Buying a home is likely one of the biggest moves you’ll make in your personal and financial life, and your home may represent one of your largest assets.
If you take out a mortgage to help you buy it, you will end up making mortgage payments — and if your lender ends up servicing your loan after closing — you will make payments to that lender, possibly for decades. That’s why it’s important to shop around before committing to a mortgage lender and loan program that’s right for you.
Today, borrowers have more choices than ever. With the rise of online and marketplace lenders, there’s increased competition, which fuels improvements in process, service, and cost — and can mean a much better experience for you.
With so much choice, however, finding the right lender can feel overwhelming. To help simplify the process, we’ve listed five key things you may want to consider when shopping for a mortgage lender.
1. Does the lender offer competitive interest rates?
A good first step is to get the lay of the land by looking at various lenders and the rates and fees they advertise. Taking this step may help you understand what the market looks like overall and who may be offering competitive rates.
Remember that the rates and programs you are ultimately eligible for will likely depend not only on the lender you choose but also your needs and financial situation. However, this initial comparison can give you a baseline to start working from.
You’ll also want to look at the common loan types offered. Interest rates for fixed-rate loans do not change over the life of the loan. Interest rates for adjustable-rate mortgages (ARMs) can change over the life of the loan and are influenced by benchmark interest rates.
Hybrid adjustable-rate mortgages are mortgages that offer an initial fixed rate for a certain period of time. These hybrid ARMs often offer a low introductory rate for either 1, 3, 5, 7 or 10 years. Some hybrid ARMs will also offer an interest-only payment option for a specified period of time such as 10 years.
When the initial fixed-rate period is over, the interest rate is normally reviewed on an annual basis for adjustment. Although the benchmark index tied to the ARM rate may have moved much higher, these loans typically have yearly and annual interest rate caps to control rate and payment fluctuations.
When talking to a lender about their mortgage offerings, it’s a good idea to not only ask about interest rate, but also about APR, or annual percentage rate. This figure takes into account certain fees like broker fees, points, and other applicable credit charges, giving you an easier way to compare loan offers.
2. Does the lender offer loan products with terms that suit your needs?
Your needs and financial situation can play a large part in which mortgage programs you choose and are eligible for. For example, some lenders require a 20% down payment to qualify for a mortgage.
If you can’t pay 20%, lenders may require that you have private mortgage insurance (PMI), which covers them in case you default on your mortgage payments. Mortgage insurance premiums vary depending upon many factors.
It’s a good idea to ask your chosen lender how much insurance payments will add to your monthly payment. Also keep in mind that, in certain circumstances, PMI does not apply, such as with some jumbo loan programs. In addition, PMI can be eligible for removal from your home loan later if certain criteria is met.
If you can’t afford a 20% down payment, you can look for lenders who offer more flexible down payment requirements. Also, consider what term — the length of time you’ll be paying off your loan — works best for you. See what kinds of terms lenders offer and the interest rates that accompany those terms.
A shorter term will likely come with higher monthly payments, but lower interest rates that result in lower interest charges over time. Not everyone can afford those higher monthly payments, however, in which case a longer term may be preferable. Note that longer terms usually mean that you end up paying more in interest over the life of the loan.
Once you’ve found a loan with rates and terms that work for you, you can typically obtain a rate lock from your lender, generally for the time it takes to close on the transaction, such as 30 or 45 days.
You may have to pay a fee if you want to lock in the rate for a longer extended period of time. However, once you do, it will guarantee that you have access to the mortgage at a specific rate during the lock-in period, even if interest rates rise while your loan is being processed.
First-time homebuyers can prequalify for a SoFi mortgage loan, with as little as 3% down.
3. What type of origination, lender, and other fees might you be responsible for?
We’ve already alluded to the fact that you’ll likely be on the hook for other costs in addition to your down payment. One good idea is to request a Loan Estimate (LE) for any mortgage you’re considering to see a solid estimate of what costs you may be on the hook for.
Keep your eye out for things like:
• Commissions Mortgage brokers are paid on commission, which is either paid by you, your lender, or a combination of both. • Origination fees These fees may cover the cost of processing your loan application. • Appraisal fees Appraisal fees cover the cost of having a professional come in and put a value on the home you want to buy. You must have a property valuation of some type in order to borrow money to buy a home and in most cases a full appraisal is required. • Credit report fee This covers the cost of the bank obtaining your credit report from the credit reporting bureaus. • Discount points Optional fee the borrower can pay to reduce or buy down their interest rate.
Unless you receive a seller or lender credit towards closing costs, the added fees will impact the overall cost of buying the home, so doing your research and reading the fine print up front might pay off.
Depending on the loan terms and fees charged, some will be paid upfront at the beginning of the application process (such as credit report and appraisal), while other fees might be paid at loan closing (such as lender fees and title insurance).
In some cases, under certain loan programs, you can borrow the money to cover these fees, which will increase your overall mortgage payment(s). Therefore, having a clear understanding of what fees you’ll owe is critical to understanding how much you’ll end up paying.
It’s a good idea to request from your lender a quote on all the costs and fees associated with the loan. A Loan Estimate (LE) is a typical form used to disclose loan fees to a borrower. Ask questions about what each fee covers. Have your lender explain any fees you don’t understand, and then find out which ones may be negotiable or can be waived entirely.
4. How much of the process is online vs. on paper or in person?
How much facetime you have to put in to apply for a mortgage can vary by lender. Some online banks will have you complete the process entirely online, while brick and mortar banks may require an in-person visit.
In the past, applying for a mortgage required a lot of physical paperwork. But much of this has now been replaced by online interactions. For example, you are now likely able to send your financial information like bank statements and W-2s electronically.
Lenders who complete much, or all, of the mortgage application process online may be able to offer lower rates or fees, since they don’t have the cost of brick and mortar bank locations and their employees to maintain.
That said, if you’re someone who likes face-to-face help, you may consider a lender that allows you to apply in person or a lender who utilizes facetime.
5. How quickly can the lender close once you’re in contract?
Once you’ve found the home you want to buy and you’re under a purchase contract with the seller, the amount of time it takes to close on a loan can vary. Depending on the situation, you may have to wait for inspections, appraisals, and all sorts of paperwork to go through before you can close.
However, your lender may offer you ways to speed up the process. For example, you may be able to get preapproved for a loan, which takes care of a lot of potentially time-consuming paperwork upfront before you’ve even started shopping for a home.
Ask your lender how much time their closing process usually takes and what you can do to expedite it. Especially if you’re crunched for time, their answer can have a big impact on which lender you choose. After all, the faster you’re financed, the sooner you’ll be able to move in.
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.
SoFi Mortgages Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.
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 requires 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. Minimum down payment varies by loan type.
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.
Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.
With St. Patrick’s Day coming up, it’s nearly impossible not to start seeing green pop up everywhere. Although it was my favorite color as a kid, the hue most closely associated with Ireland has fallen off my radar over the years even though Erin actually means Ireland!. That is until I started seeing deeply saturated pops of green.
When added to an otherwise neutral space, they add dimension, interest and that unexpected jolt of energy that makes you take a second look.
get your shop on: 1 // 2 // 3 // 4 // 5 // 6 // 7
From deep emerald to bright kelly and everything in between, I’m really feeling green for spring! There couldn’t be a better way to take the new season quite literally cue Meryl Streep Devil Wears Prada quote. But I think I’m ready to make room for a little green in my life! Well, at least in the loft!
image 1 via april and may // 2 via B&B Italia // collage via // 3 via Dimore Studio
A few notable mortgage rates slumped over the last seven days. The average interest rates for both 15-year fixed and 30-year fixed mortgages slid down. We also saw a cut in the average rate of 5/1 adjustable-rate mortgages.
As inflation surged in 2022, so too did mortgage rates. To rein in price growth, the Federal Reserve began bumping up its federal funds rate — a short term interest rate that determines what banks charge each other to borrow money. By making it more expensive to borrow, the central bank’s goal is to reduce prices by curtailing consumer spending.
After hiking interest rates 10 times since March 2022, the Fed pumped the brakes at its June meeting. The central bank’s federal funds rate will remain at a range of 5.00% to 5.25% for the time being, although the Fed hasn’t ruled out the possibility of further increases if inflation doesn’t continue to moderate. The Fed will decide whether or not to raise rates at its next meeting on July 26.
Current Mortgage Rates for July 2023
Mortgage rates change every day. Experts recommend shopping around to make sure you’re getting the lowest rate. By entering your information below, you can get a custom quote from one of CNET’s partner lenders.
About these rates: Like CNET, Bankrate is owned by Red Ventures. This tool features partner rates from lenders that you can use when comparing multiple mortgage rates.
The most recent Consumer Price Index, a popular gauge of price growth, shows that the Fed’s string of rate hikes is having its intended effect. Annual inflation is now at 3.0% for the 12-month period ended in June, which is the lowest it’s been in more than two years.
The Fed doesn’t set mortgage rates directly, but it does play an influential role. Mortgage rates move around on a daily basis in response to a range of economic factors, including inflation, employment and the broader outlook for the economy. A lower inflation rate is good news for mortgage rates, but the potential for additional hikes from the central bank this year will keep upward pressure on already high rates.
“Mortgage rates will continue to ebb and flow week to week, but ultimately, I think rates will stick to that 6% to 7% range we’re seeing now,” said Jacob Channel, senior economist at loan marketplace LendingTree.
Rather than worrying about mortgage rates, though, homebuyers should focus on what they can control: getting the best rate they can for their financial situation.
To increase your odds at qualifying for the lowest rate available,take the steps necessary to improve your credit score and to save for a down payment. Also, be sure to compare the rates and fees from multiple lenders to get the best deal. Looking at the annual percentage rate, or APR, will show you the total cost of borrowing and help you make an apples-to-apples comparison among lenders.
30-year fixed-rate mortgages
The average 30-year fixed mortgage interest rate is 7.23%, which is a decrease of 14 basis points compared to one week ago. (A basis point is equivalent to 0.01%.) Thirty-year fixed mortgages are the most common loan term. A 30-year fixed mortgage will usually have a higher interest rate than a 15-year fixed rate mortgage — but also a lower monthly payment. You won’t be able to pay off your house as quickly and you’ll pay more interest over time, but a 30-year fixed mortgage is a good option if you’re looking to minimize your monthly payment.
15-year fixed-rate mortgages
The average rate for a 15-year, fixed mortgage is 6.48%, which is a decrease of 11 basis points compared to a week ago. You’ll definitely have a larger monthly payment with a 15-year fixed mortgage compared to a 30-year fixed mortgage, even if the interest rate and loan amount are the same. However, if you’re able to afford the monthly payments, there are several benefits to a 15-year loan. You’ll most likely get a lower interest rate, and you’ll pay less interest in total because you’re paying off your mortgage much quicker.
5/1 adjustable-rate mortgages
A 5/1 ARM has an average rate of 6.19%, a fall of 5 basis points compared to a week ago. With an adjustable-rate mortgage mortgage, you’ll usually get a lower interest rate than a 30-year fixed mortgage for the first five years. However, you could end up paying more after that time, depending on the terms of your loan and how the rate adjusts with the market rate. Because of this, an ARM might be a good option if you plan to sell or refinance your house before the rate changes. Otherwise, changes in the market mean your interest rate could be much higher once the rate adjusts.
Mortgage rate trends
Mortgage rates were historically low throughout most of 2020 and 2021 but increased steadily throughout 2022. Now, mortgage rates are well above where they were a year ago. Fewer buyers are willing to jump into the housing market, driving demand down and causing home prices in some regions to ease. But that’s only part of the home affordability equation.
“Interest rates have been much higher in the past and people bought homes and financed homes at those rates,” said Daniel Oney, research director at the Texas Real Estate Research Center at Texas A&M University. “But it’s been hard for people to react to such a rapid increase in just a short amount of time.”
Even though the Fed hit pause on rate hikes in June, mortgage interest rates will continue to fluctuate on a daily basis. That’s because mortgage rates aren’t tied to the federal funds rate in the same way other products are, such as home equity loans and home equity lines of credit, or HELOCs.
As long as inflation continues to trend downward, though, mortgage rates should decline slightly towards the end of 2023. The most recent housing forecast from Fannie Mae calls for the average 30-year fixed mortgage rate to close out the year at around 6.3%.
“Mortgage rates have been volatile for some time now and while they could eventually start trending down over the next six months to a year as inflation growth continues to cool, their path is probably going to be bumpy,” Channel said.
We use data collected by Bankrate to track rate changes over time. This table summarizes the average rates offered by lenders nationwide:
Current average mortgage interest rates
Loan type
Interest rate
A week ago
Change
30-year fixed rate
7.23%
7.37%
-0.14
15-year fixed rate
6.48%
6.59%
-0.11
30-year jumbo mortgage rate
7.26%
7.39%
-0.13
30-year mortgage refinance rate
7.33%
7.44%
-0.11
Rates as of July 18, 2023.
How to find the best mortgage rates
To find a personalized mortgage rate, talk to your local mortgage broker or use an online mortgage service. When shopping around for home mortgage rates, consider your goals and current financial situation.
Specific mortgage rates will vary based on factors including credit score, down payment, debt-to-income ratio and loan-to-value ratio. Having a higher credit score, a larger down payment, a low DTI, a low LTV or any combination of those factors can help you get a lower interest rate.
Apart from the interest rate, other factors including closing costs, fees, discount points and taxes might also affect the cost of your house. Be sure to comparison shop with multiple lenders — such as credit unions and online lenders in addition to local and national banks — in order to get a mortgage loan that’s the best fit for you.
What’s the best loan term?
When picking a mortgage, you should consider the loan term, or payment schedule. The loan terms most commonly offered are 15 years and 30 years, although you can also find 10-, 20- and 40-year mortgages. Mortgages are further divided into fixed-rate and adjustable-rate mortgages. The interest rates in a fixed-rate mortgage are fixed for the duration of the loan. For adjustable-rate mortgages, interest rates are stable for a certain number of years (typically five, seven or 10 years), then the rate adjusts annually based on the market rate.
When choosing between a fixed-rate and adjustable-rate mortgage, you should consider the length of time you plan to live in your house. Fixed-rate mortgages might be a better fit if you plan on staying in a home for quite some time. Fixed-rate mortgages offer more stability over time compared to adjustable-rate mortgages, but adjustable-rate mortgages may offer lower interest rates upfront. If you aren’t planning to keep your new home for more than three to 10 years, however, an adjustable-rate mortgage might give you a better deal. There is no best loan term as a general rule; it all depends on your goals and your current financial situation. It’s important to do your research and think about your own priorities when choosing a mortgage.
While some people think of Walt Disney World as a place designed for kids, that’s not entirely the case. In fact, some parts of Disney World aren’t kid-friendly at all. The elegant, AAA Five Diamond Award-winning restaurant Victoria & Albert’s doesn’t allow kids under 10, and Jellyrolls — a dueling piano bar — is for vacationers 21 and up.
A trip to Disney World for couples or adult friends can be fun and worth taking. But even without kids to add onto trip costs, a Disney trip for two is not cheap.
The average cost of Disney World for two adults can easily top $4,000 for a seven-night trip, and that’s for frugal travelers. Couples who want to splurge on the fanciest rooms and restaurants, perhaps those traveling for a honeymoon or proposal — or those who simply want to travel in style — should budget at least $10,000 for seven nights.
A NerdWallet analysis sought to find out how much a trip to Disney World for two costs, accounting for line items across these four categories:
Park tickets (and add-ons, like Genie+).
On-property hotel room rates.
Food at park restaurants.
Add-on activities, like spa treatments and tours.
Because Disney offers options for a range of budgets, NerdWallet categorized the average cost of a Disney vacation for two into three price tiers: Value, Moderate and Deluxe (which is the same classification that Disney World uses for its hotels).
A frugal couple might be fine booking a Value hotel with minimal frills and only dine-at-counter service restaurants or carts. But other adults might purchase extras to improve the experience, like line-skipping privileges or larger rooms — all variations accounted for in the average price estimates listed below. Read more about NerdWallet’s methodology at the end of this article.
Here’s how much you should anticipate spending per day, per person (with hotel prices based on double occupancy), based on travel style:
One-day, one-park theme park ticket
One-night hotel room (Saturday night)
Individual meal
The average total Disney World cost for 2 adults
Here are NerdWallet’s estimates of a Disney vacation for two, broken down by travel style and length of trip:
Each Disney budget listed above assumes daily theme park tickets, three meals per day and overnight stays at a Disney-owned hotel with both travelers sharing one room.
Disney World ticket prices
Disney World ticket prices vary by park and date.
One-day Magic Kingdom Park tickets average $160, making it typically the most expensive of the four Walt Disney World theme parks. Magic Kingdom may be the most iconic and features romantic spots like Cinderella Castle (which might be ideal for a Disney proposal), but it’s also viewed as the most family-friendly park, which means more strollers to dodge.
Meanwhile, Epcot tends to be the cheapest Disney theme park — which is a plus given it’s often considered the best Disney World park for adults anyway. About half of the park is devoted to World Showcase, which consists of 11 mini subsections themed to a different country, including Norway, China and Morocco. Each serves up food and beverages (including alcohol), and some have rides, too.
Disney World price per person
One-day, one-park ticket advertised price range
$109 to $189.
Average one-day, one-park ticket price
Genie+ (add-on option for Moderate and Deluxe trips)
Starting at $15.
Disney World ticket prices drop the longer you stay. For example, five-day, one-park-per-day tickets average $643 (that’s $129 per day).
Optional Disney ticket upgrades include Lightning Lanes, which are priority queues for certain attractions, and Park Hopper tickets, which allow multiple park visits per day. Upgrades aside, here’s how much you should expect to spend on Disney tickets for two adults, based on number of theme park days:
Disney World hotels
The myriad of Disney-owned hotels offer options across price points. They range from Disney’s All-Star properties — which start at $128 per night, according to Disney trip planning website Touring Plans, and are considered Value properties — to Disney’s Grand Floridian Resort & Spa, which starts at $780 and is one of the most expensive Deluxe hotels.
Specific room rates vary based on check-in date and specific property, but here are average prices broken down by type and trip length, according to NerdWallet’s analysis:
Three nights
Seven nights
Even Disney’s cheapest hotel rooms are more expensive than what you might find elsewhere in the Orlando area. The average daily room rate across Orlando is just $186.49, according to Visit Orlando’s 2022 Travel Industry Indicators. That’s about 35% less than the $286 average price for the cheapest Disney resort.
Disney World food
NerdWallet researched average meal prices to find an estimate for the Disney World cost of food. Value meals consisted of an entree and drink, while meals placed in the Moderate or Deluxe tier (all served at table service restaurants with waitstaff) also included either an appetizer or dessert.
Here were average Disney World meal prices per person, based on restaurant tier:
Other activities and expenses
NerdWallet’s calculations did not factor in miscellaneous items and souvenirs, which you might want to account for when estimating your own trip to Disney World.
But NerdWallet’s seven-day trip estimations did consider other entertainment and activities, which are add-ons that Disney refers to as its “Enchanting Extras Collection.” They include scuba diving, golf lessons and dessert cruises aligned to sail during the fireworks. (NerdWallet did not add the costs of these extras for shorter trips, given that most people would be devoting their time to the theme parks).
Someone seeking a behind-the–scenes tour on a budget might book the $35, one-hour Behind the Seeds tour that takes you into Epcot’s fish farm and greenhouses. Longer and more expensive tours include the Animal Kingdom’s $199 Wild Africa Trek tour, which involves three hours of hiking, off-roading in a safari vehicle and traversing a rope bridge.
For couples taking seven night trips, here’s how much extra NerdWallet estimates you should budget for Disney World extras (for two people):
Value: $284.
Moderate: $443.
Deluxe: $911.
While not everyone will opt for these activities, many adult travelers might incorporate Disney Enchanting Extras in their budget for Disney World.
How couples can visit Disney World on a budget
Couples should expect to spend a minimum of $700 if staying on Disney property for one night and visiting the parks for one day.
For three-night stays (and two theme park days), costs inflate to a minimum of $1,800. And for seven-night stays with five theme park days, expect the trip to cost at least $4,000 if you’re low-frills. However, you might spend more than $10,000 across seven nights if you vacation like you’re keeping up with the Joneses. And that’s all before accounting for the cost to actually get there.
Here are some strategies for couples planning a trip to Disney World on a budget:
Book Disney Good Neighbor Hotels, which are hotels owned by other large hotel chains. Cash rates are typically cheaper than those at Disney’s own hotels, and they can sometimes be booked for free (assuming you have hotel points earned through frequent stays or credit card rewards).
Commit to Disney’s free mass transit. While families might require a rental car to use their own car seat, adults can get away with relying solely on Disney’s extensive transportation network of boats, monorails, buses and gondolas, which are free to use.
Don’t be afraid to order the kids’ meals. Particularly if dining at a counter-service restaurant, no one will know if you’re ordering a kids menu item to be consumed by an adult.
Methodology
To better understand what an average trip to Disney World for two adults costs, NerdWallet gathered more than 200 ticket prices, 550 Disney-owned hotel room rates and 100 additional activities and restaurant prices between April 2023 and April 2024. NerdWallet aggregated those figures to build sample trip budgets based on travel style and trip length and ultimately to determine how much a Disney trip for two costs.
NerdWallet’s trip costs start once you’re on property, thus don’t account for parking, airfare or driving costs. Here’s what’s included in each price tier:
Travel style
A budget-minded traveler seeking affordable options, few frills and little to no add-ons.
Someone price conscious but who occasionally splurges.
Someone who will pay top dollar to access the high end of what Disney offers.
Tickets (Disney World)
One-park-per-day tickets.
One-park-per-day tickets with Genie+.
One-park-per-day tickets with Genie+.
Hotels (Disney World)
Overnight at Disney’s Value hotels.
Overnight at Disney’s Moderate hotels.
Overnight at Disney’s Deluxe hotels.
Daily meals (Disney World)
Three meals (one entree and one beverage) at Value counter service restaurants or food carts.
Two Value meals plus one Moderate meal (one entree, one dessert or side and one beverage) at a casual, table service restaurant with waitstaff.
One Value meal, one Moderate meal plus one Deluxe meal at an upscale, table service restaurant with waitstaff.
Extra activities (Disney World)
Value add-ons, like cheap seats at Disney World’s Cirque du Soleil show or a lower-budget spa treatment (like an express pedicure).
Moderate add-ons, like central seats at Disney World’s Cirque du Soleil show or a grand pedicure at the spa.
Deluxe add-ons, like front-row seats at Disney World’s Cirque du Soleil show or a full-body massage at the spa.
Stateroom type (Disney Cruise Line)
Standard Inside.
Deluxe Oceanview.
Deluxe Oceanview with Verandah.
Daily meals (Disney Cruise Line)
No extra meals added.
One additional meal at Palo.
One additional meal and wine pairing at Palo.
Extra activities (Disney Cruise Line)
No extra activities added.
Moderate add-ons, like a spa day pass or snorkeling excursion.
Deluxe add-ons, like a spa day pass with massage or scuba excursion.
Because Walt Disney World ticket prices vary by park, one-day ticket prices were based on Magic Kingdom admission. Two-day ticket prices were based on Magic Kingdom and Epcot. In addition, NerdWallet’s analysis did not account for Park Hopper tickets, which allow access to multiple theme parks per day.
And of course, these budgets for the average cost for a trip to Disney should be used to estimate — rather than determine — your own Disney trip costs. Couples who pack their own snacks might spend less on Disney food. Meanwhile, those using their Disney trip as a shopping spree should account for souvenir costs, alongside other potential extras like PhotoPass.
(Top photo courtesy of Walt Disney World)
How to maximize your rewards
You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2023, including those best for:
Prudential Financial, Inc, or Pru, has been in the financial services and insurance business for almost 140 years. The company has been helping both individual and business clients to both grow and protect their wealth throughout that time. Pru is considered to be one of the largest financial services institutions in the world, with operations in the U.S., as well as in Europe, Asia, and Latin America.
The company has for many years had one of the most recognized brand symbols across the globe, as “The Rock” – its icon of strength, stability, expertise, and innovation – is known by both investors and non-investors worldwide, as is the company’s long-running corporate slogan, “Get a piece of the rock.”
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The Company and Its History
Prudential was founded in 1875 in Newark, New Jersey, by insurance agent John Fairfield Dryden. The company began in a basement office as “The Prudential Friendly Society.” The goal of Dryden was to make insurance coverage available to the working-class people, and it sold primarily industrial insurance – a type of coverage that provides burial and funeral coverage for low-income families. At that time, some of the policy premiums were as low as three cents per week.
Within just a few years, The Prudential Friendly Society expanded into Philadelphia and New York City, and its assets had reached $1 million. By 1885, the company had even sold its one-millionth policy. That year, the company’s name was also officially changed to The Prudential Insurance Company of America. It also adopted The Rock of Gibraltar as its company symbol.
Today, Prudential serves customers in 41 countries and territories, and it has roughly 47,000 employees around the world. The company holds approximately $1.176 trillion in assets under management.
Products Offered By Prudential
Prudential offers a variety of insurance and annuity products to both consumers and the business market. For consumers, the following insurance products can be found:
Term Life Insurance – Term policies provide “temporary” protection for a set period of time, such as for 10 years, 15 years, 20 years, or 30 years. This type of coverage can be quite affordable – especially if the applicant is young and in good health at the time that he or she is applying for coverage. If you are not in the best health and you feel a policy for life insurance with no exam is the best way to go for you, we can help find the best carrier for your needs. This is because term life provides only pure death benefit protection, without any type of cash value or investment build-up. Term life can be a good choice for those who are seeking to pay off the balance of a mortgage or other temporary needs, as well as for those who are looking for a large amount of death benefit protection but who do not have a large premium budget.
Universal Life Insurance – Universal coverage provides both death benefit protection, as well as a cash value component. The cash value is allowed to grow on a tax-deferred basis, meaning that no tax is due on the gain of the cash value until the time it is withdrawn. This means that the cash can essentially grow and compound exponentially over time. Universal life insurance offers policyholders a great deal of flexibility in that they can choose – within certain parameters – when they make their premium payment, as well as how much of that payment is allocated to the death benefit and how much of it is allocated to the cash value component.
Variable Universal Life Insurance – Similar to regular universal life, variable universal policies provide a death benefit and a cash value component, along with tax-deferred growth. However, the cash value component is tied to underlying market performance. This provides the policyholder with the ability to grow their cash even more – provided that the market performs favorably. Conversely, these policies can also be riskier if the market has poor performance.
In addition to life insurance, Prudential provides fixed and variable annuities. These products can help those who are either already retired, or those who are approaching retirement, to meet various goals. For example, those who are saving for retirement can participate in tax-deferred savings. Those who are seeking income can choose from a variety of different income options – including a lifetime option where they may receive income for the remainder of their life, regardless of how long that may be.
Prudential also offers additional types of insurance coverage products such as auto, home, RV, watercraft, and personal liability insurance, as well as retirement planning products and investment services to its customers in order to help them meet both their short- and long-term financial needs and goals.
Additional services that are offered by the company include the firm’s “Special Needs Solutions,” which address the unique concerns of parents who have children with special needs, as these families may require specialized life insurance and financial planning advice.
Financial Strength Ratings
Prudential holds strong ratings from the ratings agencies. These include the following:
A.M. Best
Standard & Poor’s
Moody’s Investor Services
Fitch Ratings
A+
AA-
A1
A+
Advantages and Drawbacks
While Prudential is a strong contender in the insurance and financial services industry, the company has both advantages and drawbacks. With that in mind, it is important to consider all of these prior to moving forward with the purchase of a policy with the company in order to ensure that the policy that you choose meets all of your particular coverage needs and goals.
On the plus side, Prudential provides a nice selection of term and universal life insurance products. These particular plans all have strong features – and because they are backed by Prudential, policyholders can be assured that they have coverage that is backed by an extremely strong life insurer.
In addition to providing very good policy rates to those who are in good health, Prudential may also offer favorable rates to those who are tobacco chewers, as well as to those who are cigar users.
In addition to the product positives, Prudential also has high rankings for its customer service. Representatives can be reached in several ways, including via phone or through live website chat. Reps can also be reached through Twitter, Facebook, and Google+. This makes it extremely easy for policyholders who need answers to their questions, or even for those who are researching whether or not to purchase new or additional coverage. Additional information can be found on Prudential’s customer service FAQ page on the company’s main website.
Unfortunately, even with all of the good, there are a few drawbacks to Prudential. First, those who are seeking whole life coverage are out of luck, as the company does not offer this type of policy. So, while universal life policies provide individuals with flexibility, not offering whole life to those seeking guarantees leaves out a potentially huge area of the marketplace.
In addition, those who may have adverse health conditions could have a difficult time finding coverage directly from Prudential’s online quote page. Therefore, in these instances, it is likely best to work with an agency or company that specializes more in higher-risk cases and who can provide more of a comparison shopping experience.
Annuities Offered by Prudential
Another product that is offered by Prudential is its retirement investments. One way that they do that is through annuities. Annuities are contracts that you hold with an insurance company (in this case, Prudential), and it’s a safe way to invest your money. Annuities are one of the most popular investments for people as they start planning for their retirement. The money is invested in a professionally managed portfolio, where it grows money tax-deferred. Once you retire, you can start receiving a paycheck to fund your retirement dreams.
If you’re going to purchase an annuity from Prudential, then you’ll be buying a variable annuity. Unlike a fixed annuity, the variable annuity could fluctuate depending on the investments inside of the annuity.
When you want to access your money, there are some restrictions on getting your hands on your investment money. If you want to start making withdrawals before you are 59 and ½, then you’re going to be subject to an additional 10% federal income penalty on top of the income taxes that you’ll already be paying.
How and Where to Buy the Best Life Insurance Coverage
To get the very best life insurance for your specific needs and goals – regardless of your particular health condition at the time of application – it is always a good idea to first make comparisons.
Just like the purchase of any other key product or service, you will want to make sure that you are obtaining the very best deal possible. This is a product that you are purchasing to protect the people who are most important in your life. With that in mind, you should expect it to be the very best – and that it be there for the long haul.
If you are ready to begin making life insurance policy and premium quote comparisons, my preferred partner is here to help. They work with many of the best life insurance companies in the industry today – and can help to provide you with all of the information that you need. They are also available to answer any of the additional questions or concerns that you may have.
When you’re ready to begin the process of locating the life insurance policy and premium that is best for you and those you love, use the form on the side of this page to run your own quotes and work with our preferred life insurance partner.
I understand that purchasing any type of insurance, such as life or health insurance, is a big decision, and we want to ensure that you have all of the information that you need before moving forward. So, feel free to contact us now – we are here to help.
From its variety of parks and bike trails to its fresh produce and amazing restaurants, Minneapolis is the place to be. Locals will quickly rattle off important facts about the town in which there’s always something new to discover. This includes places to eat and shop along with outdoor areas to explore.
Whether you need a new coffee shop, a new pub or a new place to take a walk, our expert locals have dished out their favorite spots. Where will you try first?
1. Harriet Island
There are plenty of outdoor spots to spend the day in Minneapolis. With the largest parks system in the country, there’s never a shortage of options for outdoor fun. But, with so many options, where to go can leave some locals unsure.
An outdoor spot big with locals for its picturesque views is Harriet Island. “It has amazing views of the river and the St. Paul skyline. The paddle boats along the river are fun to see, and you can make reservations to go out on them for dinner or lunch,” shares Jeannine Marie from Jeannine Marie Photography.
2. Lyndale Park Rose Garden
For a walk among the flowers, check out the Lyndale Park Rose Garden. This local gem is the second oldest public rose garden in the country. Jessica Strobel from Jessica Strobel Photography says the more than 3,000 plants make the garden feel “magical.” Plus, the spot is near the Harriet Lake bandshell, “where there is always something going on.”
3. Mill City Museum
“I enjoy St. Anthony Main and Mill City Museum for walking around in Minneapolis,” says Erin Johnson from Erin Johnson Photography.
The museum is a great spot, alongside Mill Ruins Park in Downton East. It sits right on the banks of the Mississippi River as well, so you’ve got plenty to see all around the area.
4. Greenway Bike Trail
When it comes to the best biking trail, the team from City Paws Pet Club suggests the Greenway Bike Trail. Stretching through Longfellow, and running parallel to Lake Street, this particular trail follows along a former railroad track.
5. Any local lake
Even with these specific spots, you can’t talk about the outdoors in Minneapolis without discussing the city’s lakes. Walking around any of them is a favorite pastime of Amy Lamphere, Founder of Storyline Collection. Walking lakeside is her favorite because she, “thrives on people-watching, and listening…and I get my steps in!”
6. Mr. Paul’s Supper Club
You’ll find fantastic food in every part of Minneapolis thanks to the foodie-friendly vibe throughout the city. But, locals will always have their favorites.
For those in Linden Hills, Ashley Becerra from Everyday Ejiji suggests grabbing a bite at Mr. Paul’s Supper Club. It has an, “absolutely amazing menu, unique NOLA eats and a killer cocktail list.” If you visit, she suggests you try the frozen French 75.
7. Sociable Cider Werks
When you’re craving a refreshing drink that’s crisp and clean, check out Sociable Cider Werks. This hot spot located, in Northeast Park, is a favorite of Devin Abraham from Once Upon a Crime Bookstore. It’s where you’ll find, “great drinks and atmosphere, and they have a delicious food truck on site.”
8. A day of dining in Minneapolis
Planning a whole day around food is certainly possible as well. For Julie Thornburg, Corporate General Manager at The Buttered Tin NE, finding the right is the key to a great day in Minneapolis.
“We would start the day at The Buttered Tin NE for a delicious breakfast, of course!” says Thornburg, “Then we would venture over to the Minneapolis Farmers Market to pick up some fresh goods. Throughout the day we would visit some of our local favorites: Kieran’s Food Building and Centro. For spirits, later on, we love Tattersall Distilling.”
This tour of hidden gems takes you through Northeast Minneapolis and will keep your belly full all day long.
9. Spyhouse Coffee
Josh Olson from J. Olson Weddings believes that every great day begins with Spyhouse Coffee. “My ideal day starts in the morning, spent with a friend, reading a book at Spyhouse Coffee on Nicollet.” This is a perfect stop for those in or near the Whittier neighborhood of Minneapolis, although the coffee shop does have other locations throughout the city.
10. Penny’s Coffee
A great spot for morning commuters trekking through downtown is Penny’s Coffee. Just ask Rachel, the Shop Manager at Anna Bé Bridal Boutique. “I have been obsessed with Penny’s Coffee lately. They have a great outdoor + indoor space with the best coffee, crepes and pastries.”
11. Hunt and Gather
There’s no shortage of hidden gems in Minneapolis when it comes to shopping, and locals all have different favorites. According to Max Zdon, from Corazon, the best thrift shop in town is Hunt and Gather in the Fulton neighborhood.
12. Southside vintage shops
Meghan Kujawa-Smith from Fox & Loon Photography prefers to hit up the vintage shops. They include Carousel and Folk and Southside Vintage in Standish and Tandem Vintage just a little to the south.
Discovering the hidden gems in Minneapolis
Seeking out those small, locally-owned spots throughout Minneapolis is a worthwhile endeavor. Make the effort to find these hidden gems and reap the rewards. Where you call home will impact what hidden gems you adopt as your own, but from outdoor fun to fine dining and stellar shopping, you won’t have any shortage of options in Minneapolis as you explore.
Lesly Gregory has over 15 years of marketing experience, ranging from community management to blogging to creating marketing collateral for a variety of industries. A graduate of Boston University, Lesly holds a B.S. in Journalism. She currently lives in Atlanta with her husband, two young children, three cats and assorted fish.
Hold onto your your design-loving britches, friends. We have the most gorgeous Retail Therapy of all time for you today!
You may remember us talking about The Line a couple of weeks ago; its online shop is gorgre, gorge, gorge, but its physical retail space is a concept that we’re quite confident is going to completely change the shopping experience for us all. Their “store” is styled down to the soap in the bathroom! like an actual lived-in apartment in NYC. And it’s actually IN an apartment in NYC. When we found out that you can walk through each room and shop straight from the comforts of that insanely gorgeous navy tufted suede sofa, or pull things directly out of their beautifully stocked closet, we had to see it for ourselves! Thankfully, our fab photographer Aubrie was headed to New York so we got her in there, pronto!
Be mindful: this isn’t any ole’ apartment, it’s crowned “THE Apartment”…of our dreams. We’ll leave you two alone for a minute…
Isn’t this space un-be-lievable?!
We could have filled this post with effusive descriptions of every detail, but really the images speak for themselves. From the jaw dropping massive Moroccan rug in the living room, to the provocative art in the bedroom and the ceiling-high tree branch in the bathroom, this “store” is truly a game changer. The idea of what shopping should look like will never be the same.
And you won’t believe that this is not everything!
That’s right. This Retail Therapy is so mind-blowing that we decided to break it up into three posts! The details in The Apartment are not to be missed and just WAIT until you see the closet! More to come my friends. More.to.come.
original photography for apartment 34 by Aubrie Pick
Income tax filing season is upon us and let’s admit it – there’s a certain amount of stress with the whole process. It may be related to the time and effort it will take to gather the necessary documents. Or fear that you may owe the IRS money. And if you’re preparing your return yourself, you may have some anxiety over the potential to make a mistake that could invite an IRS audit.
Those may or may not be legitimate concerns, but there are numerous financial benefits of paying your taxes early. Since the process of filing returns can be stressful in itself, the best strategy is to get the job done as quickly as possible, put it in the rearview mirror, and move forward with your life.
Even if you do expect to owe money, it’s almost certainly better to file early and get it over with. And who knows? You might even find you owe less than you thought. But if you let it ride until close to April 15th, you’ll be causing yourself a lot of unnecessary stress.
That’s why when it comes to income taxes, it’s almost always better to file and pay early.
What’s Ahead:
How early can you file your income tax return?
There’s probably no one in America who is unaware that April 15th is “tax day”. But that doesn’t mean you need to wait until April 18th to file.
The 2023 tax season officially began on January 23rd, when the IRS started accepting 2022 returns. This includes e-Files.
But unless your tax situation is fairly simple, you probably don’t start doing your taxes on the earliest filing date. Often, employers and other institutions are not required to provide important tax documents until after the start date. For example, the deadline for sending W-2s and 1099s was January 31st in 2023. Other 1099s, such as those that report interest, dividends, capital gains, and other investment transactions, were not required to be sent until February 28.
But as we all know, just because W-2s and 1099s are due out by a certain date doesn’t mean everyone complies. You may find yourself waiting into March for certain forms. It happens in the real world.
The financial benefits of paying your taxes early
I’m using the term “paying your taxes” because that’s almost certainly the main reason people delay filing their taxes until April 15. But there are plenty of other reasons you might be waiting until the last minute, including procrastination.
But whether you expect to pay, or you’re anticipating a refund, there are plenty of reasons to file – and, if necessary, pay – your taxes early.
Get your money early if you’re due a refund
According to the IRS, theaverage federal income tax refund in 2023 as of February 28th is $1,963.
That’s a nice chunk of money, and one too big to leave on deposit with the IRS, where it earns no interest. For that reason, you should want to get your tax refund as soon as possible. And in most cases, if you expect a refund on your federal income tax, you’ll probably be looking for one on your state income tax as well. That means more than $2,900 may be hanging in the balance.
The sooner you get your refund from the IRS and into your bank, the sooner you’ll be earning interest on the money – or putting the cash to some good use elsewhere.
Read more: 10 smart things to do with your tax refund
Give yourself more time to pay if you owe
It’s perfectly understandable to choose to wait until the last moment to file your income tax if you owe money (whether because of estimated tax or otherwise). But if you already know you owe, hesitation will only generate additional unneeded stress.
What’s more, there’s no need to panic if you owe the IRS money, even if you can’t afford to pay it. In fact, the IRS provides several options for paying overdue taxes. Once you get one of these payment methods in place, the stress will ease, and you’ll be able to freely concentrate on the business of getting your tax liability paid.
The IRS will help you pay your tax balance
The IRS provides no fewer than three options to pay your taxes if you get a tax bill:
When you file your taxes, you can contact the IRS and request additional time to pay your full tax balance. TheIRS will give you up to 120 days to pay your balance. You’ll need to contact the IRS to set this up, which is another compelling reason to file your return early.
If you won’t be able to pay the full balance within 120 days, you can also set up aninstallment payment agreement. The IRS will give you up to 72 months – a full six years – to pay your balance in full. However, interest and penalties will be assessed on the portion of the tax that has not been paid by April 18th.
If you’re unable to pay the full balance even with additional time or an installment agreement, you can also propose anoffer in compromise. You’ll need to make an application with the IRS, but you may qualify to pay a reduced tax balance if you can demonstrate a hardship. This may be approved if you’ve experienced a prolonged time of unemployment, the death of a loved one, a divorce, or a major medical event.
The critical element when you owe the IRS money is to file your tax return on time. Early is even better, since it will make it easier for you to set up a workable payment plan. That’ll be easier to do early in the tax filing season when the IRS is more likely to answer their phones or to respond to online applications for payment plans.
Reduce the likelihood of income tax refund fraud
Income tax refund fraud is one of the fastest-growing and least understood forms of identity theft. That’s in large part because it happens without the taxpayer even being aware of what’s going on – at least until an ominous letter arrives from the IRS.
If you’re expecting a refund, that letter will inform you that a large refund has already been paid under your name and Social Security number.
You don’t need to worry that the IRS is going to come after you for the fraudulent overpayment. They’re well aware of income tax fraud and have an entire protocol set up to deal with it. But it will take weeks or months to sort out, and that will mean your true refund will be delayed until the problem is cleared up.
To avoid the hassle and the delay – as well as the possibility of the fraud itself – you’ll minimize the likelihood of it happening by filing as early in the tax season as possible.
Income tax refund fraud usually takes place shortly after the IRS begins accepting returns for processing. If the fraudster has your name, address, and Social Security number, he or she can file a bogus tax return claiming a large refund.
The early filing by the fraudster is the key to the whole theft. The fraudster will be able to both file a fraudulent return and collect the refund before you file your legitimate return.
Read more:7 signs you’re at risk for identity theft
Avoid the last-minute tax crush – and the possibility of needing to extend
There’s something of a myth – which is one dreaded by tax preparers everywhere – of a taxpayer walking into a CPA firm or tax-preparation company the day before taxes are due and expecting to have the return filed by the next day. That’s something like doing your Christmas shopping on Christmas Eve. And trust me, it probably won’t work with tax filing either.
I spent many years working in CPA firms, and I can tell you categorically that’s not how tax preparation works.
Walk into a CPA firm at the very last minute and the most that will happen is your return will be extended.
In fact, many CPAs have a cutoff date that’s set much earlier. In some firms, it may be April 10th, but in others, it may be April 5th, April 7th, or even April 1st.
The reason is CPA firms and tax-preparation offices are swamped with last-minute tax returns as the 18th approaches. The higher the volume of last-minute returns, the earlier the cutoff date will be. You can forget about April 18th– your return will automatically be extended if you come in after the cutoff date established by the firm.
Like avoiding as many traffic jams as you possibly can, you should do your best to not take part in the last-minute tax-preparation crunch. And, if for whatever reason, it looks like you’ll be a late filer, your best choice will be to opt for tax-preparation software to get the job done yourself.
Warning: an extension to file your return is not an extension to pay your taxes
At a minimum, it will be important to have your return completed even if you need to file an extension. A completed or mostly completed tax return will let you know what your tax liability is.
That’s important because filing an extension only grants you the right to file your return by October 16th. But it does not give you an extension to pay your tax liability.
Being better prepared to file a complicated return
Next to apprehension over owing on your taxes, the biggest source of stress and filing delays is likely the need to file a complicated return. That may be the case if you’re self-employed, have a large number of investment trades, own investment real estate, or participate in multiple partnerships.
The document collection process for any of those return types is admittedly challenging. But that’s all the more reason to keep accurate records as well as know where to access important documents, many of which can easily be retrieved from online sources.
Delaying the preparation of a complicated tax return until April 15th, or even anticipating an extension, won’t make the problem go away. It’ll simply postpone it to a later date, which means you’ll spend more time stressing and worrying.
This can be especially problematic if you’re using the services of a paid tax preparer. The closer you get to April 15th, the more backed up paid tax preparers are, including CPAs.
Tax software can help you file the most complicated returns yourself
Don’t let that stop you from filing. There are advanced tax software programs that can help you prepare your tax returns yourself. And you can do it with a quality level similar to a return prepared by a CPA.
TurboTax is an excellent choice to self-prepare the most complicated tax returns. You can quickly and easily file even the most complicated returns, even getting help from a live agent as needed. That’s just a fraction of what you’d pay a CPA to prepare your return. And using the easy, step-by-step data entry process TurboTax employs will make the tax-preparation process easier than you might imagine.
They offer a 100% accuracy guarantee, the ability to prepare up to five returns with a single package, an audit support guarantee, an interface with QuickBooks, and – for an additional fee – live audit representation. For a complete list of the best options for filing yourself or with help, click the link below.
Read more: Best tax software for 2023
Summary
For the sake of your own sanity, file and pay your income taxes as early in the tax filing season as you can. Given all the tax preparation software that’s available – that’s both easy to use and low cost – there’s no reason to wait.
File as early as you can, get the task behind you, then go on with your life. Even if you expect to owe, a delay doesn’t eliminate the need to make payments. It only defers it to a later date and leaves you spending more time worrying.
Between tax software and e-filing, there’s no reason at all to put yourself through that.
In August 2020, Taylor Lopez and her husband Joseph bought their home for $180,000 in the fast-growing city of Anna.
They bought the three-bedroom house built in 1966 with a loan carrying a 3.8% mortgage rate. “From an investment standpoint, it felt like a good choice,” said Lopez, 36, a real estate manager for restaurant chain Wingstop.
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Dallas-Fort Worth home sales, prices only take slight hit from higher mortgage rates
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After more than two years in the home, they’ve been thinking about selling. Joseph works in Lewisville and Taylor works in Addison, so they would like to find a place offering a shorter commute.
D-FW Real Estate News
Get the latest news from Steve Brown and the business staff.
But, like many other would-be upsizers in Dallas-Fort Worth, the couple feels locked into their current home.
Although they could get a good return on a sale, they would have to shop in a dramatically more expensive housing market than when they first purchased and sacrifice their current loan for a new one at a much higher rate.
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After a wave of low-rate homebuying and refinancing from 2020 to 2022, more than half of outstanding Texas mortgages have rates of less than 4%, according to Federal Housing Finance Agency data.
Since last fall, the average rate for a 30-year, fixed-rate mortgage has been hovering between 6% and 7%.
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“There are people that want to sell, but that is what is keeping them there at their house,” said Misty Michael, a real estate agent in the Sachse and Plano area.
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The Lopez family said any home they would want to buy, in school districts they want to be in and that wouldn’t require a lot of work, would start in the $400,000 range.
“It doesn’t make sense when you weigh out all the pros and cons, so we’re continuing to drive about an hour each way to work,” Lopez said. “We could always purchase a home at a higher interest rate, then refinance it if the interest rates go down, but that’s an if and when situation.
“When you’re playing with that much money, it doesn’t seem like a risk I’m willing to take right now.”
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Changing math
Since the start of 2020, the median price of a single-family home in Dallas-Fort Worth has risen more than 50%, according to North Texas Real Estate Information Systems and the Texas Real Estate Research Center at Texas A&M University.
On top of that, the Federal Reserve has aggressively increased its federal funds rate for more than a year, indirectly driving up mortgage rates. Freddie Mac recorded an average 30-year mortgage rate of 6.96% on July 13.
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The result: The monthly principal and interest payment for a median-priced Dallas-Fort Worth home at the average rate with a 20% down payment, before insurance or property taxes, was about $980 in January 2020. In June, it was more than $2,100.
For buyers who purchased a $300,000 home at the record low of 2.65% in January 2021, just buying a house at the same price again at today’s average rate would add almost $900 to their monthly payments before taxes and insurance.
Purchasing a bigger or nicer home would add significantly more to that already-elevated payment, so people with job promotions or babies on the way looking to upgrade to bigger homes may not find a good enough deal to justify it financially.
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“It now is significantly more expensive to make these marginal changes that you might have been planning,” said Texas A&M economist Adam Perdue. He and his wife are expecting a baby soon and have considered getting a bigger home, but they too have a low rate on their home in Brazos County and don’t want to take on higher monthly payments.
While prices are declining slightly year to year, Texas A&M economists don’t expect them to return to where they were at the beginning of 2020. Rates are also expected to decline, but not back down to the record lows. Mortgage Bankers Association forecasts rates in the 5% range by 2024.
Still buying and selling
As mortgage rates rose and sellers held back, new single-family home listings in Dallas-Fort Worth dropped 22% between June 2022 to June 2023, limiting options for people looking to buy.
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Buyers with an immediate need to move are still purchasing homes, and people continue to move to Texas from other parts of the country. Local home sales recorded in June were down only slightly from a year before.
“We have a ton of buyers that are wanting to buy a home,” Michael said, adding that buyers may choose to refinance later. “You have people getting married, having babies, kids going to college.”
More casual buyers without an immediate need to move may no longer be shopping, said Drew Kayes, who heads up homebuying company Opendoor’s operations in Dallas-Fort Worth and Houston.
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“A lot of those folks right now are not in the market because they’re locked into a sub-4% rate, and that’s more of a luxury move than a necessity move,” Kayes said.
Jason Dickson, co-owner of North Texas-based Nuwave Lending, said while it may be hard for homeowners to leave their current home, it may be worth it for them to tap into equity they’ve built up during the pandemic to pay off credit card debt or auto loans.
“They’ll gladly sign up for the higher interest rate in the new house if they have the benefit of taking that equity and improving their overall financial position,” he said.
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A silver lining
Nipun Gadhok, 31, doesn’t want to lose his 3% rate but hopes to purchase a new home for him and his girlfriend next year.
Gadhok, a development manager for the Nehemiah Co., a local firm behind residential communities throughout Dallas-Fort Worth, purchased his five-bedroom home in Fort Worth’s Augusta Meadows neighborhood in 2021.
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He’s looking to buy a home along the outskirts of the metro area, potentially in one of his company’s developments on the east end of Mesquite. Knowing he has a rate he may never get again, he’s not planning to sell his Fort Worth house.
He intends to keep it as a rental property and is already renting out rooms to four other tenants. With mortgage rates causing many people to rent, that’s turning out to be a good side hustle.
“People are choosing to rent, they are not as much inclined to buy,” Gadhok said. “The rates really helped me out in the way that I’m not having problems with finding tenants.”
Read more stories about the D-FW housing market
Here’s how much profit Dallas-Fort Worth home sellers are making
Home sellers in North Texas are pocketing some of the highest gains on record, even though profit is down from last summer’s peak.
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Developers of Plano’s legacy Haggard farmland on the Dallas North Tollway are disclosing more details of a $70 million, four-story, 569,000 square-foot apartment project.
Dallas-Fort Worth tops Texas with a quarter of statewide home sales
Dallas-Fort Worth leads Texas in home sales with more than 27,000 properties trading in the second quarter.
Eating well is one of the small pleasures that I decided not to forego when I dug myself out of credit card debt. I’m a busy bachelor with an active social life and an absorbing job; I like food with a lot of flavor to it; and I live in a rural area without a lot of shopping or coupon options. These three things don’t usually go hand-in-hand with eating well or cheaply.
To meet my financial goals, I had to keep my food budget under $100 per month — that’s $25 a week to feed one or two people (since I often cook for dates and friends). It’s been a challenge. Luckily, in Texas and many other states, there is no sales tax on unprepared foods. Using a few simple strategies I managed to meet my goal and then some. I didn’t eat rice and beans for the entire month (unlike Morgan Spurlock), I don’t waste time digging through supermarket circulars, and I don’t spend hours in the kitchen every night. This is definitely the lazy man’s approach to groceries on a budget.
Here’s a quick rundown of my method:
I joined discount clubs at the supermarkets I frequented, and I gave them my real address. Kroger sends me coupons once a month.
I shop for fresh vegetables at the Farmer’s Market. Produce at our farmer’s market is literally half the price as the grocery store.
I have family members send me coupons. (This is also a great way to keep in touch with my grandparents, who don’t have email and who I don’t get to talk to all that often.)
Where it makes sense, I buy store brands to save money.
I make a large shopping run at the beginning of the month, and then only go to the farmer’s market for fresh vegetables during the rest of the month. If I don’t have an ingredient, I make something else. This forces me to get creative and use what I do have.
I plan my meals to use the same or similar ingredients. That way I can buy in bulk and I rarely have to get creative.
I buy staples in larger “family” quantities, and I also shop the short-dated bins for meats, which I usually grill immediately.
The most important thing by far has been getting creative with leftovers. I don’t let anything go to waste, and that’s saying something considering the quantities I buy.
For instance, I typically will buy a 12-pack of fresh thick-cut boneless pork chops at the grocery store near the beginning of the month. (I always compare prices between the butcher’s counter and the meat aisle — you’d be surprised how often the butcher’s counter is cheaper!) For the week after I grill, I have meals that feature pork chops: plain pork chops with various sides, pork chops on top of fresh salads, pork chop slices with barbecue sauce and cheese in a tortilla. You get the idea.
Another perennial favorite is taco meat. A frozen one-pound tube of ground turkey is $2. Taco seasoning from the bulk aisle is $5 per pound (though a pound will last longer than I’ll live!). Besides tacos, taquitos, and nachos, taco meat goes great on fresh salads or mixed with another side dish like beans and rice. That’s five or six meals right there without any repeats. The base ingredient is about $3 for those five meals.
Tacos use the same ingredients as a salad: olives, tomatoes, lettuce, and cheese. Soups, stews, and Spaghetti sauce are in the same category. I make my own spaghetti sauce to an old family recipe using canned tomato sauce and a pound of ground turkey. It freezes well, costs less than $5 to make in a batch, and takes only a minute to reheat. I generally make it once a month.
Don’t buy ingredients that work for only a single meal. A friend of mine loves an arugula salad that I make with lemon balsamic dressing, but I don’t make it for her regularly because you can’t really use the arugula before it goes bad.
On the other hand, one of the few products I buy from my grocery store’s produce section is bagged whole romaine hearts. They come three to a plastic bag for $3. Romaine hearts will keep for at least two weeks fresh in the bag, and it only takes a minute to wash and chop them into salad. (Use the entire heart, of course. Don’t peel the green leaves off. The paler parts are very sweet and juicy!) Don’t buy bagged, pre-cut lettuce — it’s soggy and unappetizing after less than a week.
Be careful with coupons. Make sure you carry a calculator (I use the one on my cell phone) to figure out if it’s really a good deal versus the store brands. You’ll usually find, like I do, that store brands are cheaper. On the other hand, you can find things are a better value — buying lunch meat in the re-useable containers has actually proven to be a good value because you can wash and keep the container. At my grocery store it’s more expensive to buy the containers than it is to buy the half-pound of lunch meat that comes in them!
It seems my grandparents’ lessons are always the best. “Waste not, want not.” I watch my neighbors’ trashcans and shake my head every week. I hardly throw out anything, but some of them seem to fill their trashcans to the brim with kitchen waste every week. How can you get rich (slowly or not!) if you’re throwing out that much food?
For more about eating well for less, check out these past articles at Get Rich Slowly:
Images by Jesse Michael Nix and desi.italy. This article is not associated with Lazy Man and Money, but you should visit his site anyhow.