Mortgage insurance has two purposes—protecting lenders from potential homebuyer defaults and to allow homebuyers to qualify for a mortgage without making a large downpayment.

Mortgage insurance premiums (MIP) are paid as part of the mortgage payment for a loan guaranteed by the government, specifically the Federal Housing Administration (FHA). MIP stays with the loan for its full term if it was originated after June 3, 2013, or if you put down less than 10%. If you put down 10% or more, MIP can be eliminated after 11 years.

Private mortgage insurance (PMI) is only required for loans not guaranteed by the government, such as conventional loans that meet the borrower qualification standards as outlined by Fannie Mae and Freddie Mac. These are government-sponsored entities that buy mortgages from banks to package into mortgage-backed securities for investment. By returning the mortgage money to the bank that paid it out, banks can lend to borrowers repeatedly. Once the homeowner’s equity surpasses 20% to 22%, through making monthly and extra payments and market appreciation, they can petition the loan servicer to remove the PMI.

If the home you inherited or live in requires too much work and expense to bring to market, you may consider selling the property at lot value. Lot value simply means that the property is valued for the land only, and that the home upon it is so obsolete, derelict, or damaged that it should be torn down. Some buyers may choose to remodel so they can get a toehold in their desired neighborhood.

The four best reasons for selling a home at lot value are:

• Sellers don’t have to do any preparation or repairs for a lot-value or as-is sale. They can leave unwanted items like old furniture for demolition.
• They have no demands to negotiate with the buyer except price.
• The transaction can close faster when there are no checklists to meet.
• The transaction is much more stress-free.

Home values have increased to the point that you could still sell at an attractive profit, so ask your Berkshire Hathaway HomeServices network professional whether your home is appropriate to sell “at lot value.”

Removing ice and snow from walkways and driveways is heavy labor and can be dangerous to your health. According to the Mayo Clinic, you should consult your physician to make sure your heart can handle such heavy exercise. Before you start shoveling, stretch your limbs to protect muscles and joints from injury. Drink plenty of water or a sports drink before and after you shovel and wear multiple layers of protective clothing to avoid frostbite. 

Start shoveling when snow has fallen two to four inches, before it becomes packed and harder to remove. Straighten your back and bend at the knees and push the snow out of the way with your shovel. The wider the shovel, the heavier it will be to move, so fill it only ¼ to ½ full and hold your lifting hand close to the blade. Lift with your legs and don’t twist your back to toss snow.

It’s easy to overestimate your endurance, so stop when you’re tired and take frequent breaks. How does a nice hot chocolate by the fire sound?