The city of San Juan Capistrano, California is a unique community grounded in a history of Native American culture, the Mission established by Franciscan missionaries in 1776, and an agrarian past. San Juan Capistrano has grown from a small community of approximately 10,000 residents in 1974 to a developed city of 36,073 in 2006. It has a variety of land types, including wide, open spaces, recreation, housing, businesses, shopping and services. San Juan Capistrano prides itself on effectively maintaining its open-space character by acquiring land to preserve its defining ridgelines, hillsides, and trails. Nearly 40% of the City is in open space or park land.
Mortgages
One of the only ways to be able to afford a nice home is by having a mortgage. Mortgages are loans that are for property or houses, which have to be repaid over a specified period of time. Basically, it is the bank’s way of guaranteeing that they will be repaid for the money that they give you to purchase your home. There are a variety of different types of mortgages, each with its own advantages and disadvantages. It is essential that you research the various types of mortgages before you choose a specific one.
One type of a mortgage is a balloon mortgage. Balloon mortgages have monthly mortgage payments based on a 30-year schedule and have a choice at the end of the 5 or 7-year term to either pay off the remaining balance or to reset the mortgage. This gives you the advantage of a low monthly payment, like someone with a 30-year loan, but the loan must be paid off at the end of a specific term.
Some things to think about with balloon mortgages are:
Balloon mortgages are generally not chosen by first-time homebuyers, for the simple fact that the majority of first-time homebuyers do not have the available funds to be able to pay off a large mortgage at the end of 5 or 7 years.
Refinancing
If you have a mortgage and are not happy with its terms, you may be eligible for refinancing. Refinancing your mortgage is similar to what occurs at the end of a balloon mortgage. With refinancing, your existing mortgage is paid off and a new mortgage is issued. Refinancing is a great way to be able to change your mortgage from a fixed rate or an adjustable rate mortgage and is also the only way you can lower your monthly payment. Be sure, though, that if you choose to refinance, you know exactly why you want to refinance. Refinancing without a clear goal can cause a lot of problems and consequences.
Home equity loans
A home equity loan is a way to get money out of the investment of your home. Home equity loans are sometimes called second mortgages, because, similar to a mortgage, a home equity loan uses your home as collateral against the borrowed money. Home equity loans are often used to help pay off large bills or renovate homes.
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