When it comes to saving money on homeowner’s insurance, many options are available:

SHOP AROUND
Friends, family, the phone book and the Internet are some of the sources you can use to find homeowners insurers. Get a wide range of prices from several companies, but don't consider price alone. The insurer you select should offer both a fair price and excellent service.  While quality service may cost a bit more, you buy insurance in case you need to make a claim, therefore, using a company with a good reputation is critical. Talk to a number of insurers to get a feeling for the level of service they provide. Ask them what they would do to lower your costs and check the financial ratings of the companies with AM Best or Standard and Poor's.

RAISE YOUR DEDUCTIBLE
Deductibles are the amount of money you have to pay toward a loss before your insurance company starts to pay. Deductibles on homeowner’s policies typically start at $250. Increasing your deductible, as outlined below, can save you money:

• $   500 -- save up to 12 percent
• $1,000 -- save up to 24 percent
• $2,500 -- save up to 30 percent
• $5,000 -- save up to 37 percent

BUY YOUR HOME AND AUTO POLICIES FROM THE SAME INSURER
Some companies that sell homeowners, auto and liability coverage will take 5 to 15 percent off your premium if you buy two or more policies from them.

WHEN YOU BUY A HOME...
Consider how much insuring it will cost. A new home's electrical, heating and plumbing systems and overall structure are likely to be in better shape than those of an older house. Insurers may offer you a discount of 8 to 15 percent if your house is new. Check the home's construction: In the East brick, is better because of its resistance to wind damage, and in the West, frame is better because of its resistance to earthquake damage. Choosing wisely could cut your premium by 5 to 15 percent. Avoiding areas that are prone to floods can save you about $400 a year for flood insurance--homeowner's insurance does not cover flood-related damage. The closer your house is to firefighters and their equipment, the lower your premium will be.

INSURE YOUR HOUSE, NOT THE LAND
The land under your house isn't at risk from theft, windstorm, fire and the other perils covered in your homeowner’s policy. So don't include its value in deciding how much homeowners insurance to buy. If you do, you'll pay a higher premium than you should.

IMPROVE YOUR HOME SECURITY AND SAFETY.
You can usually get discounts of at least 5 percent for a smoke detector, burglar alarm, or dead-bolt locks. Some companies offer to cut your premium by as much as 15 or 20 percent if you install a sophisticated sprinkler system and a fire and burglar alarm that rings at the police station or other monitoring facility. These systems aren't cheap and not every system qualifies for the discount. Before you buy such a system, find out what kind your insurer recommends, how much the device would cost and how much you'd save on premiums.

STOP SMOKING
Smoking accounts for more than 23,000 residential fires a year. That's why some insurers offer to reduce premiums if all the residents in a house don't smoke.

SEEK OUT DISCOUNTS FOR SENIORS
Retired people stay at home more.  As a result, they spot fires sooner than working people and have more time to spend maintaining their homes. If you're at least 55 years old and retired, you may qualify for a discount of up to 10 percent at some companies.

SEE IF YOU CAN GET GROUP COVERAGE
Alumni and business associations often work out an insurance package with an insurance company that often include a discount for association members. Ask your association's director if an insurer is offering a discount on homeowner's insurance to you and your fellow graduates or colleagues.

STAY WITH AN INSURER…
If you've kept your coverage with a company for several years, you may receive special consideration. Several insurers will reduce their premiums by 5 percent if you stay with them for 3 to 5 years; by 10 percent if you remain a policyholder for 6 years or more.

COMPARE THE LIMITS IN YOUR POLICY TO THE VALUE OF YOUR POSSESSIONS AT LEAST ONCE A YEAR
You want your policy to cover any major purchases or additions to your home. But you don't want to spend money for coverage you don't need.

LOOK FOR PRIVATE INSURANCE FIRST
If you live in a high-risk area, one that is especially vulnerable to coastal storms, fires, or crime, and have been buying your homeowners insurance through a government plan, you should check with an insurance agent or company representative. You may find that there are steps you can take that would allow you to buy insurance at a lower price in the private market.

I hope you can utilize one or more of these tactics to save money on your homeowner’s insurance. Feel free to contact palaceloan.com for more information or to get started on your loan.

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Simply put, an appraisal of real estate assigns a dollar value to your home. The appraiser must define the rights he intends to apprise.

The appraiser does not create value , the appraiser interprets the market to arrive at a value estimate. As the appraiser compiles data pertinent to a report, consideration must be given to the site and amenities as well as the physical condition of the property. An appraiser may spend only a short time inspecting the property, however, this is only the beginning.

Considerable research and collection of general and specific data must be accomplished before the appraiser can arrive at a final opinion of value.

The appraisal is a critical part of the home buying or refinance process.  To get started please fill out an application and palaceloan.com will match you with lenders of your choice.

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Every perspective homebuyer anguishes over the decision to purchase that new home.  It’s natural.  Listed below are the questions that will probably creating your anxiety:

• I’m afraid of the home buying process because I am uneducated about it or haven’t done it recently.
• I have never owned a home and I don’t understand what the total monthly costs will be.
  
• Realtors are like car salesmen.  They will pressure you to purchase.  I don’t trust real estate agents.
  
• I don’t know how to negotiate a fair deal nor can I reasonably determine if the house has major defects.
  
• Will the financing really be approved according to the terms I was originally promised?

  Absolutely every single new homebuyer is emotionally affected when purchasing a new residence.  Just ask your friends or families that are current homeowners what they went when deciding to create a new life for their family.

  At palaceloan.com we believe that an educated consumer is our best client.  You can count on the fact that we will assist you every step of the way.  Contact us now to discuss the steps you will take along the way to becoming a new homeowner.

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