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MORTGAGE KNOWLEDGE CENTER

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CONVENTIONAL LOANS

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Apply before becoming a member.

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1. Discover you’re eligible to become a PenFed member

2. Open a Savings/Share Account and deposit at least $5

  1. Home
  2. Mortgage Knowledge Center
  3. How to Prepare Your Family and Your Home for Natural Disasters

MORTGAGE

How to Prepare Your Family and Your Home for Natural Disasters

What you'll learn: Learn some of the steps to take in preparation for natural disasters

EXPECTED READ TIME: 4 MINUTES

March 23, 2023

How to Prepare Your Family and Your Home for Natural Disasters

We must accept that natural disasters such as hurricanes, tornadoes, floods, and earthquakes can strike anytime, leaving families scrambling to protect themselves and their homes. Preparing for these events is crucial to minimize their damage and to keep ourselves and our loved ones safe. We saw that even power outages during snow storms could cause havoc, leaving us in frigid temperatures for days. This article outlines emergency professionals' recommendations for preparing your family and home for natural disasters, including power outages, food shortage, water management, communication strategies, and simply staying warm.

Managing Power Outages

Power outages are a common occurrence during natural disasters, and it's essential to have a plan in place to manage them. One option to consider is investing in an emergency generator, which can provide power to your home during an outage.

There are two main generator types: electric and gas/propane. Both have their own set of costs and benefits, and it's essential to consider these factors when choosing which kind of generator is best for your needs.

Electric

Electric generators are powered by electricity and typically run on a battery or a fuel cell. One of the main benefits of electric generators is their quiet operation; they don't have internal combustion engines, producing much less noise than gas or propane generators. This quiet operation makes them ideal for use in residential or commercial settings where noise may be a problem; however, noise is generally not a concern during natural disasters. Electric generators tend to be more efficient than gas or propane generators, which can save money on fuel costs in the long run, but they require a power source to charge or run.

Electric generators also typically have a lower power output than gas or propane generators and may not be able to handle heavy loads such as running a sizeable electric furnace/air conditioner or other high-power appliances. Additionally, electric generators are typically more expensive than gas or propane generators, and they may require a professional for installation.

Gas or Propane

Gas and propane generators are powered by their internal combustion engines and are generally more powerful than electric generators, handling heavier loads and can run for extended periods without refueling. This characteristic makes gas and propane generators ideal for use in situations where substantial power is needed, such as a natural disaster or power outage. Gas or propane generators are also typically less expensive than electric generators and can be installed by the homeowner.

However, gas or propane generators can be loud, and a ready fuel source is needed for their operation. Gas/propane generators also require regular maintenance and may produce emissions that can be deadly if not vented properly.

Considerations

Both electric and gas/propane generators have their own costs and benefits. Electrical generators will generally suffice for short outages to keep connected and provide emergency power when needed. Gas or propane generators will provide more energy but require more maintenance. Both are limited in their capacity and fuel available. Consider investing in a camping stove or portable grill for cooking, as well as a camping lantern, flashlights, or headlamps for illumination; this allows you to conserve energy, using generators for other electrical needs. It's essential to consider your specific needs and budget when deciding which type of generator is best for you.

Safe Food and Drinking Water

Food and water are crucial resources, and it's essential to have a sufficient supply of both on hand for emergencies. The American Red Cross recommends that individuals and families store enough food and water to last for at least three days; emergency responders may be unable to reach affected areas immediately, taking time for emergency supplies to be brought in.

Food

It's vital to store non-perishable items that do not require cooking or refrigeration. Examples include freeze-dried meals, canned goods, dried fruits, nuts, and granola bars. You should also store a manual can opener; this is where the camping stove or portable burner with sufficient fuel to boil water or cook food can be of added benefit.

Water

It's necessary to store at least a gallon of water per person per day for sanitation and drinking.

This is water for:

  • Drinking
  • Washing dishes
  • Brushing teeth
  • Personal hygiene

This water should be stored in clean, airtight containers, such as plastic bottles or jugs, and rotated every six months to ensure their freshness. It's also recommended to have a water filter or purification tablets on hand if you need to purify water from other sources. If a potential disaster is possible, filling bathtubs with water can add an additional buffer that may help sustain you. Finally, knowing where to find alternative water sources, such as lakes, rivers, or streams, is essential in case your stored water runs out.

Considerations

Note, three days of food and water supplies are the minimum recommendation; it's always better to have more supplies on hand. Additionally, if you have special dietary needs or medical conditions requiring certain foods or medications, you should consider those when preparing emergency supplies.

Staying Informed and Connected with Communications

Having a communication plan in place is essential in order to reach loved ones and get help during a natural disaster. Ensure all family members know the emergency contact numbers, such as the local emergency services, and has a way to communicate, such as a cell phone or walkie-talkie. It's also advised to have a designated meeting place in case you get separated and an assigned out-of-town contact who can relay messages when needed. Finally, have battery-powered or hand-cranked devices to stay informed of news/weather and ensure a way to charge other communication devices when the power is out.

Staying Warm

During a natural disaster, it's important to stay warm, especially if the power or natural gas is out.

Here are some ways to safely stay warm during a natural disaster:

  1. Dress in layers: Wear multiple layers of warm clothing, including a waterproof outer layer, if you must venture outside. Layering traps heat close to your body and allows you to adjust your clothing as needed to stay warm.
  2. Blankets and bedding: Keep extra blankets and bedding on hand to add extra warmth to your sleep system. Make sure to use blankets and bedding that are rated for cold temperatures.
  3. Use alternative heat sources: If you have no electricity, consider alternative heat sources such as a wood-burning stove, fireplace, propane, or kerosene heater. Always follow the manufacturer's instructions and safety guidelines when using any alternative heat source to prevent fire and the venting of toxic gases.
  4. Use a sleeping bag: Sleeping bags are designed to keep you warm in cold temperatures. Keep a few extra sleeping bags on hand for emergencies, and in case you must leave your home.
  5. Stay active: Doing light exercises or house chores can help keep your body warm.
  6. Use hand and foot warmers: Hand and foot warmers can provide extra heat to extremities. They can be found in most outdoor or camping stores.
  7. Use candles or oil lamps: Candles or oil lamps can provide a small amount of heat as well as light. Keep them away from any flammable materials, and NEVER leave them unattended.

Additionally, it is wise to ensure that your home is adequately insulated to retain heat.

Final Thoughts

Natural disasters can be scary and stressful for families, but being prepared can make all the difference. It's essential to stay informed about the situation and follow any evacuation or emergency instructions provided by local authorities. You can ensure that your family remains safe and protected during an emergency by having a plan for power outages, food storage, water management, communications, and staying warm. Review and update your emergency plan and supplies regularly so you're ready for anything.

For more information about PenFed Mortgages:
 

PenFed Mortgage: 

800-970-7766

Get Started

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What Will a Mortgage Cost You? | PenFed Credit Union

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Although tax rules can change every year, there are certain basic things to know about mortgage interest deductibility. And check out some of our tips on other home deductions.
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image

CONVENTIONAL LOANS

Rates starting at % (APR %)¹

 

Apply before becoming a member.

After your application, we’ll help you:

1. Discover you’re eligible to become a PenFed member

2. Open a Savings/Share Account and deposit at least $5

Home Buying Steps

  • Getting Started
  • Finding a Home
  • Getting a Mortgage
  • Home Ownership

Mortgage Topics

  • VA Loans
  • Conventional Loans
  • First Time Homebuyer
  • Home Equity
  • Homebuying 101
  • Checklists
  • Adjustable Rate Mortgages
  • PenFed Top 10
  • Refinance
  • Jumbo Loans
  • FHA
  • Videos

Mortgage Products

  • Mortgage Center
  • Refinancing
  • Home Equity

PenFed HELOC

Rates as Low as % APR* with flexible use of funds

Apply before becoming a member.

After your application, we’ll help you:

1. Discover you’re eligible to become a PenFed member

2. Open a Savings/Share Account and deposit at least $5

Disclosures

1Except for holidays, rates are updated Monday through Friday at 10:15am EST. The advertised rates and points are subject to change. The information provided is based on discount point, which equals percent of the loan amount, and assumes the purpose of the loan is to purchase a property with a 30-year, conforming, fixed-rate loan. Loan amount of $400,000; loan-to-value ratio of 75%; credit score of 760; and DTI of 18% or less. The property is an existing single-family home and will be used as a primary residence. The advertised rates are based on certain assumptions and loan scenarios, and the rate you may receive will depend on your individual circumstances, including your credit history, loan amount, down payment, and our internal credit criteria. Other rates, points, and terms may be available. All loans are subject to credit and property approval.

*Prime Rate is % as of . The APR for this Home Equity Line of Credit (HELOC) is based on prime plus a margin and can change monthly. Fixed Rate Advances will be amortized over the Fixed Rate Advance Term, with the payment consisting of principal and interest. Your Annual Percentage Rate for a Fixed Rate Advance will be calculated by adding your Prime Rate, your Margin, and the Additional Fixed Rate Lock-In Margin. Your Annual Percentage Rate for a Fixed Rate Advance shall not exceed 18% and shall be equal to or greater than % for primary residences and second homes.

  • Annual Fee: Notwithstanding the foregoing, an annual fee of $99 will be assessed on each account anniversary.
  • Home equity lines of credit (HELOC) are variable rate loans and the interest rate is subject to increase after consummation of the loan on monthly basis. Closing costs range between $500 and $8,500 for credit lines of $500,000. Contact a representative for additional details.

Appraisals: PenFed will attempt to establish value via an independent method. If that method is unsuccessful, or the value is not sufficient for the amount requested, an appraisal will be required regardless of CLTV. An appraisal is always required in the following circumstances:

For all loans with a loan amount greater than $400,000.

If an appraisal is required, it must be ordered by PenFed. You will be contacted for authorization and payment prior to ordering. Appraisal fees average $550 to $850 (some run higher).

  • Closing Cost Credit: PenFed will pay most closing costs associated with a home equity line of credit (HELOC), which includes credit report, flood certification, settlement/closing, property ownership and encumbrances search, recording, property search, and quick close. Member is responsible for any city, county, and/or state taxes if the subject property is located in FL, LA, MD, MN, NY, TN, or VA. If an appraisal is required, the member, who is responsible for the fee whether or not the loan closes, will pay the cost.

Interest may be tax deductible, consult a tax advisor for further information regarding the tax deductibility of interest and charges.

Fixed Rate Advance Lock-In You may lock in an Annual Percentage Rate for Advances during the Draw Period. During your Draw Period, you may choose to have three separate Fixed Rate Advances locked in at any one time, with a maximum of two new Fixed Rate Advances per calendar year. Each Fixed Rate Advance must equal or exceed Ten Thousand Dollars ($10,000.00) and you may not request a Fixed Rate Advance that would cause the amount you owe to exceed your Credit Limit. The only term option for your Fixed Rate Advance is 240 months (“Fixed Rate Advance Term”). However, the term of your Fixed Rate Advance cannot exceed your Repayment Period.

Fixed Rate Advances will be amortized over the Fixed Rate Advance Term with the payment consisting of principal and interest. Your Annual Percentage Rate for a Fixed Rate Advance will be calculated by adding your Prime Rate, your Margin and the Additional Fixed Rate Lock-In Margin. Your Annual Percentage Rate for a Fixed Rate Advance shall not exceed 18% and shall be equal to or greater than % for primary residences and second homes and 4.75% for investment properties.

Property Insurance: Property insurance is required.

Multiple PenFed Loans: Multiple PenFed Equity loans and HELOCs are available as long as the member and collateral qualify (except Texas). For Equity loans and HELOCs the total indebtedness cannot exceed $500,000 for all PenFed Equity and HELOCs combined.

PenFed does not lend on:

  • Mobile homes
  • Co-ops or time-shares
  • Properties that are currently listed on the market for sale
  • Commercial property or property used for commercial purposes, even if a residence is part of the property
  • Undeveloped property (land only)
  • Properties with more than 4 units

Properties that are currently under major construction/renovations: Property must be fully livable, with no safety issues. (Examples: no missing rails from stairs/decks, no open walls with wires showing, missing kitchen appliances/counters, missing bath fixtures or unfinished pool).

  • Additional limitations may apply

Home Equity Line of Credit:

  • This Account has a Draw Period of 10 years, followed by a repayment period of 20 years.
  • If only minimum payments are made during the draw period, the loan balance will not decrease.
  • In Texas, the maximum CLTV available is 80% on owner occupied properties. Additional restrictions apply in Texas, so please ask a representative for details.
  • In all other states, the maximum CLTV is 85% on owner occupied properties and second homes. Additional restrictions or requirements may apply based on application characteristics.
  • Property type of Condo has a maximum CLTV of 80%.
  • The maximum CLTV available is dependent on credit qualification.
  • Rates vary depending on owner occupancy and CLTV and other loan criteria.

Minimum Loan Amount Requirements in all States:

  • For an owner occupied property or second home the minimum loan amount is $25,000 and the maximum amount is $500,000 with a CLTV of 85% or less of the fair market value.

Other terms and conditions apply; call 844-918-4307 to speak with a representative for details. All rates and offers are subject to change without notice. To receive advertised product, you must become a member of PenFed.

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This credit union is federally insured by the National Credit Union Administration. Rates are current as of October 2023 unless otherwise noted and are subject to change.

APY = Annual Percentage Yield
APR = Annual Percentage Rate


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The content you are about to view is produced by a third party unaffiliated to Pentagon Federal Credit Union. PenFed takes no responsibility for the content of the page.


IMPORTANT NOTICE

You are leaving PenFed.org and entering a third party site. PenFed Realty, LLC is wholly owned by PenFed and this referral may provide PenFed a financial or other benefit.


For more information about the relationship between PenFed and PenFed Realty, LLC, see the Affiliate Business Arrangement Disclosure.


IMPORTANT NOTICE

You are leaving PenFed.org and entering a third party Website.


The content you are about to view is produced by a third party website that is unaffiliated to Pentagon Federal Credit Union. PenFed takes no responsibility for the content of the page.


IMPORTANT NOTICE

You are leaving PenFed.org and entering a third party site. PenFed Title, LLC is wholly owned by PenFed and this referral may provide PenFed a financial or other benefit.


For more information about the relationship between PenFed and PenFed Title, LLC, see the Affiliate Business Arrangement Disclosure.


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