Those new mortgage fees you’ve probably heard about are causing quite a stir.
So much so that Pennsylvania State Treasurer Stacy Garrity sent a letter to the FHFA and President Joe Biden today pleading for their elimination.
And the letter is backed by another 32 fiscal officers from 26 other states, all of whom oppose the new mortgage pricing.
In a nutshell, they believe it’s unfair that high-FICO score borrowers are essentially subsidizing low-FICO score borrowers by having to pay more than they used to.
It’s a big deal because the new pricing applies to mortgages backed by Fannie Mae and Freddie Mac, which account for about 60% of the residential mortgage market.
First Some Background on Fannie, Freddie, and the FHFA
As noted, Fannie Mae and Freddie Mac back the majority of mortgages that exist today. They are easily the most common type of home loan available.
Such loans are known as conforming mortgages because they adhere to the underwriting guidelines of Fannie or Freddie.
They are overseen by the Federal Housing Finance Agency (FHFA), which only came into existence in 2008.
Since then, the pair have been in conservatorship (thanks to the massive housing crisis) and are essentially quasi-government entities.
One of the FHFA’s jobs is to set a single-family pricing framework for mortgages backed by Fannie and Freddie.
All conforming mortgages, other than some low-income options like HomeReady, are subject to loan-level price adjustments, known as LLPAs.
These fees are charged for things like credit score, loan-to-value ratio, occupancy type, property type, and so on.
In short, the FHFA applies risk-based pricing to the loans it purchases and securitizes.
These fees allow it to operate soundly and serve its mission of promoting homeownership, by among other things, providing low interest rates to American home buyers.
At issue is the new pricing structure, which seems to punish those with higher FICO scores while providing a discount to those with lower FICO scores.
And the updated fees are essentially already in effect because they apply to deliveries and acquisitions beginning May 1st, 2023.
FHFA Director Thompson Defends the New Pricing
Last week, FHFA Director Sandra L. Thompson released a statement defending the changes, noting that the agency “is first and foremost a safety and soundness regulator.”
And that “the updated pricing framework will further the safety and soundness of the Enterprises, which will help them better achieve their mission.”
That mission is to support affordable housing for all Americans and “provide reliable liquidity to the market,” including borrowers who are limited by income or wealth.
Thompson added that their new pricing framework “is more accurately aligned to the expected financial performance and risks of the loans they back.”
And it hadn’t been updated in many years prior to a comprehensive review that began in 2021.
That led to “targeted fee increases” for loans on second homes and for high-balance loans, and eventually to cash out refinances.
These types of loans aren’t geared toward the underserved, so the idea was to eliminate any unnecessary pricing incentives.
No one was thrilled about that, but seemed to take it in stride. The bigger problem now is that the latest pricing changes affect virtually all homeowners.
Why Opponents Don’t Like the New Mortgage Fees
Simply put, the new pricing matrix charges some high-FICO score borrowers more than it used to. And charges some low-FICO score borrowers less than it used to.
For example, an applicant with a 740 FICO and 20% down payment used to get hit with a fee of 0.50%.
Going forward, they are being charged 0.875%. This is a difference of 0.375%, or $1,875 on a $500,000 loan amount.
That could result in higher closing costs or a slightly higher mortgage rate, say .125% higher.
So 6.625% instead of 6.50% on a 30-year fixed, or perhaps more money due at closing.
Meanwhile, a 660 FICO score borrower used to be charged 2.75% when putting down 20%.
Now, they’ll only be charged 1.875%, a 0.875% discount relative to the old pricing.
That has led to a lot of anger and finger pointing, and the argument that irresponsible borrowers are getting a break, a “handout” even, while those who have traditionally good credit get punished.
But Thompson argued that folks “mistakenly assume that the prior pricing framework was somehow perfectly calibrated to risk – despite many years passing since that framework was reviewed comprehensively.”
She added that the new “fees associated with a borrower’s credit score and down payment will now be better aligned with the expected long-term financial performance of those mortgages relative to their risks.”
Put another way, it’s possible that high-FICO score borrowers weren’t being charged enough, while the mid-tier FICO score borrowers were being charged too much.
Whether true or not, it seems this is the new pricing structure and everyone will have to live with it.
For the record, pricing actually improved for those with 780+ FICO scores. So if you want to avoid getting punished, and actually save money, you’ll need excellent credit.
And there’s no incentive for having a lower credit score – the new pricing merely shrinks the gap between high and low credit scores.
In other words, you’ll still pay more for a 640 FICO score than a 740 score, just not as much.
I doubt this letter will change anything, especially since they didn’t offer a clear alternative or solution, instead simply referring to the new policy as a “disaster.”
National lender honored for its excellence in helping low-income homebuyers
MERIDEN, Conn., May 17, 2023 /PRNewswire/ — Planet Home Lending has been named a 2023 winner of the Freddie Mac Home Possible RISE Award ®, which recognizes lenders that are making great strides in helping low-income homebuyers through the Home Possible® loan program.
The honor is especially meaningful as it recognizes Planet’s commitment to core values of supporting, strengthening and caring for people during the most important financial moments in life.
Home loans allow borrowers to buy their dream home and not worry about arranging the money needed to cover the entire cost of the home. File Photo.
Over the past few years, demand for housing loans has greatly increased with real estate costs skyrocketing in recent times, thus making it practically impossible for middle-class and low-income families to even plan about purchasing a home on their own. This is when home loans come to people’s rescue as there are several plans that can help families to purchase the home of their dreams without having to worry about coming up with the necessary funds. In the case of home loans, borrowers just need to make a down payment, while the remaining balance will be paid by the lender. They can later return the loan amount in regular installments over a period of up to 30 years.
Those who are planning to get a housing loan for buying a home in their respective cities also need to know about the tax advantages that come with them. Proper knowledge about tax benefits on home loans can help taxpayers to save up to Rs 3.5 lakh or more per fiscal year.
Tax benefits on home loans:
Related Articles
US company takes employees to party only to sack themBig financial changes you must keep an eye on
1. Tax Rebate on the Principal Component of the Home Loan under Section 80C:
Under Section 80C of the Income Tax Act, home loan borrowers can claim a tax benefit of up to Rs 1.5 lakh in any given financial year on payments made towards the principal component repayment of the home loan. Also, this is not just limited to first-time homebuyers and everyone can benefit from them.
2. Tax Rebate on Interest Repayment under Section 24b:
Under Section 24b of the Income Tax Act, home loan borrowers can claim tax deductions up to a maximum of Rs 2 lakh on payments made towards the repayment of the interest component of the home loan. Notably, the benefits under this section are allowed on an accrual basis.
Tax benefits on home loans for first-time buyers
First-time homebuyers may claim an additional tax benefit of up to Rs. 50,000 under Section 80EE of the Income Tax Act on the interest component of a home loan taken to purchase a residential property. On the other hand, taxpayers may claim home loan tax deductions under Section 80EEA of the Income Tax Act for contributions made towards the repayment of the home loan’s interest up to a limit of Rs. 1.5 lakh in a given financial year.
Notably, to be eligible for tax deductions under Sections 80EE and 80EEA, one must meet a few conditions as stated by their respective banks.
Read all the Latest News, Trending News, Cricket News, Bollywood News, India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.
It’s that time of the year again, when presidential hopefuls lay out their plans to save America and get the nation back on its feet.
While a lot of it is just noise, I do enjoy reading about the candidates’ housing policies to see what they think about real estate, mortgages, and so on.
It was especially important in the previous election, but has barely been mentioned this time around thanks to a resurgent housing market.
This week, Bernie Sanders weighed in with a piece titled, “Fighting for Affordable Housing.”
It has a number of proposals along with six main areas of interest, including:
– Expand affordable housing – Promoting homeownership – Helping underwater homeowners – Preventing homelessness – Getting lead out of our homes – Addressing housing and environmental justice
First, Sanders wants to expand affordable housing by building more affordable rental housing units for extremely low-income households.
Along with that, he wants to raise the minimum wage to $15 an hour by the year 2020, while also reinvigorating federal housing programs, repairing public housing, and defending the Fair Housing Act.
When it comes to promoting homeownership, Sanders promises to fight to support first-time home buyer programs, including expanded HUD and USDA offerings, as well as pre-purchase housing counseling.
Credit Score Reform?
He also wants to enact some kind of “credit score reform,” which is confusing to say the least. The proposal points out that a “prime score” before the housing crisis was 640, and that it’s now 740.
I can’t really get behind this because 640 back then was still 640, just slightly above subprime. Today, it’s the same, but you can still get a mortgage with very little down and a score that low.
Additionally, he notes that those with low scores had their credit ruined by foreclosures. Unfortunately, your credit score takes a hit when you stop paying your mortgage, even if the mortgage was destined to fail.
The upside is that there are already programs in existence for those with a foreclosure in recent history that wasn’t really their fault, and even some if it was your fault. It’s also been long enough that many boomerang buyers are now eligible for mortgages again.
He also backs the CFPB and ostensibly the Qualified Mortgage rule, but warned that Republicans are attempting to undermine the agency’s efforts. There’s certainly a lot of controversy there with many lenders feeling the need to walk on eggshells.
But all in all, the new forms should be easier for consumers to read (and to compare to other offers they receive), and the QM rule should limit the number of toxic mortgages doled out in coming years.
Mortgage Interest Deduction for All
Perhaps most interestingly, Sanders wants to extend the mortgage interest deduction to all taxpayers, not just those who itemize their taxes.
Many have argued that the deduction only benefits wealthier taxpayers with larger amounts of mortgage interest paid, many whom tend to itemize. With mortgage rates low and the standard deduction already quite high, many homeowners actually see no tax benefit.
He claims they could close the second home and yacht interest deduction “loophole” and direct the money to some 19 million homeowners who would otherwise benefit if they itemized.
I’m not sure how it would work, but I’m guessing it would be a flat dollar amount that would level the playing field between rich and less rich.
Sanders may have a point because a lot of homeowners probably think they’ll save more money than they actually do once they file their taxes, despite being told beforehand that they’ll save lots of money on taxes. And this can affect the rent vs. buy decision.
Sanders also wants to reinvigorate the Home Affordable Refinance Program (HARP), which is odd seeing that it has been around for some seven years and is winding down at the end of this year. Loan volume is already super low because most who could benefit already took advantage.
Additionally, home prices have risen markedly, so it’s importance has diminished tremendously in recent years.
A more useful idea he’s also touting would expand foreclosure mitigation counseling, with studies showing better outcomes for underwater homeowners who receive counseling.
All in all, there are some hits and misses with Bernie’s housing plan, but expanding the mortgage interest deduction could certainly be a game changer. It just probably won’t happen.
The surging pandemic-fueled rental market has almost — but not quite — turned a corner.
In an interview the day before the latest inflation data was released, Jeff Tucker, senior economist at the real estate website Zillow, said he was optimistic that annual rent growth might have peaked in March. But by the next day, the data showed that hadn’t happened yet.
The most recent Bureau of Labor Statistics’ consumer price index data, a proxy for inflation, shows shelter was the largest contributor to overall price increases in April. Over a 12-month period ending in April, the price index for shelter, which includes rent, was up 8.1%, according to the report released May 10. Rent increased 0.6% from March to April, compared with a 0.5% rise the previous month.
The data, while disappointing, doesn’t quite tell the whole story. That’s because CPI data reflects a lag in rent renewals and new leases. Most leases last a year, which means a renter’s costs stay the same all year long. It also means we won’t see 2022 rental housing reflected in the CPI for months to come.
There’s reason to be optimistic about future CPI data this year. Tucker says the growth in rent began decelerating in March 2022 and cooled significantly in late 2022. The give-or-take 12-month lag in the rental portion of the CPI could mean next month’s data might show a downturn.
Still, the most recent Zillow rental data, released May 5, paints what Tucker calls a fairly normal picture of the rental market at this time of year. The 0.6% rise in asking rents from March to April equals about $12 monthly. That’s a slightly smaller increase than the typical April increase of 0.7%, averaged from 2016 to 2019. Typical asking rents, nationally, are now $2,018, representing a 5.3% annual growth rate. The current annual rate is down about 12 percentage points from the peak growth rate of 16.9% in February 2022.
“It’s a welcome signal that the rental market’s not accelerating on some new runaway trajectory of rapidly rising rent,” Tucker says. “And instead, it’s just kind of settling into a fairly normal seasonal pattern for the year.” He adds that April tends to be a “hot” time for rentals.
But today’s “fairly normal” comes on top of rent spikes during the first phase of the pandemic. If rents had continued growing at the steady pre-pandemic annual rate seen from 2015 to 2019, Tucker says, then rents would be a lot lower now.
“It’s more expensive than it used to be and more expensive than someone would have reasonably expected it to be this spring if you’d asked them in February of 2020,” Tucker says. “The kind of good news that things are not on a new runaway growth trajectory is maybe more like a silver lining to a still fairly bleak picture for renters in terms of affordability.”
What makes rent unaffordable?
Recent rental data from Zillow may show a downward trend in prices, but rent is still unaffordable in most cities in America.
The meaning of unaffordable may vary by household, but the general guideline is you should spend no more than 30% of your gross income on rent. Among the most unaffordable cities, median income earners in six places would be considered “severely rent burdened” by federal standards.
A monthly NerdWallet rent-to-income ratio analysis of 227 cities in the U.S. finds that, based on the most recent data for April, nearly 67% of rents on the market are equal to or above the recommended 30% ratio in March. The previous month’s report shows the ratio in March was 65%. February was the same.
That means, if you live in one of the cities where the rent-to-income is 30% or higher and you earn the median income or less, the typical rent in your area is likely moderately to severely burdensome. Market rent comes from Zillow, based on April data, and median household income used for this analysis is from 2021 U.S. Census Bureau data. The data doesn’t differentiate between incomes for residents who own rather than rent in those cities.
By federal standards, spending 30% to 49% of income on rent means a household is “moderately rent burdened,” and spending 50% or more means a household is “severely rent burdened,” according to the NYU Furman Center, which conducts research about housing and urban policy.
Among the 227 cities analyzed, seven have rent-to-income ratios that put renters with median incomes in the “severely rent burdened” category for April 2023:
Bridgeport, Connecticut: 70.71%.
Trenton, New Jersey: 70.55%.
Miami: 68.98%.
Santa Maria, California: 60.68%.
New York City: 56.99%.
Madera, California: 53.39%.
Los Angeles: 50.14%.
Renters with the greatest financial burden for housing tend to be seniors, low-income households, immigrants and racial or ethnic minorities, according to a 2015 Zillow analysis of U.S. Census Bureau data.
Here are the cities with the least and most affordable rental housing markets, according to April 2023 rental market data by Zillow.
Methodology: Rent-to-income ratios by metro area
NerdWallet pulled the most recent available market rental data for 529 cities from the Zillow Observed Rent Index and matched it with the most recent available median household income data (2021) for cities by the U.S. Census Bureau. Certain cities identified in the Zillow Observed Rent Index weren’t included in the U.S. Census Bureau list of median household incomes by city and thus weren’t included in this analysis. A total of 227 cities were identified by both sets of data. Then, NerdWallet calculated the rent-to-income ratio using the following formula: Market rent/(median income/12 months).
An unfamiliar city can be more than a little unnerving. Getting to know the area while simultaneously trying to make friends can be scary. Joining a volunteer organization can help you achieve both goals at once.
Volunteering is not only rewarding, but it also gives you a chance to meet other people in your area and build networks. If you’re renting in a new city, networking is an important way to make friends and contacts. Familiar faces will make you feel more at home.
There are numerous ways to get involved with charity organizations, non-profit foundations, or religious groups. Check out the information below on how to find volunteer opportunities, no matter where you call home.
Think about what kind of activities you enjoy, and look for similar volunteering events or organizations. If you find the list growing too long, limit your possible choices to the top five.
It’s also a good idea, but certainly not necessary, to tie in your skill-set with a charity event. Many organizations need assistance building new homes, tending to the elderly, painting over graffiti, or raising money for a cause. There are many volunteer opportunities for just about everyone to lend a helping hand.
Disease can cause human suffering, but it also brings people together. Volunteers offer significant contribution through their assistance and compassionate outlook of the struggle with Alzheimer’s, breast cancer, HIV/AIDS and other deadly diseases.
Nearly every disease has an opportunity for involvement. For example, the National Breast Cancer Association encourages volunteers to help host fundraisers to raise money in the fight against breast cancer. The National Multiple Sclerosis Society also allows you to search for local volunteer opportunities online. No matter that the disease, there’s probably something going on in your area. If there are no events, why not take the initiative as a new renter and set something up?
Are you an animal lover? The best option is to volunteer at your local shelter. Many of these shelters are connected to the Animal Humane Society, which offers plenty of ways to care for a variety of different animals. Inside the shelter, you’ll find opportunities to help not only cats and dogs, but also rabbits, guinea pigs, birds, reptiles, pot-belly pigs and other animals in need of assistance. You can take dogs on walks, or assist with nail clipping, feeding, bathing or grooming. Even if your rental policy doesn’t permit pets, caring for these animals lets you connect them with other adoption opportunities. Your furry friends will definitely thank you for your hard work.
Another way to impact the community and become familiar with the city is at your local volunteer fire or emergency medical service department. These departments are active throughout many areas of the country. Not only will you have the opportunity to save lives, but you will build camaraderie with other local volunteers.
Check with your local hospital to see if they know of any programs requiring volunteer assistance. You might be directed to a nursing home needing you to come in weekly to read to the elderly, or you might be asked to assist with a hospital’s fundraising project.
If you enjoy sports or the great outdoors, there are plenty of ways to be active, have fun, and help out your neighbors. For starters, youth sport leagues often need coaches and assistant coaches to help develop training programs, and teach kids about basic skills and teamwork. If you’re a parent, this is a fantastic way to participate in your kid’s life and help his or her teammates.
The Boy and Girl Scouts as well as other groups have local chapters around the country, and they’re often looking for scout leaders and other volunteers to help young people learn values, earn an appreciation of the outdoors, and learn about civic participation. These types of organizations are a great way to give back to the community.
Many people want to help those experiencing poverty or homelessness, as they are often the most vulnerable members of society. Organizations like Habitat for Humanity help build homes for those who are homeless or on a low-income. Local soup kitchens, homeless shelters and food pantries are always looking for new volunteers as well, which provide you with endless ways to support those facing poverty.
Do you know of a special charity or volunteer organization you want the world to know about? Let us know in the comments or share with everyone via Twitter, and spread the good word!
President Biden believes that everyone deserves to live in a safe and affordable home. Whether you rent or own, having a place to live that you can afford in a neighborhood with opportunities is the foundation for so much else in life.
It’s also the foundation for so much else in our economy. A lack of quality affordable housing hinders the job market and holds back economic growth by making it harder for workers to access good-paying jobs. It drives up costs for families and inflationary pressures. It also increases commutes and inefficient energy consumption, which exacerbates climate change. And a lack of affordable housing opportunities perpetuates the ongoing segregation and discrimination that our nation committed to eradicate nearly 60 years ago.
That’s why the President’s Budget includes a historic investment to lower housing costs, expand housing supply, improve access to affordable rental options and homeownership, and advance efforts to end homelessness. The Budget includes both mandatory and discretionary housing investments, totaling more than $175 billion. The Budget:
Invests in building and preserving millions of affordable homes for rent and ownership, and reducing barriers to housing production – from restrictive land use policies to practices that foster discrimination and disparate treatment in the housing market.
Makes a long-term commitment to housing accessibility and affordability for youth aging out of foster care and veterans. This support – targeted to extremely low-income populations that are vulnerable to homelessness – is a historic down payment on the President’s goal of providing universal housing vouchers for low-income households.
Invests in first-time, first-generation homebuyers who have been locked out of the generational wealth building that can be associated with homeownership by providing down payment assistance.
Provides funding to build on the Biden Administration’s unprecedented eviction prevention, diversion, and rent relief programs, advance efforts to end homelessness, and make progress towards President Biden’s goal of reducing homelessness by 25% by 2025.
Together, the Budget proposes investments and actions that will lower costsfor renters and homebuyers, make our economy stronger and more resilient, and advance equity, economic opportunity, and fair housing principles that are central to the President’s economic agenda.
Building and Preserving Affordable Housing
America faces a longstanding and nationwide shortfall in affordable housing that has been growing for decades. In May 2022, the Administration released a Housing Supply Action Plan that included administrative and legislative actions to close the housing supply shortfall in 5 years. The Administration has already delivered on many of those commitments, and will continue to build on the historic number of multifamily units under construction through additional administrative actions that: make it easier to build and preserve affordable, multifamily supply; advance the production and preservation of homes like accessory dwelling units and manufactured housing; and incentivize state and local governments to reduce barriers to affordable housing development. The President’s Budget builds on that progress and calls on Congress to:
Create A New Neighborhood Homes Tax Credit. The Budget proposes a new Neighborhood Homes Tax Credit, which would be the first tax provision to directly support building or renovating affordable homes for homeownership. At a cost of $16 billion over ten years, the credit would cover the gap between the cost of construction and the sale price for rehabilitated or newly constructed single-family homes in low-income communities, encouraging investment in homes that would otherwise be too costly or difficult to develop or rehabilitate – and spurring investment and economic activity in communities that have long suffered from disinvestment. The tax credit would be provided on the condition that the home is occupied by low- or middle-income homeowners.
Expand the Low-Income Housing Tax Credit (LIHTC). LIHTC is the largest Federal incentive for affordable housing construction and rehabilitation. The Budget invests $28 billion in expanding this tax credit in order to boost the supply of housing that is affordable for low-income renters. Specifically, the Budget permanently increases the allocation of tax credit states receive. It also reduces the private activity bond financing requirement from 50 percent to 25 percent in order to leverage more private capital into LIHTC deals and build more units of affordable housing. And it repeals the qualified contract provision and right of first refusal provision – both of which allowed some owners of LIHTC units to exit requirements to keep rents at affordable levels.
Provide New Project-Based Rental Assistance (PBRA) for ELI households. Eleven million of the 44 million renter households in the U.S. have extremely low incomes (ELI)—incomes at or below the poverty level or 30% of the area median income. Producing and preserving housing that is affordable for those households – and ensuring rents remain affordable for those households – is a critical component of tackling the Nation’s housing challenges that often requires additional subsidy. The Budget includes $7.5 billion in funding for new Project-Based Rental Assistance (PBRA) contracts, which are long-term contracts with private for-profit or non-profit owners to rent new affordable housing units. These new contracts, in combination with other low-income housing programs and incentives, will attract development capital for the creation of new affordable homes for America’s neediest families.
Reduce Barriers to the Development of Affordable Housing. The Budget includes $10 billion for planning and housing capital grants to incentivize State and local jurisdictions to expand supply and increase housing choice by reducing barriers to the development of affordable housing. The grants will help jurisdictions identify and remove barriers to affordable housing in their communities, such as restrictive zoning and burdensome permitting processes. These grants build on discretionary investments in the Budget, including $85 million for a competitive program to reward State, local, and regional jurisdictions that make progress in removing barriers to affordable housing development and $90 million to support State and local fair housing enforcement organizations and to further education, outreach, and training on rights and responsibilities under Federal fair housing laws. HUD also promotes fair housing with recent Administration actions like the proposed Affirmatively Furthering Fair Housing Rule.
Preserve Public Housing through Rehabilitation and Redevelopment. Over 1.7 million Americans live in Public Housing, and over half of households are led by seniors or people living with disabilities. The Budget includes a one-time $7.5 billion investment in funding on the mandatory side of the budget to address the capital needs of the most distressed public housing properties nationwide. Ensuring communities have the funds they need for Public Housing rehabilitation and modernization is critical to providing safe and sustainable living conditions for all – and to ensuring housing shortages aren’t exacerbated. In addition to this one-time investment, the Budget centralizes inspection-related funding for HUD-assisted multifamily properties and Public Housing, which would enhance HUD’s ability to address financial and physical risks and would complement HUD’s cutting-edge National Standards for Physical Inspection of Real Estate (NSPIRE) inspection standards. The Budget also provides $3.2 billion for Public Housing modernization and $300 million to improve the physical condition, energy efficiency, and climate resilience of the Public Housing stock. In addition, across its programs, HUD is investing in and coordinating efforts to allow for simultaneous implementation of climate resilience, carbon reduction, and mitigation and adaptation actions at the project, community and regional levels. The budget includes $752 million for targeted investments in these efforts for public and assisted housing.
Increase the Supply of Affordable Housing Financed by Existing HUD programs. The Budget provides $1.8 billion for the HOME Investment Partnerships Program (HOME), an increase of $300 million over the 2023 enacted level, to construct and rehabilitate affordable rental housing and provide homeownership opportunities. In 2022 the program helped create over 15,000 units of housing and nearly 17,000 households were assisted with tenant based rental assistance through the HOME program. In addition, the Budget provides $258 million to support 2,200 units of new permanently affordable housing specifically for the elderly and persons with disabilities, supporting the Administration’s priority to maximize independent living for people with disabilities.And the Budget provides over $1 billion to fund tribal efforts to expand affordable housing, improve housing conditions and infrastructure, and increase economic opportunities for low-income families. Of this total, $150 million would prioritize activities that advance resilience and energy efficiency in housing-related projects.The Budget also recognizes the importance of advancing modern building and energy codes in existing housing and new construction; ensuring housing is designed, built, and operated to be high performing and adapted to climate risks and natural hazards. This builds on the Administration’s efforts to secure in the Inflation Reduction Act $1 billion to create a national green-and-resilient-retrofit-program.
Reduce Housing Insecurity in Rural Communities. Affordable housing has been a long-standing problem for low-income residents in rural communities, one that is exacerbated by low energy efficiency of the aging housing stock which means higher costs to families. The Budget increases funding by 283 million above the 2023 enacted level for USDA’s multifamily housing programs. This initiative would allow the Administration to reduce rent burdens for low-income borrowers while also increasing the resiliency of rural housing to the impacts of climate change through a proposal to require energy and water efficiency improvements and green features in housing construction.
Promoting Rental Affordability and Fairness, and Making Progress Toward Universal Housing Vouchers for Extremely Low-Income Households
While around 2.3 million low-income households receive rental assistance through the Housing Choice Voucher (HCV) program, another roughly 10 million are eligible and do not receive assistance due to funding limitations and wait lists. The Administration has secured rental assistance for an additional 100,000 households through the American Rescue Plan and the 2022 and 2023 appropriations bills. And in January, the Administration announced a Blueprint for a Renters Bill of Rights, which enumerated principles to shape federal, state, and local action, and announced agency commitments to strengthen tenant protections and encourage rental affordability.
But there is more work to do. For the first time in history, the Budget includes a voucher guarantee for two population groups that are acutely vulnerable to homelessness: youth aging out of foster care and extremely low-income veterans. Between discretionary funding, program reserves, and these mandatory proposals, these vouchers would serve well over an additional 200,000 households. The President’s Budget calls on Congress to:
Expand the HCV Program and Enhance Household Mobility. The Budget provides $32.7 billion, an increase of $2.4 billion (including emergency funding) over the 2023 enacted level, to maintain services for all currently assisted families and to expand assistance to an additional 50,000 households. In addition, the Budget anticipates funding from the HCV program reserves will expand assistance to another 130,000 households. The Budget also provides $25 million for mobility-related supportive services to provide low-income families with greater options to advance true housing choice.
Create a Housing Voucher Guarantee for Extremely Low-Income Veterans. The President believes that no one should be forced to live on the street, especially not those who have served our Nation. But an estimated 450,000 veteran renter households with extremely low incomes currently receive no rental assistance and have what HUD terms “worst-case housing needs.” Over a ten-year period and at a cost of $13 billion, the Budget expands rental assistance to extremely low-income (ELI) veteran families, starting with an allocation of 50,000 targeted vouchers in 2025 and paving a path to guaranteed assistance by 2033 for all who have served the Nation and are in need.
Create a Housing Voucher Guarantee for Youth Aging out of Foster Care. Approximately 20,000 youth exit foster care annually, typically between the ages of 18 and 21, and these young people face greater obstacles to accessing and maintaining housing and as a result experience higher rates of homelessness and housing instability compared to the general population. To ensure these young people are stably housed and better able to focus on advancing their education or building a career during this difficult transition, the Budget establishes a housing voucher program for all youth aging out of foster care annually.
Making Homeownership a Reality for More First-Time and First-Generation Homebuyers
Achieving and maintaining homeownership is the primary way that American families build wealth and create economic security. That’s why the Administration implemented a series of measures that protected homeowners from foreclosure during the pandemic, including enhanced loan modifications to resolve delinquencies. In addition, the American Rescue Plan’s Homeowner Assistance Fund is helping struggling homeowners catch up on their mortgage payments and utility costs. These actions have helped keep foreclosures below pre-pandemic levels.
It’s also why just last month – as reflected in the President’s Budget – HUD, through the Federal Housing Administration (FHA), lowered its annual mortgage insurance premium. This step is projected to save homebuyers and homeowners with new FHA-insured mortgages an average of $800 per year, lowering housing costs for an estimated 850,000 homebuyers and homeowners in the first year. And it builds on steps the Administration has already taken, including changing FHA underwriting policies to allow lenders to use positive rental history in evaluating applicants’ creditworthiness for an FHA-insured mortgage, changing the way in which student loan debt is evaluated in FHA mortgage underwriting, and announcing more than 20 concrete agency actions to root out racial and ethnic bias in home valuations. In addition, the Budget reflects a reduction in mortgage insurance fees for Native American borrowers in the Indian Housing Loan Guarantee Program, which will save borrowers over $500 on average in their first year.
But there is more work to do to make the dream of homeownership attainable for more Americans, particularly first-time and first-generation homebuyers who have been locked out of the generational wealth building that can come from homeownership. That’s why the Budget calls on Congress to:
Launch a First-Generation Down Payment Assistance Program. The Budget provides $10 billion for a program to target down payment assistance to first-time homebuyers whose parents do not own a home and are at or below 120% of the area median income or 140% of the area median income in high-cost areas. Eligible activities would include costs in connection with acquisition such as down payment costs, closing costs, and costs to reduce the rates of interest on eligible mortgage payments. Analysis estimates these program parameters would mean that more than 35% of potential program participants would be African-American and more than 25% would be Latino – helping to address the stubborn racial homeownership gap that remains at pre-Fair Housing Act levels.
Increase HUD Funding for Homeownership. The Budget also includes $100 million for a down payment assistance pilot to expand homeownership opportunities for first-generation and/or low wealth first-time homebuyers and $15 million to increase the availability of FHA small balance mortgages.
Promote Homeownership in Rural America. Single-Family Housing Direct loans from USDA help low-income borrowers in rural areas realize the dream of homeownership. That said, the current program requires borrowers to repay subsidy costs, a requirement unique to rural housing. The Budget proposes eliminating this penalty, making the program consisted with other USDA subsidized interest rate programs, and promoting equity for low-income rural residents.
Advancing Efforts to Prevent Evictions and End Homelessness
During the pandemic, the Administration stood up a first-of-its-kind national eviction prevention infrastructure, which helped 8 million renter households at risk of eviction and kept evictions below pre-pandemic levels. During one of the greatest periods of economic uncertainty our Nation’s history, we did not see a spike in homelessness.
In addition, at the end of last year, President Biden set the bold goal of reducing homelessness by 25% by 2025 with the release of All In: The Federal Strategic Plan to Prevent and End Homelessness. The Administration’s roadmap is not only about getting people into housing but also ensuring that they have access to the support, services, and income that allow them to thrive. The plan focuses attention on homelessness prevention and actions to ensure an adequate and diverse stock of affordable housing, renter protections, and social service supports. The plan also seeks to promote and expand eviction-prevention reforms, including those advocated as part of the Biden Administration’s implementation of the Emergency Rental Assistance program. The Budget seeks to continue the policies that are most effective in preventing avoidable evictions and give hard pressed American families more opportunities to stay in their homes, even during hard times. The President’s Budget calls on Congress to:
Support, Solidify, and Encourage State and Local Reforms to Avoid Evictions. The Administration stood up a historic national eviction prevention infrastructure during the pandemic, helping keep eviction filings 20% below historical averages, even well after the eviction moratorium ended. The Budget provides $3 billion to build on these efforts, with a focus on upstream prevention and eviction diversion, improving renters’ access to resources, and making the legal process for renters fairer. This funding can be used to develop or implement policy reforms and program improvements such as providing emergency rental assistance or other forms and new models of rent relief, and expanding access to legal counsel, housing counselors, and court navigators.
Bolster efforts to prevent and end homelessness. To prevent and reduce homelessness, the Budget provides $3.7 billion, an increase of $116 million over the 2023 enacted level, for Homeless Assistance Grants to meet renewal needs and expand assistance to approximately 25,000 additional households, including survivors of domestic violence, dating violence, sexual assault, stalking, and human trafficking and homeless youth. These targeted resources would support the Administration’s recently released Federal Strategic Plan to End Homelessness. The Budget also provides $505 million for Housing Opportunities for Persons with AIDS, serving a population with a disproportionately high rate of homelessness and providing a critical link to services.
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.
Affirmations have been all the rage over the past few years, and people are using them to achieve their goals.
“I am in control of my finances”
“Money comes easily into my life”
or even “I love money!”
What about you? Do affirmations work for your goal? I’m not one to shy away from a challenge, so let’s find out!
Are you struggling to make more money, even though you work a lot? Do you feel like your finances aren’t where they should be and that there is something missing in your life?
If so, here are some money affirmations that can help.
Affirmations are statements that you say to yourself over and over again.
They can help you manifest your goals by re-affirming them in your mind on a daily basis. They become part of who you believe yourself to be and bring about desired outcomes with ease.
You may have heard these before, but do you consistently say them to yourself? Journal them? Write them everywhere?
I’ve compiled some of my favorite money affirmations for money below. I hope these help give you the encouragement and inspiration to re-affirm what’s important in your life!
What are money affirmations?
Affirmations are a powerful way to change your thoughts and, in turn, your life.
They are simple, positive statements that you repeat to yourself regularly. The purpose of affirmations is to attract whatever you desire into your life- including money!
Why are money affirmations important?
It’s important to remember that affirmations work subconsciously.
You may not see results overnight, but with time and repetition, the desired outcome will manifest. Wealth affirmations specifically focus on money and what a person will do with it after they have made it through the manifestation process.
Affirmations on Money
Although using affirmations is a great way to achieve financial success, they should not be used as the only tool in your arsenal. Manifesting your goals takes time and effort, and affirmation is just one piece of the puzzle. Make sure to take actionable steps towards your goal and be patient!
Affirmations can also be used to create SMART financial goals– specific, measurable, attainable, relevant, and time-bound goals that you can track over time for motivation purposes
How can money affirmations help you attract more money into your life?
Affirmations are one way to help you focus on your thoughts and dreams.
When you repeat an affirmation, you plant a seed in your subconscious mind that will grow over time.
This helps to manifest what you want into reality.
These seeds will grow over time and bring about new thoughts, beliefs, and habits into a mindset of abundance. Money affirmations have a “magnetic” effect that attracts like-minded thoughts to your life–helping you achieve your financial goals faster!
There are many ways to bring more money into your life, but using affirmations is one of the most effective methods. Affirmations can help create strong positive emotions that attract money and other forms of abundance into your life. When used consistently, money affirmations can be a powerful tool for attracting wealth and prosperity into your world!
Below we will give you exactly what can I say to attract money.
What is a way specific money affirmations can be used to attract more money?
When it comes to attracting more money into your life, there are many different affirmations that can be useful.
Many people ask, “What are the best affirmations for money?”
Below are a few examples to get you started:
“I am abundant and prosperous.”
“Money flows easily and effortlessly to me.”
“I am safe and secure with my finances.”
“My income is constantly increasing.”
“I have all the money I need and more.”
Do affirmations work for money? Absolutely, yes.
How often should you repeat money affirmations in order to see results?
The more often you repeat your affirmations, the better.
However, don’t feel like you have to do it all day long. Just a few minutes each morning and evening should be enough to start seeing some results.
Remember that affirmations are just like any other habit- the more you do them, the easier they become and the better the results will be. So stick with it!
Do money affirmations really work or are they just a waste of time?
There is a lot of debate on the internet about whether or not money affirmations actually work. Some people swear by them and claim that they have had great success using them, while others say that they are nothing more than a waste of time.
One thing that is for sure is that money affirmations do have some very powerful success stories behind them.
People like Oprah Winfrey and Lady Gaga were successful before they ever became public figures, and a lot of their success can be attributed to their belief in themselves and their determination to work hard at everything they do.
In fact, many of the billionaire morning routines include starting their days with positive affirmations.
Can affirmations make you rich and come to abundance?
When it comes to getting rich, many people believe that affirmations are the answer.
The idea behind using affirmations is that if you repeat something often enough, you will start to believe it and eventually it will come true. However, this isn’t magic – rather, it’s a matter of shifting your beliefs.
And while affirmations won’t make you rich overnight, they can cause desired results to appear over time.
Mindset and Affirmations
The key thing to remember with affirmations is to maintain a positive mindset.
You want to be focused on attracting wealth and abundance into your life, not just thinking about what you don’t want. Money affirmations can help raise your vibration and shift your beliefs so that you can start attracting more money into your life.
Remember…Mindset is everything.
How do affirmations work?
Affirmations work because we keep repeating them to ourselves. It’s like a self-fulfilling prophecy!
Our subconscious mind picks up on the positive affirmation and starts to change our behavior over time.
The more effort we put into it, the better chance that our subconscious will start accepting these new thoughts as truth.
Affirmations are conscious and subconscious–both play a role in helping us manifest what we desire. Positive affirmations help us get rid of negative thoughts and replace them with more confident ones. We need to be mindful of our words and truly believe in order for the affirmation to work its magic!
The subconscious begins to accept positive reinforcement over time as long as we continue putting in the work. Eventually, this helps us change our mindset and see things in a different light. “I can” replaces “I can’t.”
This is because affirmations work best when they’re phrased positively!
What do experts say about using money affirmations to attract more money?
When it comes to attracting more money into your life, there are many things you can do to help increase your chances of success. Some people may swear by the power of affirmations, while others find that other methods work better for them.
However, most experts agree that using some type of affirmation is a good way to start visualizing your goals and keeping them at the forefront of your mind.
Affirmations can also help open up your mind to opportunities in a confident way, attracting more opportunities for you. While they won’t create wealth on their own, if used correctly they have the potential to help people create more money.
Keep in mind that affirmation is not a magic solution – it takes hard work and dedication no matter what method you choose – but if you’re looking for an edge, using daily affirmations could be the right choice for you.
What is the science behind money affirmations and how do they work?
When it comes to the science behind money affirmations, there is a lot of research that supports their efficacy.
A study published in The Journal of Positive Psychology found that people who regularly use positive self-statements (such as daily affirmations) have increased well-being and decreased levels of anxiety and depression.
The reason why affirmations work is because they help to change your beliefs and the vibrations you emit into the universe.
When you think positively about yourself, you are sending out positive vibes into the world which can attract more good things into your life.
Your words are powerful magic wands when it comes to shaping your own reality. What you focus on expands! So by repeating money affirmations, you are essentially telling the universe that you want more money in your life and that you are ready for it to come to you.
Affirmations are an easy way to change the way that you think, and they can be used as a tool to remove any barriers that are holding you back financially in life. If you’re feeling stuck under a scarcity mindset, start using some money affirmations today and see how they can help you achieve your goals!
Here are 125+ money affirmations you can start using today!
Money Manifestation Affirmations
When you repeat money affirmations, you are programming your mind to believe that it is easy and natural for you to be prosperous and successful.
You are sending a message to the universe saying, “I am open to receiving wealth and abundance.” As you continue to recite these affirmations, you will start to see changes in your life as you attract more money into your experience.
Manifesting a healthy relationship with money is important.
1. “I have more than enough money, and that’s okay.”
2. “It is easy and natural for me to be successful and prosperous.”
3. “My income is constantly increasing.”
4. “I easily attract new sources of income into my life.”
5. “I gratefully accept all the wealth and abundance the universe has to offer me”.
6. “When I put in the work, the universe will provide.”
7. “I anticipate money to work for me.”
8. “Money + abundance happen to me.”
9. “With the power of attraction, I will bring wealth and money into my life.”
10. “I love having plenty of money.”
11. “The more I give away, the more I receive.”
12. “Wealth can come to anyone including me.”
13. “I am enough and my intention attracts money to me.”
14. “My prosperity is unlimited.”
15. “My path leads to riches.”
Money Affirmations that Work Fast
Money affirmations are a great way to attract more money into your life.
They are positive statements that help you focus on your goals and visualize yourself achieving them. Repeating these affirmations will help you program your mind for success and abundance.
16. “Money is a positive force in my life.”
17. “I will make $100 today.”
18. “I will make $1000 tomorrow.”
19. “By design, I will reach my potential.”
20. “I am a magnet for wealth and abundance.”
21. “I believe in myself.”
22. “Money flows easily and abundantly to me.”
23. “Money is my friend, not my enemy.”
24. “By releasing my money blocks, I open myself to letting money flow in.”
25. “I welcome various ways to make money.”
26. “Money allows us to live the life we want and achieve our goals easily.”
27. “I am in control of my future.”
28. “I attract money easily in my life.”
Powerful Money Affirmations
Money affirmations are a powerful way to attract more money into your life.
Repeating these affirmations will help you to change your mindset and start to see yourself as someone who has abundance, rather than someone who is always short on money.
These power money affirmations reassure you that no obstacle is too big and that you have the power to overcome any hurdle.
29. “I am blessed with an ever-flowing stream of prosperity.”
30. “I release all fear and doubt around money.”
31. “More money is coming to me.”
32. “I am confident in my ability to handle any money-related challenges that come my way.”
33. “As a powerful creator, attracting money into my life with the power of my thoughts and feelings.”
34. “I will invest $100 make $1000 a day.”
35. “I know that I can overcome any obstacle and attract more money into my life.”
36. “My guiding belief is my motivation and my reality.”
37. “I am a money magnet; money comes to me easily and effortlessly.”
38. “I am capable of overcoming any money-obstacles that stand in my way.”
39. “Money is a close ally in life.”
40. “Being independently wealthy is a part of my life.”
41. “I am grateful for what I been blessed with.”
42. “I am rewriting my money story.”
43. “Money helps me experience time freedom.”
Positive Money Affirmation
These affirmations underscore the importance of taking a holistic approach to financial health. Self-care is essential, as is developing a strong sense of self-worth.
When you feel good about yourself on all levels, you’re more likely to make healthy financial decisions.
44. “I am worthy.”
45. “I release my limiting beliefs surrounding money.”
46. “Building self-worth will lead to better financial choices.”
47. “I visualize my future self and believe it has already happened.”
48. “Money is just a form of energy that flows to me effortlessly and abundantly.”
49. “I am able to easily afford whatever I want.”
50. “Money is an avenue to have a positive impact.”
51. “I am so lucky that I am able to earn more money than I could possibly fathom.”
52. “Money is attracted to me by virtue of the powerful vibrations I radiate.”
53. “I am not ashamed or feel guilty about having an abundance of wealth.”
54. “Money comes to me in huge quantities through my ability to attract it from the universe.”
55. “It is safe for us to be wealthy and successful.”
56. “I am thankful for the positive impact money has had on my life.”
57. “I love my positive outlook on my life and the riches that come from it.”
Financial Affirmations
While you may be feeling down about your current money situation, know that there are ways to change it. Use a variety of positive financial affirmations for different money goals, such as attracting more money into your life or becoming debt-free. You can also personalize the affirmations to fit your own needs and situation.
These financial abundance affirmations help guide you to where you want to be financially. Learning how to become financially independent starts with believing that you can.
You may not be where you want to be yet, but with time and effort, your wealth situation will improve.
58. “I will have money left over at the end of the month.”
59. “My payday is approaching.”
60. “Money does not control me. I control my money.”
61. “Money comes to me in unexpected and wonderful ways.”
62. “My finances are always in perfect order.”
63. “My income will exceed 6 figures.”
64. “I have complete control over my financial destiny.”
65. “All my needs and wants are always taken care of.”
66. “I love having lots of money to spend.”
67. “Don’t let feeling behind today stop you from building the life you want tomorrow.” — The Financial Diet
68. “I am financially free.”
69. “I am worthy of financial success.”
70. “With hard work, I will attain the financial future I desire.”
71. “I am excited to maintain my budget and reach my money goals.”
72. “Step by step, I will achieve my financial goals.”
73. “Money is a tool available to anyone and I will use it to my advantage.”
Saving Money Affirmations
While your current money situation may be less than ideal, you can use these affirmations to change your mindset and start attracting more money into your life.
Repeating these affirmations will help you focus on the positive aspects of wealth and abundance, and eventually bring more financial security into your life.
74. “Money in the bank makes me feel secure.”
75. “My money situation may not be what I want right now, but I am in better shape than I was last month.”
76. “I will save 10000 in a year.”
77. “I might make a pretty low-income at the moment, but I am still saving money.”
78. “My worth is not determined by my net worth.”
79. “I am saving for my future self.”
80. “Making small sacrifices now will build my increase my savings later.”
81. “Through investing I am able to make passive income.”
82. “A penny saved is a penny earned.”
83. “Financial stability brings me peace.”
84. “I say no today in order to say yes tomorrow.”
85. “I will stay debt-free because money is constantly flowing into my life.”
86. “My saving rate is beyond my dreams.”
87. “The challenge of saving more money lures me in.”
Money Flows to Me Easily and Effortlessly
One of the simplest and most effective ways to attract more money into our lives is through the use of affirmations.
Repeating positive statements about money can help change our underlying beliefs and open up new opportunities for financial growth.
Money comes in both expected and unexpected ways, so it’s important to stay open-minded about how it could enter your life.
88. “I let go of any resistance to attracting money.”
89. “Financing my life is an easy task for me.”
90. “I will double 10k quickly.”
91. “My money situation right now may be tight but it’s changing for the better”
92. “I am surrounded by an aura of wealth and abundance.”
93. “Money comes in many different forms, and it can come to us in both expected and unexpected ways.”
94. “Money is an energy that flows to us in many ways.”
95. “I attract money easily and effortlessly.”
96. “I am open to the flow of money my way.”
97. “Money magnet is my name.”
98. “Money attraction is easy for me.”
99. “I can rely on left hand itching to bring me money.”
100. “I turn money into more money.”
Money Affirmations for Success
These help you cultivate positive beliefs about your ability to earn and manage money. These positive thoughts will help support your efforts as you work towards financial success.
101. “It’s easy and natural for me to be prosperous and successful.”
102. “I am surrounded by people who support my financial growth.”
103. “Money is a tool that lets me construct my life how I see fit.”
104. “I have unlimited opportunities to make more money.”
105. “I am not afraid of achieving success.”
106. “Becoming rich doing what I love is a gift.”
107. “I have super-abilities to be successful.”
108. “Success is the best revenge.”
109. “I don’t need to be a millionaire to be successful.”
110. “I have control of my financial future.”
111. “The sky is the limit to what I can achieve.”
112. “A positive money mindset will serve me well.”
Wealth Affirmations
There are many different money affirmations that can be used to attract more money into your life.
Wealth and abundance come in all shapes and sizes, so it’s important to find an affirmation that resonates with you. “I am worthy” is a good place to start if you want to build self-worth and confidence, which can lead to better financial choices down the road.
You may not be where you want to be yet, but with time and effort, your wealth situation will improve.
These are positive affirmations for success and wealth.
113. “I am open and receptive to wealth and abundance.”
114. “Wealth and prosperity are my birthrights.”
115. “I am open to receiving all wealth life brings me, not just what is coming today or this month.”
116. “Abundance can come in many different forms!”
117. “Wealth is a step towards how to FI.”
118. “I have more than enough money, and that’s okay.”
119. “Financial freedom will happen sooner than I believe.”
120. “The more wealth I have, the more I give back to others.”
121. “There is plenty of wealth to be made.”
122. “Money can be shared when saying ‘I appreciate you.’”
123. “Wealth flows to me easily.”
124. “Having more than enough money does not mean I love money.”
125. “My wealth is limitless.”
How Do You Write Affirmations For Money?
Regardless of how money comes to us, it is important to remember that we always have the ability to attract more of it into our lives. By repeating positive affirmations about money, we can increase our chances of attracting more abundance into our lives.
Following these guidelines will help you write effective affirmations that move negativity out of your life and bring more money into it!
When you’re writing affirmations for money, it’s important to remember a few key things.
Step #1 – Need a Present Tense
First, always use the present tense; this will help your unconscious mind process the affirmation more easily.
Step #2 – Change to Positive Words
Second, make sure your words are positive–for example, “I only spend money on things I love” rather than “I don’t have to worry about money.” This will help you attract financial abundance and success into your life.
Step #3 – Believe it is Already Yours
Finally, before affirming any goal or intention, take a moment to really feel what it would be like to have that already in your life. Our unconscious minds respond better when we can imagine and experience what we want in advance.
There are a number of books that focus on mindset and how to change it for success. The list below contains some of the best ones that I’ve found.
These books teach you to believe in your ability to shape your own destiny and achieve great things.
Remember you need these essential mindset books to help you change your perspective and achieve success. Remember, it’s not about avoiding or getting rid of obstacles, but turning them into advantages.
Embrace the challenges in life and continue moving forward!
Mindset is everything.
This is a simple but profound statement that has been discovered by Carol S. Dweck, Ph.D. She found that success in school, work, sports and almost every other area of human endeavor can be dramatically influenced by how we think about our talents and abilities.
The key to success is having the right mindset – a growth mindset.
In order to achieve success, you need to change your mindset.
This book will teach you how to change your mindset and get the most out of life and some colorful quotes that you will quote.
You will learn how to change what you don’t love, use external forces to kick some serious change in you and find your inner power. You will learn how to embrace your inner vibes.
Each morning start your day with a positive affirmation from this Daily Rituals book. Follow the simple exercises.
By practicing these rituals regularly, you will train your mind and raise your vibration levels.
Color your way to manifest your money affirmations. Unplug yourself and get a well-needed mental break.
Attract the abundance of wealth into your daily life.
Make Money Affirmations Quotes
The best part of all of these powerful money affirmations … you can turn them into quotes!
You can use a simple post-it note and pen! Or upgrade and make them in Canva.
Not artistic? Etsy has you covered! Don’t worry Etsy has plenty of money affirmation quotes.
In fact, we are thinking about designing a package of money affirmations quotes for our readers!
Hang them on your wall as a constant reminder.
How can you tell if money affirmations are working for you?
One way to tell if money affirmations are working for you is to look at your bank account.
If you find that you have more money in your bank account than usual, it is a good sign that the affirmations are working.
Another way to tell if the affirmations are working is by looking at your overall mood and attitude towards money.
If you find yourself thinking about money less often and feeling happier and more positive, then the affirmations are definitely working for you!
Money affirmations take time to manifest, so don’t become discouraged if you don’t see immediate results.
Repeating abundance affirmations can help you to open up to the flow of wealth in your life.
By affirming that you are open to receiving all the wealth life has to offer, not just what is coming your way today or this month, but also the wealth of tomorrow, you start to invite more money into your life.
Check out these millionaire quotes to keep you aiming for the stars!
At the end of the day, you don’t need to feel guilty or ashamed about having an abundance of wealth–that’s perfectly okay!
Know someone else that needs this, too? Then, please share!!
Funds intended to benefit rehabilitation, home ownership through down payment assistance and affordable housing development in Kentucky, Ohio and Tennessee
CINCINNATI , May 9, 2023 /PRNewswire/ — The Federal Home Loan Bank of Cincinnati’s Board of Directors has approved a $12.8 million contribution to support the Bank’s housing and community investment programs. These funds will increase amounts available in 2023 for the Carol M. Peterson Housing Fund (CMPHF), Welcome Home Program (WHP) and, if available, competitive Affordable Housing Program (AHP) offering.
The CMPHF will open June 1 with funding of at least $5.0 million, an increase of $3.5 million from previously announced levels. The CMPHF offers grants to fund accessibility rehabilitation and emergency repairs for low-income homeowners with special needs or persons over 60.
The WHP will open July 6 and will offer at least $7.0 million in grants, an increase of $4.0 million from previously announced levels. The WHP offers $10,000 in down payment and closing costs assistance to low- to moderate-income homebuyers and $15,000 to honorably discharged veterans, surviving spouses of military personnel, and active duty military.
Any remaining funds not used under the CMPHF and WHP will be allocated to the 2023 competitive AHP offering.
“The FHLB Board of Directors’ clear commitment to affordable housing is evident through this additional $12.8 million contribution. These funds will help supplement two of our most popular programs that address the specific housing needs of the areas we serve—access to home ownership and quality of housing stock. By getting more homebuyers into homes through our Welcome Home Program and keeping them there as they age through our Carol M. Peterson Housing Fund, these funds will make a difference in communities throughout Ohio, Kentucky and Tennessee,” said Andrew S. Howell, President and CEO, FHLB Cincinnati.
This allocation is in addition to the FHLB’s required 10 percent of net earnings set-aside to fund the organization’s AHP. Since the inception of the AHP in 1990, the FHLB has awarded over $849 million in subsidies towards the creation of more than 105,000 units of affordable housing. Details and program guides for all housing programs, including eligibility information, are available at www.fhlbcin.com.
About the FHLB
The FHLB is a AA+ rated wholesale cooperative bank owned by 614 member financial institutions, including commercial banks, thrifts, credit unions, insurance companies and community development financial institutions in Kentucky, Ohio and Tennessee. The FHLB provides members access to products and services (primarily Advances, which are a readily available, low-cost source of funds, purchases of certain mortgage loans from members, and issuance of Letters of Credit to members) and a competitive return through quarterly dividends on their capital investment in the FHLB. The FHLB funds these products and services by raising private-sector capital from member-stockholders and, with the other Federal Home Loan Banks (FHLBanks) in the FHLBank System, issuing high-quality debt in the global capital markets. The FHLB also funds community investment programs that help its members create affordable housing and promote community economic development.
Government officials can’t predict exactly when inflation will go down, but representatives of the International Monetary Fund expect the U.S. inflation rate to reach its 2 percent target by the end of 2023.
The information provided on this website does not, and is not intended to, act as legal, financial or credit advice. See Lexington Law’s editorial disclosure for more information.
Consumers around the world are currently grappling with rising costs, making many people wonder how long this high rate of inflation is going to last. Although the U.S. inflation rate has nearly quadrupled since 2020, inflation is even worse in other countries. In Israel, for example, the inflation rate has increased by 25 times in the last two years.
When inflation is high, consumers have less purchasing power, making it more difficult to afford housing, food, utilities and other necessities. Some consumers have even changed their spending habits to account for rising costs. So, how long will inflation last? No one knows for sure, but it’s possible to make an educated guess based on what the Federal Reserve is currently doing to reduce spending.
What is inflation, and how does it work?
The Federal Reserve defines inflation as an increase in the overall price level of an economy’s products and services. This refers to a general increase in prices, not an increase in a single product or service category. For example, it’s possible for the cost of dairy products to increase without the rate of inflation increasing.
When inflation is high, many consumers have less purchasing power. This is because their income doesn’t buy as many products and services as it did when inflation was low. Inflation also has a negative impact on banks that loan money at fixed interest rates. If a bank makes a loan at 6 percent interest, an inflation rate of 7 percent would reduce its real income, or the amount of money it earns after taking inflation into account.
In the United States, the Consumer Price Index (CPI) helps estimate inflation by tracking the average change of prices over time. This index doesn’t include the price of every good or service. Instead, it uses a market basket of goods and services typically purchased by consumers in urban and metropolitan areas. In July 2022, the U.S. Bureau of Labor Statistics reported that the CPI rose by 1.3 percent in June, bringing the total increase for the last 12 months to 9.1 percent.
Why is inflation so high right now?
Although many Americans are feeling the pinch of higher prices, inflation is a global problem. In response to the COVID-19 pandemic, government officials around the world implemented mandatory lockdowns to prevent the spread of the disease. With so many businesses closed, the demand for goods and services declined.
Once businesses started reopening, demand soared. With the unemployment rate falling to 3.5 percent in July 2022, job seekers have more bargaining power, driving up wages and giving many consumers more money to spend on goods and services. Consumers also saved more money than usual in 2021 due to concerns over how the ongoing pandemic would affect their finances.
Although demand has increased, many companies are unable to fill orders due to manufacturing and shipping backlogs associated with the pandemic. When demand exceeds supply, firms increase their prices, contributing to higher rates of inflation.
Finally, many consumers are spending more on services than goods, increasing demand in the service sector. As a result, it now costs more to rent an apartment, dine at a restaurant or hire someone to perform housekeeping or landscaping services.
The government’s response to inflation
The Federal Reserve is currently implementing contractionary monetary policy to reduce demand and give the economy a chance to cool off. This involves raising interest rates to decrease consumer spending and business-related investment spending.
The Biden-Harris administration is also focused on lowering costs for low-income and middle-class families. President Biden signed the Inflation Reduction Act of 2022 into law on August 16, 2022, and this act aims to reduce energy costs and make healthcare more affordable for Americans.
Because the current inflation rate is associated with high levels of demand, there isn’t much more the federal government can do to bring prices down. The plan is to continue raising rates until the inflation rate returns to 2 percent.
When will inflation go down?
Government officials can’t predict exactly when inflation will go down, but representatives of the International Monetary Fund expect the U.S. inflation rate to reach its 2 percent target by the end of 2023. To reach this target, analysts believe the Federal Reserve will need to raise rates by another 2 to 2.5 percent before then.
Are we in a recession?
Although government officials, consumers and business owners are concerned about the prospect of a recession, the United States hasn’t entered a true recession yet. A recession is characterized by rising levels of unemployment, lower retail sales and negative growth of the gross domestic product (GDP), among other factors.
In July 2022, the Bureau of Economic Analysis reported that the U.S. GDP declined by 1.6 percent in the first quarter of the year and 0.9 percent in the second quarter. Although GDP declined, retail sales increased by 1 percent between May and June 2022. The unemployment rate also fell from 5.4 percent in July 2021 to 3.5 percent in 2022. Therefore, the United States doesn’t yet meet all the criteria for an economic recession.
Where is inflation the worst in the United States?
In the United States, cities tend to have higher inflation rates than suburbs and rural areas, due in part to their higher housing costs. On July 13, 2022, Bloomberg reported that several American cities had crossed the 10 percent mark. Urban Alaska is at 12.4 percent, the Phoenix-Mesa-Scottsdale metro area in Arizona is at 12.3 percent and the Atlanta-Sandy Springs-Roswell metro area in Georgia is at 11.5 percent. Baltimore, Seattle, Houston and Miami also have inflation rates above 10 percent.
Inflation isn’t quite as bad in the New York-Newark-Jersey City metropolitan area, which had a 6.7 percent inflation rate in June 2022. Overall, inflation tends to be higher in the South and Midwest regions than it is in the Northeast region of the United States.
How will inflation affect my 2022 and 2023 taxes?
Take a look at the top ways your upcoming taxes might be affected by inflation.
Taxable income
Federal tax brackets are adjusted for inflation, which means you may drop to a lower tax bracket in 2022 even if your income doesn’t decrease. If high rates of inflation persist, you may get the same tax benefit when you file your 2023 return.
The standard deduction is also adjusted for inflation, so high inflation rates may help you reduce your taxable income even more than in previous years. In 2021, the standard deduction for a single filer was $12,550; for the 2022 tax year, it’s $12,950. If the economy doesn’t cool down quickly, the standard deduction may be even higher in 2023.
Health savings accounts
The annual HSA contribution limit is adjusted for inflation, so high rates of inflation allow you to put aside more money for medical expenses each year. The limits have already been increased for 2022, allowing individuals to contribute $3,650 per year and families to contribute $7,300 per year. In 2023, the limits will increase even more, to $3,850 for individuals and $7,750 for families.
HSA contributions are deducted on a pre-tax basis, so higher contribution limits may leave you with less taxable income, reducing your tax burden.
Retirement contributions
High levels of inflation can even help you save a little more money for your retirement. The contribution limits for 401(k) accounts and individual retirement arrangements (IRAs) are adjusted for inflation, so you can typically save more when inflation is high. For 2022, the 401(k) contribution limit is $20,500, an increase from the $19,500 limit for 2021. The IRA contribution limit didn’t increase for 2022, but it may go up in 2023 if the inflation rate continues to be high.
Although you can’t save more in your IRA this year, the income limit for 2022 was increased to keep up with inflation. As a result, you can now participate in a Roth IRA if your income doesn’t exceed $144,000 ($214,000 for married couples filing jointly).
Social Security
If you have combined income of more than $25,000 in a year as a single filer, your Social Security benefits are subject to federal income taxes; the limit increases to $32,000 for married couples filing jointly. Combined income includes half your Social Security benefits, your adjusted gross income and your tax-exempt interest income. These income limits aren’t adjusted for inflation, but Social Security benefits are.
For 2022, the federal government implemented a 5.9 percent cost-of-living increase for Social Security beneficiaries, and the 2023 adjustment could be as high as 10 percent, or even slightly more—we’ll know for sure in October 2022. This increase could push your combined income above the $25,000/$32,000 limit, making your Social Security benefits taxable for the first time.
Capital gains taxes
When you sell certain assets, you must pay capital gains tax on your profit. If you sell when inflation is high, you could end up with a profit on paper even if the sale results in a real loss. This typically happens when high rates of inflation erode your purchasing power over time.
If you made a $100,000 investment in 1980 and sold it for $200,000 today, it would look like you made a profit of $100,000. The truth is that $100,000 in 1980 dollars is equivalent to about $359,600 today. Although you made a profit on paper, you really lost a significant amount of purchasing power. Unless you qualified for some type of exemption, you’d have to pay capital gains tax since the purchase price of assets isn’t adjusted for inflation.
How can I save money while inflation is high?
You can’t control the national economy, but there are a few things you can do to strengthen your financial position while inflation is high.
Eat more meatless meals. Meat, poultry and eggs are among the food products with the highest price increases in 2022. To lessen the effects of rising costs on your budget, try adding a few meatless meals to your weekly menu.
Track your spending. If you don’t keep track of your spending, it’s easy to spend much more than you realize. Keep a record of how much you spend on necessities as well as extras like streaming subscriptions and movie tickets.
Start meal planning. If you spot a good deal at the grocery store, you can take advantage by planning several meals around that ingredient. For example, if a store is advertising chicken for $2.49 per pound, you may want to plan on eating chicken salad sandwiches for lunch each day that week.
Cancel unused subscriptions: In June 2022, Sarah O’Brien of CNBC reported that more than 40 percent of consumers were paying for at least one subscription they didn’t use. Unused subscriptions leave you with less money in your pocket, so canceling them can help you weather this period of high inflation.
Maintain a high credit score. When you have good credit, you typically qualify for lower interest rates and other favorable loan terms. If you have to borrow money while inflation is high, maintaining a healthy score can help you save money.
Keep the faith
Inflation makes it a little tougher to meet your financial goals, but that doesn’t mean you should give up on managing your finances responsibly. You can save money by tracking your spending, canceling unused subscriptions and planning your meals according to what foods are on sale each week.
Maintaining good credit can help you save money in the long run if you have to take out a loan or otherwise buy on credit. If your credit is lower than you’d like it to be, work with the credit repair consultants at Lexington Law to identify inaccurate negative items on your credit reports and make sure outdated information isn’t being held against you.
Note: Articles have only been reviewed by the indicated attorney, not written by them. The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, reviewers, contributors, contributing firms, or their respective agents or employers.
Reviewed By
Brittany Sifontes
Attorney
Prior to joining Lexington, Brittany practiced a mix of criminal law and family law.
Brittany began her legal career at the Maricopa County Public Defender’s Office, and then moved into private practice. Brittany represented clients with charges ranging from drug sales, to sexual related offenses, to homicides. Brittany appeared in several hundred criminal court hearings, including felony and misdemeanor trials, evidentiary hearings, and pretrial hearings. In addition to criminal cases, Brittany also represented persons and families in a variety of family court matters including dissolution of marriage, legal separation, child support, paternity, parenting time, legal decision-making (formerly “custody”), spousal maintenance, modifications and enforcement of existing orders, relocation, and orders of protection. As a result, Brittany has extensive courtroom experience. Brittany attended the University of Colorado at Boulder for her undergraduate degree and attended Arizona Summit Law School for her law degree. At Arizona Summit Law school, Brittany graduated Summa Cum Laude and ranked 11th in her graduating class.