@iamandrewrussell Is it time to upgrade your home? Let’s see if the math is mathing and if you can afford a $500K home on an $80K salary. #financialfreedom #rcgmortgage #financialadvice #mortgagebrokers #calculateincome #propertytaxes #homeprices #realestatemarket #newyorkmarket #zillow #smarthomebuying #mathing ♬ original sound – IamAndrewRussell “It’s education coupled with a little wild personality to make it … [Read more…]
A condo is a privately owned unit in a community of other units, often with shared areas or amenities. If you’re considering whether to buy or rent a condo, you’ll want to think about the costs, benefits, and responsibilities of each option.
Of course, those who are deciding whether or not to rent have much less riding on their choice, but it’s still worth delving into the pros and cons of this kind of property and if it suits your needs.
Here, you’ll learn about the characteristics that define condos, the pros and cons of these units, and what it’s like to rent or buy a condo.
What Is a Condo?
As noted above, a condo is a privately owned unit that is part of a community of other units, whether that means there are a couple of other residences or dozens. Typically, a condo owner only possesses their unit, unlike the situation with a single-family homeowner, who owns the home and the land under it.
You may be familiar with condos that are rented out for income. If you’ve ever rented an apartment in, say, a complex by the beach, with a shared pool and patio, there’s a chance you’ve been in a condo. Real estate investors often buy condos and rent them out in this way. 💡 Quick Tip: You deserve a more zen mortgage. Look for a mortgage lender who’s dedicated to closing your loan on time.
Characteristics of a Condo
Individual condo units are owned by private owners, while common areas are owned and maintained by an association or organization. This might be called a condo association (CA) or a homeowners association (HOA). These groups are not identical, but they do manage a multi-unit residential community.
Your ownership rights may be limited to the space within your condominium, as is the case with most condo high-rises, or you may own an entire standalone structure within a larger community. In a condo situation, the CA or HOA owns the land. In a planned unit development, the homeowners own their lot and share the common area.
Maintenance and Finances of Condos
Condos are popular starter homes, thanks to their low maintenance, relatively cheap purchase price, and general convenience. They may also appeal to investors and people who are downsizing.
With detached single-family homes, you’re on the hook for the bill if any repair issues arise, whether it’s a broken water heater, leaky roof, or malfunctioning air conditioner. This generally isn’t the case with condos, as the property management company employed by the CA or HOA maintains common areas and shared amenities.
Convenience comes with a price, though. Condo owners share maintenance costs, and the expense of a master insurance policy, by paying dues monthly or quarterly. It’s important to budget for these costs. HOA fees,for example, have recently been rising 10% per year. Atop those fees, special assessments can be levied if the HOA needs to pay for a major project.
Condos tend to appreciate at a slower rate than traditional single-family homes, but they cost less. So buyers may want to take both realities into consideration when deciding on house vs. condo.
Recommended: First-Time Homebuyers Guide
Types of Condos
Condos vary widely in structure and appearance, ranging from high-rise buildings to communal developments. Take a closer look:
Condo Developments
These are communities of standalone homes where maintenance of both the interior and exterior are carried by the condo owner, but services like the maintenance of common areas and snow removal are typically handled by a property management company.
All properties within a condo development are bound by the rules of the CA or HOA, so it’s similar to a traditional neighborhood with fixed rules and less upkeep.
Condo Buildings
These are high-rise apartments consisting of individual condo units. The maintenance of the structure, shared utilities, and common areas are the responsibility of the property management company.
If you’re looking at buying or renting an apartment in a large metropolitan area, make sure you understand what it means to choose between a condo and a co-op.
High-rise condo buildings are more common in urban areas and may have higher fees in order to cover the greater costs of maintaining an apartment building and often the salaries of full-time maintenance staff members and doormen.
Pros and Cons of Condos
Next, take a look at the pros and cons of a condo.
Pros of Condos
Here are the upsides of condo life:
• Less maintenance since the CA or HOA is responsible for many aspects of upkeep.
• Affordability. Since you don’t own the land, the price can be lower.
• Possible investment opportunity; can use a condo for rental income.
• Security. Some people appreciate having a condo staff and neighbors nearby.
• Social life. You’re part of a community and will likely know and connect with your neighbors to some extent.
• Amenities. There are often such features as gyms, pools, dog run, coworking space, party rooms, and other perks to enjoy.
Cons of Condos
Next, consider the potential downsides of a condo:
• Association rules. You have to adhere to the guidelines of the community, which may or may not suit you. This can include everything from the appearance of your home’s exterior to when and for how long you may rent your place out.
• Higher interest rates. If you are shopping for a condo to purchase, you may find that the mortgage rates are somewhat higher than what you’d be quoted if you were buying a single-family home.
• Investment risk factor. If you are buying a condo, its value could depend to some extent on other residents and how well they maintain their property.
• Lack of privacy and land. You will have neighbors…so the experience is different from being in your own single-family home on your own land. And you likely won’t have acres of property to plant and use as you wish.
• Rising costs. Your association payments can rise considerably, and assessments are possible as well. That can throw a wrench in your budget.
Recommended: Most Affordable Places to Live in the US
Buying or Renting a Condo: Which Is Better?
Whether you’re better off buying or renting a condo — or any of the other types of houses, from modular home to manufactured home, tiny house to townhouse — depends as much as your own circumstances as it does the cost of buying vs. renting in an area.
• Buying: Assuming you’ve decided to settle down in an area for the next three to five years, you might be better off buying a condo if you have a stable income stream and can cover the down payment and closing costs without emptying your emergency fund.
Given how real estate values have risen in the past few years, buying a condo may be a good choice if you’re looking for long-term investment and a chance to build home equity over time.
• Renting: You may be better off renting if there’s a chance you’ll need to relocate within the next few years, or if any upcoming life events might require you to upsize your residence, like having children.
Here’s a closer look at these scenarios.
Pros of Renting a Condo
Renting a condo gives you all of the benefits of living in a private condo unit without the long-term commitment and upfront costs.
• Few maintenance responsibilities: If you’re renting a condo unit in an apartment building, the association is responsible for maintenance, or in the case of an individually owned HVAC system, the owner is.
• More leeway for negotiation: Reliable renters are hard to come by; some condo owners may be more willing to negotiate your monthly rent than professional property managers are.
• Flexibility to end or extend your lease: As a renter, you can often decide whether to end or continue your lease. This makes it easy to cut ties if needed.
Pros of Buying a Condo
Taking out a mortgage to buy a condo more or less freezes your living costs into the future. This will help you avoid rising rents, though association fees can certainly rise.
• More affordable than single-family homes: The price of a condo is usually lower than a single-family home in a given area. This makes it attractive to homebuyers on a budget.
• Freedom to make it your own: Owning a condo gives you more freedom over such features as the appliances and color palette than you’d likely have with a rental.
• Rental potential: Depending on the rules of your association, you may have the right to rent out your condo to generate income.
Finding a Condo
If you’re ready to go out and shop for a condo, you’ll want to assemble a list of must-haves to narrow your search. This applies whether you’re looking to rent or buy.
Are you looking for a more affordable apartment condo or something with more space like a community development? Browse local listings for condo units that match your requirements.
For those seeking to buy a condo, it’s a good idea to find a real estate agent who’s well versed in condo sales. They know the area and can obtain vital info regarding association rules and financials. It’s important to review the rules and fees, and check for any special assessments and their frequency over the years.
Condo Tips
A few more suggestions as you start your hunt:
• If you are planning to buy, it’s also a good idea to thoroughly understand mortgage basics and have financing lined up with a mortgage company so you’re ready to make a bid on a property.
• Know your budget. A mortgage calculator is an excellent tool for helping you figure out your costs.
• Consider checking this HUD site for FHA-approved condos as your primary residence if you are seeking financing with an FHA loan.
💡 Quick Tip: Keep in mind that FHA home loans are available for your primary residence only. Investment properties and vacation homes are not eligible.1
The Takeaway
What is a condo? A condo is a privately owned unit within a community that can be a good starter home or a place to downsize. Or it might be a wise investment property that can bring in rental income. If you’re able to rent a condo, it’s much like renting an apartment, except your landlord may be the owner.
If you’re interested in buying a condo, realize that condo buyers are able to access the same kinds of loans available to buyers of single-family homes, though rates may be slightly higher.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% – 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It’s online, with access to one-on-one help.
SoFi Mortgages: simple, smart, and so affordable.
FAQ
What’s the difference between an apartment and a condo?
A condo can be a kind of apartment, which is a residential unit that’s part of a larger building. An apartment can be owned or rented, as can a condo. However, a condo is a specific kind of unit ownership in which there are communal facilities and shared maintenance charges.
What is the difference between a condo and a townhouse?
With a condo, you own your unit but not the land under and around it. You pay for your unit (rent or mortgage). Association charges cover maintenance and repairs, and property taxes apply to owners. With a townhouse, the property includes the residence and the land it sits on and that surrounds it. You will pay your rent or mortgage and real estate taxes, but may not be part of an association or obligated to pay those fees.
Is a condo the same as a flat?
Many people use the terms condo, apartment, and flat interchangeably. While an apartment and a flat are the same thing, a condo refers to a style of ownership of a dwelling unit that’s part of a community. It may be an apartment, but the way it’s bought or rented can differ.
Photo Credit: iStock/Edwin Tan
*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
SoFi Loan Products SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
SoFi Mortgages Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.
¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.
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If you’re contemplating joining a gym, the cost of membership will likely play a huge role in your decision. To make sure you spend your money wisely, pay close attention to the gym’s offerings and think carefully about whether you even need a membership to accomplish your fitness goals.
Here’s what to know before signing up for a gym, plus ways you might be able to save on membership.
How much does a gym membership cost?
Gym memberships cost between $10 and $100 a month generally, with even some well-known names on the lower end of that range. But rates can get much higher, especially at luxury fitness clubs.
Determining the true price you’ll pay for a membership can be tricky because many gyms obscure the details. For example, some clubs require a year’s commitment with payment upfront or will tack on a sizable fee.
Here are some of the baseline membership costs we’ve seen advertised at popular gym chains:
Planet Fitness: Starts at $10 per month plus taxes and fees.
24 Hour Fitness: Starts at about $10 a month plus tax.
Crunch Fitness: Starts at $9.95 per month.
Gold’s Gym: Starts at about $30 a month.
Costs can vary greatly depending on factors like the gym’s location, membership tiers and whether you choose to pay monthly or annually. Read the fine print on a gym’s website or ask a membership representative to disclose full pricing details.
What to consider before joining a gym
The price tag is important, but it’s just one of many possible things worth basing your decision on. Here’s what else to take into account as you shop around for a gym.
Your budget
A gym’s membership cost should be considered in context. Add up the other monthly expenses you’ll need to manage, such as groceries and utility bills, to see how much room you have in your budget. This can help you learn whether you’ll have enough money for a basic or top-tier membership, or if you should hold off on signing up for the time being.
If a membership isn’t in the budget right now, consider setting money aside in a separate savings account every month until you reach your target.
The gym’s location
Convenience is key. You’ll probably feel more motivated to visit a gym that’s close to your home, work or school than one in a distant neighborhood. Explore the options in areas you already frequent.
Think about whether a chain or a standalone gym makes more sense for you. Some gyms restrict membership to one specific spot while others allow you to use it at other locations in the network. You might pursue a flexible membership if you’d like access to your gym when traveling or the option to work out at sites near both home and work, for example.
The quality of the gym
Evaluate the facilities. Does the gym have the right type of equipment for the workouts you plan to do? Is there enough equipment to accommodate a rush of gym-goers during peak hours? Are the facilities clean and well-maintained or do they seem rundown?
Pay attention to what else the gym has to offer. Maybe it serves as a larger fitness center with classes and a tennis court. Ask yourself if amenities like a sauna, swimming pool and child care services are must-haves, nice-to-haves or unnecessary.
The gym’s hours
Unless you have a flexible schedule, a gym’s operating hours are going to be a crucial part of your decision. If you can only manage late nights or early mornings, you’ll need a fitness club that’s open at those times. It’s also wise to find out whether the full range of services is available during all hours.
Alternative ways to exercise
Think about if it’s even necessary to join a gym at all. There are many free or low-cost ways to work out, such as jump roping or following along with Pilates videos on YouTube.
If you plan to use only the treadmill at the gym, you could save money by going for a daily run instead. Purchasing your own equipment often costs less over the long term too.
Alternatives won’t always make sense, though. For example, you may not have space for barbells or a stationary bike in your home. Creating a home gym can also be expensive upfront.
Your motivation
How likely are you to go to the gym if you join? Think about your reasons for wanting a membership, plus how difficult it will be to physically get yourself to the gym.
If you have a demanding job or home life, maybe you won’t realistically spend enough time at the gym to make getting a membership worth it.
On the other hand, having a dedicated place to work out surrounded by other people exercising could be exactly the motivation you need.
Trial periods
Many gyms offer free trial periods or one-day passes. Testing out a facility can help you figure out if it’s a good fit before you make a financial commitment. Take advantage of free trials or guest passes at the gyms you’re interested in, if available.
Questions to ask before signing up for a gym membership
You’ve read through the list above and decided that you do in fact want to join a gym. Make sure you fully understand what you’re signing up for first. Getting answers to these questions is a good starting point:
How much would I have to pay upfront to join the gym?
How much does a membership cost on a per-month or per-year basis, including taxes and fees?
What services and amenities are included in the membership? Personal trainers could be one example.
Am I required to sign a contract?
How can I cancel the membership?
How to save money on a gym membership
Before you enroll, look for ways to get a good deal.
Get a referral
Have a friend or relative who’s affiliated with the gym you’re eyeing? Ask them if there’s a referral offer. You could get a deal such as a lower fee, gift card or free week’s worth of membership. The person referring you might receive similar benefits as a bonus.
Piggyback on someone else’s membership
Certain gym memberships include guest privileges, and some plans are designed for family and friends to share. See if you can tag along for free or split the cost with someone.
Use employee benefits
Many companies offer a gym stipend or corporate discount. If you’re employed, ask about any fitness perks that might be available to you. If your company doesn’t provide a discount directly, it may offer a health insurance plan that covers some fitness costs.
Look for offers
Some gyms lower membership costs at certain times of the year, such as Black Friday or New Year’s. Past promotions we’ve seen include waived enrollment fees and two years for the price of one.
Another potential source of savings: your credit card. The right rewards card can help you earn points or get cash back on your membership purchase. Check out some of the best credit cards with fitness perks or see if you can get an offer through your current card.
Ask about special discounts
Some gyms offer reduced membership rates to certain groups such as students, older people or military members. Ask around to find out if you qualify for any discounts.
You’re on the apartment hunt and know you want something on the smaller side. It’s just going to be you, or you and your significant other, so one bedroom is all you’ll need. You start looking around. You see some great one-bedroom places, but they’re a little on the expensive side. Then, you see your first studio apartment. It’s a little different as far as layout goes, but the price looks good and you could make this work … maybe.
It’s not an uncommon debate to have, studio vs. one-bedroom apartment when looking for a new home that’s the right fit for your lifestyle. Before deciding which one is right for you, it’s good to understand how each place is different.
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What is a studio apartment?
Unlike an apartment with bedrooms, a studio is going for a more compact design. “A studio apartment is basically a self-contained unit and houses everything in the single room space except the bathroom,” says Stefan from homedit.
With a studio apartment, you’re getting some variation of a single large room with attached kitchen or kitchenette, and a separate bathroom. It’s a limited area to work with if you want to create the feeling of separate rooms without walls to break up the space. Your design strategies and furniture placement can help establish defined space. You can make it clear which part of your studio is for sleeping, eating or hanging out with friends.
Studio apartments usually max out at a total of 600 square feet but can get as small as 300 square feet. The smaller the space, the more creative you’ll become in finding storage and places for all your things.
Rental prices for a studio apartment, according to the Apartment Guide 2019 Annual Rent Report, average around $1,065 a month. However, which part of the country you call home directly affects this number.
What is a 1-bedroom apartment?
There’s one essential difference between a studio and one-bedroom apartment, and that’s the bedroom. You also get a few more walls and a distinct separation of spaces. There’s a clear division between your living room, bedroom and kitchen. You may also have a few more closets and a dining space.
Square footage in a one-bed has a decent range. Smaller one-bedrooms can equal the size of a large studio. Even with the same square footage, a one-bedroom can end up feeling larger since you’re not looking at all your space in a single area.
One-bedrooms often have a monthly rent that’s a little higher, averaging around $1,140.
Studio vs. 1-bedroom: Factors to consider when selecting your apartment
Understanding the benefits of living in both a studio and a one-bedroom apartment can help you decide which option is best for your next home. The two biggest differences between your options are the obvious ones — size and price.
Not only will you pay more for rent, on average, for a one-bedroom, but utilities will cost more. You’ll have more space to heat or cool. There’s also more rooms with more lights, and more outlets to suck up electricity. When budgeting for a one-bedroom, it’s helpful to take into account your monthly costs of living on top of the rent. You can ask the property owner of the apartment you’re considering to get estimates on utility costs.
The difference in size can mean a little or a lot more room, but it’s really all about what space you need to feel comfortable at home. Some people do better in a more cozy home, while others need room to stretch out.
Beyond the cost and the square footage, there are a few other ways studios and one-bedrooms compare. These key areas should also get factored into your apartment selection.
1. Privacy
In a studio, where you sleep is also where you eat, work and hang out. A one-bedroom gives you the dedicated space of both a bedroom and a living area. It offers more privacy overall because there’s a door to close between rooms. This is especially important if you have friends or family visiting, crashing on the couch or if you need some time away from your live-in significant other.
If you live alone and don’t use your apartment as a place for social gatherings, you may get all the privacy you need in a single room. Without guests sitting on your bed, because there’s nowhere else to sit, you can retain the privacy of your sleeping space without needing a separate room.
2. In-unit amenities
With the extra size of many one-bedroom apartments, there’s the potential for amenities that couldn’t fit in a studio. Your one-bedroom could have in-unit laundry hookups, more than one sizable closet, full-sized appliances and more storage in general. These are great amenities, but not necessary.
The laundry room in your apartment building could be nice enough that you won’t miss having laundry in your studio. Maybe you prefer to send your laundry out so don’t care if there are machines in your apartment or your building. Having a smaller refrigerator is fine while you’re living on your own, so the space-saving appliance in your studio is great.
Amenities, by definition, are bonus items in your home, and many people have different must-haves.
3. Lifestyle
How you like to live can impact what kind of apartment you’ll need. If you like to have friends over for potluck dinners, watch a favorite TV show or sample some wine at a happy hour, you may need an entertainer’s amount of space.
If you’re planning on living alone or with a significant other you’re very comfortable with, you might not feel compelled to have as big of a place. The important thing is to find an apartment with enough space to allow you to keep being you.
The space you need also relates to your professional lifestyle. If you have a job where you’re always traveling and are never home, why get a big place to sit empty? Having a studio that’s compact and easy to care for might be the right step for your lifestyle. If you work from home, it might be more comfortable setting up a desk in its own space and not on top of everything else.
4. Location
The price will once again impact your apartment decision when it comes to apartment location. If you want to live close to a city center or right near work, you can end up in an area of town where the property is more expensive. It might not be affordable to have a one-bedroom, but studio prices could be low enough to get you into your ideal location.
On the flip side, if you want a bigger space and can handle living outside of town, you may find an affordable deal on a one-bedroom right outside the city. According to Forbes, rent can be 31 percent cheaper if you’re living outside of an urban area. You’ll need to factor in the cost of commuting back into the city for work, but you can still come out ahead with the right apartment.
5. Studio vs apartment upkeep
Both decorating and cleaning are easier when you have less space. It’s faster to clean a studio apartment. There are also fewer walls to decorate. That said, the smaller space can lend itself to more clutter since you’re without a lot of storage options. Either way, you’re going to have to clean a bathroom, and nobody likes doing that.
Is a studio or one-bedroom better?
There’s actually no simple answer to this debate since the better place for you revolves around your own needs and budget.
“Deciding where to live is a choice that impacts your lifestyle in many ways. Take the time to compare the cost of living and determine what’s best for you,” says Roger Wohlner from KeyBank. This is sound advice to keep in mind as you consider the pros and cons between studios and one-bedroom apartments.
Want to learn how to make money on maternity leave? Parental leave can be a time of joy and excitement with a new baby around, but it can also mean money stress for parents. While you spend time taking care of your newborn, you may also need to find ways to make extra money to…
Want to learn how to make money on maternity leave?
Parental leave can be a time of joy and excitement with a new baby around, but it can also mean money stress for parents. While you spend time taking care of your newborn, you may also need to find ways to make extra money to pay for your expenses.
I had a baby not too long ago (she is currently 1.5 years old – time flies!), and being able to work while taking care of her has been a lifesaver. So, I understand why you’re reading this article – because I also had to work with a newborn.
The good news is that there are plenty of ways to make extra money while still being present for those early months with your new baby.
Why You May Need Extra Money On Maternity Leave
Many families have to take unpaid maternity leave, and others may find their leave is simply not long enough and want to extend it longer (many families in the U.S. get 3 months or even much less time).
Not only that, but maternity leave is an expensive time with medical bills coming in, the cost of baby essentials (diapers aren’t free!), and everyday living costs.
Also, there might be unexpected costs that weren’t part of your maternity leave budget. Perhaps your baby needs special formula or medication, or maybe your car broke down. These unplanned costs can put a dent in your finances, especially when your income may already be reduced during your maternity leave.
Or, you might also be looking to create a financial cushion for the future such as by saving for vacations or even starting a college fund for your baby. So, finding ways to make extra money during your maternity leave can be very helpful.
Recommended reading:
How To Make Money On Maternity Leave
When trying to earn money during maternity leave, here are three things to think about:
Flexibility is key – Choose work that can adapt to unexpected baby-related needs. It should let you manage your time effectively.
Think about earnings and growth – Think about how much you can make, how quickly, and if there’s room to grow.
Pick something you like and fits your goals – Do you enjoy the work? You may want to find work that matches your interests, skills, and future plans.
Read further to learn how to make money on maternity leave.
Top ways to make money on maternity leave
There are 27 ways to earn extra money on maternity leave listed below. If you want to skip the list, here are some jobs that you may want to start learning more about first:
1. Start a blog
Blogging is my favorite way to make money from home, and this is what I do while also raising my daughter.
Being a blogger involves creating content for online readers. You have the freedom to write about a topic you’re interested in (such as finance, travel, lifestyle, or family,) and freedom to decide how you want to make money on your blog – there are many different ways available such as affiliate marketing or displaying ads.
Blogging is my main source of income, and it has completely changed my life. I have the freedom to travel whenever I want, set my schedule, be my own boss, and I can spend all day with my daughter.
Learn more at How To Start A Blog FREE Course.
2. Sell printables on Etsy
Creating and selling digital printables on Etsy is a great way to work on your own schedule and earn money.
Plus, it is fairly passive income as you only have to make one digital file for each printable, and you can sell it as many times as you like. Another positive is that you can start it very affordably because you only need a laptop and internet.
So, what is a printable? They are digital items that you can download and print at home, such as grocery shopping checklists, budget planners, wedding invitations, wall art, and more.
I recommend signing up for Free Workshop: How To Earn Money Selling Printables. This free training will give you great ideas on what you can sell, how to get started, the costs, and how to make sales.
Recommended reading: How I Make Money Selling Printables On Etsy
Other than printables, there are many other things you can sell on Etsy as well, such as soap, candles, jewelry, and more.
3. Transcription work
Transcription jobs are flexible and can be done from home. By turning audio files into text, you can earn money when it’s most convenient for you.
An online transcriptionist listens to audio or video recordings and writes down exactly what is being said. This process is called transcribing. The goal is to do this without any errors in spelling, grammar, or punctuation.
If you want to learn how to make money on maternity leave, this can be a great option as you can do this at home.
I recommend watching Free Workshop: Is a Career in Transcription Right for You? to learn more.
Recommended reading: 18 Best Online Transcription Jobs For Beginners To Make $2,000 Monthly
4. Freelance writing
Freelance writers write articles, website content, social media posts, or even ebooks for clients.
I was a freelance writer for many years before switching to working full-time at writing here on Making Sense of Cents. It is a great career path where you can work from home and make your own schedule, such as writing while your baby is sleeping.
Recommended reading: 14 Places To Find Freelance Writing Jobs For Beginners
5. Virtual assistant
One of my first side hustles was working from home as a virtual assistant. This is a great way to work from home and have your own schedule.
Virtual assistants do many different kinds of tasks for clients, such as answering emails, scheduling appointments, managing websites, sending invoices, and so much more. It simply depends on what the person who is hiring you needs done.
If you want to become a virtual assistant, I recommend watching the free training 5 Steps To Become a Virtual Assistant.
Recommended reading: Best Ways To Find Virtual Assistant Jobs
6. Bookkeeper
If you’re good with numbers, you could sell bookkeeping services online or for small businesses, either on a freelance or part-time basis.
Bookkeepers are individuals responsible for managing financial things for businesses. This includes recording sales, tracking expenses, and generating financial reports.
If you want to become a bookkeeper, I recommend watching the free training How To Become A Bookkeeper.
Recommended reading: How To Find Online Bookkeeping Jobs
7. Freelance graphic design
With design skills, you can create logos, website designs, business cards, marketing materials, and more for clients and make money even during your maternity leave.
Recommended reading: How To Make Money As A Digital Designer
8. Data entry
Data entry clerks are like computer organizers. They enter, update, and double-check information in lists or tables. They type things like numbers and names to keep everything neat and organized.
Data entry jobs pay around $15 to $20 an hour, on average.
9. Create Canva templates
A Canva template is a pre-made design you can sell for things like social media graphics, ebooks, and presentations. It’s a handy starting point if a person is not great at designing from scratch.
Businesses, advertising professionals, social media influencers, and more all buy Canva templates all the time.
Canva templates have blank spaces where you can add your own words and pictures. You can also change colors and fonts to suit your preferences. They’re really useful for making things look good without spending a long time on it.
With Canva templates, you can sell a single design an unlimited amount of times. If you are looking for something passive, this is a great way to learn how to make money on maternity leave.
Recommended reading: How I Make $2,000+ Monthly Selling Canva Templates
10. Tutor
Tutoring students can be a great way to make money while on maternity leave, as there are many options to tutor from home. You may be able to create your own schedule and pick how much or how little you would like to work.
You can find online tutor jobs on websites such as Tutor.com. If you’d prefer to do in-person tutoring, you can call or email local tutoring companies in your area or share your tutoring services on social media or in local Facebook parent groups for your area.
Recommended reading: 11 Best Places To Find Online Tutoring Jobs (Make $100+ an hour)
11. Rent out your baby gear
Since you have a baby, you probably have a lot of baby gear.
Did you know that you can make extra money by renting it out?!
Renting out your baby gear on sites like BabyQuip can be a game changer when it comes to making extra income during maternity leave. This site allows you to share your baby items with families in need (such as a person on vacation), turning your baby gear into a source of income.
From strollers and cribs to high chairs and toys and more, you can list many different items on BabyQuip’s site.
Plus, you don’t need to have a lot of baby gear in order to get started – you can start with as little as a crib (which is the most commonly rented item).
According to BabyQuip, the average person can earn around $1,000 a month, and some are able to make over $10,000 per month.
12. Baby sleep consultant
As you already know, sleep is so important for a baby (and for the parents!).
You can earn a living while on maternity leave by becoming a sleep consultant. This is where you help other parents by helping them improve their baby’s sleep habits and routines.
Pediatric sleep consultants are experts in helping children sleep better and they make a big difference in families’ rest.
Read more at How To Become A Sleep Consultant And Make $10,000 Each Month.
13. Deliver groceries
If you want a flexible side gig while on maternity leave (and you also have someone to watch your child), then you may want to look into delivering groceries and food.
This can be a flexible side hustle because you can choose your hours and how much you’d like to work each week.
Services like Instacart need grocery shoppers, and the average shopper makes $15 to $20 an hour to deliver groceries. Drivers are paid per order, and you get to keep 100% of your tips. With Instacart, you would be physically going into grocery stores, picking out the food items yourself, checking out, and then delivering the groceries to your customer.
You can also learn more at Instacart Shopper Review: How much do Instacart Shoppers earn?
There are other food delivery gigs that you can do as well, such as GrubHub, Uber Eats, and DoorDash.
14. Airbnb host
If you have a separate space to rent in your home, such as an in-law’s quarters or an apartment above a garage, then you may be able to make money during your maternity leave by renting this space out.
You can learn more about this at What You Need To Know About Renting A Room In Your House.
15. Pet sit
If you are a pet lover, consider pet sitting for friends, family, or through an online service. It’s a great way to make some extra cash while you’re home and can be a fun addition to your day if you already have pets and babies at home.
If you’re interested in watching pets or dog walking, Rover is a platform where you can list your services and find clients.
16. Answer surveys
While answering online surveys and focus groups isn’t a way to make a ton of money, it can be a way to earn some extra money with whatever spare time you have from your newborn (such as when they are sleeping).
You simply share your opinions and answer simple questions, and in return, you can get cash or rewards like Amazon gift cards.
The survey companies I recommend include:
Survey Junkie
Swagbucks
Branded Surveys
InboxDollars
PrizeRebel
American Consumer Opinion
User Interviews – These are the highest paying surveys with the average being around $60.
Recommended reading: 18 Best Paid Survey Sites To Make $100+ Per Month
17. Affiliate marketing
If you want to learn how to make money while on maternity leave, one of my favorites is affiliate marketing.
I have been an affiliate marketer for years through this blog, and it is what allows me to stay at home with my daughter.
Affiliate marketing means making money by sharing a referral link on your website, YouTube channel, social media account, and more. When people use your referral link to purchase something, you then earn money.
For instance, consider sharing books from Amazon on your blog. You give your readers a link to a particular book and encourage people to buy it through your affiliate link. Companies like Amazon value affiliates who bring in high-quality traffic because they appreciate the extra support in helping them make more sales.
If you want to learn more about affiliate marketing, I recommend Affiliate Marketing Tips For Bloggers – Free eBook.
18. Proofread and edit
If you have an eye for detail, you may be able to sell your services as a proofreader or editor for different types of content.
Writers, business owners, and more hire proofreaders and editors to improve their work. There’s a big need for these types of positions, and you can find jobs through many different platforms.
If you want to become a proofreader, I recommend joining the free 76-minute workshop – Learn How to Become a Proofreader…and Start a Freelance Proofreading Business.
Recommended reading: 20 Best Online Proofreading Jobs For Beginners (Earn $40,000+ A Year)
19. In-home childcare
One great way to make money while on maternity leave is to provide childcare services for other families in your area, either part-time or full-time.
This is one of the best stay at home jobs for someone on maternity or paternity leave because it allows you to stay home with your kids while making money at the same time.
Depending on your location, you might need specific licenses. But you could potentially begin without the extra legal steps by working with just one or two children. Just be sure to verify with your local city or state regulations beforehand. It’s also very important to make sure that your home is safe for children and that you are CPR certified.
20. Sell baked goods
Do you like to cook? You may be able to make money at home by starting a home bakery for people and/or pets. You can sell homemade baked goods at local farmers’ markets or online too.
You can read more at How To Make Extra Money By Starting A Home Bakery. Here, you’ll learn about the equipment you need to start a home bakery, food laws, how much to price your baked goods at, and more.
If you are interested in baking goods for pets, then I recommend reading How I Earned Up to $4,000 Per Month Baking Dog Treats (With Zero Baking Experience!).
21. Stock photo photography
Selling stock photo photography can be a great way to learn how to make money on maternity leave. This is because you would be working for yourself and can take pictures in your free time.
Stock image sites are popular sites for photographers to sell their photos. These sites allow customers to purchase pictures for various uses like websites, TV shows, books, and social media.
One great thing about stock photo sites is that they can be a great form of passive income. You can take pictures, upload them, and earn money from an older photo for months or even years in the future.
Recommended reading: 18 Ways You Can Get Paid To Take Pictures
22. Social media manager
Social media managers handle businesses’ social media accounts with the goal of attracting new customers and helping a business grow.
They might share images or videos showcasing products or the company, take part in popular social media trends (like on TikTok) to increase visibility, and respond to common customer questions.
23. Book reviewer
Book reviewers read books and share what they think through paid reviews.
Yes, there are websites where you can receive payment (as well as a free book) for sharing your thoughts about books. Some companies that pay for book reviews are Online Book Club, Kirkus Reviews, and BookBrowse.
Recommended reading: 16 Best Ways To Get Paid To Read Books
24. Flea market flipper
A flipper buys items from places such as garage sales, Facebook Marketplace, or thrift stores and resells them online for a profit.
You may be able to earn extra money by flipping items for resale or possibly earn a full-time income! You can even be able to make this a more flexible gig, such as only working during nap times.
A helpful free training that I recommend is Turn Your Passion For Visiting Thrift Stores, Yard Sales & Flea Markets Into A Profitable Reselling Business In As Little As 14 Days.
25. Rent out storage space
If you have unused space in your home, you can sell it as storage for rent to people in your local area. This can be a garage, driveway, closet, basement, or even an attic.
You can use a site called Neighbor to list any extra space you have available for rent and have the potential to make up to $15,000 per year.
You can sign up at Neighbor for free here and list your space.
You can also learn more about Neighbor at Neighbor Review: Make Money Renting Your Storage Space.
26. Sell an online course
Selling an online course is a great option for stay-at-home moms and dads who want to have control over their schedule and earn a somewhat passive income.
Some topics that you can teach in a course are:
Fitness and exercise programs
Time management and productivity hacks
Parenting
Arts and crafts
Languages
Programming
Personal finance
Traveling
Photography and photo editing
Plants and gardening
Baking and pastry making
And so much more!
You can sell a course in many different ways, such as through Udemy or Teachable.
27. Rent out your unused RV
Instead of letting your RV sit in your driveway unused, you can list it on RVshare and make some semi-passive income. My sister has rented a few RVs from this site, and she has had a great experience each time!
Renting out an RV can earn you anywhere from a couple hundred dollars to a couple thousand dollars each month.
How To Manage Your Money On Maternity Leave
Managing your money while on maternity leave can be tough at times. If you are looking for more things that you can do other than only learning how to make money on maternity leave, you do have some options.
Below, I will be talking about how to cut your budget so that you can save money, as well as your rights and benefits on maternity leave.
Cut your budget
During parental leave, cutting your budget can be a great way to manage your finances while adapting to life with a newborn.
Here are a few ideas to help reduce your expenses during this time:
Evaluate your current spending habits to determine where you can make adjustments – This might involve tracking your spending for a month or looking back at bank statements. You’ll likely find areas where you can save, such as dining out, entertainment, or shopping.
Cut back on subscriptions and memberships – Assess each subscription and determine the must-haves and those you can temporarily suspend or cancel.
Batch cook freezer meals before the baby comes – This is where you make a bunch of meals before the baby is born and freeze them. This can give you an easy meal to pop in the oven before the baby comes.
Cook at home – Getting food delivered can be convenient, but it’s usually more expensive than making your meals at home. Plus, cooking allows you to control ingredients and portion sizes.
Buy in bulk – When possible, get the items you use most frequently in bulk. Items like diapers, baby wipes, and nonperishable foods have a longer shelf life, and buying them in larger quantities can offer considerable savings.
Get secondhand and borrowed items – Instead of buying new baby gear and clothing, try borrowing from friends or family, or shopping at thrift stores like Once Upon A Child. Babies grow quickly, and they often outgrow items before they wear out.
Negotiate medical costs – If you have medical bills, you can try to negotiate them. Medical providers may be open to setting up payment plans or giving discounts for paying up front.
Short-term disability insurance
You may want to look into short-term disability insurance options before your maternity leave starts to help cover lost wages during your time off.
In some cases, your employer may provide this benefit, or you can purchase a policy separately. These policies typically cover around 60% to 80% of your regular income and may have a waiting period before benefits start (so, you will need to have the policy before you get pregnant).
Government assistance programs
There are government assistance programs that could help you during your maternity leave. For example, the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) has nutrition education, breastfeeding support, and healthy food benefits for eligible families.
You can also check to see if you qualify for financial assistance from your state or other programs related to maternity and family support.
Find charities for help
During maternity leave, managing money might be tricky, but there are places that can help, like charities and groups that want to support new parents. You can find them online or at local community centers. Libraries, online parent groups, and special organizations are also great places to get help.
Remember, asking for help is a strong and smart thing to do, and there are lots of resources out there to help parents during this special time.
I recommend reading:
Know your state and federal law rights
I recommend learning about relevant state and federal laws governing maternity and family leave. The Family and Medical Leave Act (FMLA) allows eligible employees to take up to 12 weeks of unpaid, job-protected leave for the birth or adoption of a child. The law also says that you cannot be replaced or overlooked for pay raises and other promotions during your leave.
However, paid maternity leave policies differ by state and company. Some employers may offer a certain amount of paid leave, while others may offer none. Make sure to review your state’s laws and your employer’s policies to understand your rights during your maternity leave.
By knowing your rights, insurance options, and the benefits available to you, you can better plan your financial strategy during your maternity leave.
Frequently Asked Questions About How To Make Money on Maternity Leave
Below are commonly asked questions about how to make money while on maternity leave.
Can I make money while on maternity leave? Are you allowed to make money while on maternity leave?
If you are in the U.S., then yes, you should be able to make money on maternity leave. If you are unsure, check your employment contract or talk to your employer’s human resources department to be positive.
Before starting any side income streams, if you’re worried about whether or not you are allowed to make extra money while on maternity leave, then double-check your company’s policies and your leave agreement to make sure that earning money during your time off is permissible. Some employers may have restrictions on outside work or income during your leave.
How do I survive financially during maternity leave?
To survive financially during your maternity leave, you may need to find ways to cut your budget as well as learn how to make money on maternity leave.
Does unpaid maternity leave qualify for unemployment? Can you collect unemployment after having a baby?
This depends on why you are no longer working at your job. If you simply stopped working because of your pregnancy, then you may not be able to receive unemployment pay.
However, if you are pregnant or recently had a baby and were fired or laid off, then you may qualify for unemployment pay.
What are some ways to make money while on maternity leave? How can I make money while taking care of my baby?
There are many ways to make money while on parental leave, such as by working online, selling photography, renting out storage space or an RV, and more.
How can new mothers use their time efficiently while working from home?
Time management is important for new moms working from home. I recommend creating a routine, setting realistic goals (if you are working and watching your baby, it won’t always go perfectly), and designating work hours during the baby’s nap time to help manage work alongside childcare responsibilities. It’s also important to take regular breaks to avoid burnout and feeling stressed. Working while also taking care of a child can be very tiring.
How to Make Money on Maternity Leave – Summary
Federal law, specifically the Family and Medical Leave Act (FMLA), does not require employers to give paid maternity leave. Eligible employees are allowed to take up to 12 weeks of unpaid leave, and because of this, you might be worried about money during your maternity leave or feel like you can’t afford to take the full 12 weeks.
There are many ways to make money while on maternity leave, which may help you to pay your bills without sacrificing quality time with your new baby.
For example, you can sell handmade items or even sell consulting services. Remote jobs and work-from-home jobs are also an option (and my favorite), allowing you to use skills like graphic design or writing to make money.
Remember, it is possible to make money while on maternity leave. Yes, it will most likely be very hard at times and even feel impossible. But, you do have many options to try and make it work.
Do you want to learn how to make money on maternity leave?
In home decor, the style as of late has been embracing our inner senior citizen. But the “Coastal Grandma” style that’s been everywhere for the past year is officially out, and there’s a new elder-inspired trend ready to take its place: “Grandpa Chic.”
It’s a more masculine spin on recent trends that evokes a sense of warmth, comfort and history. Think rich tones like burgundy, olive green and tobacco brown paired with traditional and natural materials like dark woods, plaid textiles and leather. Oh, and don’t forget vintage items. They fit right into the “Grandpa Chic” aesthetic, naturally.
Get all your ‘Grandpa Chic’ must-haves on Etsy
If you’re looking for some “Grandpa Chic” pieces to add to your home, Etsy is the place to go. These selections lend just the right rustic touch.
WrenBirdLane Plaid Dog Bed Cover
Plaids are huge in the “Grandpa Chic” aesthetic, so if you have a furry friend, this dog bed cover is a great way to bring a little bit of this look into your home. Made from soft-yet-sturdy drapery fabric, these covers are durable and washable. They come in two colors with sizes ranging from extra small to extra large.
disirlab Green and Red Tartan Print Pillow
These tartan throw pillows come in two sizes and make the perfect colorful yet still neutral accent to dress up your couch or an accent chair. The dark olive and navy tones bring depth to any space. The covers are removable and washable.
BrickwallsBarricades 2-Pcs Luxury Leather Placemats Set Round
For a unique, Grandpa-inspired look for your holiday table, these leather placemats are a must-have. They’re available in black and brown and made of quality raw leather. They’re sure to get your entire holiday table talking.
wearebreadandjam Personalized Christmas Bauble
This personalized ornament is available in three wood finishes: ebony, mahogany and Lindenwood. All three fit the “Grandpa Chic” aesthetic with dark wood tones and natural grain. The ornaments can be personalized with the recipient’s initials, and they open to reveal a small gift, a letter or a collection of hopes and wishes.
JUDATLV Leather and Brass Black Dreidel
This unique dreidel is made from black leather and brass for a modern yet timeless look that perfectly fits the “Grandpa Chic” aesthetic. It’s handmade in Israel and comes packed in a beautiful gift box for easy giving this holiday season.
martinapalacios Terracotta Mug
This handmade ceramic mug is rustic and simple, ideal for the masculine vibe of a “Grandpa Chic” home. It’s lightweight, easy to hold, and has a capacity for 10 ounces of coffee, tea or whatever other beverage suits your fancy.
This leather Christmas stocking is handmade and will look spiffy hanging from your mantle in front of a roaring fire this holiday season. Made from European cow leather tanned in the Netherlands, it’s a truly unique gift.
AvadirAndCo Custom Engraved Marble Wood Coasters
With mixed wood and dark marble, these coasters embody the “Grandpa Chic” style. Get them engraved to make a one-of-a-kind gift this holiday season.
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Christina Marfice writes for BestReviews. BestReviews has helped millions of consumers simplify their purchasing decisions, saving them time and money.
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Inside: Looking for the best travel essentials? Look no further! This guide has everything you need to pack for a trip.
There’s no feeling quite like the thrill of embarking on a new adventure, and with these top-notch travel essentials, your journey is set to be an absolute blast!
These travel essentials play a crucial role in not just enhancing your travel experience but also in keeping your trip organized, efficient, and absolutely “funner”!
Prepare to soar into hassle-free travel filled with joy, convenience, and unforgettable moments.
Many of my readers diligently save for their vacation and sometimes forget the small details like – travel essentials.
Traveling can transform from a stressful ordeal into an exciting escapade when armed with these must-haves that smart travelers swear by.
So, buckle up for an exhilarating journey ahead, knowing you’re perfectly prepared to take on the world. Let the adventures begin!
What are Travel Essentials?
Getting back to travel? Isn’t it just lovely!
Well, travel essentials are your new best friend! Waves of seasoned globetrotters have prepared this special guide for your benefit.
These items qualify as essentials because they streamline the packing process, afford comfort while traveling, and add a dash of fun to your adventures.
Also, there are so many cool gadgets available now that make traveling seamless.
What things are essential for Travelling?
Before you head off on the trip of your dreams, pack the right travel essentials to maximize your fun!
Meds: Don’t forget your prescriptions and common medicines for allergies or pain. Remember, health first!
Travel Insurance: Give yourself peace of mind by buying travel insurance – especially if you are traveling internationally.
Travel Credit Card: Credit cards are a simple way to pay when traveling. Make sure you have no foreign transaction fees!
Document Copies: Keep digital copies of essential documents to minimize panic and ensure quick verification in case of loss. And share this with someone in case you lose your phone!
Joyous journeys come from well-prepared travelers!
This post may contain affiliate links, which helps us to continue providing relevant content and we receive a small commission at no cost to you. As an Amazon Associate, I earn from qualifying purchases. Please read the full disclosure here.
What are 3 items to take on vacation?
Embrace the exhilarating aura of preparing for your much-awaited vacation!
Tuning into your needs and wants as a traveler, three crucial items stand out as top priority:
Anti-Theft Bag: This is an ideal travel companion – it comes with built-in security features that keep your belongings secure, reducing the risk of theft during your travels. With advancements in fashion, you can now find stylish options with exceptional functionality, making them perfect for vacations where style and security are priorities.
eReader: like the Kindle Paperwhite, makes the perfect vacation companion as it combines the portability and weightlessness of a single book while providing the capacity to store thousands of novels for entertainment. Moreover, its adjustable light settings and long battery life facilitate reading during transit, whether it’s mid-flight or at night, without disturbing others – a luxury traditional books can’t offer.
Tech Organizer Case: ensures all essential tech accessories like cables, adapters, and devices are neatly organized and easily accessible. This not only eliminates the hassle of rummaging through your bag for a tangled cord but also helps to maximize the efficient use of space within the bag.
Remember, the key is to pack smart and embrace savvy travel essentials that optimize comfort and convenience!
Best Travel Essentials Everyone Wants
Planning for a trip often entails the excitement-charged task of selecting the right essentials to pack.
This section highlights the best travel essentials that everyone craves, from the appropriate attire to tech gadgets, that go a long way in enhancing convenience during your journey.
These items, carefully curated by experienced travelers, promise to make every trip, whether short or long, a hassle-free experience.
1. Apple AirTags
Get ready for your next adventure with a travel essential that’s as smart as it is useful – the Apple AirTag.
This tiny gadget can make your trips stress-free by preventing the harrowing instances of lost luggage.
As a modern-day traveler, you’ll love the security it brings to your journeys. Simply sync the AirTag with your ‘Find My map’ and place it in your luggage to keep track of your belongings from point A to point B.
Lost luggage is increasingly common, but with an Apple AirTag, you’re covered.
Don’t forget these handy AirTag holders!
2. Travel Backpack
A travel backpack is your next must-have travel essential!
It’s an easy and convenient way to keep all your essentials – think wallet, phone, keys, passport – in one place, and with some even featuring a built-in USB port, you’ll never run out of battery on the move.
Its versatility and functionality, such as several compartments for organization and a separate section for shoes, are just unbeatable. Seriously, these travel backpacks are way cooler than your backpack from high school!
3. Luggage Scale
Traveling soon? Don’t even think about neglecting the trusty luggage scale!
This small but mighty tool, loved by frequent travelers like us, is your ticket to a stress-free journey.
With this compact gadget, say goodbye to dreaded overweight baggage fees.
Pack it in your carry-on for on-the-go convenience and weigh it with precision every time. One of my best gifts ever!
4. Anti-Theft Bag
An Anti-Theft Bag offers peace of mind when traveling, with built-in safety features deterring theft. These bags aren’t just secure but also fashionable, which is perfect!
The locking zippers act as a deterrent against potential theft as they add an additional barrier of protection.
Moreover, the incorporation of RFID blocking technology in these bags ensures your valuable information stays protected. This technology prevents identity theft by safeguarding any object with an RFID chip, such as passports issued after 2006 and credit/debit cards, from being read through your bag.
While traditionally, anti-theft bags have been seen as lacking in style, new versions of these bags are coming up in several fashionable options. As stated, they are now available in various colors like navy, charcoal, merlot, and blush apart from the usual black.
5. Underwater Action Camera
As a travel essentials superstar, the Underwater Action Camera ensures you never miss capturing a thrilling aquatic adventure. Turning ordinary snapshots into extraordinary keepsakes, this camera becomes a must-have for wanderlust souls.
Remarkably sealed, this camera captures stunning photos even from underwater.
Perfect for beachy holidays, and even more beneficial for snorkelers and swimmers.
Get for a tech-free vacation!
Pro tip: Master using this camera during daylight for better results.
6. Bluetooth Earbud Transmitter – Perfect to Use Your Airpods Pro
Head off on your next adventure armed with the Twelve South Bluetooth Audio Transmitter. This coveted travel essential turns your flight into a personal cinema!
Its superb features include high-quality sound transmission, pairing capabilities with airplane TVs, and functioning as a headphone splitter.
Ideal for tech-savvy travelers and those who love using their own headphones.
7. External Portable Charger
Don’t forget your portable charger – it’s a true travel hero! Imagine never running out of battery while navigating unfamiliar territories or capturing memorable moments.
This external power bank ensures your devices always stay juiced up.
Lightweight and compact size
Fast-charging capability
Can charge multiple devices at once.
Expert tip: Choose a charger that can power your device type at least 4x from zero battery.
8. Lightweight Luggage
Investing in lightweight luggage helps travelers avoid excessive baggage fees.
This is what we did over ten years ago and I can truly say we have saved thousands of dollars.
Look for luggage that weighs less than ten pounds. With most airlines capping luggage weight between 40-50 pounds that gives you 30-40 pounds of your stuff that you can pack.
While it is an upfront investment in new luggage, you will significantly reduce the risk of incurring additional fees.
9. Travel Wallet
This is something I picked up right before my last flight (teal of course)! I loved it because it was lightweight and compact size for easy carrying. Even in my yoga pant pocket!
Heald exactly what I needed with organized compartments for ID, cash, and credit cards
Sleek design that suits any style
RFID protection to keep your information safe
Travel wallets are perfect for minimalist travelers who love simplicity and security.
Learn how much cash can you fly with. It is more than your travel wallet!
10. Passport Holder
A passport holder: the travel essential you never knew you needed.
It’s the perfect companion for safeguarding your most priceless travel accessory – your passport.
Super convenient, passport holders come equipped with slots for important IDs, boarding passes, and even stashed currency.
The RFiD-blocking feature ensures your personal details remain secure from potential scams.
If you are traveling internationally, then this is something you want to seriously consider.
11. Tech Organizer Case
It’s a must-have to neatly stash all your tech essentials. Never be frazzled by tangled cords or lost chargers again.
The Tech Organizer Case, like the top pick FYY Electronic Organizer, is your ultimate travel buddy ensuring a clutter-free trip.
Ample space for multiple chargers, durable, and easy-to-use zippered compartments.
Be the organized traveler everyone envies!
12. Portable Door Lock
You mustn’t miss out on the Portable Door Lock when packing your travel essentials! This compact lock adds top-notch security and peace of mind to your trips.
Portable door locks are hot on the list of travel essentials because of their simplicity – easy to use, install, and pack in your luggage.
Best for solo travelers and Airbnb guests, this device prevents unexpected entrance even with a key.
Pro tip: Always test the lock right after installation for foolproof safety.
13. Carry-On Rolling Luggage
With precise packing, it is feasible to fit everything you need into this one carry-on, thereby ensuring a seamless travel experience.
Picking the best carry-on rolling luggage for your needs requires careful consideration. Rolling luggage with 4-wheels can be ideal as it takes the weight off your wrist and can be rolled effortlessly by your side.
Spacious enough to accommodate all your travel essentials like laptop, shoes, etc.
Opt for brands that offer a good warranty to ensure the durability of your luggage.
If your travel involves different types of terrain or switching from airports to cobblestones, you might want to consider a wheeled backpack which can be rolled or carried as needed. Lastly, always ensure that your chosen luggage is lightweight, versatile, and
These suitcases not only provide convenience due to their mobility but also allow the freedom to avoid checked luggage.
14. Toiletry Bag
Toiletry bags have become an essential part of smart packing for travel.
Hanging toiletry bags, like the Bagsmart option, represent a game changer, contributing significantly to an organized, convenient, and hassle-free travel experience.
Pick one that has the ability to accommodate a week’s worth of travel-size toiletries.
15. Travel Duffel Bag
Whether it’s a long adventure or a weekend getaway, a travel duffel bag is incredibly useful.
It holds your essentials—clothes, tech gadgets, toiletry bag, keys, phone—safely and conveniently.
Remember the thrill of keeping all your belongings organized? You get that with the multiple compartments.
Also, let’s not forget about that separate section for shoe storage—talk about clutch!
Best feature? Some come with a built-in USB port to ensure your devices are always charged.
Expert tip: Look for a bag that’s airline-compliant, lightweight, and durable.
16. Travel Pillow
Ready for your next adventure? Don’t forget your travel pillow – it’s your key to ultimate comfort!
Many popular Travel Pillows offer tailor-made support for your head and neck, especially on those long-haul flights. It’s lightweight and packs easily, meaning less hassle for you.
Best for those who value a peaceful in-flight snooze, this game-changing essential comes with a memory-foam wall offering unmatched comfort.
Pro Tip: Pair it with the EverSnug travel blanket, It doesn’t just keep you cozy but doubles as a compact cushion too! Now, that’s travel made comfy and convenient!
17. Sunglasses Case
Off to a sun-soaked adventure, you need a nifty sunglasses case! It’s a must-have to safeguard your shades from damage while in transit.
Perfect for those eyeing to pack multiple pairs of sunglasses, you’d love this.
Expert tip – Choose a case that securely holds your glasses snugly, ensuring no damage takes place during the journey.
18. Contact Lens Case Kit
After my last late night flight, I was determined to find a better system for my contact. Enter the Contact Lens Case Kit.
Perfect for maintaining your vision care away from home, this kit boasts a mirror, mini solution bottle for your contacts, lens case, tweezer, and remover tool.
You can also get a contact lens and glasses case combo travel kit!
This handy, compact kit is an asset to anyone wearing contacts. Not only will it make your travel simpler, but it’s also affordable, priced under $10.
19. Reusable Water Bottle
Set off on your travels with the ultimate companion, a reusable water bottle!
Refill at any airport water fountain and save on plastic and expenditure – a savvy choice for our planet and wallet!
Plus this is a frugal green item with less plastic waste and sustainable hydration.
Expert Tip: Pack Liquid IV or Nuun tabs to make your drink a fun experience!
20. Packing Cubes
Say goodbye to disorganized luggage with packing cubes—your best travel buddy!
They’re a lifesaver for the frequent flyer seeking an organized and hassle-free travel experience. Especially those traveling with kids!
With features like shoe sleeves and compressibility, they’re ideal for chronic over-packers or shared-luggage travelers. I cannot say how helpful packing cubes are for trips!
21. Luggage Straps
Luggage straps are a travel essential you shouldn’t overlook! These handy accessories offer added security and ease for every traveler.
Designed with durability and convenience in mind, luggage straps, such as the TSA-approved luggage nylon straps, keep your checked bags secure during long flights. You’ll also love their visibility feature – bright neon colors that make your suitcase easily identifiable!
Ideal for people frequently on the go, they’ve garnered solid endorsements from seasoned travelers.
22. Travel Pill Box
Say goodbye to loose pills and experience medication portability at its finest with the Travel Pill Box – a real game changer for travel essentials!
The sheer convenience it offers makes it a must-have for every traveler.
The Travel Pill Box keeps your medications organized with multiple compartments that can be labeled as you wish.
Ideal for people on the go, it eliminates the need for bulky pill boxes and plastic bags.
Expert Tip: Allocate distinct sections for different medications and times of the day to ensure regularity even when your travel schedule is unpredictable.
23. Universal Travel Adapter
This top-quality adapter is a jet-setter’s delight, ensuring you’re always powered up on your globe-trotting adventures.
A travel adapter is a useful device that allows travelers to use their electronic devices in countries where different plug standards are used. It provides a hassle-free way to keep electronic devices like laptops, phones, or cameras powered up, vital for staying connected and entertained during international travels.
With its functionality in over 150 countries and capacity to charge six devices simultaneously, it’s perfect for the tech-savvy traveler.
Remember, it’s not a voltage converter, so ensure your devices are dual-voltage. If not, pack an adapter that converts voltage.
24. TSA Approved Luggage Lock
Secure your luggage with the TSA Approved Luggage Lock, an absolute must-have for every savvy traveler.
With this lock, enjoy peace of mind on your journeys, assured your luggage is safe and no one has been through your stuff!
Featuring easy-to-read dials, an inspection indicator, and a durable zinc alloy design, it’s perfect for frequent flyers and security-conscious travelers.
Expert Tip – Always lock your suitcase when unattended to deter theft. And carry an extra in case yours is lost.
25. TSA Approved Travel Bottles
These TSA Approved Travel Bottles are magnificent game-changers for any frequent flier.
They’re precisely designed, with an easy dispensing mechanism, and leak-proof tops, plus conform to TSA size limits.
A supreme choice for savvy travelers, they’re reusable, eco-friendly, and wallet-friendly.
26. Luggage Cup Holder
The Luggage Cup Holder is about to be your new jet-setting best friend. (In fact, I’m buying this for my son for Christmas.)
This genius accessory deftly holds your coffee or water bottle, freeing you up to maneuver through busy airports effortlessly.
Even better, it features a handy pouch for storing essentials like ID’s or credit cards.
Juggle less and travel more, with this brilliant travel necessity!
27. Compression Socks
Long-haul flights call for compression socks! They increase blood flow while reducing swelling and the risk of blood clotting which may occur due to prolonged periods of sitting, such as during long flights.
Thankfully, they are way more stylish than the traditional hospital-issued white compression socks. This has caused their popularity to soar, providing pressure from the ankle upwards, making them essential for flights.
These socks provide graduated compression especially high at the ankles and reduce upwards towards the knee, facilitating increased blood flow.
Moreover, they are not only meant for those with medical conditions, but also beneficial for travelers, athletes, and those who stand for long hours at work. They enhance overall leg health by minimizing swelling, fatigue, and discomfort, thus improving the quality of your daily activities and sleep.
28. Cruise Luggage Tags
Get ready to sail in style and convenience with one indispensable travel essential – cruise luggage tags.
It’s that little gadget you never knew you needed until you’ve used one and seen its magic.
Here’s why: These tags make your bags unmistakable, reducing the risk of losing them amidst a sea of sameness. It’s a godsend for frequent cruisers as your company-issued tags won’t fall off.
Go for brightly-colored, durable tags. A simple trick, but could save you from a world of lost luggage stress.
29. Laundry soap sheets
One of the best ways to pack less is to run a quick load of luggage on your trip. So, these laundry soap sheets come in handy! We also pack two dryer balls as well.
Ready to pack for your next adventure? Don’t forget laundry soap sheets, a travel game-changer! –
They’re lightweight and occupy minimal space. This is great when packing a minimalist capsule wardrobe.
No time to find a laundromat? Then, use SinkSuds which can be used anywhere!
30. Security Cameras at Home
Securing your home with surveillance cameras while traveling is a crucial precaution.
The peace of mind offered by a vigilant “electronic eye” is incomparable. These cameras capture real-time footage, aiding in deterring burglaries and providing evidence if needed. Perfect for frequent travelers, it assures your abode’s safety from afar.
When we travel, we install one inside our house with an instant notification on our phones. As motion is detected, a siren noise goes off, which I’m sure would terrify any intruder!
Expert tip: Opt for cameras with remote-access features, so you’re always a glance away from your home.
What are the five most important items you need for these vacations?
Setting off for your much-anticipated vacation?
Here are the top five must-have travel essentials for an easy-going and memorable adventure.
Travel Planner and Journal: This bundle is essential for planning your trip and keeping track of your daily activities. The planner helps organize your itinerary, while the journal provides a wonderful means to record memories and experiences from your trip.
Multipurpose Clothing: Items like versatile shoes or pants that are ideal for multiple activities such as hiking and sightseeing are crucial to pack. Such items can save you space in your baggage, simplify your travel outfits, and cover a variety of travel occasions or activities.
All-in-One Travel Bag: A multipurpose bag, like a fanny pack or backpack, is an important versatile travel essential. This item keeps your essentials within easy reach, aids organization, and can adapt to a variety of travel situations.
Personal Care Essentials: Depending on your destination and planned activities, personal care items may include sunblock, moisturizer, or insect repellant. They ensure you are prepared for the environmental conditions you may face and can greatly enhance your overall comfort and well-being during your travels.
Travel Luggage: This trendy luggage piece thrills travelers with its durability and sleek design. Make sure your suitcases are lightweight!
Remember, a well-prepared traveler is a happy traveler. Aim for comfort, protection, and convenience!
Which Essentials for Travelling are your Next Purchase?
Ready to embark on your next adventure?
Don’t let unexpected situations curb your enthusiasm – it all starts with being prepared.
Remember, travel isn’t just about the destination but the journey, and the journey includes packing well!
With these travel essentials ideas, you can load up your bags with high-quality travel gear, ensuring comfort and stress-free experiences during your trip and beyond. Many of which are actually Amazon travel must haves.
Investing in essentials now will not just save you money down the line, but also help avoid irritating travel hitches.
Whether it’s tangle-free cords, smart luggage, or convenient packing tools – each item on our list has earned its spot by proving its worth on countless journeys for me.
So, next time you’re planning a trip, remember to refer back to this list. Good preparation equals to great journeys!
Know someone else that needs this, too? Then, please share!!
FOMO spending stands for “fear of missing out,” meaning you are dropping dollars to keep up with what others are doing. That might mean anything from trying the skincare product a favorite celeb swears by to dining at the super-pricey new omakase place all your friends are raving about or even signing your toddler up for an enrichment class because your neighbor says it’s a fab headstart.
The fear of missing out can change how many people relate to their cash. It can trigger impulsive and compulsive spending and lead to “splashing out” on things they never had any intention of purchasing. In other words, it can motivate them to live (too) large and wind up with pricey credit card debt and little progress towards their savings goals.
If you’re wondering how to stop FOMO spending, know this: It doesn’t mean subsisting on ramen and never traveling. It does mean being mindful and meaningful so you don’t get caught up in trying to match what your free-spending friends may do. Here, you’ll learn more about FOMO spending and how not to overdo it.
Wait, Back Up—What Is FOMO?
FOMO, or Fear Of Missing Out, is a feeling of anxiety someone might experience about not being part of an event that is happening, usually triggered these days by seeing social media posts from friends enjoying an activity (from a Taylor Swift concert to a holiday in Croatia) and wishing you were part of the fun. While it’s certainly true that businesses employ FOMO tactics to get you to buy things, it’s not just a sales strategy.
Nick Hobson Ph.D., says “While the fear of missing out has always been there, the explosion of social media has launched our young people headfirst into the FOMO experience.”
For many people, social media can be their main community lifeline, and having the impression that you are not part of the “in” group is enough to trigger a stress response like FOMO.
FOMO Spending Definition
So how is FOMO spending defined? It’s when a fear of missing out propels you to spend money (perhaps too much money) to feel as if you are part of the crowd and keeping up with your peers.
Examples could be feeling as if two far-flung vacations a year are must-haves because that’s what your coworkers do. Or perhaps it means plunking down four figures on a designer bag because all your friends have one. At a smaller scale, it could mean joining the other moms every morning after drop-off for a fancy latte. It’s all part of feeling as if you’re on the same level as your peers…and it all can add up.
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FOMO Spending to Keep Up with Peers
How widespread is FOMO spending? One recent study found that almost 40% of more than 1,000 Americans ages 18 to 34 said they have gone into debt just to keep up with their friends’ lifestyles. This is FOMO taken the financial extreme.
People may try to overcome FOMO by spending more than they have on things like travel, clothes, food, and going out. Whether it’s bigger “once-in-a-lifetime” experiences you can’t miss out on like trips, music festivals, or weddings, or even smaller events like dinner and drinks, FOMO spending can impact your finances and ability to build wealth over time.
• FOMO spending often stems from peer pressure to buy something you can’t afford so that you can still participate in a group.
• It could stem from feelings of insecurity; you want to show others that you fit in and do so by spending more than you might otherwise.
Unfortunately, this can add up to extra spending, money stress, and debt.
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How Many People FOMO Spend?
As noted above, one recent study found that 40% of people admit to FOMO spending. And those are the ones willing to admit to it. The figure could be considerably higher.
One study found almost twice that percentage of people admitted to going into debt to keep up with their friends’ spending. That’s a startling figure and shows just how common FOMO spending can be.
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4 Tips to Avoid FOMO Spending
Reining in FOMO spending can be hard, especially if your friends are truly living at a different income level than you. But odds are, some of your friend group might be in the same situation and are overspending in an effort to impress. You can avoid FOMO shopping or at least cut back on spending by trying these tips:
1. Suggest Free Alternatives
The first way to conquer FOMO spending is to simply stop spending! While it’s of course easier said than done, why not come up with a free alternative when a friend suggests plans?
Meeting for up for a $10 bubble tea at a cafe could just as easily turn into sitting on your couch with a homemade cup of joe. Friends want to go out to the movies or the mall? Suggest visiting a museum on a day they offer free admission instead.
2. Limit Your Card Usage and Carry Cash
Limiting your spending on credit or even debit cards and making the majority of your purchases with cash will drastically impact how often you impulse-spend on something when the feeling of FOMO creeps in.
If you only withdraw a certain amount before heading out to dinner or the bar, you’ll already have a pre-set budget that you know you feel comfortable spending. So maybe you only have one pricey cocktail or skip coffee and dessert: You can still have a great experience going out.
3. Create a Budget and Stick to It
Along the same lines, creating a monthly or even weekly budget may also help you cut down on FOMO spending. Your budget can and should include money for savings or big-ticket items like travel you know you have coming up. Having a budget can give you guardrails and help you focus on the big-picture rather than getting caught up in the FOMO moment.
By putting some money towards future goals and then calculating how much “fun” money you have left over after bills, you’ll know exactly when you’ve reached your limit. While making a budget might not help you eliminate FOMO spending altogether, you’ll at least give yourself more constraints if you limit yourself to a specific spending amount.
4. Lower Your Social Media Exposure
Ready for another way to stop spending so much? The endless scrolling on platforms like Facebook, TikTok, and Instagram offer some instant gratification, but social media is one of the main contributing factors of FOMO.
Targeted ads, influencers touting products, and even your own friends’ posts can all conspire to budget you toward spending too much. Seeing all the wonderful shiny things and exciting experiences out there can lead you to splurge (and often).
Many people find their guard is especially down at night, and that’s when they are likely to snap up skincare products, a new watch, or a hotel room overlooking the beach. If you can relate, trade in your laptop or phone time before bed for a good old-fashioned book or movie. You won’t wake up the next morning with that guilt about spending money.
If You Must Spend, Still Plan Ahead
You won’t be able to avoid FOMO spending all of the time, so it’s also important to have a strategy in place for making the best use of your time and money if the feeling kicks in.
Some people consider their fixed vs. variable expenses and build in a little extra spending money as part of their discretionary spending. If you know you have, say, a cash cushion of $100 or $200 a month, this can help with those moments when you decide you want to “keep up with the Joneses.” You can decide if this is the moment to splurge or not.
Delayed Gratification
If you have a sudden urge to buy something because of FOMO, try instead to write the item down, whether in a Notes app on your phone or even just a physical piece of paper, and come back to it 24 hours later.
This will help you avoid impulse purchases just because something is on sale, for instance, or your friend just bought it. You can evaluate in a day if it’s something you still really need. Some people even stretch that 24 hours out to a full month with what’s known as the 30-day spending rule.
Buying in Person
Nothing crushes the FOMO spending feeling more than forcing yourself to trek to an actual physical store to make a purchase.
Too many times, FOMO spending happens when you are online shopping and the ease of delivery right to your door doesn’t make you think twice about your purchase.
Making that easy impulse purchase into a chore can be a buzzkill that helps you save big-time.
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Managing your money well can mean recognizing FOMO spending and seeing when it may fit with your budget and your money goals. It can take wisdom and discipline, but it can keep you out of debt and help you build wealth.
This is where the right banking partner comes in; one who can help you see the big picture on your spending and keep tabs on your cash flow. Like SoFi.
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FAQ
How do you deal with FOMO buying?
Recognizing FOMO buying is the first step to minimizing it. You might avoid social media apps that trigger this kind of spending; find free alternatives to pricey outings your friends suggest; or tweak your budget to allow for small splurges and stick within those spending limits.
How can you stop being affected by FOMO?
Avoiding FOMO is a very personal thing. Some people avoid or even delete social media apps that trigger overspending; others have honest talks with their friend group about their financial limits; still others decide to sidestep certain outings with friends that they know will bust their budget and join them for low-cost get-togethers instead.
What is FOMO spending?
FOMO spending is when you buy an item or experience because you don’t want to miss out on something “everyone else is doing.” Some people may think of it as responding to peer pressure. You purchase, say, a status watch or take a pricey vacation not because you can comfortably afford it but because you want to “keep up with the Joneses.”
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SoFi members with direct deposit activity can earn 4.50% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. Direct Deposit means a deposit to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Direct Deposit”) via the Automated Clearing House (“ACH”) Network during a 30-day Evaluation Period (as defined below). Deposits that are not from an employer or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, do not constitute Direct Deposit activity. There is no minimum Direct Deposit amount required to qualify for the stated interest rate.
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SoFi Bank shall, in its sole discretion, assess each account holder’s Direct Deposit activity and Qualifying Deposits throughout each 30-Day Evaluation Period to determine the applicability of rates and may request additional documentation for verification of eligibility. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the “30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Upon receiving a Direct Deposit or $5,000 in Qualifying Deposits to your account, you will begin earning 4.50% APY on savings balances (including Vaults) and 0.50% on checking balances on or before the following calendar day. You will continue to earn these APYs for (i) the remainder of the current 30-Day Evaluation Period and through the end of the subsequent 30-Day Evaluation Period and (ii) any following 30-day Evaluation Periods during which SoFi Bank determines you to have Direct Deposit activity or $5,000 in Qualifying Deposits without interruption.
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Of the many varieties of mortgage loans out there, the VA loan—a type of mortgage backed by the Department of Veterans Affairs—just might be the one with the most advantages. There’s no down payment required or mortgage insurance premium to pay. Plus, VA lenders are more flexible than conventional lenders when it comes to credit scores and loan limits, too.
Of course, not just anyone has access. VA loans are available only to active-duty service members and veterans who meet service requirements. In some cases, spouses can also qualify.
“They’re a major benefit—earned by people who have served our country,” says Rob Posner, CEO of mortgage lender NewDay USA.
If you are of the estimated 14.1 million living veterans or million-plus current service members who might qualify, here’s what you need to know to get started.
What is a VA home loan?
A VA loan is a mortgage guaranteed by the Department of Veterans Affairs. VA loans are typically issued by private mortgage lenders (we’ll go into the one exception later on) but the VA assumes some of the risk. This means if a VA borrower fails to make payments on their loan and defaults, the VA will repay the lender a portion of its losses.
Because of this added protection from the government, lenders (those who are approved to offer VA loans, at least) can be more lenient on credit score and down payment requirements when making these loans and lend out larger amounts.
Created in 1944 as part of the GI Bill of Rights, the VA loan program was intended to help service members returning from war more easily purchase homes and reintegrate into society. Today, VA loans account for about 11% of all mortgage activity, according to the Mortgage Bankers Association.
Types of VA loans
VA loans can be used for the purchase, refinance or renovation of a home (with some stipulations), and there are several types to choose from. Just keep in mind: Not all lenders can issue VA loans, and even among those that do, the loan options can vary.
VA purchase loan
The most common type of VA loan is the VA purchase loan, which allows you to purchase a property to live in as your primary residence. According to the Consumer Financial Protection Bureau, 57% of all VA loans originated in 2022 were used to purchase a home.
VA construction loan
Some lenders offer purchase loans that can be used to build a home from the ground up. These are sometimes referred to as VA construction loans. You’ll need to submit your building plans when applying for your loan and use a VA-approved builder. There are also certain appraisal and inspection requirements you will have to meet.
VA renovation loan
If you’re buying a home that requires some updating, a VA renovation loan allows you to finance the purchase price of the home—plus the costs of eligible repairs and improvements and ultimately roll it all into one balance. “These are great for buying a home that needs work that the seller doesn’t want to do,” says Garrett Puckett, CEO of lender Security America Mortgage.
Take note, though: You can’t use your renovation loans for just any project (sorry, no luxury upgrades such as a new swimming pool allowed). To qualify for VA funding, the updates must improve the safety or livability of the home—things such as fixing the stairs or improving accessibility. You’ll also need to complete the renovations within 120 days of closing on your loan.
VA Native American Direct Loan (NADL)
NADL loans are for Native American veterans or veterans married to a Native American person. They can only be used to buy, build or renovate a home that’s located on federal trust land—land that’s owned by the government but is set aside for a specific Native American tribe’s use.
These VA loans are issued directly by the VA and offer some of the lowest rates around. Currently, interest rates for NADLs issued after March 13, 2023, start at just 2.5%. (The VA sets the base rate for this loan type, and then lenders can adjust based on the borrower’s credit, loan term and other factors.) For reference, the average rate on 30-year conventional loans is currently 7.23%.
VA Interest Rate Reduction Refinance Loan
The VA’s IRRRL program is often referred to as a “streamline refinance,” as it’s designed to make refinancing quick and easy for existing VA borrowers. It requires no credit check, there’s no appraisal, and the whole point is to reduce the borrower’s interest rate and monthly payment.
VA IRRRLs “are much faster to get underwritten and closed because we need very little information,” says Mason Whitehead, who manages VA-approved lender Churchill Mortgage in Dallas. “We just refinance the loan and drop the interest rate.”
VA cash-out refinance
The other VA refinancing option is a cash-out refinance, which lets you borrow from your home’s equity. With these, you take out a new VA loan that’s bigger than your current mortgage, pay off your old loan balance, and get the difference back in cash.
Unlike the streamline refinance, you don’t need to have a current VA loan to use this program. So if you want to refinance from a conventional loan to a VA loan, for example, this is the program you’ll use.
How are VA loans different from other mortgages?
Once you have the loan, VA mortgages function much like other loan programs, allowing you to pay off the cost of purchasing a house over time. However, many of the upfront fees, qualifying requirements and application processes are quite different.
Down payments
Perhaps the biggest and best known benefit of a VA loan is that VA borrowers don’t need to make a down payment. Considering other loan programs require at least 3% down—or about $12,500 on a median-priced house—this can make it significantly easier for VA-eligible consumers to become homeowners.
There may be cases when borrowers want to make down payments anyway, pros say. If you have extra cash and want a lower monthly payment or to reduce your long-term interest costs, for example, you may want to put some money down. You can also lower your funding fee (more on these below) by making a down payment. As Whitehead explains, “It’s a sliding scale. The more down payment, the lower the VA funding fee.”
Funding fees
Most VA borrowers pay a funding fee—a one-time charge that’s designed to keep the VA loan program afloat. The fee ranges from 0.5% to 3.3% of the loan amount depending on the type of loan you use, how many times you’ve used your VA loan benefit (VA loan benefits can be used multiple times) and your down payment amount.
With a first-time VA loan with no down payment, the funding fee would be 2.15%—so $8,600 on a $400,000 loan, for example. And that’s only if you owed the fee. Some borrowers are exempt from funding fees if they have a disability due to their military service or if they meet other requirements.
You also have the option to roll the VA funding fee into your loan balance. Just be careful if you do this. Not only will it add to your long-term interest costs, but it could pose a challenge if you want to sell.
With this strategy, Whitehead says, “You end up owing more on the house than you paid for it. So, you need to be prepared to live in the house for quite a while to build up equity, so that when you do sell the house, there is sufficient equity to pay off the mortgage and closing costs.”
Loan limits
With VA mortgages, there are no loan limits, and technically you can borrow as much as you need. (Before 2020, down payments were required for loans above certain limits.) This is different from other government-backed loan programs, which have set thresholds for how much you can borrow. On FHA loans, for example, you can’t borrow more than $472,030 in most parts of the country.
That’s not to say that the sky’s the limit with VA loans. VA lenders will still look at your down payment, monthly income and debt to determine how large a loan you can afford to comfortably repay.
Credit score requirements
Unlike other government-backed mortgage programs, the VA doesn’t have any set credit score requirements. Instead, it lets lenders set their own standards. Because of this, credit score minimums can vary quite a bit from one lender to the next—ranging anywhere from 580 to 640, depending on which company you go with.
VA loans also aren’t subject to a VA debt-to-income ratio maximum, so lenders have leeway here, as well. This can make them “more flexible and easier to qualify for than conventional loans,” says Jennifer Beeston, a lending executive and branch manager with Guaranteed Rate.
Interest rates
Interest rates charged on VA loans tend to be lower than on other mortgage types, since the VA assumes some of their risk. Currently, the average rate on a 30-year VA mortgage is 6.908%, according to mortgage pricing engine Optimal Blue.
VA loans
FHA loans
Conventional loans
Aug. 24, 2023
6.94%
7.09%
7.28%
Aug. 24, 2022
5.34%
5.57%
5.74%
Aug. 24, 2021
2.72%
3.14%
3.06%
Aug. 24, 2020
2.64%
2.98%
2.91%
Aug. 23, 2019
3.59%
3.99%
3.84%
Optimal Blue
With VA loans, borrowers can choose a fixed interest rate, which remains consistent for the entire loan term, or an adjustable rate. These are interest rates that start low and fixed, but eventually adjust annually or every six months.
Property requirements
VA loans can only be used on properties that meet certain “Minimum Property Requirements”—a list of basic must-haves that ensure the place is safe, sound and free of health hazards. These include having working electric and HVAC systems, being absent of lead-based paint and wood-destroying insects and having a leak-free roof.
To confirm a property you’re trying to buy meets these requirements, you’ll need to get a VA appraisal before you can close on a VA mortgage. These can only be done by VA approved appraisers and typically cost between a few hundred dollars to over $1,000 depending on the size of the home and where it’s located. You’ll pay for this as part of your closing costs. If you are buying a condominium, the VA must also approve the condo complex.
Who can get a VA loan?
VA loans are only available to active members of the U.S. military and veterans who meet military service requirements, as well as some National Guard and Reserve members. Some spouses can qualify, too. This is the case if a veteran spouse is missing in action, a prisoner of war or died while in military service or from a service-related disability.
Here’s a look at exactly who can use VA loans and the unique requirements they need to meet:
Group
Time of service
Service requirements
Active military members
Currently serving
90 continuous days or more
Veterans
Aug. 2, 1990 to present
One of the following:
– 24 continuous months
– The full period you were called to active duty (must be 90 days or more)
– 90 days or more if you were discharged for a hardship or reduction in force
– Less than 90 days if you were discharged due to a service-related disability
Veterans
Sept. 8, 1980 to Aug. 1, 1990
One of the following:
– 24 continuous months
– The full period you were called to active duty (must be 181 days or more)
– 181 days or more if you were discharged for a hardship or reduction in force
– Less than 181 days if you were discharged due to a service-related disability
Veterans
May 8, 1975 to Sept. 7, 1980,
Feb. 1, 1955 to Aug. 4, 1964, July 26, 1947 to June 26, 1950
One of the following:
– 181 continuous days
– Less than 181 days if you were discharged due to a service-related disability
Veterans
Aug. 5, 1964 to May 7. 1985, Nov. 1, 1955 to May 7, 1975 (in the Republic of Vietnam), June 27, 1950 to Jan. 31, 1955, Sept. 16, 1940 to July 25, 1947
One of the following:
– 90 continuous days
– Less than 90 days if you were discharged due to a service-related disability
Veteran officers
Oct. 17, 1981 to Aug. 1, 1990
One of the following:
– 24 continuous months
– The full period you were called to active duty (must be 181 days or more)
– 181 days or more if you were discharged for a hardship or reduction in force
– Less than 181 days if you were discharged due to a service-related disability
Veteran officers
May 8, 1975 to Oct. 16, 1981
One of the following:
– 181 continuous days
– Less than 181 days if you were discharged due to a service-related disability
National Guard
Aug. 2, 1990 to present
90 days of active duty
National Guard
Prior to Aug. 2, 1990
One of the following:
– 90 days of non-training active-duty
– 90 days of active duty service, including at least 30 consecutive days
– 6 creditable years in the National Guard and an honorable discharge or retirement
Reserve (any branch)
Aug. 2, 1990 – present
90 days of active duty
Reserve (any branch)
Prior to Aug. 2, 1990
One of the following:
– 90 days of non-training active-duty
– 6 creditable years in the Selected Reserve
Plus one of the following:
– An honorable discharge
– Retirement
– Transfer to Standby Reserve or another Ready Reserve element after honorable service
– Continued Selected Reserve service
How to apply for a VA loan
Not all mortgage companies offer—or are even allowed to offer—VA loans, so your first step is to find a VA-approved lender.
Once you’ve found one, the application process looks like this:
1. Apply for your Certificate of Eligibility
Your Certificate of Eligibility is a document that confirms you meet the eligibility requirements of the VA loan program.
You can request one online (within your VA.gov account), via mail or through your mortgage lender. Depending on what type of service member you are, you may need to show a copy of your discharge papers, service record, annual point statement, active duty report or a statement of service signed by your commander, adjutant or personnel officer. The VA has a full list of COE requirements, but if you choose to go through your lender, your loan officer will let you know what documents you need.
2. Get preapproved
After you’ve received your COE, you’ll need to apply with your lender for preapproval. This requires filling out a loan application (usually online) and providing some financial documents, such as your tax returns, pay stubs and bank statements. The lender will also pull your credit score and report and consider your debt-to-income ratio in the process. Again, VA loans are more flexible when it comes to these financial details, so if you’re worried about qualifying, talk to a loan officer. You may be surprised.
Once they’ve evaluated your application and finances, they’ll give you a preapproval letter stating how much you can qualify to borrow and at what interest rate. Be aware, though: This doesn’t mean your loan has been approved. Your lender will need to do a final approval after you’ve found a home and it’s been appraised.
3. Find a home
The house hunt is next. When you find one you’re ready to buy, you’ll include your preapproval letter in your offer. If the seller accepts, you’ll sign a purchase agreement, let your loan officer know and begin the full loan process.
Make sure your real-estate agent knows you’re using a VA loan before you make an offer. VA loans allow the seller to pay certain fees and closing costs, so they may want to negotiate for some of these on your behalf.
4. Have the home appraised
Your lender will order the VA appraisal next to ensure the property meets the VA’s Minimum Property Standards and that the amount you’re looking to borrow matches the home’s actual value. If the home is appraised at a lower amount than what you’ve offered to pay, you may need to renegotiate with the seller or make up the difference in cash.
5. Go through underwriting
After your home has been appraised, your loan will move into underwriting, which is when your lender gives everything a final look. They may request updated documents at this step, especially if it’s been a while since your initial application.
You will also need to secure homeowner’s insurance at this point, as it is required before you can close on your loan.
6. Close on your VA loan
Finally, it’s closing time. You’ll meet with your loan officer, closing agent and, sometimes, real-estate agent to go over the final paperwork.
Once you sign, pay your closing costs and any down payment you’ve decided to make, you’ll officially be a homeowner. You should get your keys and be free to move in shortly.
More on mortgages
The advice, recommendations or rankings expressed in this article are those of the Buy Side from WSJ editorial team, and have not been reviewed or endorsed by our commercial partners.
From the home of country music to the beautiful Great Smoky Mountains, Tennessee has a lot going for it. Its diverse mix means there’s something for every type of lifestyle. If you’re looking for a thriving job market and plenty of delicious barbecue, Tennessee is right for you.
To be extra sure, though, you’ll need to crunch some numbers. Can you afford to live in Tennessee? Probably. You’ll just need to align your budget to the cost of living in Tennessee. Here are the specific areas worth investigating to make sure all your dollars and cents line up.
Tennessee housing prices
As a state, Tennessee on the whole is pretty affordable when it comes to housing. Most cities have average housing prices below the national average, making housing one piece of your overall cost of living in Tennessee you may not have to worry too much about.
There are great places to live in Tennessee throughout the state, from one end to the other. Here are a few to consider.
Chattanooga
With its thriving downtown area, full of culture and delicious food, Chattanooga draws people in with its proximity to so much outdoor fun. Lookout Mountain and the Tennessee River provide ample opportunities for hiking, biking, rock climbing, boating and more.
A little pricier than some other Tennessee towns on the list, Chattanooga home prices are only 11.5 percent below the national average. Both one-bed and two-bed apartments have moved along the scale by 6 percent when it comes to pricing, but one went up, and the other went down. A one-bedroom apartment in Chattanooga has an average rent of $1,322, up 6 percent. Two-bedroom apartments have an average rent of $1,510 per month, down 6 percent.
Home prices have seen a large increase. With a median sale price in Chattanooga of $308,000, they’re up 23 percent over last year.
Knoxville
Home to the University of Tennessee, most Knoxville residents, regardless of their lifestyle, are Vols fans. This fun city is almost always dotted with food trucks, and the craft beer scene is huge. The cost of living is also extremely reasonable and average housing prices are 31 percent below the national average.
Knoxville’s popularity is leading to rising rent and home prices, but costs are still on the more affordable end. One-bedroom apartments are up 39 percent over last year but have an average rent of $1,292 per month. Two-bedroom apartments are up 36 percent over last year but have an average rent of $1,354 per month.
Home prices are rising at a slightly slower rate, up 26.8 percent over last year. The median home in Knoxville sells for $305,000.
Memphis
Graceland, the blues and barbecue, that’s really what Memphis is all about. This well-known city along the Mississippi River is full of history, music and culture. With housing prices 22.5 percent below the national average, it’s also another affordable Tennessee town to potentially call home.
Monthly rent is rising inconsistently, although overall costs are staying at the lower end. One-bedroom apartments actually went down 2 percent in average costs over last year. They’re currently an average of $947 per month. Two-bedroom apartment prices rose 11 percent over last year but still average out at only $1,075 per month.
The median home price in Memphis is $205,000, up 9.9 percent over last year.
Morristown
Small-town living right at the base of the Great Smoky Mountains? Yes, please. Morristown has a great location, a diverse industrial-based workforce and a quaint downtown area. It’s also incredibly affordable. With housing prices 33.9 percent below the national average, and an average apartment rent of $913 per month, you shouldn’t have an issue finding a place to live.
Home prices are on the rise, but are still relatively affordable. The median home price in Morristown is $277,000, up 59.6 percent over last year.
Nashville
Industry, entertainment and opportunity make Nashville one of the most perfect places to live in Tennessee. It’s also the most expensive. With a walkable downtown that boasts nightlife you can’t beat, excellent universities and a lot of job opportunities, it’s no wonder the average housing prices are 2.3 percent above the national average.
It’s also no surprise housing costs are on the rise. The average rent for a two-bedroom apartment in Nashville is up 66 percent over last year to $2,788 per month. That’s quite an increase. One-bedrooms are rising in price more slowly, up only 30 percent over last year to an average monthly rent of $2,036. Still, this is the most expensive rent on our Tennessee city list.
Home prices are also on the higher end comparatively. The median sale price in Nashville is $470,000, up 22.1 percent from last year.
Food prices
Another cost of living in Tennessee is the food you eat. Tennessee has an amazing menu of local delicacies. Iconic local foods include barbecue (yes to the meat and three), fried catfish and that very hot chicken. When not eating out, the average Tennesseean spends between $233 and $267 per month on groceries. This buys a lot of fixins’ since food prices in every city are below the national average.
Knoxville is 10.6 percent below the national average
Chattanooga and Memphis are both 5.3 percent below the national average
Nashville is 2 percent below the national average
Morristown is 1 percent below the national average
Even with overall lower prices, there are still cost discrepancies between cities. If you’re looking for a deal on fried chicken, for example, you’ll pay $1.06 in Memphis, but $1.81 in Nashville. On the flip side, if you’re thinking about adding fresh fruit to your yummy banana pudding recipe, bananas in Memphis are 10 cents more than in Nashville.
You’ll also find significant price differences when it’s time to take that special someone out to dinner. A three-course meal for two in Knoxville is $47.50, but that same meal in Nashville is $67.50. That’s a 30 percent increase in price, all for the same food.
Utility prices
Throughout Tennessee, most utility costs are below the national average. This includes monthly bills for electricity, natural gas, water and even internet. Only one city just barely climbs above it.
Nashville is 11.6 percent below the national average
Chattanooga is 9.9 percent below the national average
Memphis is 7.1 percent below the national average
Knoxville is 1.3 percent below the national average
Morristown is 0.5 percent above the national average
Even with these averages, energy bills are definitely on the expensive side for the cost of living in Tennessee. The average energy bill in Nashville, our least expensive city, is $137.69. This bill goes up to $175.45 in Morristown, where utilities are the priciest.
Only a small percent of the energy used throughout Tennessee comes from renewable energy sources, but the state is a great candidate to take advantage of solar power because of its nice weather. Could that lead to even lower utility prices down the road? We’ll have to wait and see.
Transportation prices
When it comes to transportation prices, Tennessee cities all fall below the national average. This could make car ownership more affordable overall, which is good since road-tripping across this state is always a good time.
Morristown is 19.9 percent below the national average
Knoxville is 16.6 percent below the national average
Chattanooga is 10.7 percent below the national average
Memphis is 8.4 percent below the national average
Nashville is 8.1 percent below the national average
All cities on this list have public transportation options, and each has at least one highly walkable part of the city. Overall, though, each city isn’t designed to solely get where you need to go on foot or by bike. It’s best to take advantage of public transportation and probably own a car, as well.
MATA Transit in Memphis
Whether by bus or trolley, the Memphis Area Transit Authority or MATA is one of the largest public transit operators in the state. Coverage includes the City of Memphis, as well as parts of Shelby County.
Trolley service consists of three lines that crisscross the downtown area along the Riverfront, Main Street and Madison Avenue. A one-way fare is $1.00, but you can buy a three-day pass for $9.00, or a 6-month pass for $75.00.
Bus service extends the coverage, taking you out of just downtown. A one-way fare here is also $1.00, but you can buy a daily fast pass for $2.00. Seven-day and 31-day passes are not currently available, but will most likely come soon.
WeGo in Nashville
Consisting of both buses and trains WeGo in Nashville has 26 local routes and eight regional routes to travel on. Routes break out into the following groups:
Frequent
Local
Connector
Express
Train shuttles.
All riders use a QuickTicket reloadable card, the accompanying app or a non-reloadable ticket to access all WeGo routes and vehicles. The reloadable card costs $3.00, and then, you add money to it for use. To estimate how much you’d want to load in, it costs $4.00 for an all-day pass and $65 for a 31-day pass to use local service. Regional service has an increased cost. One ride is $4.25.
CARTA in Chattanooga
The Chattanooga Area Regional Transit Authority, or CARTA, consists of 19 electric bus routes that go through the city. Extending out from the city center, CARTA also operates the Lookout Mountain Incline Railway, which is the steepest passenger railway in the world.
A one-way cash fare on CARTA is $1.50, but you can get a 24-hour unlimited ride pass, which is more cost-effective. This pass costs $6.00 the first time you purchase it and $4.00 every additional 24 hours you renew. There’s also a 7-day pass for $15.00 and a 31-day pass for $50.
Healthcare prices
Healthcare prices, another key component of your overall cost of living in Tennessee, are all below the national average. This typically means more affordable visits to the doctor, dentist and even eye doctor.
Memphis is 12.8 percent below the national average
Morristown is 7.9 percent below the national average
Knoxville is 6.9 percent below the national average
Nashville is 4.3 percent below the national average
Chattanooga is 2.9 percent below the national average
What these numbers translate to when it comes to the average visit to your doctor’s office is somewhere close to $100 per visit. In Morristown, the average doctor’s visit is $85.67, and in Nashville, it’s $109.03.
Goods and services prices
All those items in your monthly budget that you enjoy, but don’t need, fall into the goods and services category of your overall cost of living in Tennessee. They’re must-haves for your own well-being, but they’re all the things you could live without if you had no choice. Most Tennessee towns, again, fall below the national average.
Knoxville is 11.3 percent below the national average
Memphis is 11.1 percent below the national average
Chattanooga is 7 percent below the national average
Nashville is 4.8 percent below the national average
Morristown is 2.1 percent above the national average
Just because Knoxville has the cheapest overall goods and services, doesn’t mean that everything there will cost less than in more expensive cities. The best way to effectively budget is to look specifically at the goods and services you want on your list. Here are a few common ones.
Morristown may have the highest national average for goods and services, but it has the cheapest haircut. Knoxville may have the lowest national average for goods and services, but it has the most expensive pizza, and can we talk about the $24 haircut in Nashville? As you can see, there are inconsistencies with pricing for individual services, which is why it’s best to look at the ones you use most frequently when planning a budget.
Childcare costs
One of the most expensive types of goods and services out there is childcare. With very young children, the expense of their care during the day can quickly add up. Even if you don’t have any little ones yet, understanding what this expense could do to your budget is important.
In Tennessee, the two most expensive cities when it comes to private, full-day preschool are Nashville and Morristown. Both have you paying over $1,000 per month for this particular service. In Nashville, the monthly cost is $1,037. Morristown is only slightly behind with an average monthly cost of $1,003.
Chattanooga is the least expensive city for preschool, at an average of $607 per month. Other cities range anywhere from $645 up to over $880.
Taxes in Tennessee
Tennessee has no individual state income tax but does impose a 7 percent state sales tax. The maximum local sales that can get added to that is 2.75 percent. This means that each city may have a different sales tax, although the state average is 9.55 percent.
Memphis has a sales tax rate of 9.75 percent
Nashville has a sales tax rate of 9.25 percent
Chattanooga has a sales tax rate of 9.25 percent
Knoxville has a sales tax rate of 9.25 percent
Morristown has a sales tax rate of 9.75 percent
For those cities with the highest sales tax, for every $1,000 you spend shopping, you’re paying almost $100 in taxes. That’s a pretty heavy markup for a cost of living in Tennessee.
How much do I need to earn to live in Tennessee?
Overall, the cost of living in Tennessee is pretty affordable. The most common components you’d use to total your overall cost of living are below the national average. To really calculate what you can afford, though, use our rent calculator to ensure your budget perfectly aligns with prices in Tennessee.
To get your budget started, you can quickly do some math around rent. The average rent in Tennessee is $1,432 per month, and rent should only take about 30 percent of your annual salary per year. To afford the average rent in Tennessee, you’ll need a minimum salary of $57,280. This is good news since the average annual salary in the state is $74,408, well above what you need to squeak by.
Living in Tennessee
Tennessee is a fully-packed state that’s worth exploring. Between the food, music, history, natural beauty and, of course, football, you’ll never be without somewhere to go living here. What’s even better, the cost of living in Tennessee is most likely affordable for you, so crunch those numbers and get your budget together. Then, start looking for that perfect city in Tennessee where you can pop off those cowboy boots and relax.
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The Cost of Living Index comes from coli.org.
The rent information included in this summary is based on a calculation of multifamily rental property inventory on Rent. as of June 2022.
Rent prices are for illustrative purposes only. This information does not constitute a pricing guarantee or financial advice related to the rental market.