Home-Based Etsy Business Ideas for Creative Entrepreneurs

Etsy is an excellent marketplace for creative entrepreneurs who are skilled at creating their own unique products. If you’ve been considering starting a home-based business that would do well on Etsy, but are struggling for ideas, consider the following fun business ideas.

The following bouquet business ideas are focused on providing unique gift ideas for individuals and businesses. All three are home-based and perfect for Etsy. They could also eventually lead to you owning a physical storefront, if desired.


Ety Business Idea: Candy Bouquets


Candy bouquets make sweet treats for weddings, anniversaries, baby showers, graduations, birthdays, and promotions. They’re relatively easy to make and typically consist of a decorative basket comprised of candy bars or candy, faux or tissue flowers, ribbon, and bows. Supplies include basic craft supplies, ribbon, bows, decorations, baskets, tins, candy, cocoa, stuffed animals, and seasonal decorations. Ideas for your bouquets run the gamut: from using retro candy from the 1950s to 1980s, British candies, and commonly found or color coordinated candies. You can also make wooden roses and duct tape flowers or other creations using less traditional craft materials to set your candy bouquets apart.


Etsy Business Idea: Balloon Bouquets


Balloon bouquets combine various balloons and other materials to create impressive bouquets that business owners could use outside of their establishments to draw in clients at open houses, grand openings and car dealerships. Individuals might purchase a balloon bouquet to give as a gift to someone recovering from a hospital stay. Supplies include a helium tank, hot glue gun, air pumps, ribbon, confetti, stuffed animals, and balloons. Search the Internet and visit gift shops to get ideas.


Etsy Business Idea: Cookie Bouquets


Cookie bouquets are a delicious treat that combines tasty cookies with eye-catching wrapping and designs to create bouquets that could be used as fun party centerpieces or as gifts. Supplies include colored cellophane, pre-packaged cookies, tissue paper, ribbon, confetti, bows, cocoa, baskets, mugs, and tins. While you can sell homemade goods on Etsy, any cookies you make yourself will need to be made in a licensed kitchen. You will also need to have a food handler’s permit. To avoid these regulations, use pre-packaged cookies. Just be sure to taste test them first. You can visit local caterers and bakers to supply you with original, pre-packaged, cookies.


Tips for a Home-Based Etsy Business


Any business owner that collects sales tax will need to have a sales tax permit, which you can get from your county clerk. You should also ensure that your home-based business is properly organized. You will need room for a table to design your creations, shelves to store your products and supplies, a filing cabinet to keep receipts and tax paperwork, and good enough lighting to take pictures for your Etsy store. Familiarize yourself with the self-employment tax, as you will likely need to submit your tax liability each quarter.


Don’t just stick to selling on Etsy. You can sell your bouquets at flea markets and fairs. Set up a booth at local events to show your work and get your name out there. Be sure to create a name that customers won’t forget.

Become an EBay Entrepreneur: No Selling Involved!

Have you thought about starting your own internet marketing business with eBay?

Maybe you’ve purchased a few “How-to Make Money On eBay” manuals from the power sellers. Look at the boat loads of money these guys are hauling into their bank accounts! Why couldn’t you do the same?


So what’s stopping you? Reality?


Yes, it sounds fantastic when you read the eBooks. But when you get down to the nitty-gritty, your eyes bug open. Whew. Maybe this is something you’re not yet ready to tackle. It’s hard work. Power sellers just didn’t decide one fine day that they wanted to get rich on eBay, jump right in and the next month book their Maui vacation.


Let’s take a very simplistic look at what these top eBay earners are doing before they head for Hawaii.


First…you have to have something to sell in order to make any money, right? So where do you get the goods? Now you do your research. You’ll want to find wholesale products so you can make a profit. Since there are endless places, you don’t want to choose willy-nilly. Remember when I mentioned research? That one task alone, can cause hair loss.


Second…you’ve decided where you’ll get your products. Maybe imports from a foreign country. Oh, by the way. Have you secured warehouse facilities? You can’t leave them out in the weather. Yes, that’s a cost you should have figured in.


Now you have to let the world know about these incredible deals they’ve been dying to buy. So you set up your eBay seller’s account. Take professional-quality pictures of what you have to offer the salivating public. Upload the pictures and don’t forget…now you want to draw on your impressive copywriting skills.


Third…okay, all of that is done. Now you watch the auctions. Then finally…a sale! Yahoo! Book the flight! But first, you have to call the courier or run to the post office with your specially-wrapped product for your lucky customer. (still spitting bubble-wrap)


Fourth…oops. The customer didn’t feel all that lucky? How dare they complain! You can’t handle this.


Yes, you have to deal with customer complaints, my friend. That’s your path to becoming an eBay power seller. Just remember the beach. And pray they don’t go on eBay and give you a negative review.


Fifth…Dear Diary: This is only the first month of becoming a great eBay entrepreneur. This is the hardest work I’ve ever done. I think I’m having a breakdown. And I don’t like beaches anymore.


Yes, it’s hard work becoming rich on eBay. That could explain why many entrepreneurs who love the possibilities of eBay and internet marketing have made the choice to do the business in a much easier way. With less costs.


Now you can have the best of both worlds by becoming an eBay affiliate! Combining affiliate marketing with your chosen niche. You can join eBay’s affiliate program on their site. Or, for the easiest, fastest way, you can obtain the means of creating an eBay affiliate website and earn commissions on what your customers buy. Heck, you even make money when someone signs up with eBay!


So whether you’re in for the hard work of being an eBay seller or the easy way of the eBay affiliate, you’ll make the right choice for you. You may even hit the beach, again!


(c) Karen Cook


To find out how you can choose from 60 million products to affiliate with, swim over to http://addebay.blogspot.com and catch the wave!

Karen Cook works at a Public Library where she helps patrons with their home based business research.

Home Based Franchises Favored by Female Entrepreneurs

The role of businesses founded and owned by women has had a dramatic effect on our economy and job market. According to the Center for Women’s Business, the year 2006 saw as many as 10.6 million businesses owned by women in the U.S. The recent boom of home-based franchises owned by women promises to increase those numbers drastically. Franchises have always offered entrepreneurs the ability to buy an already established business with built-in tools for success. From tutoring services to staffing companies, franchises are increasingly becoming the home based business of choice for women. Following are just a few of the home based franchise opportunities out there.

For women with children at home, a tutoring franchise can be a fantastic and convenient option. Founded in 1993 by Janet Wolfe, Tutorium Inc. is a highly profitable tutorial service that allows the franchise owner the flexibility of working from home. You do not need to have a background in education to own your own Tutorium franchise. Tutorium Inc. provides you with a three to four day training program that covers such topics as advertising, interviewing and hiring tutors, and maintaining day-to-day information. They also provide you with software to assist you in running your business. The fee for the franchise is $19,500 and they estimate that you will need another $2,000-$3,000 in advertising costs.


If focusing on academia is not your passion, you might consider buying a franchised art program for children, like Young Rembrandts. Created in 1988 by Bette Fetter, Young Rembrandts provides children’s arts classes with the goal of developing art talents and learning skills to give preschoolers and elementary age children an academic advantage. A certified teaching or art degree is not required. Over the course of your one-week training, The Young Rembrandts team of experts will train you on all aspects of the business including sales, marketing, staffing, and teacher training. They also give you a curriculum, task management software, your own website, and ongoing training that includes annual conferences. The cost of the franchise is $31,500.


For women with a talent for business and a desire to assist companies with their staffing needs, Personalized Management Associates could be your ticket to home based business success. Personalized Management Associates (PMA), founded in 1985 by Bonnie Lins, is a business that offers recruiting and placement services of management personnel for restaurants, retail establishments and hotels. With this franchise, your potential clients include restaurants, hotels and retail companies. PMA offers a comprehensive training program conducted by Certified Personnel Consultants. They teach you how to find, recruit and place applicants and show you how to clients. PMA also give you operations manuals, marketing and sales support software and ongoing training for both you and your employees. The estimated initial investment ranges from $45,000 to $55,000.


For all women who dream of owning their own home-based business, there are endless choices. Many of the home based franchises available (like those listed above) are also recession resistant. With various niche markets available via franchise ownership, you can find exactly the right fit for you.

Discovering the Entrepreneur Within

Now and then, everyone dreams of running their own business. But with the failure rate for new business start-ups averaging between 75% and 95% the first year (depending on whose statistics you believe) how do you know what it takes to effectively start and run a profitable business.

Simply look at successful, well-known companies that interest you and read up on their founders. Try looking at Dave Thomas, founder of Wendy’s, Harland Sanders, founder of KFC, Steve Jobs of Apple, Pierre Omidyar of eBay, David Neeleman of Jet Blue or even Oprah Winfrey. Read a few online biographies and select a few whose careers really interest you. Then research a little more.


You’ll soon see that most of the world’s successful entrepreneurs have a number of traits in common. Here are some of the traits you’re going to see.


Successful entrepreneurs are visionaries with unique perspectives that set them apart from ordinary business people.


Entrepreneurs see opportunity where others see nothing. Where most business people focus on the risk factor, entrepreneurs focus on the potential for high rewards. What most of us consider obstacles that need to be overcome, they consider just another challenge that they know they can meet.


An entrepreneur’s vision is a perfect balance of foresight and hindsight. It’s always focused on the future and new profit-making potentials. At the same time, it is guided – not restricted or held back – by their prior experience. Successful entrepreneurs learn from their mistakes and never make the same mistake twice.


Their fierce sense of independence also makes entrepreneurs a completely different breed of business people. They don’t want to be shackled by corporate bureaucracy and red tape that interfere with the pursuit of profits. By being in complete control, they know they can capitalize on opportunities with high profit potentials they otherwise couldn’t. Entrepreneurs are willing to trade the security of a 9 to 5 job with a steady income for the freedom to pursue far more lucrative, but less secure, business opportunities.


This independence forces entrepreneurs to fast and effective decision makers. A successful entrepreneur is an expert at gathering the facts, weighing the risks against the potential rewards and then making a decision.


Successful entrepreneurs are also executors who do what it takes to get the job done – even if it means doing it all themselves. Failure to execute is the major fundamental cause of business failures – whether you’re a big corporation or a small start-up venture. Entrepreneurs are well aware of this fact and succeed or fail based on their ability to execute their business plan.


According to Donald Trump, knowing how to make the best deal is a key to success in any business. Entrepreneurs know this too and the successful ones are experts at the art of making a deal. Whether they’re negotiating commercial space with a building owner, trying to lure a top sales person from a competitor or finding a new, lower cost supplier or manufacturer for their product, they always drive the hardest and make the best deal for themselves and their business.


Being able to raise capital and find revenue sources other than their own – or through high interest bank loans – is another trait of an accomplished entrepreneur. Any successful independent businessperson knows it’s always better to use someone else’s money rather than utilize your personal financial reserves.


Entrepreneurs are passionate about their businesses but not blindly in love with them. If their businesses are making money, they continue to invest in them to build profitability. When their businesses are not doing well, they know when to stop investing in them and just cut their losses and walk away.


Entrepreneurs are the consummate executives. They know how to do everything from strategic planning, to financing to marketing and sales and they can flawlessly execute all the details and make money. After all, they work for the toughest boss in the world – themselves.


If you possess these traits, and are tough enough to be the toughest boss you’ve ever worked for, you just might succeed as an entrepreneur.

The Difference Between Employees and Entrepreneurs

The thought has probably crossed everybody’s mind at one point or another. How do I get rich quick? It is perhaps not very politically correct at the moment, but quite frankly, even in a global recession there are many people who continue to earn a substantial amount of money every. There are even some who are willing to share their secrets so that you too can become a millionaire – for a small fee of course. But really, this is what sets entrepreneurs apart and how they do it.

I meet lots of people, from students to new graduates to senior directors of companies to entrepreneurs. I have also been picking up on what people think they need to succeed or be wealthy. Bear in mind, there are also people pursuing altruistic endeavours for not-for-profit organisations and social enterprises. I will exclude from this discussion because they are driven by something other than a financial motivation. So that leaves the “get rich” crowd. Some hope to win the lottery, others want to meet a millionaire that will help finance their dreams. These opportunities could yield success, but they are difficult to get a hold of, requiring some luck or requiring a huge investment of time and resources developing a product or service, preparing a business plan, and most importantly bearing some risk. If you look carefully around you, however, there is another method that exposes you to less risk, yet can yield an infinite amount of returns.


The working world can be divided into three categories in its simplest sense – 1) those with a lot of money or capital or have access to a large market than can generate such capital; 2) those whose only resource at their immediate disposal is time and therefore must produce, provide a service, or in other words be employed; and 3) the brokers, people who forge relationships between those with good exposure to a market or capital and those that produce or provide a service and take commissions for those relationships. Many people are stuck in category #2, devoting all their time and energy working, but barely accumulating any significant level of wealth. They are trying to get to category #1, where you put your capital work, it earns a return, and you’re making money out of money. The key to getting from #2 to #1 is the category of brokers, middlemen, salespeople, and many entrepreneurs.


The trick to succeeding as a broker is to find a producer with good product or service, but who has limited access to market. The other part of the equation is having access to funders or knowing the groups with channels to market that need good products to sell. Does this still sound challenging and difficult? Well, some producers and service providers have been doing this successfully for years by creating their product or service, packaging it up, and putting it in a form that can be sold or marketed in high volumes – think about software producers, book writers, coaching seminars, and franchises to name a few. By doing this you start to move from #2 to #3. This is becoming even more prevalent with the use of technology, the world wide web, and social media. The opportunities are abound, now it’s up to you to find your target market, package up your product or service, and tell the world about it.

Miss Shorty P: Successful Female Entrepreneur

At the ripe age of twenty-one, this felysist (as she refers to a female lyricist) has been kicking butt in an industry full of men. So how does a young woman like Jessica Abraham achieve such accomplishments? Well, if you know Shorty, you would know exactly how much brain power, hard work, and hustling she had to do to get where she is at.

Finding her call in life at a very early age, she started to form groups in which she sang and danced. “None of us were really good. We were still in elementary school. Shoot, I can’t even sing! But, that didn’t matter I wanted to keep trying even when my group members didn’t show interest any more. I guess my dream kept getting bigger and bigger!”


As a elementary and junior high student, she always found a way to stay on the honor roll and indulge herself into the music industry. “Ha ha. I remember taping the Grammy Awards since 1996, and I can remember watching my first one when Tag Team performed. I was always like , ‘I’m gonna get one those one day.'”


However, it wasn’t until 1999 that Shorty met Lena, a girl from Brooklyn who could sing her ass off. “Me and Lena decided we needed to be a group with as much dedication to the music we both demonstrated. Working with Lena really taught me how to work with other artists and adapt to their techniques, as well as shaping them into the perfect mold. This is also the point of time when I decided I should focus more on rapping.”


Almost immediately after recording her first album, “The Sketches in a Notebook- The Demo,” she learned on her own, despite what others told her, that she really wasn’t meant to be a singer. In 2001, she found her niche.


With a few minor performances, she realized if she wanted to be a rapper, she had what is took. However, she had also fell in love with the actual production when she was eight. She would make beats by banging on waste baskets and glasses recording them into a little green radio and replaying the tape in a bigger stereo, creating layers. Later, her and her group members would sing over the tracks in the same fashion.


In 2001, she received her first computer where she would use “Windows Sound Recorder” to create the same effect. Later that year, she got her first DAM by Sonic Foundry, called Vegas Video, from her mentor, DL Hopson. He began to teach her basic techniques in which gave her that jump start into her production career.


Also this year, she learned how to make beats using a computer. She began to learn different techniques to build her own style. Her ultimate goal in life became to create a new genre of music.


As 2003 hit, it was Shorty’s senior year in high school. She had many tasks she had to do in order to make it out of high school. One of them was to create something. That was a vague and open ended project, but she decided to create a demo into the industry, which in turn, became an album.


This album was well planned out. Yet with many other tasks that kept her from achieving what she originally set out for, she only had a week to complete the actual project. Originally, she would have had months to complete this task. When the album came out, it featured her singing and rapping, and it sounded horrible.


In the process of planning and actually recording the album, she stumbled across a school in Orlando, FL that taught her what she felt she should know and helped fill in a lot of voids and common misconceptions about the industry. Before she left, she began to record Mydnyte Fyre, GT, and Klotz the Beat Machine getting more practice in for what was next to come.


As she arrived in Orlando and almost immediately meeting Blaise, the two began working together on many projects along with ODawg, Budtaz, U- Con, DEMO (from Two Opposites), and D-Mo (R.I.P.). Sphynx then came into the picture, and Shorty Produkshins was official. Much more recording brought about more practice and more equipment was purchased.


By the time Shorty Produkshins was actually registered in 2005, the whole studio was complete. She named it unofficially Shorty’s Playground in 2001 when it was merely just a computer and computer microphone. However, it was known to others as such in 2005. Eventually the studio was sold, and Shorty’s Playground took form of a company in which promotes and sales beats for commission for other labels and beat makers. Shorty Promotions is another company that LiL Shorty started in 2004, when she created a business idea, yet to be announced. However, in 2006 she expanded upon it and now brings you a new venue of promotion where the client actually makes money spending money… like the stock market.. What else is she currently up to?


Early 2006, also marked the end of Shorty’s Playground as a studio. It was sold in order to allow Shorty to focus more attention on other goals. Moving the label to the north in mid 2006, Shorty began expanding upon her achievements. Since then and leading up to mid 2007, Shorty has been involved in two movies. One is “Front Page.” It is a thriller written by Photographer, Michael Migliore (Also Shorty’s photographer and good friend.) In this movie she plays a gothic chick named Suzie who dies by the hands of her neighbor.


The second movie was part of a series of movies written by Ryan Cavalini, entitled “The Dead Body Man Chronicles,” in which she plays another character also named Suzi. This movie is more of a comedy that may compare to Scary Movie 1-4. In the movie, she plays an ex- porn star who resides in a mental home. Highly tense and extremely paranoid, Suzi saves the day. While her name isn’t Suzie like her alter egos, this brown-eyed Susan has also been modeling.


Putting her music career on hold for almost a year, Shorty P is ready to come back and bring it harder than ever. Throwing certain projects out the window, Shorty P is starting fresh. Don’t worry. You WILL still get old tracks exclusively from our site. “I am very superstitious. I think the album wasn’t meant to be, for the name or some other purpose. We had so many losses of hard drives, equipment and tracks, among other things. There is some reason I wasn’t supposed to put this last album out. So, I am just throwing the last album away and starting from scratch.”


That being said, Shorty P is still producing and making beats. She is also planning on rebuilding a new studio for Shorty Produkshins. However, Shorty’s Playground will now be known for Shorty P’s solo work. Look for this girl on further movies, magazines, web sites, and other mediums. “2007 is the comeback year- La Reconquista Norte!”

The Best Kept Secret for Entrepreneurs to Make Money

All the marketing, promotion, and advertising is not going to help your business make money. It is all worthless. Nobody cares about you or your business. These claims are for real and not a exaggerated. Your efforts will not make your business money unless you do one thing. If you want to know keep reading. You have to ask for the cash. You can be a marketing guru, a copy writing whiz, and a sales beast. But you will not make money unless you ask for the cash. One of my favorite lines from the movie Boiler Room is “Always be Closing”, but this do not have to be aggressive as it sounds.


Naturally when you start a business you do it because you have a passion and want to share it with the world. Selling is the the last thing you want to do. Selling is necessary for the growth of your business, so no matter how you feel you have to ask for the cash and not have a problem with it. A panhandler is the best business example we can follow. Let me explain. They are not afraid to ask for the cash there is no shame in their game. If we have a business that offers a solution in the form of a product or service we should not be afraid to ask for the cash either.


I used to sell toys business to business. There was a system where you first qualify the prospect, explain how they can benefit from the product, demonstrate the product, and close. Now it would not put money in my pocket if I went through the whole rigamarole and walk out the office without asking for the money. I would of came home with no money and not able to feed my family. Think of your business the same way. Your business gets fed with money so it can grow up to be big and strong. So when you ask for the cash you can feed your young business with balanced meal of cash flow.

How Borrowers can Avoid Rejections from Lenders: Meeting the Criteria set by Mortgage Lenders to Obtain a Home Loan

All financial institutions have their own set of lending policies when assessing home loans. Borrowers should research the criteria under which mortgage lenders assess lending applications. A simple way to do this would be to consult a professional mortgage broker who will have the necessary information easily available. However, the borrower can also do his or her own research on a lender by lender basis either via the websites or direct contact with the lenders.

The main criteria that the lenders look for and how to meet the requirements are given below.

Mortgage Lenders Look for Genuine Savings

Lenders require the borrower to save a portion of the deposit for a home. This can vary but in general is either 5% or 10% plus fees. For example, in Australia, to buy a house for $400,000; a borrower will need to have savings of $20,000 (5%) or $40,000 (10%) plus the fees as set by the different states.

In addition, the amount has to be saved over a period of time- usually at least three months- and documented proof will be required.

Therefore, borrowers should ensure that they have a separate savings account into which they deposit funds regularly.

Stability of Employment

The borrower’s employment record is an important factor when assessing serviceability, ie., capacity to repay the loan. Being in the same job for at least six months and having completed the period of probation is a minimum requirement with most lenders.

If a borrower is thinking of changing jobs, then they should either purchase the property prior to leaving the current employment or wait till they are settled in the new job for at least six months before applying for finance.

Suitability of the Property Being Purchased

Some Lenders have policies covering the size of the complex in which the security property is situated. For instance, an apartment in a complex of over 50 apartments may not be considered suitable at a five or ten percent deposit. It may be possible to get a home loan on this type of apartment if the borrower has 50% of the purchase price as a deposit.

Before making an offer on a property, borrowers should ascertain the criteria under which lenders will consider the particular type of apartment or unit.

Borrower’s Credit File

A negative credit file is something that most lenders will not overlook. The default listed on the credit file could be something as simple as an overlooked telecommunication bill. However, lenders take a very serious view of unpaid bills, however small or insignificant they may appear.

Borrowers should be meticulous in maintaining their credit file in good order by paying all bills when they fall due. If a bill was not paid on the date due because of a dispute, as soon as the dispute is settled and the bill is paid, the borrower should contact the credit reporting company to ascertain that a default is not listed against his or her name. Some companies are quick to list defaults as soon as it happens irrespective of the reason for the non-payment.

Lack of Up-to-Date Documents

Financial institutions need documents to check the accuracy of the information provided in the application form. Pay slips, bank statements, existing loan statements and any other documents that provide confirmation of the income and liability status of the borrowers should be kept for this purpose.

A simple file in which all statements are kept will help when making an application and the borrower has to provide documents covering a period of three to six months.

Researching and planning to meet the lending criteria of the mortgage lenders will help to eliminate the rejection of the home loan application when a suitable property is located and an offer is made.

Insurance For Gas Boiler Breakdown: The Best Breakdown Cover to Pay For Central Heating Boiler Repairs

The question of whether to buy annual boiler breakdown insurance is about guessing and gambling with the following variables:

  • What are the chances that the boiler will breakdown this year?
  • How much will the repair cost?

How Much Will It Cost to Repair a Boiler?

According to an article by Emma Lunn in The Saturday Times (U.K. 24/11/07) 1 in 3 boilers breakdown within 6 years and the average repair bill is £470. The article went on to state that insurance plans cost between £7 to £20. Payments made to the cheapest plan over the course of 6 years, therefore, will be slightly more than the average cost of repair and most boilers will not need a repair at all.

Which, the U.K. consumer magazine, printed similar results based on a survey of its readers. Paying breakdown cover would, on average, cost more than simply pay for the repairs.

Is Boiler Breakdown Insurance Too Expensive?

It would seem that insurance companies make plenty of profit whilst gullible people buy expensive breakdown cover. In a perfect world every homeowner would put aside £15 or so each month to cover boiler repairs and to save for the inevitable boiler replacement. There would be no need for insurance because the money saved would cover the bills. Looking at average statistics does not reflect reality in many cases, and breakdown cover could be perfect for many people.

Benefits of Breakdown Cover for Gas Central Heating

The level of insurance cover will be very different for different policies, they will not all offer the same benefits, however, are a number of scenarios which should be considered by the home owner or landlord.

  • A major boiler repair might occur before enough of the money way saved to cover it.
  • There may be many expensive repairs bills over the years.
  • Some boilers will need to be replaced when out of warranty, but prematurely (life expectancy is 12 to 15 years).
  • Boiler faults may occur out of normal working hours, at night or over the weekend or Christmas holiday period, therefore, the engineer callout charge might be higher than the average.
  • Many families will not put aside the £15 each month but would also struggle to pay unexpected repair bills.

Who Should Buy Gas Boiler Insurance?

Insurance cover is not suitable for everyone. A new boiler will be covered by a manufacturers warranty, these can be up to 5 or 10 years as standard on certain parts of the appliance. A two year warranty is common.

It is probably ideal for:

  • Someone who can afford to pay a small monthly sum but would struggle to pay a major and unexpected repair bill;
  • Those with an older boiler;
  • A landlord who wants piece of mind and an easy life, so that the tenants can make arrangements for repairs directly.

Saving Money on Heating Breakdown Cover

Two things to look out for when comparing central heating insurance quotations:

  • A boiler should be serviced annually (manufacturers guidelines), does the insurance fee include a boiler service or is the home owner required to pay for one separately?

Can the cost of insurance be reduced by combining it with other insurance such as the household buildings and contents insurance?

Fixed Rate Mortgages vs. Tracker Mortgages: Changing Mortgages and Securing the Best Mortgage Rate

Fixed rate mortgages and tracker mortgages are the most popular mortgages on the market. Whilst all borrowers seek the best mortgage rate, there is still a lot of guesswork involved regarding which one is right. If economists can’t agree on the direction of interest rates, what chance does a layman have?

Are Fixed Rate Mortgages or Tracker Mortgages More Popular?

Fixing a mortgage rate at a high level can be frustrating when interest rates start to come down. Similarly, tracker mortgages can prove expensive when interest rates start to climb to combat inflationary pressure. Which mortgage type is preferred by borrowers?

Data provided by the Council of Mortgage Lenders shows that fixed rate mortgages account for 70% of all mortgages taken out in Britain. This shows that the majority of people prefer certainty. Fixed rate mortgages remained more popular than tracker mortgages even when it was clear that interest rates were coming down.

Why Choose Fixed Rate Mortgages?

The world is an uncertain place and increasing numbers of people don’t wish to gamble with their finances. Fixed rate mortgages help alleviate market uncertainty by ensuring that borrowers pay a set amount each month, regardless of Bank of England base rate changes.

Fixed rate mortgages allow easier budgeting and help those of a nervous disposition. If on a fixed income, being able to successfully plan ahead can provide peace of mind. Restrictions on overtime and second jobs being so hard to come by add further validity to taking the safe option.

Those taking out fixed rate mortgages are also more likely to take out mortgage insurance. In the event of ill health or involuntary redundancy, mortgage insurance helps with payments for a period of between 12 and 24 months.

Why Choose Tracker Mortgages?

A tracker mortgage is the best mortgage for borrowers when it is believed that interest rates are likely to be reduced. It allows borrowers to benefit from Bank of England base rate reductions, leaving more money for other monthly expenses.

Unless a discounted base rate tracker is taken out, it is normally possible to switch to an alternative mortgage deal without paying a hefty redemption penalty. This means that borrowers can easily switch to fixed rate mortgages should the interest rate tide turn for the worse.

There is no right or wrong answer when it comes to choosing the best mortgage product. Always seek mortgage advice before opting for a mortgage lender or product as quality advice can help to keep monthly mortgage payments to a minimum.