged in your ear and 0:02:10.400 --> 0:02:13.840 then you remove them quickly, it is not comfortable and 0:02:13.880 --> 0:02:16.000 it kind of hurts, and actually I think messed up 0:02:16.000 --> 0:02:18.000 you're hearing. Anyway. I wanted to mention that though, because 0:02:18.000 --> 0:02:19.680 I was thinking about it, and this is an instance 0:02:19.720 --> 0:02:21.680 where I was afraid I was gonna go cheap. But 0:02:21.720 --> 0:02:24.120 I feel like when it comes to certain electronics like this, 0:02:24.440 --> 0:02:26.760 it's okay to go a little bit cheaper. Maybe just 0:02:26.840 --> 0:02:31.600 look for the best deal because man, technology becomes obsolete quick, 0:02:32.080 --> 0:02:35.120 especially in like consumer electronics like this, and so in 0:02:35.120 --> 0:02:37.360 this specific instance, I feel this might be an example 0:02:37.440 --> 0:02:39.680 of where it makes sense maybe to go cheap instead 0:02:39.680 --> 0:02:41.680 of going with something higher end. But yeah, what are 0:02:41.720 --> 0:02:43.839 your thoughts? Are you calling me higher end? Is it? Well? Yeah, 0:02:43.840 --> 0:02:45.760 I mean when it comes to sounds like you've got 0:02:45.800 --> 0:02:48.840 a specific brand, you know, after shocks. I don't know 0:02:48.840 --> 0:02:51.160 what those are. It sounds like a type of shot 0:02:51.160 --> 0:02:54.360 guns over in a nice tennishoe When now I just 0:02:54.400 --> 0:02:56.400 heard from people, a few people that are working with 0:02:56.480 --> 0:02:58.519 that that had after shocks and they were like, they're 0:02:58.520 --> 0:03:01.040 really great. They really like having the bone conduction instead 0:03:01.080 --> 0:03:03.440 of just you know, having earbuds that go in your ear. 0:03:03.480 --> 0:03:07.040 And I've always found them uncomfortable anyway, putting earbuds straight in. Yeah, 0:03:07.080 --> 0:03:09.560 oh no, I love those. Ye I hate it, okay, Yeah, 0:03:09.600 --> 0:03:11.760 I feel I feel uncomfortable. So that's why I'm using 0:03:11.800 --> 0:03:13.239 the ones that are either over the year or the 0:03:13.240 --> 0:03:16.480 bone conduction, because I don't like anything in my ear. Yeah, 0:03:16.480 --> 0:03:17.880 I like it just plugged in there to where I 0:03:17.880 --> 0:03:19.800 can't hear anything else, like, because I like to use 0:03:19.840 --> 0:03:22.359 them as kind of like noise cancelation as well. But 0:03:22.560 --> 0:03:24.560 that being said, these don't have noise cancelation. These are 0:03:24.560 --> 0:03:27.480 super cheap thirty bucks literally And that's another thing too, 0:03:27.560 --> 0:03:29.880 is like they're really small and I'm afraid you might 0:03:29.919 --> 0:03:31.880 end up losing them, you know, like Apple makes their 0:03:31.919 --> 0:03:35.320 fancy air pod pros or whatever, um, and you're gonna 0:03:35.320 --> 0:03:37.480 spend tune with thirty bucks on a pair of those. 0:03:37.520 --> 0:03:39.680 I don't know how this don't fall out people's ears. 0:03:39.720 --> 0:03:41.720 I think they have like little inserts in them where 0:03:41.720 --> 0:03:43.200 they kind of like plug in. They don't just like 0:03:43.280 --> 0:03:45.400 rests on the little bowl of your ear. I know, 0:03:45.480 --> 0:03:47.760 I know that but still I was like running or 0:03:47.760 --> 0:03:49.680 something like that. Well, that's the thing. Either way, I'm like, 0:03:49.680 --> 0:03:51.600 I'm not willing to spend that much money on something 0:03:51.600 --> 0:03:54.520 that is that small that a might be obsolete and 0:03:54.520 --> 0:03:56.480 and be like that I might end up losing and 0:03:56.640 --> 0:03:58.400 the quality isn't bad. That's the other thing. I'm not 0:03:58.400 --> 0:04:00.920 willing to spend like eight times more are just on 0:04:00.960 --> 0:04:03.320 something like is it actually eight times better to go 0:04:03.360 --> 0:04:05.320 with the Apple product, even though I'm all about Apple 0:04:05.360 --> 0:04:07.520 products like in this case, No, I'm want to keep 0:04:07.600 --> 0:04:10.120 rocking those l cheap pos unless they break, and then 0:04:10.160 --> 0:04:11.960 I'll let you know, because that's what I've gone, cheap 0:04:12.000 --> 0:04:14.760 and bit being the butts. Yeah, when when it came 0:04:14.800 --> 0:04:16.800 to getting the aftershocks, I just waited on a sale 0:04:16.800 --> 0:04:18.840 because I knew that at some point i'd be able 0:04:18.839 --> 0:04:21.800 to get them forty fifty bucks off and and finally 0:04:21.800 --> 0:04:23.440 it happened, and so I bought them. I was in 0:04:23.440 --> 0:04:26.000 no hurry, in no rush, And sometimes that's how you 0:04:26.040 --> 0:04:28.360 score the best deal on something that you actually really want, 0:04:28.640 --> 0:04:31.520 just waiting around for the price to drop. All right, Matt, 0:04:31.560 --> 0:04:33.080 let's get on to the Friday flight. Let's talk about 0:04:33.279 --> 0:04:36.120 some of the stories that we found interesting this week, 0:04:36.440 --> 0:04:38.200 and we'll get to back to school spending in just 0:04:38.240 --> 0:04:40.520 a second, but before that, I wanted to mention something 0:04:40.560 --> 0:04:42.679 that I know you're going to be excited about. While 0:04:42.760 --> 0:04:45.720 a lot of businesses and retailers are having a tough 0:04:45.760 --> 0:04:50.000 time and some have announced locations closing, all the one 0:04:50.040 --> 0:04:54.240 of your faces is thriving love all right. So I 0:04:54.279 --> 0:04:57.280 just saw a story that seventy all these are set 0:04:57.320 --> 0:04:59.839 to open in the United States this year, all these 0:04:59.839 --> 0:05:02.160 and thirty seven states right now, and pretty soon they're 0:05:02.200 --> 0:05:04.200 going to add another one. They're gonna be in Arizona, 0:05:04.200 --> 0:05:05.640 and they're just gonna be opening up more stores in 0:05:05.720 --> 0:05:07.479 states that they are already in as well. But for 0:05:07.560 --> 0:05:09.400 all of our how to money listeners out in Arizona, 0:05:09.800 --> 0:05:12.320 you're pretty soon gonna be able to shop at the cheapest, 0:05:12.400 --> 0:05:14.599 best grocery store around. Yeah. What I'm afraid of is 0:05:14.680 --> 0:05:16.320 that these all these are going to get too big, 0:05:16.360 --> 0:05:18.280 because I've been into some of the newer ones and 0:05:18.400 --> 0:05:20.560 they are bigger than the one that is closest to 0:05:20.560 --> 0:05:23.000 where we live. And that's one of the benefits is 0:05:23.080 --> 0:05:24.440 that they're so small you can kind of get in 0:05:24.480 --> 0:05:25.920 and out of there. Yeah, I feel like if you, 0:05:25.960 --> 0:05:28.120 if you normally shop at like Kroger or safe Way, 0:05:28.440 --> 0:05:30.400 give all these shot because you'll definitely will be able 0:05:30.440 --> 0:05:32.800 to save some money. In another quick tip, if you've 0:05:32.800 --> 0:05:34.200 never been to an Aldy, make sure you show up 0:05:34.200 --> 0:05:37.160 with your own shopping bag, because they charge you for 0:05:37.360 --> 0:05:38.960 shopping bags there, and that's one of the ways that 0:05:38.960 --> 0:05:41.920 you're able to save money. We use the giant blue 0:05:41.920 --> 0:05:44.680 Ikea bag because you can fit so many groceries in there. 0:05:44.760 --> 0:05:47.760 Nice nice. Yeah, well and actually too, even if you 0:05:47.880 --> 0:05:50.200 don't decide to shop at all the but already shows 0:05:50.279 --> 0:05:52.800 up in your neighborhood, by default, the prices go down 0:05:52.839 --> 0:05:54.720 at the place that you're shopping because of the increased 0:05:54.760 --> 0:05:57.440 levels of competition. So yeah, more all these all around 0:05:57.720 --> 0:05:59.880 is just better for everybody, even if you don't shop 0:05:59.880 --> 0:06:02.040 at Yeah man, makes sense. All right, let's talk about 0:06:02.040 --> 0:06:04.960 some of that back to school spending. Schools almost back 0:06:05.200 --> 0:06:07.400 well sort of right, Like your kid may not even 0:06:07.560 --> 0:06:10.000 need a new backpack because they may not be going 0:06:10.120 --> 0:06:12.760 in person. You know, zoom calls might be what your 0:06:12.760 --> 0:06:14.719 school life looks like for the next few months. But 0:06:14.800 --> 0:06:18.479 the average expected school expenses per family is up this year, 0:06:18.520 --> 0:06:20.640 you know, which I think is in large part due 0:06:20.640 --> 0:06:23.720 to needing to purchase another computer just like you mentioned, Joel. 0:06:23.960 --> 0:06:26.400 But we want to remind folks UH that even if 0:06:26.400 --> 0:06:29.000 you don't feel that you have, you know, the technology, 0:06:29.040 --> 0:06:31.360 the tools to do online school well currently, you don't 0:06:31.400 --> 0:06:35.440 necessarily need to buy a super expensive computer. We'd recommend 0:06:35.480 --> 0:06:37.760 for folks to look at some deal sites like deal 0:06:37.800 --> 0:06:41.039 news or slip deals where you can shop for tech 0:06:41.200 --> 0:06:44.800 bargains ahead of the start of school. And also too, 0:06:44.839 --> 0:06:47.040 don't be afraid if you are looking even to buy 0:06:47.200 --> 0:06:50.320 an Apple product, don't be afraid to buy the refurbished 0:06:50.360 --> 0:06:54.520 items on Apple's website directly. Every single Apple UH desktop 0:06:54.560 --> 0:06:57.560 computer and laptop device that we've ever purchased, Joel Uh. 0:06:57.800 --> 0:07:00.560 Literally ever we have purchased ref Back in the day, 0:07:00.600 --> 0:07:02.640 they used to call it refreshed, but now I saw 0:07:02.680 --> 0:07:04.240 that they just like owned up to it and they're like, 0:07:04.279 --> 0:07:07.080 it's just referb But they've always served us well, and 0:07:07.080 --> 0:07:09.400 we've always been able to save anywhere between like ten 0:07:09.560 --> 0:07:13.640 even upwards, depending on the item that you get. Nice. Yeah, 0:07:13.640 --> 0:07:16.200 and then we actually just spent ninety bucks on some 0:07:16.280 --> 0:07:18.920 power line adapters so that we can have stronger internet 0:07:18.960 --> 0:07:20.840 in the back of our house where we're planning on 0:07:20.880 --> 0:07:23.680 setting up the schooling area. So it's kind of part 0:07:23.720 --> 0:07:27.440 of our additional costs of of school this year, but 0:07:27.480 --> 0:07:30.080 it should make a big difference in reducing the stress 0:07:30.160 --> 0:07:32.080 level that we face as we're trying to kind of 0:07:32.120 --> 0:07:34.840 help our kids succeed in online schooling. And of course, 0:07:34.880 --> 0:07:37.360 like all of our roles as parents, if we have 0:07:37.440 --> 0:07:39.800 kids going to school, it's just ramped up in a 0:07:39.800 --> 0:07:42.080 big way because most of us are helping out with 0:07:42.120 --> 0:07:44.720 the learning and helping out with getting our kids into 0:07:44.760 --> 0:07:46.600 zoom calls and all that kind of stuff a whole 0:07:46.600 --> 0:07:48.800 lot more than we typically would be if they're just 0:07:48.840 --> 0:07:51.400 gone at school. Right. Uh, we've got those unpaid teacher 0:07:51.400 --> 0:07:55.080 assistant positions now, yeah, exactly. So, Yeah, I understand why 0:07:55.160 --> 0:07:58.239 why spending overall for is is up, and that's because 0:07:58.280 --> 0:08:00.280 people need things that they don't typically need in the 0:08:00.320 --> 0:08:02.320 school year. But there are other things I think you 0:08:02.360 --> 0:08:05.480 can forego, like a new backpack because who needs it. Yeah. Well, 0:08:05.480 --> 0:08:07.360 and Jul you know you mentioned that powerline adapter that 0:08:07.440 --> 0:08:10.480 essentially turns your homes electrical system into like a you know, 0:08:10.680 --> 0:08:13.880 working ethernet cable because you plug in the little adapter 0:08:13.920 --> 0:08:16.200 into the wall and it boosts the signal. That's a 0:08:16.240 --> 0:08:18.560 great solution. Something else that we've done is we we 0:08:18.600 --> 0:08:21.360 took an old wireless router and hard wired it to 0:08:21.480 --> 0:08:23.240 our new one, and using that we rant it to 0:08:23.280 --> 0:08:25.280 the other end of our house and we're able to 0:08:25.320 --> 0:08:28.360 turn that wireless router and so basically just another Internet 0:08:28.360 --> 0:08:31.360 access point, and so it blankets the home in solid 0:08:31.360 --> 0:08:33.240 internet coverage. And so if you have like a long, 0:08:33.280 --> 0:08:35.840 skinny house sort of like we do, it allows you 0:08:35.880 --> 0:08:38.200 to not just have internet in the back of the house, 0:08:38.240 --> 0:08:40.560 but also in the front where the offices and the 0:08:40.559 --> 0:08:42.880 girls need to be on the internet. Yeah, during those 0:08:42.960 --> 0:08:45.360 zoom calls for sure. Yeah, and the mesh router WiFi 0:08:45.440 --> 0:08:47.600 mesh routers are kind of all the all the rages 0:08:47.640 --> 0:08:50.240 these days. But those costs like three times as much 0:08:50.320 --> 0:08:53.079 as what we just got. I think it's gonna work better. Um, 0:08:53.120 --> 0:08:54.880 And yeah, you can do it even cheaper if you've 0:08:54.880 --> 0:08:57.360 gotten an older router lying around. Most people do because 0:08:57.400 --> 0:08:59.080 like what are you gonna do with those? You know, Like, 0:08:59.200 --> 0:09:00.400 I feel like a lot of time they're just like 0:09:00.400 --> 0:09:03.000 sitting in closets and they're in that same box that 0:09:03.040 --> 0:09:04.760 you have a bunch of old Ethernet cables, you know, 0:09:05.040 --> 0:09:07.240 and all my old cell phones that I forgot to sell. 0:09:07.400 --> 0:09:10.520 So yeah, uh, Matt, let's talk about tax refunds to 0:09:10.840 --> 0:09:12.560 everyone out there who's filed their tax return but they 0:09:12.600 --> 0:09:15.080 did it more recently and you haven't received your tax 0:09:15.080 --> 0:09:18.040 refund yet, Well, it just heads up. It could take 0:09:18.040 --> 0:09:20.480 a while before that refund gets to you. Last week 0:09:20.559 --> 0:09:22.880 was tax Day delayed by three months, of course, and 0:09:22.920 --> 0:09:25.319 then with COVID shutting down some I r S offices 0:09:25.600 --> 0:09:28.160 and stimulus checks taking up a lot of resources, tax 0:09:28.200 --> 0:09:29.840 refunds are going to be slow to get to people 0:09:29.880 --> 0:09:32.920 this year. So in particular, if you are old school 0:09:32.920 --> 0:09:35.760 and sending in a paper return, you'll be waiting even longer. 0:09:36.320 --> 0:09:38.920 You can check the status of your refund online. Will 0:09:38.960 --> 0:09:40.880 put a link to the I r S website where 0:09:40.920 --> 0:09:42.760 you can do that in the show notes. But the 0:09:42.840 --> 0:09:46.720 great thing is that if your if your refund is delayed, 0:09:46.760 --> 0:09:48.040 the I R S is going to be paying you 0:09:48.120 --> 0:09:50.839 interest on those refunds that they weren't able to get 0:09:50.880 --> 0:09:53.880 out in a timely manner. Yeah, so it might be 0:09:53.880 --> 0:09:56.599 a bummer, and especially right now where so many Americans 0:09:56.600 --> 0:09:59.880 have a reduced income, that tax refund is something that 0:10:00.280 --> 0:10:03.080 they're in all likelihood wanting quickly, and the stakes are 0:10:03.080 --> 0:10:04.760 going to be delayed. But at least, yeah, there's that 0:10:04.800 --> 0:10:07.280 silver lining that you might get paid some additional interest 0:10:07.400 --> 0:10:09.440 on that refund money. Yeah, and actually saw that the 0:10:09.480 --> 0:10:12.080 interests that they're paying is actually pretty great. Uh, they're 0:10:12.080 --> 0:10:15.640 paying five percent for April through June, and then starting 0:10:15.640 --> 0:10:17.640 in July they're only paying three percent, but still three 0:10:17.640 --> 0:10:20.800 percent is huge compared to what the online high interest 0:10:20.800 --> 0:10:23.319 Savings accounts what they're offering. And so it's actually not 0:10:23.440 --> 0:10:25.480 a terrible thing that that money's sitting there with the 0:10:25.480 --> 0:10:27.560 I R S and JO. Speaking of taxes, let's talk 0:10:27.600 --> 0:10:31.400 about property taxes. Some local cities and towns are offering 0:10:31.400 --> 0:10:35.400 extensions to pay property taxes, and even some states like Idaho, 0:10:35.440 --> 0:10:38.600 they have set up property tax relief funds to provide 0:10:38.640 --> 0:10:41.440 aid to those who can't currently afford to pay. And 0:10:41.480 --> 0:10:43.640 so if you're having trouble, you know, paying that property 0:10:43.760 --> 0:10:47.320 tax bill, be sure to contact your local tax assessor's office. 0:10:47.760 --> 0:10:49.880 The same thing is true with homeowners insurance. A lot 0:10:49.880 --> 0:10:52.480 of providers aren't necessarily advertising that this is something that 0:10:52.480 --> 0:10:55.160 they're doing. But reach out to both your tax office 0:10:55.240 --> 0:10:57.520 and your insurance company and see if that's something that 0:10:57.559 --> 0:10:59.840 you can negotiate, because there might be some relief there 0:11:00.000 --> 0:11:02.040 for you. Yeah, Matt, we've tried to cover on the 0:11:02.080 --> 0:11:05.800 show everything that you can do to postpone payments on 0:11:05.920 --> 0:11:10.120 your mortgage, on property taxes now, and on your car loan. 0:11:10.280 --> 0:11:12.240 I mean, there are just so many ways that you 0:11:12.320 --> 0:11:14.640 can get relief because of COVID, And if you think 0:11:14.640 --> 0:11:16.640 your job is at risk or you have lost your job, 0:11:16.640 --> 0:11:18.640 it's important to take advantage of as many of these 0:11:18.640 --> 0:11:20.640 things as you can because that's going to keep your 0:11:20.679 --> 0:11:23.480 emergency fund intact. That's gonna allow you to continue to 0:11:23.559 --> 0:11:26.560 buy groceries and keep the lights on, that kind of stuff. So, yeah, 0:11:26.559 --> 0:11:28.720 everything that Man and I hear about, we're gonna relay 0:11:28.760 --> 0:11:30.560 it on the show because we want you to be 0:11:30.640 --> 0:11:33.640 okay financially, and so much of that means taking advantage 0:11:33.679 --> 0:11:35.760 of what's being offered. And Matt, on that note, let's 0:11:35.760 --> 0:11:37.880 talk about getting out of a lease. It looks like 0:11:37.920 --> 0:11:40.360 the new stimulus bill it's probably not gonna be passed 0:11:40.440 --> 0:11:43.240 until sometime in August. That remains to be seen, but 0:11:43.280 --> 0:11:45.679 a lot of people could use a direct payment right 0:11:45.679 --> 0:11:47.560 now to help out with things like rent, and the 0:11:47.640 --> 0:11:51.400 numbers reflected that almost twenty million Americans are at risk 0:11:51.440 --> 0:11:54.760 of eviction before the end of September. That's pretty awful, right, 0:11:54.760 --> 0:11:57.840 But some states are offering a moratorium on evictions, which 0:11:57.880 --> 0:12:01.520 of course helps the most vulnerable among in so many locations, 0:12:01.720 --> 0:12:04.360 but other states have not extended that deadline. So depending 0:12:04.360 --> 0:12:06.440 on where you live, your landlord might not be able 0:12:06.520 --> 0:12:08.160 to evict you, and then in other states if you 0:12:08.200 --> 0:12:10.280 just don't have that protection. So it's important to know 0:12:10.320 --> 0:12:13.440 your rights. It's important to see exactly what your states 0:12:13.520 --> 0:12:16.960 government has said about eviction proceedings and whether or not 0:12:17.000 --> 0:12:20.719 your landlord can begin the eviction process. If you're having 0:12:20.760 --> 0:12:22.679 a hard time paying your rent right now, yeah, if 0:12:22.679 --> 0:12:24.559 that's the situation that you are in, it is certainly 0:12:24.600 --> 0:12:26.520 good to know what the laws are in your states. 0:12:26.640 --> 0:12:29.679 But then beyond that, next we would recommend for you 0:12:29.720 --> 0:12:33.000 to have a frank conversation with your landlord. Uh. You know, 0:12:33.000 --> 0:12:36.080 when tenants don't respond to the ghost or landlord, chances 0:12:36.120 --> 0:12:38.920 of working things out in a mutually beneficial way like 0:12:38.960 --> 0:12:42.400 that massively decreases. But if you have been communicating and 0:12:42.440 --> 0:12:44.480 you've been a good tenant, the chances are that they 0:12:44.480 --> 0:12:46.720 will do their best to work with you through this 0:12:46.760 --> 0:12:49.640 difficult time. If you're doing your best there, you never know, 0:12:49.720 --> 0:12:51.640 you might even be able to ask for for new 0:12:51.760 --> 0:12:54.120 terms even Yeah, Matt, I don't know what you've seen 0:12:54.480 --> 0:12:56.959 with your tenants, you know. I tried to communicate early 0:12:57.000 --> 0:13:00.440 and often with mine throughout the pandemic as things are 0:13:00.440 --> 0:13:03.040 getting crazy and people were losing their jobs or or 0:13:03.200 --> 0:13:05.920 having unstable income. And one of my tenants was about 0:13:05.920 --> 0:13:08.600 and sign a new lease and she just felt uncomfortable 0:13:08.800 --> 0:13:11.160 going into another year long lease, and I totally understood, 0:13:11.360 --> 0:13:12.679 but she's been a great tenant and I want to 0:13:12.760 --> 0:13:15.080 keep her around. So we're we've gone month to month, 0:13:15.280 --> 0:13:18.160 and we were able to work out a reduced rent 0:13:18.200 --> 0:13:20.679 amount too, And also we just decided to do away 0:13:20.679 --> 0:13:22.559 with late fees for the time being, because sometimes you 0:13:22.559 --> 0:13:24.920 can't pay rent until the tenth or eleventh of the month. 0:13:25.200 --> 0:13:28.120 And that's okay for me right now, because things are crazy, 0:13:28.280 --> 0:13:30.320 right and so we all just have to do our best. 0:13:30.600 --> 0:13:33.800 But landlords and tenants should be working together to find 0:13:33.880 --> 0:13:38.120 terms that work for everybody moving forward. Yeah, that's totally true. Man. However, 0:13:38.200 --> 0:13:39.880 you know, if you do find yourself in a position 0:13:39.960 --> 0:13:41.960 where you can't afford the rent, or you know you 0:13:42.000 --> 0:13:44.280 need to move somewhere else that's maybe a little more affordable, 0:13:44.760 --> 0:13:46.920 you can also give a thirty day notice that you 0:13:47.000 --> 0:13:49.760 are leaving and offer to help your landlord find another 0:13:49.800 --> 0:13:53.400 suitable tenant. You might receive threats that you'll owe rent 0:13:53.440 --> 0:13:55.800 for the entirety of the lease that you originally signed 0:13:55.840 --> 0:13:58.760 and agreed to, but most states require that the landlord 0:13:58.960 --> 0:14:01.800 worked to fund a new and mitigate that damage. And 0:14:01.800 --> 0:14:04.360 so again, this is another situation where it is helpful 0:14:04.400 --> 0:14:07.120 to know what your specific states laws are, but know 0:14:07.320 --> 0:14:10.160 that this is a common rule in most states. Yeah, Matt, 0:14:10.200 --> 0:14:12.959 you said mitigate the damages, and what that means is 0:14:13.240 --> 0:14:15.720 that the landlord is required to try to find a 0:14:15.760 --> 0:14:18.760 new tenant to take over your lease and to get 0:14:18.800 --> 0:14:21.080 somebody else living in the house as quickly as possible. 0:14:21.320 --> 0:14:23.720 Like you said, right, there's a lot that an individual 0:14:23.720 --> 0:14:26.480 tenant can do to help that process along by listing 0:14:26.520 --> 0:14:29.000 the property and trying to help the landlord find somebody 0:14:29.040 --> 0:14:31.840 to fill the shoes that you were in. But it's 0:14:31.840 --> 0:14:34.760 so important for tenants to know that while you could 0:14:34.760 --> 0:14:36.360 be on the hook for the rest of the least 0:14:36.400 --> 0:14:38.600 if your landlord isn't able to find somebody to take over, 0:14:38.800 --> 0:14:40.920 if there is decent demand in your area, this might 0:14:40.960 --> 0:14:43.200 just be the best move that you have is turning 0:14:43.200 --> 0:14:46.240 in that thirty day notice and leaving the property and 0:14:46.280 --> 0:14:48.720 helping the landlord find somebody else to take over. If 0:14:48.760 --> 0:14:50.480 you have to move in with friends or family in 0:14:50.600 --> 0:14:52.680 order to lower your housing costs in a massive way, 0:14:52.960 --> 0:14:54.360 this is kind of a gamble, but it might be 0:14:54.400 --> 0:14:57.040 the best thing that you can do for yourself, yeah, man. 0:14:57.200 --> 0:15:00.320 And also the National Low Income Housing a Lot Alliance. 0:15:00.840 --> 0:15:03.240 They have a list of resources state by state that 0:15:03.280 --> 0:15:06.680 you can turn to four rental assistance if you're struggling 0:15:06.760 --> 0:15:08.640 right now, and we'll make sure to link to that 0:15:08.760 --> 0:15:11.000 in our show notes. And on the housing note, let's 0:15:11.000 --> 0:15:14.000 talk about mortgage rates and some of the nuances you 0:15:14.000 --> 0:15:17.080 need to consider if you are considering refinancing a mortgage, 0:15:17.280 --> 0:15:18.840 if that's on the table for you, and we'll get 0:15:18.880 --> 0:15:30.680 to that right after the break. All right, we're back 0:15:30.720 --> 0:15:33.160 from the break, Matt. We were just talking about preventing 0:15:33.320 --> 0:15:35.840 eviction and let's talk about like the flip side of 0:15:35.880 --> 0:15:37.840 housing for people who own a home or are looking 0:15:37.840 --> 0:15:40.480 to buy a home soon. Mortgage rates kind of just 0:15:40.560 --> 0:15:43.000 hit a magical level where you can get a mortgage 0:15:43.080 --> 0:15:46.600 right below three, which is just incredible. Yeah, it's been 0:15:46.600 --> 0:15:48.480 a long time since we've had rates that lad. I 0:15:48.480 --> 0:15:50.280 think it's been like fifty years since we've dipped under 0:15:50.320 --> 0:15:52.720 the threes. Yeah, pretty nut to think you can borrow 0:15:52.760 --> 0:15:55.440 money at two point seven five percent or two point 0:15:55.480 --> 0:15:58.480 eight seven five percent for thirty years, right, And there 0:15:58.480 --> 0:16:01.120 are a lot of people who would be well served 0:16:01.160 --> 0:16:03.560 by refinancing right now with a bank, credit union, or 0:16:03.600 --> 0:16:06.200 an online lender. It's so important, though, to think about 0:16:06.240 --> 0:16:09.280 your specific situation. I had a friend recently reach out. 0:16:09.480 --> 0:16:12.280 She's gonna sell her home in probably less than a year, 0:16:12.360 --> 0:16:15.240 and she's thinking about refinancing, And I was like, no, no, no, no, no, 0:16:15.280 --> 0:16:17.600 you probably don't. Not for you, Yeah, because you're gonna 0:16:17.640 --> 0:16:19.880 pay thousands and thousands of dollars in closing costs in 0:16:20.000 --> 0:16:22.240 order to make that happen. So a good question to 0:16:22.280 --> 0:16:24.600 ask yourself is are you planning on being in the 0:16:24.600 --> 0:16:26.720 home for a while to come right, Because it doesn't 0:16:26.760 --> 0:16:28.880 make sense if you're not going to be there typically 0:16:28.920 --> 0:16:31.200 for at least three years, more like five years in 0:16:31.200 --> 0:16:33.320 a lot of cases, depending on what your rate is, 0:16:33.360 --> 0:16:35.640 and depending on what the closing costs are associated with 0:16:35.640 --> 0:16:37.800 that refi because they are all these fees like the 0:16:37.840 --> 0:16:40.800 appraisal title fees and other loan fees like underwriting and 0:16:40.800 --> 0:16:44.680 origination fees. Those can make refinancing cost prohibitive if you're 0:16:44.680 --> 0:16:46.600 not getting a big enough cut and interest rate and 0:16:46.600 --> 0:16:48.520 you're not gonna be able to realize it over a 0:16:48.560 --> 0:16:50.480 long period of time. Yeah, that's true, man, There are 0:16:50.480 --> 0:16:52.920 a lot of costs associated with refinancing. But what about 0:16:53.000 --> 0:16:56.040 no closing costs refinances? Those seem to be getting more 0:16:56.080 --> 0:16:58.160 steam right now. And basically the way those work is 0:16:58.200 --> 0:17:00.600 that instead of paying out of pocket for the and costs, 0:17:00.640 --> 0:17:03.120 which can be anywhere between one and four percent of 0:17:03.120 --> 0:17:06.440 the overall loan amount, those costs get rolled into the 0:17:06.480 --> 0:17:09.760 mortgage balance or you'll you know, possibly end up with 0:17:09.800 --> 0:17:13.120 a higher than market interest rate. And so typically you'll 0:17:13.119 --> 0:17:15.720 get the best overall terms when you opt not to 0:17:15.800 --> 0:17:18.320 go with a no closing cost mortgage refinance. But it 0:17:18.359 --> 0:17:21.200 could make sense in particular if you don't have immediate 0:17:21.200 --> 0:17:23.200 access to the cash and you're wanting to jump on 0:17:23.200 --> 0:17:25.720 those really low rates. But especially you know, in the 0:17:25.760 --> 0:17:28.359 situation until that you mentioned, this would have maybe worked 0:17:28.359 --> 0:17:30.359 for her. You know, if you don't plan to be 0:17:30.400 --> 0:17:32.840