Buenas Yan Hafa Adai Pacific Daily News readers.Did you know that more than 60% of Americans live paycheck to paycheck? And most carry constant credit card debt.Interest rates have risen significantly, and paying this credit card debt off, or down, may be more important than ever to help your financial well-being.It is that time of year when resolutions are made to change habits and start anew.Now is the perfect time to focus and address your finances and investments; your real estate is at the top of the list.Your home is likely the most expensive thing you own. You are affecting your financial health if it is in poor shape and poorly maintained. Try not to allow deferred maintenance to erode your property value.
Ignoring the care of your roof, your yard, or the general upkeep of your home interior can cost you much more if left undone. On Guam, deferred maintenance quickly affects property values.To start, list the things you would like to get done. Next, break the work into practical projects so it doesn't overwhelm you.
Then stick to the plan.Here is a six-month example of how this could work:January: Water blast and seal roof.February: Clean out garage.March: Make any exterior repairs needed.April: Paint the exterior of the house.May: Declutter kitchen.June: Repair cabinets and countertops.And so on.Of course, you can take on as much or as little as you like. Just keep the project going till all is done.Once you have brought your house into better condition, and if there is ample equity in your home, you could pay off any existing credit card debt by borrowing against your home. This isn't uncommon since the interest rate on your home would likely be lower than the interest you are paying on your credit cards.
Many people do this, but it only makes sense if you can keep the credit card with little or no balance. To build your credit card debt up again would only be counterproductive and put you in a worse financial condition than when you started.Good financial health doesn't come without effort. It takes will and discipline.
But it can be done, and what better time than now? The year is new, and the future looks bright!Don't forget to watch our video, which looks at the real estate market for 2023.Have a wonderful 2023, everyone!Sandy and Duane Sandy Yow and Duane Pahl are associated brokers with Today's Realty. They have decades of experience with all types of real estate issues on Guam and internationally.