Save more, spend smarter, and make your money go further
A credit card for your kid? Before you completely write the idea off, consider that there are legitimate reasons to consider giving your kid plastic. Getting your child a credit card for kids can help make your little one a savvy spender. By empowering them with the skill of financial literacy from an early age, they could be set up for a much more stable future, which could benefit both them and you.
But wait, can kids even get credit cards? They can with your help. That’s why it’s important for you to be knowledgeable about the options for credit cards for kids and how you can guide them to develop good habits and responsible credit management.
If you’re still hesitant about the idea of kids’ credit cards (we can’t blame you), we recommend reading this post to learn more about why you might reconsider and how to go about getting one. You can also use the links below to navigate to the section you need:
Benefits of Kids Having Credit Cards
While it might seem like credit cards for kids are a major risk, the benefits often far outweigh them. That’s because with careful supervision, you can help set your child up for a better financial future. Let’s review some of the main benefits of giving your child a credit card.
Help Them Build Credit
Many young adults find themselves unable to qualify for their own credit cards because they have no credit history. However, you can prevent this from becoming an issue for your child if you help them build their credit early on—that’s where kids’ credit cards come in.
Establishing a credit line for them when they’re younger increases length of credit history, which makes up 15% of credit score. With a better credit score, they are more likely to:
Pay less for car insurance premiums
Be approved for an apartment or house rentals
Have an easier time qualifying for student loans or a car loan
Get lower interest rates
Avoid security deposits on cell phones or utilities
Teach Them Good Habits
For many people, getting a credit card can open a door to a lot of temptation, as it gives them access to more money. However, if your child has become accustomed early to good habits when it comes to credit card usage, they may be less likely to fall victim to the potential pitfalls of owning a credit card.
Teaching your child best practices for paying off credit cards, maintaining their balance, and monitoring their credit score are invaluable skills.
Help Them Avoid Overspending
The average American household has $8,398 in credit card debt, according to Debt.org. And with the average credit card interest rate at over 16%, borrowing money doesn’t come cheap. Many credit card holders fall into a pattern of overspending with what they may consider “free money”—sometimes it can feel like that when you don’t have to pay for it right away. Whether it’s retail therapy shopping spree, a spontaneous luxury vacation, or putting a big purchase on the card, many people have every intention of paying it back with their next paycheck, but too often that’s not the case.
While giving your child a credit card is scary, letting them dive into credit unsupervised is even scarier. Teaching kids about money and helping them understand the consequences of overspending on their credit cards can help them avoid the all-too-common fate of ending up in a never ending pit of credit card debt.
Emergency Preparedness
While it might seem hard to imagine what kind of financial emergency your kid could run into, there are actually a variety of situations when having a credit card could help your kid. You never know what kinds of scenarios could arise when they’re on vacation with their friends’ family, on a school trip, or even on their way home from school.
While it’s fairly unlikely that emergency situations will arise, you both will be better off if your child has a back-up plan to get themselves out of a sticky situation. As long as you are both on the same page about what constitutes an emergency, having access to credit card funds could provide both of you peace of mind. Just make sure you lay some ground rules when teaching your child about appropriate credit card usage.
Show Your Child You Trust Them
One of the most overlooked benefits of getting your child a credit card is showing them that you trust them with this responsibility. Your trust in them can help them build confidence in their decision-making capabilities and empower them to be financially responsible, both of which will benefit them well into the future.
How to Get Credit Cards for Kids
You may be wondering, how can a minor get a credit card? They’ll need your help, but it’s fairly straightforward. Here is what you need to do:
Research whether your credit card provider allows you to add your child as an authorized user on your credit card. Some of your options may include:
Adding them as an authorized user: It’s still your account and your responsibility to pay the balance, but as an authorized user your kid can make charges on your card. Be specific about what items you are allowing them to charge and remove them if they prove they cannot handle the responsibility.
Giving them a secured credit card: Put $500 in a bank account to secure the credit limit, then if the bill doesn’t get paid, the bank uses the deposit to cover it. Make sure the issuer reports the payments to the three major bureaus, Experian, TransUnion, and Equifax.
Co-signing on your kid’s credit card: At 21, your grown child may be eligible for a credit card as long as you sign off on it (or if they can show a stable source of income). Co-signing on a credit card can help them secure a better interest rate. But think twice before you put your own credit history on the line, because you are legally both on the hook to pay it off.
If they do have kids’ credit cards, complete your lender or bank’s process for adding them as an authorized user. If they do not, then you will need to look at other banks or credit card companies that do.
Set up the parameters for the card—spending limits, tracking alerts, blocked purchases, etc.
Your child will then be issued their credit card, which will need to be activated.
Keep in mind that not all companies offer credit cards for minors under 18 or allowed for authorized users, in fact most have age requirements, so you may need to research your options to find a credit card issuer that works for you.
Best Credit Cards for Children
Here are credit and debit cards for kids that can be a good starting point for teaching your child about financial management:
Gas card: Credit cards for gas stations are a way to give your child an opportunity to learn about and building credit, without the temptation of spending on unnecessary things. Gas cards make great starter credit cards for students who need to drive to high school and college.
Prepaid debit or credit cards:This type of card won’t build credit, but the upside is that a child as young as 13 can typically get one. Keep in mind that there may be maintenance fees on these types of cards.
Card with a low limit: A low limit credit card can help prevent spending from getting out of control; these cards usually have limits of about $250-$500.
Emergency credit card: Stipulating that the card is only to be used for emergencies is one way to teach your child about credit, without giving them free range. A useful emergency credit card should have a higher balance, but be carefully monitored to prevent abuse of their privileges.
If your child isn’t quite ready for a credit card, set them up with a debit card before graduating to credit. Tie it to their bank account and set up notifications so you can see where your child is charging. If they can’t handle debit, forget about credit for now. The downside is that a debit card does not establish credit history.
How to Help Your Child Manage Their Credit
Set a limit: With tight boundaries that you set, failure may come, but in small doses. Aside from staying out of debt, more and more employers are checking applicants’ credit history, meaning solid credit lessons early on could improve chances of employment down the road.
Review the monthly statement with them:Explain how the card works and when the bill arrives, explain it again. Due date? Check. Payment options check? Check. Interest rate? Check. Grab a calculator and show them what an interest rate is—in real dollars. Talk about what happens if you don’t pay off the balance in full and make a rule to always do so.
Explain fine print: There many aspects of credit management that are easy to overlook. Make sure to point out the repayment terms, annual fees, late penalties. etc.
Monitor credit: If they have their own credit card, you may want to regularly check their credit score (along with their statement) to ensure there are no issues such as unauthorized spending or errors that need to be disputed.
Comparing credit to cash is one of the most important aspects of teaching kids about managing their credit—emphasizing that it is not free money and needs to be repaid responsibly. USA.gov is also a valuable resource for teaching your child ins and outs of credit cards.
Kids’ Credit Card Pitfalls
Before signing your child up for kids’ credit card, it’s important to consider the risks:
Accumulation of debt: One of the scariest things about allowing your child to have a credit card is that they risk accumulating debt. While it can be dangerous if it gets out of control, the key is supervision, and learning to pay off the full balance on time each month.
Risk of scams and theft: With access to a credit card, your child may be pressured or manipulated into spending or allowing others to spend the funds available. There’s also the risk that the card could get lost or stolen; children are known to forget or lose things frequently. This is where emphasizing caution and responsibility will be essential. You should also read up on child identity theft at Consumer.ftc.gov.
More impulsive tendencies: Children tend to be more impulsive in nature because they haven’t learned as many of the hard lessons about consequences as adults. And depending on their age, their decision-making skills may not have fully developed.
Credit card addiction: Those with addictive personalities, especially when it pertains to shopping, may be more inclined to abuse the convenience of credit cards and form a credit card addiction.
Your credit habits could affect their history: No matter how responsible we try to be, sometimes we make financial missteps or fall on hard times. How your credit history can affect your childs’ is important to keep in mind if they’re an authorized user on your card.
Keeping in mind these kids’ credit card pitfalls, and how to circumvent them, will help you set your child up for success.
Sign Them up for Their First Kids’ Credit Card
Taking the plunge into getting your kids a credit card can be a scary and stressful process, but it doesn’t have to be. By taking it one step at a time, educating your child about credit cards, and closely monitoring their usage, you can make this a positive experience. Once you have a game plan for how you’ll help your child use the credit card, take the initiative and sign them up as soon as they’re eligible.
Save more, spend smarter, and make your money go further
Previous Post
7 Qualities of a Highly Successful Consumer
Next Post
Can Picking The Wrong Credit Card Lower Your Credit Scores?
Browse Related Articles
<img width="600" height="577" src="https://blog.mint.com/wp-content/uploads/2019/05/Stocksy_txp6fa7ca029oK200_Small_857621.jpg?w=600&h=577&crop=1" class="rkv-card__media" alt="Getting Your Kid A Credit Card? This Is What You Need To Know" decoding="async" loading="lazy" data-attachment-id="10382" data-permalink="https://mint.intuit.com/blog/family/getting-your-kid-a-debit-card-this-is-what-you-need-to-know/attachment/hand-coming-through-a-wall-holding-several-credit-cards/" data-orig-file="https://blog.mint.com/wp-content/uploads/2019/05/Stocksy_txp6fa7ca029oK200_Small_857621.jpg" data-orig-size="866,577" data-comments-opened="0" data-image-meta=""aperture":"0","credit":"Beatrix Boros / Stocksy United","camera":"","caption":"Hands with nail polish holding many blank colorful credit cards. Its on an orange-green background.","created_timestamp":"0","copyright":"All Rights Reserved","focal_length":"0","iso":"0","shutter_speed":"0","title":"Hand Coming Through A Wall Holding Several Credit Cards","orientation":"0"" data-image-title="Getting Your Kid A Credit Card? This Is What You Need To Know" data-image-description="
Getting Your Kid A Credit Card? This Is What You Need To Know
The Walmart MoneyCard is a reloadable prepaid debit card designed to provide a versatile financial solution for a range of consumers. This includes those who do not have access to conventional bank accounts or people seeking a tighter rein over their spending.
The MoneyCard is not tied to a traditional checking account, which eliminates the risk of overdrafting, offering a critical advantage over conventional banking.
Issued by the Green Dot Bank, the Walmart MoneyCard doesn’t necessitate a credit check or a specific credit score, thus making it easily accessible. This feature can be particularly useful for those wanting to avoid the credit scrutiny that comes with most credit card companies or people working on rebuilding their credit scores.
Getting Started with Walmart MoneyCard
The process to get started with a Walmart MoneyCard is straightforward. Customers can apply for the card online or buy a starter kit from any Walmart stores.
Once the card is registered and activated, you can load money onto it through various means. These include direct deposit, using Walmart Rapid Reload, or transferring money from a different bank account.
You can use the Walmart MoneyCard immediately for in-store and online purchases at any location that accepts Visa or Mastercard debit cards.
Walmart MoneyCard: Key Features
Cash Back Rewards
One of the Walmart MoneyCard’s standout features is its cash back rewards system. The card offers up to 3% cash back on purchases made at Walmart.com, 2% at Walmart fuel stations, and 1% cash back on purchases made in Walmart stores.
This feature can provide significant value, particularly for regular Walmart shoppers. Keep in mind that the total rewards are capped at $75 per year.
Free Cash Reloads
The Walmart MoneyCard makes it simple to add money to your card with free cash reloads in Walmart stores. This is a practical and convenient feature, especially for those who routinely shop at Walmart. It allows customers to top up their card balances during their regular shopping trips, making the process seamless and straightforward.
Walmart MoneyCard App
The cardholder gains access to a robust mobile banking platform via the mobile app. The app lets you deposit checks using the mobile check deposit feature, pay bills, transfer money to others, check your account balance, and set account alerts. Having all these capabilities in the palm of your hand simplifies managing your finances.
ASAP Direct Deposit
ASAP Direct Deposit is another noteworthy feature of the Walmart MoneyCard. With this feature, you can receive your paycheck or government benefits up to two days early, depending on your employer or benefits provider’s deposit schedule. This can offer considerable assistance, especially when budgeting around bill payments or other financial commitments.
Understanding the Fee Structure
Despite the various benefits the Walmart MoneyCard offers, it does come with a monthly fee of $5.94. This fee, along with potential charges for ATM withdrawals or balance inquiries, is vital to understand before getting the card. However, the monthly fee can be waived in any month where you have loaded $1,000 or more to your card in the previous monthly period.
Furthermore, it’s important to note that while Walmart Rapid Reload is free, using this service at non-Walmart locations may involve a fee. Similarly, while withdrawals at in-network ATMs are free, out-of-network ATM withdrawals come with a $2.50 fee.
Walmart MoneyCard: Main Benefits
No Overdraft Fees
One of the significant advantages of the Walmart MoneyCard is the absence of overdraft fees. With this prepaid card, you’re spending your own money that you’ve loaded onto the card, which means there’s no chance of incurring an overdraft fee or the risk of a bounced check.
This feature could provide peace of mind, especially for those who are worried about maintaining a positive balance in a traditional checking account.
MoneyCard Vault
The Walmart MoneyCard comes with a unique feature called the MoneyCard Vault. This tool acts as a savings account, allowing you to set aside money while earning interest. With the MoneyCard Vault, you can earn a 2% annual interest rate (APY) on your savings up to a $1,000 balance. This feature incentivizes saving by providing an opportunity to grow your money.
Cash Prizes
Not only does the MoneyCard Vault help you save, but it also offers an exciting chance to win cash prizes. For every dollar saved in the MoneyCard Vault, you earn an entry into a monthly drawing where 999 winners are chosen.
These winners could receive a cash prize of up to $1,000. This feature makes saving money even more enticing, offering a chance at a potential monetary bonus simply for practicing good saving habits.
Family Accounts
Finally, the Walmart MoneyCard offers a beneficial feature for families. The cardholder can create up to four additional MoneyCards for family members who are 13 years and older. This could be an excellent tool for teaching teens about financial responsibility or for managing a family budget effectively.
Potential Drawbacks and Limitations
While the Walmart MoneyCard offers several benefits, it does have potential drawbacks that must be considered. One such drawback is the monthly fee of $5.94. This fee can be waived if you load at least $1,000 onto the card in the previous monthly period, but for users who don’t frequently load large amounts onto their card, this cost might be a deterrent.
Although there’s the benefit of earning rewards, there are limitations. The cash back rewards are capped at $75 each year. Depending on your spending habits, this may be less generous than some rewards credit cards offered by traditional financial institutions or credit card companies.
It’s also important to note that while the card offers the ability to withdraw cash, out-of-network ATM withdrawals come with a $2.50 fee. Additional third-party fees might be charged at out-of-network ATMs and are not controlled by Green Dot Bank.
Security Features
Walmart MoneyCard provides several measures to ensure the safety of your funds. Firstly, your funds are held with Green Dot Bank, a member of FDIC, meaning your MoneyCard deposits are insured up to the standard deposit insurance limit.
The card also includes an EMV chip that provides enhanced security and is globally accepted. Additionally, customers can set up account alerts through the app to receive instant notification of any transactions or suspicious activity.
Another valuable security feature is the ability to instantly lock your card if it’s ever lost or stolen, directly from the MoneyCard App or website. This can prevent unauthorized use and provide peace of mind.
Customer Service and Support
Walmart offers various customer service channels for MoneyCard users. These include a phone number to call for live support and an online Help Center with answers to common questions. You can also receive assistance via the Walmart app or website, where you can report lost or stolen cards, check your balance, view transactions, and find the nearest Walmart store or ATM.
Remember that it’s always beneficial to research user reviews and feedback to get a sense of the overall customer service experience. While Walmart offers several avenues for support, it’s essential to ensure that the support meets your expectations and needs.
Comparing Walmart MoneyCard with Other Prepaid Cards
When compared to other prepaid cards on the market, the Walmart MoneyCard stands strong. Its cash back rewards program, free cash reloads at Walmart stores, and early access to direct deposits via the ASAP Direct Deposit feature set it apart from many competitors.
However, it’s crucial to remember that no single financial product will be the perfect fit for everyone. Other prepaid cards might have lower monthly fees or offer different benefits, like rewards on other types of purchases, no fees for ATM withdrawals at certain ATMs, or better customer service.
It’s essential to compare the Walmart MoneyCard with other prepaid debit cards and carefully consider your financial needs, habits, and preferences before making a decision.
Is the Walmart MoneyCard right for you?
The Walmart MoneyCard could be a good fit for those who shop frequently at Walmart, as they can earn cash back at Walmart.com, Walmart stores, and Walmart fuel stations. For those without a traditional bank account, or for those who wish to avoid overdraft fees and credit checks, the Walmart MoneyCard provides a flexible and accessible option.
Additionally, if you’re seeking a tool to help with budgeting or teaching family members about financial responsibility, the Walmart MoneyCard can be a valuable resource due to its reloadable nature and the option to create additional MoneyCards for family members.
However, if you’re not a frequent Walmart shopper, or if you plan to make regular ATM withdrawals, it’s important to consider the associated fees. The $2.50 out-of-network ATM fee and the monthly fee (unless waived) could outweigh the benefits for some users. Similarly, those who do not anticipate depositing $1,000 or more monthly might find the fee to be a deterrent.
As always, your individual financial habits, needs, and goals are key factors in determining whether a particular financial product, such as the Walmart MoneyCard, is a good fit for you.
Bottom Line
The Walmart MoneyCard offers a unique blend of features, such as the rewards program, no overdraft fees, and the MoneyCard Vault savings feature, that make it stand out among prepaid debit cards. Its ease of use, accessibility, and range of services offer an appealing package for many individuals.
However, potential users should be mindful of the associated fees and limitations. The potential for out-of-network ATM fees and the monthly charge (unless waived) should be weighed against the benefits that the card provides. Also, the card may not be the best fit for individuals who don’t frequently shop at Walmart or deposit less than $1,000 monthly.
As with any financial product, it’s critical to understand its fee structure, limitations, and potential downsides before deciding if it’s the right fit for your financial needs.
Missouri is not just the Show Me State; it’s also home to some of the best college towns in the country.
These lively hubs of education and entertainment are the perfect places to explore and soak in the quintessential college experience. In this article, we’ll take you on a journey through five of Missouri’s most vibrant college towns. Whether you’re a prospective student, a recent graduate looking to lay down roots or simply in search of a fun weekend getaway, these college towns in Missouri have something for everyone.
Nestled in the heart of Missouri, Columbia is the epitome of a cool college town. With a population of around 125,000, this city is home to the prestigious University of Missouri, affectionately known as Mizzou. The university’s beautiful red brick buildings and sprawling campus are an impressive sight to behold. But the town’s appeal goes far beyond its academic pedigree.
Downtown Columbia is a bustling area filled with an eclectic mix of stores, restaurants and bars. You’ll find everything from cozy coffee shops to trendy boutiques, making it the perfect place to spend a leisurely afternoon. If you’re looking for entertainment, make sure to check out The Blue Note, a historic venue that hosts some of the best live music acts in the state throughout the year.
For outdoorsy types, Columbia provides ample opportunities to connect with nature. Rock Bridge Memorial State Park, with its picturesque hiking trails, limestone caves and tranquil streams, is just a short drive from the city center. The MKT Trail, a popular biking and jogging path, connects Columbia to the Katy Trail, the nation’s longest rails-to-trails project that spans over 240 miles.
While St. Louis is often recognized for its iconic Gateway Arch and mouthwatering barbecue, it’s also one of the most dynamic college towns in Missouri. The city boasts several higher education institutions, including Washington University, Saint Louis University and University of Missouri-St. Louis. These esteemed universities not only draw students from all over the world but also contribute to the city’s rich cultural tapestry.
The Delmar Loop, a vibrant stretch of shops, restaurants and entertainment venues, is a hotspot for college students and locals alike. From killer international cuisine to quirky specialty shops, the Loop is a place where you can truly experience the spirit of St. Louis in all its glory.
For those seeking a taste of St. Louis’s storied past, the city offers a wealth of historical attractions. The Missouri History Museum, located in picturesque Forest Park, showcases the region’s rich history through engaging exhibits and special events. Additionally, the stunning Cathedral Basilica of Saint Louis, adorned with intricate mosaics, is a must-visit landmark.
Straddling the border of Missouri and Kansas, Kansas City is a thriving metropolis known for its jazz music, delicious barbecue and a flourishing arts scene. The city is also home to several colleges and universities, including the University of Missouri-Kansas City, Rockhurst University and the Kansas City Art Institute. This diverse array of educational institutions has helped shape Kansas City into one of the most exciting college towns in Missouri.
Country Club Plaza, an upscale shopping district with Spanish-inspired architecture, is a popular destination for students and visitors. With its open-air courtyards, beautiful fountains and an extensive array of shops and restaurants, the Plaza is the perfect place to indulge in some retail therapy or enjoy a delicious meal.
The nearby Nelson-Atkins Museum of Art, with its vast collection of artwork spanning centuries, is a must-visit for art enthusiasts. The museum’s famous Shuttlecocks, a series of giant sculptures that dot the museum’s lawn, have become an iconic symbol of Kansas City.
For those hoping to experience Kansas City’s vibrant music scene, head to the 18th and Vine Historic District, where you’ll find the American Jazz Museum. While in the area, don’t miss the opportunity to catch a live jazz performance at one of the neighborhood’s legendary clubs, like The Blue Room or the Gem Theater.
Located in the scenic Ozarks region, Rolla is a charming college town that houses the renowned Missouri University of Science and Technology. Known for its strong emphasis on engineering and applied sciences, the university has produced generations of brilliant minds that have contributed to advancements in various fields. The town’s close-knit community and picturesque surroundings make it an ideal setting for those seeking a more intimate college experience with an emphasis on the STEM fields.
Rolla’s quaint downtown area offers a delightful mix of shops, cafes and restaurants, perfect for a leisurely stroll or a bite to eat. The Tater Patch, a local favorite, serves up delicious home-style cooking in a cozy atmosphere. For something a little more upscale, Matt’s Steakhouse offers a mouthwatering selection of steaks and seafood.
Outdoor enthusiasts will find plenty to do in the Rolla area. The Ozark National Scenic Riverways, located just a short drive from town, offers opportunities for canoeing, fishing, hiking and more in a pristine natural setting. For those interested in exploring the geological wonders of the region, the Mark Twain National Forest is home to numerous caves and caverns, perfect for spelunking adventures.
Situated along the banks of the mighty Mississippi River, Cape Girardeau is a charming college town that is home to Southeast Missouri State University. The campus’s idyllic setting, combined with a strong sense of community and a diverse array of academic programs, makes it an attractive option for students from all walks of life.
The revitalized downtown area, with its brick-paved streets and historic architecture, offers a unique blend of shopping, dining and entertainment. Be sure to check out Cape Riverfront Market, a lively open-air market where you can find fresh produce, local crafts and delicious food truck fare. The nearby Riverfront Park, a picturesque promenade along the Mississippi River, is the perfect place to take in the beauty of the area and catch a glimpse of the iconic riverboats that glide along the water.
Cape Girardeau is also a haven for history buffs. The city is home to several noteworthy attractions, like the Cape Girardeau Conservation Nature Center, The Glenn House and the Red House Interpretive Center, which offer insights into the area’s rich heritage and natural beauty.
Make one of these Missouri college towns your home
Missouri’s college towns provide a diverse and engaging blend of education, entertainment and natural beauty. From the bustling streets of Columbia and St. Louis to the scenic landscapes of Rolla and Cape Girardeau, these college towns in Missouri are definitely worth a visit.
There’s more to Nevada than neon lights and slot machines.
Home to some of the most picturesque landscapes, vibrant communities and rich cultural histories, Nevada has a lot to offer students looking for the ideal place to pursue their higher education. In this article, we will explore the top college towns in Nevada, focusing on Las Vegas, Reno, Henderson and Incline Village, with a couple of honorable mentions to boot.
Las Vegas is not just about luxurious hotels and world-class entertainment. This famous city is also home to a thriving academic community, making it one of the best college towns in Nevada. The University of Nevada, Las Vegas, Nevada State College and the College of Southern Nevada all have campuses here, creating a diverse and dynamic student population.
Living in Las Vegas provides students with a unique blend of excitement and academic opportunity. The city is home to some of the best libraries, research centers and museums in the country, providing a rich learning environment for those who are passionate about their studies and willing to seek knowledge outside of the classroom. Furthermore, the city is also host to numerous events and conferences, allowing students to network and learn from professionals in their chosen fields.
Las Vegas is not all about work, though. Students can take advantage of the city’s world-famous entertainment scene, with concerts, shows and sporting events taking place almost every night. If you need a break from the glitz and glamour, the city is surrounded by natural beauty, with Red Rock Canyon and the Valley of Fire State Park just a short drive away.
Reno has a lot to offer students who call it their college home. This college town in Nevada is home to the University of Nevada, Reno, Truckee Meadows Community College and several other institutions of higher education. With a population of over 250,000, Reno provides an urban experience while still maintaining a small-town feel.
Reno is not just a great place to study, it’s also a hub for culture and entertainment. The city boasts an impressive arts scene, with numerous galleries, museums and theaters providing ample opportunity for students to immerse themselves in the creative side of life. The annual Artown Festival, held every July, is a month-long celebration of the arts, featuring hundreds of events showcasing local and international talent.
Outdoor enthusiasts will be in their element in Reno. Lake Tahoe, located just a short drive away, offers a range of recreational activities, from hiking and mountain biking in the summer to skiing and snowboarding in the winter. The Truckee River, which flows through the heart of Reno, provides opportunities for kayaking, fishing and riverside picnics.
Henderson is another fantastic option for students seeking an authentic college town experience. Home to Nevada State College, Touro University Nevada and the College of Southern Nevada’s Henderson campus, this suburban oasis provides a peaceful and supportive environment for academic pursuits.
Situated just 16 miles southeast of Las Vegas, Henderson provides students with easy access to the excitement and opportunities of the big city, while also offering a more relaxed and community-focused lifestyle. The city is known for its beautiful parks, excellent schools and family-friendly atmosphere.
Henderson has a thriving arts and culture scene, with several theaters and galleries hosting events and exhibitions throughout the year. The city’s many recreational facilities, like the Whitney Mesa Recreation Area, provide students with plenty of opportunities to unwind and connect with nature.
Outdoor enthusiasts will appreciate the close proximity to both Lake Mead and the Sloan Canyon National Conservation Area, both offering a wealth of recreational activities like hiking, biking, boating and reconnecting with Mother Nature. Additionally, Henderson is home to numerous golf courses, catering to golfers of all skill levels.
Incline Village, nestled along the picturesque shores of Lake Tahoe, is a hidden gem among college towns in Nevada. This idyllic mountain community is home to University of Nevada, Reno at Lake Tahoe, a private liberal arts college known for its focus on entrepreneurship, environmental science and fine arts.
Incline Village offers a unique college experience, combining rigorous academic programs with a strong emphasis on outdoor adventure and environmental stewardship. Students at University of Nevada, Reno at Lake Tahoe can immerse themselves in their studies while also enjoying the breathtaking natural beauty that surrounds them.
Lake Tahoe is the main attraction in Incline Village, offering a wide variety of water sports, hiking trails and winter sports opportunities. The nearby Diamond Peak Ski Resort is a favorite among locals and visitors alike for skiing and snowboarding during the winter months.
Located in northeastern Nevada, Elko is home to Great Basin College, a comprehensive institution offering a range of associate and baccalaureate degree programs. This college town is known for its strong sense of community and rich Western heritage, with the annual National Cowboy Poetry Gathering being a particularly unique highlight.
North Las Vegas, a separate city from its more famous southern neighbor, is home to the College of Southern Nevada’s North Las Vegas campus. This growing college town offers a more manageable and laid-back alternative to living in the heart of Las Vegas, while still affording students easy access to the city’s many amenities and attractions.
Find your next apartment in a Nevada college town
Nevada’s diverse and vibrant college towns provide students with a range of experiences and opportunities that go beyond the classroom. Whether you’re seeking the excitement of Las Vegas, the outdoor adventures of Reno and Incline Village or the suburban tranquility of Henderson, there is a college town in Nevada that is perfect for you.
Closing on a house can take almost two months, making it a prime target for instant payment settlement.
To get keys into homeowners’ hands even faster, KeyBank is working with The Clearing House and EMTransfer, a real estate cash management platform, to apply the RTP rail to real estate transactions.
“We’re all aware of the time for wires or e-checks or paper checks,” said Jon Briggs, head of commercial product for KeyBank. “This will enable us to process these payments in a manner of seconds.”
TCH is looking to expand use cases for its RTP network to gain more usage as the FedNow system gets set to launch in the coming weeks, while KeyBank hopes instant settlement will boost the bank’s embedded finance strategy.
“Firms have been dipping their toes in RTP for real estate,” said Cheryl Gurz, vice president of RTP product development for The Clearing House, adding that some title companies have used the rail to connect to a buyer or seller’s bank “here and there” but not in a large scale way. EMTransfer will greatly expand RTP’s use for real estate, Gurz said.
EMTransfer will access real-time settlement through a KeyBank application programming interface. The API enables real-time payments to be sent over the RTP Network. EMTransfer consolidates payments for title companies, insurance firms, lawyers, or other parties that need to be paid during a real estate closing. Residential real estate closings take an average of about 50 days, according to RocketMortgage.
“A real estate transaction has a complexity of a single payment that has to be parsed out to a number of recipients,” Briggs said. “There’s the seller, the real estate agent, the title company, insurance companies, sewer hookup, etc.”
The collaboration will mitigate fraud risk via immediate confirmation of receipt for all parties in a real estate transaction, TCH said. There’s also an opportunity to reduce per diem payments, or the fees charged for closings that linger beyond the previously scheduled date. Agent commissions can also be paid faster, and the product can be used in states that allow buyers and sellers to use different title and escrow companies. In those cases, the RTP network can be used as a bridge between companies if the banks are on the RTP network.
“What makes this interesting is RTP is a 24x7x365 rail,” Briggs said. “We all have day jobs. We’re not thinking about settling a real estate transaction.”
The RTP network has more than 300 bank members, covering about 70% of the addressable bank accounts in the U.S.
It faces potential competition from the launch of FedNow, which is scheduled for July. FedNow will be accessible to more than 9,000 financial institutions, though it will take a year or more for the institutions to add support for FedNow. RTP has been live for about five years already.
Real estate firms already use third-party software to aggregate their payments, and these software providers can use real-time payments to transact outside of business hours, according to Gurz. “The payment can be processed at any time.”
The next phase will be to include TCH’s Request for Payment, or real-time billing. Real-time billing combines digital bill presentment with the RTP network, enabling payments to be processed at the time of billing or at a predetermined time based on the payers’ cash position. That feature is under development for real estate closing, Gurz said.
KeyBank is also hoping the use of real-time processing for real estate can inspire use for other financial services, as it looks to grow its embedded finance strategy, Briggs said. Embedded finance refers to the use of payment credentials to offer a variety of financial services, often from third parties.
As use cases for real-time settlement proliferate, disbursements similar to real-estate closings — where payments that are related but sent to multiple recipients — will be a primary area of focus, according to Albert Bodone, director of commercial and enterprise payments for Javelin Strategy & Research.
“Immediate clearing and settlement can be extremely important when you’re making these types of payments,” Bodone said.
Payment technology firms such as AptPay, for example, are positioning real-time payments as a way to enable insurers to send and receive payments upon request. This could help policyholders who need to access compensation fast after a loss. Policy premium payments and refunds are another real-time settlement use case for insurance firms.
In auto lending, U.S. Bank partnered with e-commerce site Driveway.com in 2022 to support instant settlement for car sales. TD Bank released a similar product at around the same time. U.S. Bank later added support for real-time loan funding to dealerships after the bank finalized the loan contract.
Given the limits in real-time transactions — the RTP network has a limit of $500,000 and the pending FedNow service has a $1 million limit — transactions will likely be in line with the typical closing costs for an auto loan or a house.
“Real-time pay for disbursements will be used more in the consumer space than commercial early on, but there is a fair amount of delay where there are layers of people who need to be paid as part of a larger transaction,” Bodone said.
Tap on the profile icon to edit your financial details.
Is it possible to earn a paycheck while sitting on the couch watching television? Absolutely, but it takes a bit of work beforehand to set things in motion. By developing online assets, investments and interest payments, you can put your dollars to work so they provide gains while you sleep. Here are the details and the best ways to put $1,000 of passive income into your pocket every month. For help managing your money — no matter how you earn it — consider working with a financial advisor.
What Is Passive Income?
The IRS defines passive income as earnings generated by someone who isn’t materially participating in the endeavor, meaning you work less than 500 hours annually on a project or less than 100 hours if you put in more time than the rest of any coworkers involved.
Essentially, passive income is created by developing assets that earn money by themselves. For example, creating a blog with affiliate links will provide earnings every time a reader clicks through to a specific product. This way, you make money in perpetuity for the work you did once.
How to Find Ways to Make Passive Income
Passive income comes from assets, like a YouTube channel or an online store. In most cases, though, you need resources to start out. Whether you buy a better webcam or take a writing course, generating passive income means investing money to get yourself going. Therefore, saving money beforehand is key.
To that end, your first steps are researching the passive income streams that appeal to you, identifying your starting costs and saving the money you need. In this phase, it’s crucial to avoid financial risk. Piling money into a high-yield savings account is an excellent choice because you can earn 4% APY in an account with FDIC insurance.
Putting serious cash into a savings account that compounds monthly can also serve as a first exposure to passive income. You’ll put your dollars to work and watch your money grow. Once you save the money you need, you can invest it in more lucrative passive income streams.
Low-Involvement Passive Income
These options put the ‘passive’ in passive income because they require less work to get going. However, they have less earning potential than high-involvement passive income streams.
Purchase Series I Bonds
Rising interest rates have made Series I bonds a viable passive income investment. Specifically, you can purchase these bonds with a 4.3% APY through October 2023, after which the government will modify the rate (this occurs every six months). Plus, the U.S. Treasury backs these bonds, meaning your risk is almost zero.
Additionally, Series I bonds earn interest for thirty years, making them a suitable long-term investment. On the other hand, you can sell your bonds after holding them for at least a year. However, you’ll lose the most recent three months of interest if you sell them before holding them for five years.
Create a CD Ladder
A certificate of deposit (CD) is like a short-term savings account with an excellent interest rate. Therefore, you can continuously purchase new CDs as they mature and reinvest your gains. You can buy a CD at most banks and credit unions.
CDs mature in one to five years, depending on the specific product. The longer the term, the higher the interest rate. Because your CD money isn’t accessible while it matures (unless you want to forfeit your gains), it helps to create a CD ladder. This way, a portion of your investment is always available.
For example, your ladder could look like this:
$1,000 in a one-year CD with a 3.5% APY
$1,000 in a two-year CD with a 3.75% APY
$2,500 in a five-year CD with a 4.5% APY
So, you’ll receive part of your investment back after a year and can reinvest or pocket the profits. Then, you’ll get another portion of your investment back after another year and the final $2,500 plus interest three years after that. Your ladder will provide a stream of income at different milestones, boosting your liquidity as an investor.
Become a Paid Online Shopper
If you’re a dedicated online shopper, you can turn your pastime into cash. For example, Rakuten pays between 1% and 20% for each online purchase you make, with no upward limit on earnings. While this perk isn’t a license to impulse spend every night, it can provide a passive income boost to purchases you would make regardless. You’ll also get a $10 welcome bonus for signing up (or more for using specific affiliate links).
Use Rewards Credit Cards
A rewards credit card pairs perfectly with online shopping (and any other shopping you do). There are dozens of excellent rewards cards available, such as Discover (1% to 5% cash back per purchase) or Chase Freedom Unlimited (1.5% to 5%). This way, all your purchases, from grocery stores and gas stations to vacation expenses, will provide an income stream. Remember, paying your credit card monthly is essential for this strategy. Otherwise, you’ll pay at least 15% APR on your balance, putting yourself in the hole instead of getting ahead.
Use a Robo-Advisor
Robo-advisors are digital investment companies using algorithms to grow a diversified portfolio of assets. The advantages are the low management costs and balance requirements. For example, Betterment charges $4 per month to invest, with no minimum balance requirement (you can achieve even lower fees with a sufficient balance or monthly deposit). Because human advisors charge at least 1% of the assets managed and often require a high minimum balance, robo-advisors are an inexpensive, accessible way to receive capital gains. In addition, your portfolio will rebalance itself periodically, meaning you don’t have to lift a finger.
High-Involvement Passive Income
These methods require more elbow grease but can provide thousands of dollars per month:
Invest in the Stock Market
Since 1926, the top 500 companies in the stock market (as tracked in the S&P 500 index) have returned an average of about 10% per year. Therefore, the stock market remains one of the most lucrative passive income options.
You can open an investment fund, dump money into an S&P 500 index and let it grow. However, you can also become a more involved investor by researching companies and industries and allocating money to stocks in companies with high growth potential. While doing so requires more work, you may see higher gains if you can stomach the risk.
Invest in Real Estate
Real estate can provide passive income in various ways. First, you can purchase shares in a real estate investment trust (REIT) if you don’t want to own or manage physical property. Instead, you’ll have shares in a company that invests in mortgages and commercial real estate. You’ll receive gains when the company’s investments flourish. Because federal law requires REITs to return at least 90% of their profits to shareholders, you’ll see profits any time the company does well.
Next, you can purchase rental properties to develop monthly income from rent payments. This strategy involves managing property and can get hectic if you acquire multiple properties (fortunately, you can hire a company to manage your properties when you scale). The payoff is thousands of dollars per month, which can offset the mortgages for your properties and pad your wallet. As you pay off the homes, each rent payment becomes worth even more. Plus, property appreciation gives you an opportunity to sell the property for substantial gains.
Start a YouTube Channel
The typical YouTuber receives $18 per 1,000 views on their videos. So, you can transform a hobby or passion into a series of money-making videos. For example, if you have a particular skill, such as DIY home improvement, your how-to videos can educate the masses and provide hefty returns.
Start a Podcast
Similarly, your favorite topics, movies, books and more can become profitable discussion material on a podcast. So, choose what interests you most, purchase a high-quality microphone and start talking. Like a blog, a podcast can provide earnings through advertisements, affiliate sales and membership subscriptions.
Create a Course Online
Likewise, you can turn a special skill or interest into web-based training. So whether you’re a social media marketing savant or a workout expert, you can transform your knowledge into a purchasable set of online classes.
Write a Book
While writing a book requires time, editing and publishing costs, book royalties can provide sizeable passive income. Additionally, your earnings can snowball if you release multiple books. Plus, you can also pair this strategy with an online writing course if you become a well-known author in your genre.
Remember, you can write physical books or eBooks. The advantage of eBooks is the inexpensive publishing, mass availability and sales potential. Specifically, Publishers Weekly reported eBooks sales for 2022 to be $2.57 billion, a 6% increase from the year prior.
Maintain a Blog
Writing a blog can be an excellent creative outlet and passive income generator. Whether your focus is pet training or gardening, you can write with expertise and direct readers to the products you use. This way, you can earn affiliate income, gain an online/social media audience and accumulate an email marketing database.
Create Leads For Another Business
If you want to create a website but don’t have a specific idea for earning money, you can increase sales for another company instead. For instance, you can write about topics pertaining to the business and provide links to the company’s website. This way, every click can earn a commission. In addition, you can use social media and Google ads to generate leads.
As a result, competence in Digital Marketing and SEO is essential for this strategy to work. The payment structure usually involves a flat monthly fee or a pay-per-lead model. This flexible business model has great potential for scaling up to generate an unlimited monthly income.
Sell Stock Photography
Many internet-based entrepreneurs lack the time or inclination to snap their own photographs for their websites. Instead, they resort to stock images, which are generic and expertly captured photographs. These photographs are usually acquired as a set or via a monthly membership to a stock photo website.
So, if you want to diversify your income sources as a photographer, you could create and sell styled stock photo bundles. For instance, you could offer a package of 15 stock photos with a business theme for $15. Then, you can market your product to websites and businesses. By doing this, you can earn a continual flow of revenue from images you captured once.
Rent Out a Room
If you have additional rooms in your home and are open to having guests, you can utilize online platforms such as VRBO to rent out a room in your house. Moreover, you could rent out your entire home if you travel frequently. The cost of renting a room varies based on location and the area you reside in, meaning you could charge hundreds of dollars per night in a high-demand area.
Rent Out Your Car
Similarly, you can rent out a car if you have a second one or don’t drive much. Platforms such as Turo connect car owners with customers who need a vehicle temporarily. Renting out your car a couple of weekends per month can create hundreds of dollars of extra income for an asset you already own.
The Bottom Line
There are numerous options for generating $1,000 a month in passive income. Your path toward earning this self-sustaining income stream depends on your strengths, interests and the amount of time and work you put into the project. Therefore, your way forward may be as simple as becoming an Airbnb host or involve researching the real estate market and purchasing a rental property. Remember, your passive income will have specific tax implications, so it’s best to understand how an asset will affect your taxes before going all in.
Tips for Making $1,000 a Month in Passive Income
A financial advisor can help you create a plan for your money. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three vetted financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Remember, reducing costs means keeping more of your passive income. Shaving even a tiny percentage off expenses can create a significant upside. For more, here’s how minimizing expense ratios can boost your savings.
Ashley Kilroy
Ashley Chorpenning is an experienced financial writer currently serving as an investment and insurance expert at SmartAsset. In addition to being a contributing writer at SmartAsset, she writes for solo entrepreneurs as well as for Fortune 500 companies. Ashley is a finance graduate of the University of Cincinnati. When she isn’t helping people understand their finances, you may find Ashley cage diving with great whites or on safari in South Africa.
These days, every week brings a new report, forecast or piece of news reminding us that the mortgage lending market is in uncharted waters. Mortgage demand fell 6% week over week at the end of July. Applications dropped 7% in the same period. The national inflation rate eclipsed 9% in June. Things have changed even more since then.
As lenders, we know these things to be true not just within the context of a recent market report — we see it happening every day on the ground, in the weeds with homebuyers, real estate agents and partners. In a field built on risk — like mortgage lending — the lack of control or agency can often feel like the biggest risk of all.
It can also be truly liberating. It can force lenders back to the basics — to refocus on the things they can control that have always been the most important element of the home-buying journey anyway: How customers feel when they work with you.
In the age of automation and analytics, altruism can often feel less quantifiable, and perhaps less important as a result. Even those who value it will often say something like, “You can’t put a price on experience.”
Except, you very much can.
The polarization of the lending market
The state of the housing market today has pushed homebuyers into one of two camps: those who feel they missed out on their opportunity to capitalize on low rates and high appreciation, and those who desperately need to move and will largely be undeterred from a negative market shift just by nature of their circumstances. Such a reality stands in stark contrast to what we saw even a few short months ago, when the FOMO (fear of missing out) was real and correctable and everybody wanted a piece of the action. The FOMO homebuyer is now just trying to weather the storm, as we’ve seen in recent weeks with the dips in demand and applications.
But the homebuyer that needs to move is still out there looking for the right home and the right partners to help them get it. They know the homebuying process right now is going to be more challenging both logistically and financially. They also know that a lender can compound those challenges or reduce them to a mere speed bump rather than an insurmountable hurdle.
For lenders who prioritize providing exceptional experiences, there’s never been a more perfect customer — or a better opportunity to capitalize on the value they deliver that many others don’t.
The greater the need, the better the service
How lenders, particularly local ones, service their customers and loans over the next six months will be the greatest factor in their ability to survive the market shift.
There are two reasons for this. First is their ability to maintain short-term profitability even as fewer people search for homes. That’s simple enough: When there aren’t as many loans, capitalizing on the ones that come through become exponentially more important.
With all other factors like rates and costs being relatively equal, the difference will always come down to the elements that comprise the customer experience: responsiveness, time to close, one-on-one engagement and education, local market expertise, transparency and human connection.
These things you can absolutely put a price on and brings me to my second point about the role customer service plays in survivability: future revenue.
How exceptional service creates long-term ROI
When the opportunity to refinance comes, it will come for just about everyone. As early as the first quarter of 2024, we may begin to see a seismic boom in refinancing for millions of homeowners. When they pick up phone, it’s easy to see how spending an extra couple hours with a customer now can increase their likelihood to call you instead of a new lender.
The same, of course, is true for the rest of the market. If lenders can push through the notable decline in retention. A 2021 report from Black Knight found that only 18% of borrowers kept the same servicer across multiple transactions at the end of 2020. Cash-out refinances fell to 11% retention, while rate-and-term refinances hovered at 23%.
The biggest reason? Poor service and an overreliance on digital tools. The latter often drives the former, as lenders over the last several years leaned so heavily into technology to meet heightened demand and volume that they inadvertently pigeon-holed customers and failed to compensate for a dominant digital experience with a more personable human one.
The decline in origination volume in recent weeks and for the foreseeable future only reinforces the need for lenders to invest in service as much as technology.
Because while repeat customers are a rarity in lending, they don’t have to be. It’s just been the price lenders have paid for not focusing on the thing their customers want most: better service.
Eric Bernstein is co-founder and president of LendFriend Home Loans.
This column does not necessarily reflect the opinion of HousingWire’s editorial department and its owners.
To contact the authors of this story:
Eric Bernstein at [email protected]
To contact the editor responsible for this story: Sarah Wheeler at [email protected]
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.
The Christmas season is here and you want fun ideas to do!
To help make your life easier this year, I created a bucket list full of over 100 activities. You can use it as an actual bucket list or just enjoy scrolling through some fun things to do with friends and family before December 25th.
You will find everything from decorating ideas for your home (from simple snowflakes that are easy enough for kids to make) all the way to DIY recipes for Christmas treats.
Who doesn’t love a good list?
This Christmas bucket list is things you can do with your family around the Christmas season to make it more lively and enjoyable.
I made this list for my own kids, but I thought I would share it with you to use it too!
How can you make your Christmas bucket list more fun?
There are many different ways to make your Christmas bucket list more fun.
One way is to focus on new activities that you haven’t done before. Another way is to add food-related activities, which always make Christmas special.
You can also try incorporating some outdoor activities, even if it’s just for a (snowy) day.
And don’t forget about family traditions! They’re a big part of the holidays and can really enhance the experience.
No matter what you do, make sure you enjoy yourself (and not stress yourself out)! The holidays are a time for celebration and should be spent with loved ones. Merry Christmas!
Memorable Christmas Bucket List
While we love the classic Christmas bucket lists, we also are always looking for unique ideas to add to your holiday bucket list.
Some of these out-of-the-box ideas are pretty sweet and you may want to do them year and year again.
You can find everything from baking cookies to attending a German market to spending Christmas at a lodge. No matter what you choose, make sure you keep in touch with your family and friends during the holidays.
1. Go to Mexico. This is one of our Christmas traditions! There is something relaxing about enjoying the beach while Felix Navidad is playing in the background. (Gift hint… all of the beach gifts can be given to be used on the trip.)
2. Book a Wintery Mountain Stay. On the flip side, there is something magical about sipping hot cocoa while by the fireplace when giant snowflakes are falling outside.
3. Participate in a Neighborhood Luminaires Night. Organize one night for all of your neighbors to put luminaries outlining their driveways. It is a symbolic event with neighbors coming together in peace.
4. Roast Chestnuts. Just like in the famous song by Nat King Cole, it is your turn to roast chestnuts on an open fire.
5. Wrap Presents with Friends. For some wrapping presents is fun, for others it is a task. But everything is always sweeter to do with friends, so plan a time to wrap presents with friends. Appetizers and drinks are optional.
6. Order Matching Christmas Pajamas. This is a popular Christmas tradition for most families. Make sure you order your matching Christmas Pajamas in time. Some of my favorite places to find them are Kohl’s, Macy’s, and Amazon.
7.Wear Matching Christmas Pajamas. Depending on the age of your kids and spouse will depend on how well the matching outfits go over. Make sure to snap pictures!!
8.Kiss Under the Mistletoe. This is a fun Christmas tradition for kids and adults. Kids love this because it’s not just kissing their parents on the cheek, but they get to kiss everyone in the room! Adults love this too because it’s a great opportunity to get some alone time with your significant other.
9. Host a Progressive Dinner. This is a great idea to host a fun holiday party. For each course of a meal, you move houses.
For example, you start at house A for appetizers.
Then, move to House B for dinner.
Finally, wrap up at House C for dessert.
If you have more houses participating, then you can easily stretch to a 7-course meal.
10. Buy Ugly Christmas sweaters. This is a love-hate for many people. Are you totally into buying Christmas sweaters or do you want to shy away? Either way, it is always helpful to have at least one ugly Christmas sweater in your closet.
11. And then host an Ugly Sweater Christmas Party. Time to invite all of your introvert friends for an epic ugly sweater party. The winner walks away with a prize!
12. Go to a Christmas Eve Service. If you’re feeling a little more spiritual, there are many churches that offer Christmas Eve services. If it’s your first time going to one, consider this a good opportunity to introduce the whole family and get them interested in going.
13. Classic Christmas Movie Marathon. This is always a popular idea! Especially one that is next to free to do! Pull up the classic movies and enjoy!
14. Read Christmas Books. This is another one that is uber-popular in our house! We try to stick with Christmas-only books in the month of December. One of our favorites is JK Rowling’s latest book!
15. Go on River Cruises. The river is a great place to find some peace and quiet. You can go during the day or at night.
16. Stay Downtown. Whether you are looking in another state or in your own city, you’ll find a new adventure.
17. Snowman Building Competition. Set up a snowman building competition in your neighborhood and let the winners decide what charity to donate the money raised! Bragging rites until the next competition is held.
18. Shake a Snowglobe. Maybe even add to your snowglobe collection. There is a great children’s book called Snow Globe Family. That is a super fun read.
Classic Christmas Bucket List Ideas
This is the list you think of when it comes to Christmas things to do!
Whatever you decide to do this holiday season, make sure it’s something that will create memories that will last a lifetime.
19. Bake Christmas Cookies. This is the classic holiday bucket list idea. Here are some of our favorite Christmas cookie recipes.
20. Watch Christmas Hallmark Movies. Did you know there is a countdown to when the Hallmark Channel releases their Christmas movies?!?! Yes, this is a must-do for many people. In fact, you may want to buy them the same Hallmark socks we gave our moms.
21. Host a Christmas cookie exchange. Yes, please! Cookie exchanges are the best. In fact, it is one of the most popular Christmas challenges.
22. Go Christmas Caroling. Is it a tradition? Or is it just something that you love to do with your friends and family? Bring joy to your neighborhood or nursing home by singing traditional Christmas carols.
23. Volunteer. This could be serving at a soup kitchen, organizing an event for people who can’t afford gifts to “shop,” or lending a hand to a neighbor in need. There are many organizations looking for help.
24. Build a Snowman. Yes, this is the ultimate idea for families. Make sure you have the snowman supplies to dress up your Frosty the Snowman properly. Don’t forget the carrot nose!
25. Build a Gingerbread House. This is a classic activity for many kids and you can easily pick up a gingerbread house kit for under $10. However, it is not just for kids. Check out this family’s gingerbread house display!
26. Christmas Portrait Time. Thankfully, this time of year you can find plenty of Pinterest-perfect backdrops to take portraits at. You can take family photos or one of each person in your house. This accessory helps your amateur photos look professional!
27. Mail Christmas Cards. This may have been a long-standing tradition for many years and slowly making a comeback. You can take Christmas photos just for the occasion or a collage of photos. Order your Christmas cards here.
28. Read Twas the Night Before Christmas. This Christmas classic must be read at least once on Christmas Eve. Grab your copy of the classic book.
29. Find Creative Ideas for Elf of the Shelf. Let’s face it. You jumped on this tradition … hook.line.and.sinker. Now, you must keep up with all of the Pinterest perfect ideas.
Christmas Outdoor Bucket List
Time to get outside and explore. Fresh air is always helpful!
30. Go Sledding. This is a classic bucket list item. Check out a new sledding hill in your neighborhood.
31. Build a Snow Fort. This is personally one of my favorite activities, but Mother Nature must cooperate with tons of snow! Grab some shovels and start building a fort!
32. Snowball Fight Time. Who doesn’t love a good snowball fight?!?! Grab some friends and head out for an epic snowball fight. Even better if you built the snow fort prior to game time!
33. Go Ice Skating. This is a classic especially if you live in the upper midwest. There are plenty of recreation centers that make ice skating a reasonable cost activity.
34. Skiing. Fresh powder sounds like the perfect Christmas tradition. Just make sure to book your ticket early.
35. Plan a Wintery Picnic. Grab a blanket, lunch, some hot cocoa, and your Christmas Pajamas for an outdoor picnic this winter! Make this time special with a special picnic basket to use.
36. Go Snowboarding. Time to shred the slopes. Check out the latest snowboarding gear.
37. Time to Go Tobogganing. What is tobogganing exactly? Much like sledding except you hit the snow-covered slopes and artificial-ice-covered chutes with a toboggan.
38. Give the Gift of Nature. Take your family on an outing to see some beautiful nature! Get out in the fresh air and enjoy the beauty of nature.
39. Make a Snow Angel. This is the perfect activity for kids to do. Yet, very calming and peaceful if you decide to get down in the snow and create snow angels.
40. Hunt for the Perfect Live Tree. Grab your permit and go on a hunt for the perfect Christmas tree. Make sure to bundle up and wear snow boots!
41. Catch Snowflakes on your Tongue. Regardless of your age, this childhood memory needs to be done yearly for your Christmas bucket list. Drop all of your worries off your shoulders as you catch a snowflake on your tongue.
42 Skate on Outdoor Ice Skating Rinks. Skip the indoor rinks and head outside to skate. Even more romantic if the snow is falling.
43. Create a Winter Wonderland. This one is a do-it-yourself project that doesn’t require any crafting skills.
44. Go for a Holiday Walk. Take some time out of the hustle and bustle by taking a walk outside.
45. Neighborhood Christmas Light Competition. Another great idea is to put your home in a Christmas lights competition! This can be really fun if you have friends and family who live close by. All you need is some creative decorations and an appetite for holiday cheer.
Name That Entertainment Holiday Bucket List
Time for friends, laughter, and fun!!
These are the social must-haves on your entertainment holiday bucket list!
46. Host Christmas Eve Dinner at your home. If you have room, open up your home to friends or family who might otherwise be alone for Christmas. Our Christmas Eve tradition is fondue!
47. Christmas Party Night. Invite your friends and family over for a Christmas party night! This is a fun way to get everyone together in one place, have some laughs, and enjoy each other’s company.
48. Wear Christmas Dress Attire. Everyone wants an excuse to dress up. So, make sure you have a special occasion to year your Christmas cocktail dresses.
49. Find Entertainment from the Seasonal Classics. This could be watching The Polar Express (it’s on Netflix now!), listening to holiday music, or reading a children’s Christmas book.
50. Host an Advent Calendar Party. It is so much fun to count down the days before Christmas! This works especially well in a classroom setting. Each day is a new activity to count down the days until Christmas.
51. A Christmas Story. Watch A Christmas Story and then read a few of the lines with your friends!
52. Home Acting. Put on your own production of your favorite movie or theater production!
53. Misfit Toys. Collect a variety of small, inexpensive toys and have your guests guess which toy belongs to each guest. To make it more fun, be sure to include some items that are broken or missing pieces!
54. Mistletoe Bingo. Get your guests in the Christmas spirit by setting up a bingo board with different categories for them to fill out!
55. Birthday Party for Jesus. ‘Tis the reason for the season – the birth of Jesus Christ. Plan a birthday party to celebrate everything Jesus gave to us.
56. Holiday Game Night. Christmas is a time for fun and games, so why not have a Christmas-themed game night? Some popular game ideas include playing charades, Pictionary, or Cranium. You could also try some new games that you haven’t played before – like Elf on the Shelf or Monopoly.
Holiday Season Bucket List Around Town
One of the best things about the holiday season is there are SO MANY activities to do with no money. You can find something to do each day for free.
The paid events are classics that create lifelong memories!
57. Book a Limo to Check out Christmas Lights. What better way to enjoy watching the Christmas lights and not having to drive? Personally, this works great when sharing the limo costs with friends!
58. Attend a Local Craft Fair. These craft fairs are becoming a hot place to find personalized gifts. Plus it is a great way to give back to local small businesses as well as the high school teams and clubs who organize the craft fairs.
59. Book Tickets to a Lightshow. This is a hot commodity so make sure to book your tickets early – like around Halloween. That way you will get the prime time you want to attend the light show. Also, many areas have more than one popular light show to see!
60. Attend a Ballet Performace. While the Nutcracker is a popular dance performance, there are plenty of other ballets at this time of year.
61. Watch The Nutcracker Live. I have danced in and seen the Nutcracker so many times that I have lost count. However, I love the production, the costumes, and the music! Make it more magical by taking a young girl who has never seen the Nutcracker before and watching the production through their star-struck eyes.
62. Visit Your Local Christmas Market. Every town has one. A local store stocked with all things Christmas! Maybe even see if your area has a German Christmas Market and check out the varying traditions.
63. Attend a Holiday Tree Lighting Event. Right after Thanksgiving, there are plenty of local tree lighting ceremonies. Check with your city for dates and times.
64. Attend a Holiday Festival. The holidays are the perfect time to attend a festival with family or friends. By attending, you can enjoy the activities and experience new things that may be on your list for next year!
64. Attend a Christmas Parade. Get out and see the Christmas spirit in all of your favorite holiday traditions. Most cities kick off the holidays with a parade.
Christmas Bucket List in the Kitchen (Recipes a Must!)
Around the holidays, the kitchen is the hub of the activity. More money is spent on food and drink in November and December. So, you must include a few of these Christmas activities on your list.
65. Decorate Sugar Cookies. This is a great project that tastes delicious. It’s also really easy and you’ll be surprised how much your decorating skills improve each year.
66. Make Hot Cider. Hot cider is a great drink to have this time of year. This Christmas treat can be made in the oven or on the stovetop, with just enough heat that it’s still perfect for kids and adults. Plus it makes your house smell naturally festive.
67. Enjoy Hot Chocolate with Marshmallows. This is a perfect wintertime drink. Surprise the family with cute Christmas mugs.
68. Drink Egg Nog. This is a classic must-have during the holidays. There is something that warms your belly with the creaminess of egg nog. Make sure to buy your Egg Nog early as many stores ran out at Christmas time. Which eggnog flavor is your favorite?
69. Gourmet Hot Chocolate Bar. Set up a hot chocolate bar with all of your favorite toppings, like cinnamon, heavy cream, and gourmet chocolates. This will make the holidays even more special!
70. Snowy Ice Cream Treats! Make some delicious homemade ice cream and put it in bowls or cups and hand them out to your loved ones.
71. Visit a Bakery. These places are filled with great ideas! If you don’t have time, pick up one of their creations. Or try to make your own at home.
72. Make Your Own Gingerbread House Kit. This gingerbread house kit contains everything you need to make a gingerbread house this season.
73. Make Homemade Marshmallows. These are so simple to make and perfect for hot chocolate or in a sugar cookie recipe!
74. Make a Birthday Cake for Jesus. There is a huge reason to celebrate! So, let’s bake a cake and celebrate!
Crafty Christmas Bucket List
You don’t have to be super crafty for any of these projects. Simple ways to make decorations!
For many people, making their own gifts is a great way to give awesome Christmas gifts when you are broke.
75. Get crafty! There are thousands of Christmas crafts you can do during this season! Some ideas include making ornaments or wreaths, cutting out snowflakes, decorating a gingerbread house, or making your own Christmas cards.
76. Make DIY Christmas Tree Ornaments. Okay, I will be honest … there are so many great ideas for DIY Christmas Tree ornaments that I freeze on which project to actually complete. So, pick 1 or 2 that you know are within your crafty skills and get started!
77. Make Paper Snowflakes. This is a classic Christmas activity to do.
78. Make a Christmas Wreath and Decorations with your kids or family members. This is great for the whole family to do together, as it helps create memories that are sure to last a lifetime.
79. Wonder the Craft Stores. With no agenda and plenty of time! Let your mind wander and fill with amazing Christmas crafts you could make.
80. Make Salt Dough Ornaments. This is the simplest Christmas craft for the non-crafty person! Learn how to make salt dough from Katie.
81. Create Candy Care Garlands. The options are endless on this one! You can use big candy canes or mini candy canes to make your garlands.
82. Decorate a Christmas Photo Frame. This is a fun project that can be completed in just minutes! Take any old frame and spray paint it white. Then, add Christmas decorations around it or use spray painted puzzle pieces.
83. Knit Christmas Mittens. This is a quick and easy project to knit up for the holidays!
84. Make Your Own Snowmen. Make your own snowman out of rice or beans, it’s fun and easy.
85. Put Snowflakes on the Windows. This is a fun and easy way to decorate for the holidays.
86. Make Your Own Poinsettia Wreath. These wreaths can be made in no time at all!
87. Find Creative Ideas for Elf of the Shelf. Let’s decorate the elf and make its day bright!
88. Make Wreath Cards from Last year’s Christmas Cards. This is a great way to upcycle and make unique Christmas ideas. Watch this YouTube video to learn how.
89. Decorate Staircases with Ribbons. This is a simple trick to make your house look more festive!
90. Make Orange Peel Poppuri. This is a simple and quick recipe that will make your house smell fragrant.
91. Make Christmas Cards. This is the perfect time to make your own Christmas card with all of your family members, friends, and even pets! There are so many fun ways to customize these cards. You can be crafty with paper supplies or use a digital template.
Decoration Christmas Bucket List
The decor is the major component of the holidays! Make sure you are ready to get decorating!
92. Decorate the Christmas Tree. This “to-do” should be treated with a little more emphasis. Plan an event around decorating the tree and sharing memories while hanging ornaments.
93. Create a Themed Christmas Tree. Star Wars fan? Barbie lover? Marvel fan? Sports diehard? Time to unleash all of your passion and decorate a themed Christmas tree in honor of your fervor. Find some ideas to jumpstart your creativity.
94. Hang Chrismas lights. Even better make your house look better than the National Lampoon’s Christmas Vacation. Order your lights here.
95. Upgrade Your Christmas House Lights to a Christmas Light Show. Thankfully, technology has greatly approved and you do not need to be an engineer to figure it out. You can pick up this up and quickly set your lights to music.
96. Pick a New Scent for the Holidays. Personally, I like peppermint.
97. Buy Cute Christmas Dish Towels. This is a simple decoration tip from the pros. With this simple purchase, it looks like your house has been staged for the Pinterest perfect Christmas dinner.
Shopping Place for Holiday Activity
Every bucket list has gifts on it, so time to get your shopping done!
98. Create your Christmas Budget List. While this may not be on the top of your list, this is a very important money management tip to master. Learn how to make a Christmas budget that works for you.
99. Shop for Christmas Gifts. This is a great time to find gifts for your friends and family. No need to rush, but shop early if possible! Amazon has a ton of gift ideas that are easy on the wallet too! Find a list of the best Christmas gifts under $10 for kids.
100. Purchase Christmas Flowers just for You! Buy some fresh flowers from your local flower shop and enjoy them for the holidays!
101. Wear Christmas socks. Hello, we all love cool socks! Make sure you pick up some new Christmas socks for your holiday collection.
102. Start A Collection. If you are looking for some easy gifts, start a collection that can be added year after year! A few examples include Christmas ornaments, books about Christmas traditions from around the world, and ornaments made out of candy canes.
103. Shop A Christmas Store. Find a Christmas Store; they are worth a visit if you want to get into the holiday spirit! They have everything from traditional nutcrackers to more unique items like Santa toilet paper holders. No matter what your interests are, these specialty stores have something for everyone.
104. Give Money Creatively. Did you know you could give money besides just writing a check? There are over 45 different money gift ideas for you.
Christmas Bucket List for Family Activities
Entertaining the kids is a must! Thankfully there are so many things to do.
Plus you can see the magic of the season through their eyes!
105. Write a Letter to Santa. This needs to be done in the first part of December in time to reach the North Pole.
106. Make Reindeer Food. Fruit and vegetables make a great snack for the reindeer, so it’s easy to do this activity with your kids. You can also experiment with adding different spices into the mix such as cinnamon or nutmeg.
107. Watch the Holiday Funny Movie Marathon. This is a fun way to spend a cold or hot day. Pick out some of your favorite hilarious movies and get cozy in front of the TV! Laugh til you drop!
108. Make Winter Slime. Yes, every kids LOVES slime and what is better than just slime… WINTER SLIME! Pick up Iceberg Frozen Winter Slime for your kid’s Christmas Party.
109. Host a Kid’s Christmas Party. This is something we have done every year is to host a kid’s Christmas party. It is a simple and festive way to share in the Christmas season. Provide some simple Christmas crafts, hot chocolate (with marshmallows of course), and easy snacks.
110. Sing Christmas Carols. This is a fun family activity that will make you feel festive!
111. Visit Santa. This is an old-fashioned tradition that never gets old. Visit Santa and find out if you have been naughty or nice!
112. Make Paper Snowflakes. This activity is a must for kids. Simple and easy to make. Plus they will get lost in the activity for hours! Find paper snowflake ideas.
113. Make Rudolph Pancakes. One easy way to make your Christmas bucket list more fun is by adding some creative and festive tasks to ordinary things like making pancakes.
114. Talk to Santa Claus. It’s hard to believe, but there are actually people who talk to Santa every year and make sure he has everything he needs for Christmas Eve. You can talk to him on the phone or online, and it’s a great way for your kids to get in touch with their inner child.
115. Go for a Christmas Scavenger Hunt. This is a great family activity that will have your kids having fun and learning at the same time. You can make it as easy or as hard for them to complete, depending on their age.
116. Make a Christmas wish list and check it twice. Have the kids pick out gifts they would like for themselves as well as give to others.
117. Have a Holiday Movie Night with your Friends and Family. Make some popcorn, grab your favorite movie, and cuddle up on the couch for an evening of laughter!
Holiday Bucket List to Help Others
You don’t have to be a millionaire philanthropist to help others in your community. You can make a difference by doing small things that will go unnoticed, but still, provide assistance for those who need it.
118. Participate in Random Acts of Kindness. This is a fun way to do something nice for someone else this Christmas. It’s also a great opportunity to practice your own “random acts of kindness” you want to give back in the new year.
119. Polar Plunge: A Fun and Festive Way to Help Others. Create a team of people who will pledge money for every degree the temperature drops below freezing! Make sure to follow through and take the polar plunge!
120. Donate to a Food Bank. Make a donation to your local food bank or homeless shelter in order to help those who are less fortunate during this time of year. This is a perfect way to help those in need in the wintertime and continue the tradition year round!
121. Be Someone’s Secret Santa. This is a fun and heartwarming tradition that works well for your whole family. It’s simple, too: just give out the names of people you would like to be Santa Claus for in December and tell them not to let the person know who you are.
122. Donate Toys. There are a ton of organizations that accept donations of toys or other items. Find the best charities to donate your old toys and help those in need this holiday season!
123. Make a Financial Contribution to a Nonprofit. Most nonprofits receive the majority of their financial donations in the last months of the year. Maybe see if you could make it a part of your biweekly budget and give more often.
124. Visit the Animal Shelter for a pet adoption event. It’s not just cats and dogs that need homes on Christmas Eve! Many of our furry friends are forgotten about this time of year. Stop by a local animal shelter.
125. Adopt a Family for Christmas. If you’re not into the whole Santa Claus thing, why not take it upon yourself to give back to the community? Adopt a family for Christmas by purchasing gifts, food, and necessities that they might not otherwise have. There are many families in need this time of year and it’s truly an act of love and kindness to give back in this way.
126. Give the gift of music. If you’re a musician or know someone who is, offer to play at a nursing home or assisted living facility on Christmas Eve. If you’re not a musician, sponsor the music of a local choir or orchestra.
127. Give the Gift of a Smile. Visit an elderly neighbor and say hi. Smile to the person behind you in line. It takes more muscles to frown than smile.
128. Pick a Tag from a Giving Tree. Many companies set up a tree with tags of people who are in need. Then, their employees can pick a tag and purchase the selected item.
129. Baking for Others: A Fun Way to Help Others. Bake for someone in your neighborhood and donate the ingredients to an organization that feeds people in need!
130. Pray for Peace and Happiness. Don’t stop praying during these hard times. Pray for peace, happiness and prosperity around the world.
Something Else for Holiday Bucket List Items
These are the ones that are still awesome ideas but don’t fit in the above categories!
131. Empty your Christmas Schedule. This is a great way to destress, especially if you have been stressing about your holiday season.
132. Start Dreaming About Your New Year’s Resolutions. This one is my favorite! I love rolling over to a new year with fresh dreams.
133. Grab your Yearly Planner before January 1st. Yes! Especially with supply chain issues, I recommend getting your yearly planner in advance. Here is the current yearly planner I use.
134. Create Your Own Advent Calendar. It’s easy to create your own advent calendar. Use a simple white board and some markers to create your own countdown to Christmas.
Christmas Bucket List for Couples
These are the top 10 ideas from above just for couples!
Ice Skating at Night
Kiss Under the Mistletoe
Go on a Sleigh Ride
Romantic Movie Night
Catch a Snowflake on Your Tongue
Enjoy A Fireside Cuddle
Leisurely Stroll on a Snowy Mountain Area
Escape for a Night Away
Volunteer Together
Dream About Your Future
Christmas Bucket List Template
Okay, we gave you TONS OF IDEAS!
There is absolutely no way you can accomplish them all in one Christmas season.
So, here is a template to use to pick your top 25 activities to complete.
If you’re like us then setting up the tree is something that you always look forward to. From decorating the tree, baking cookies, and watching movies under it with your family this Christmas is sure to be a magical time for all of us!
What are some tips for creating an ultimate Christmas bucket list?
There are a few things to keep in mind when creating your ultimate Christmas bucket list.
First, make sure that it includes experiences that you will really enjoy. This is not the time for obligation or duty–the list should be filled with activities that you and your loved ones will love doing together.
Second, try to include a variety of different types of activities, from traveling and vacationing to visiting new places and trying out new experiences.
And finally, don’t forget to add some classic holiday traditions as well!
KEY TIP… Plan Your Day Ahead: What are you going to do tomorrow?
How can you make your Christmas bucket list more meaningful?
When it comes to the holidays, many people want to do as much as they can.
The Christmas bucket list is often a great way to make sure that you’re able to check off all of the items on your wish list. But sometimes, we can become overwhelmed by all of the things that we want to do. This year, consider making your bucket list more meaningful by doing activities that will bring you happiness and joy.
Idea #1 – Be Happy
One way to make your Christmas bucket list more meaningful is by only including activities that truly make you happy.
For example, if decorating the tree or going shopping for presents isn’t really your thing, then don’t put them down as items that you have to do this year! Instead, focus on doing things like baking cookies with loved ones or taking a walk in the snow.
Idea #2 – Spend Time Together
Another way to make your holiday season more special is by spending time together over a fire. Whether you build one in your backyard or take advantage of one at a local park, this is a great opportunity for conversation and reflection.
Consider lighting the fireplace and reading a good book together–or having some deep conversations about what’s been going on in each other’s lives!
Idea #3 – Make an Advent Calendar
Making your own advent calendar is a fun way to get into the Christmas spirit. You can make it as simple or as complex as you want, but the key is to include activities that will get you excited for the holiday season.
For example, one day you might do an act of service for someone else, and on another day you might bake cookies!
Now, start brainstorming ideas with your family and friends.
Idea #4 – Get Prepared
Take time to figure out what kind of holiday experience you want, which helps narrow down the items on your bucket list.
Another way to make your Christmas bucket list more special is by preparing for Christmas Eve the night before. One great idea is to create a box filled with all of the things you’ll need for the following day. This could include pajamas, breakfast foods, and even some presents!
Use the printable to prioritize which activities your family would like to do during the holidays.
Idea #5 – Make it Personal
Finally, why not add a personal touch to your Christmas this year?
Make your list as personal and meaningful to you as possible by only including activities that are important.
Instead of using store-bought wreaths and ornaments, try making them yourself! There are endless possibilities when it comes to homemade decorations, so get creative and have some fun!
This isn’t the time to make your season harder – only what you want to do.
What are some things you can do to make your Christmas bucket list more exciting?
There are many ways to make your Christmas bucket list more exciting!
One way is to add a variety of activities, from festive traditions to outdoor adventures.
You can also mix up the type of activities so that you have something for everyone in the family. Additionally, you can make a point to do new things every year and keep your bucket list updated.
This will help ensure that you have an enjoyable and memorable Christmas season.
What are some tips for making your Christmas bucket list more fun for everyone?
One way to make your Christmas bucket list more fun for everyone is to try and do something that is meaningful and fun for everyone in your family.
This could be anything from spending time by the Christmas tree together, to doing random acts of kindness this holiday season!
A great tip would be to have everyone include their top three ideas that make the family Christmas bucket list.
All in all, you want to start Christmas traditions that the whole family looks forward to each and every year. This may be as simple as starting a new family tradition or making homemade gifts for your friends and neighbors.
Which Holiday Activities do you Need & Love?
So many ideas, right?
Your head may be spinning, but only put the holiday activities on your list that you want to do.
If you’re looking for something special to do this year, consider checking out one of the many Christmas productions around the country. From The Nutcracker to A Christmas Carol, there’s something for everyone.
And don’t forget about all of the amazing light displays – they’re definitely worth seeing!
It’s the most wonderful time of year, so you might as well make your family traditions more exciting by adding some creative tasks to what is normally a boring list of chores.
What are some of your favorite Christmas traditions? I’d love to hear about them!
For more inspiration, check out our Christmas Pinterest board.
Merry Christmas!
Also, it might be time to start thinking about what do I want for Christmas?
Know someone else that needs this, too? Then, please share!!
Roughly 68 percent of Americans think its a good time to buy a home, down from 70 percent in June, according to the third quarter 2010 Fannie Mae National Housing Survey.
Meanwhile, 29 percent think its a bad time to buy, up from 26 percent in the previous survey.
And an overwhelming 85 percent think its a bad time to sell a home, up from 83 percent a quarter earlier.
Less Optimism About Home Prices
Just one-quarter of respondents believe home prices will rise in the next 12 months, down from 31 percent in June, while 22 percent expect home prices to fall, up from 18 percent a quarter earlier.
But Americans think rental prices will rise more than home prices, and for the first time since January, delinquent borrowers say they are more likely to rent than buy their next home.
Those who said they would buy have declined by 11 percentage points, while those who say they would rent increased 10 percentage points from January’s levels.
That spells opportunity for those buying investment properties, a trend that could diminish the impact of the shadow inventory overhang.
More Homeowners Aware of Mortgage Problems
Interestingly, 48 percent of Americans (63 percent of delinquent borrowers and 58 percent of underwater borrowers) know someone who has defaulted on their mortgage, up three, seven, and 10 percentage points since June, respectively.
And delinquent borrowers are nearly three times more likely to have considered stopping their mortgage payments completely if they know someone who has defaulted on their mortgage.
But 55 percent of underwater borrowers, 51 percent of all mortgage borrowers, and 43 percent of delinquent borrowers (up 11, 6, and 6 percentage points since January, respectively) think their mortgage lender would pursue other assets beyond their home if they defaulted on their mortgage.
In today’s mortgage environment, informed homebuyers are successful homebuyers. Let’s get right into the latest news with this week’s Mortgage Monday update!
Rates Update
Last week, mortgage rates were surprisingly resilient and held steady. Despite some mid-week volatility, rates remained at a similar level to the previous week – even in the face of rising inflation and the Federal Reserve’s subsequent interest rate hike. The Fed has pointed to future interest rate increases with each of its remaining meetings this year; and because mortgage rates are closely tied to the Fed’s actions, buyers should anticipate significant increases by the end of 2022.
Freddie Mac reported delayed, but similar results in their weekly mortgage rate survey. To stay as up-to-date as possible, be sure to keep in touch with a Total Mortgage loan officer. Working with an industry expert will keep you a step ahead of the competition in today’s fast-paced market.
Purchase Applications Increase in Weekly MBA Survey
On the note of a competitive market, the Mortgage Bankers Association (MBA) reported a two percent increase in mortgage applications from the week prior. As we’ve said before, this is a continuous, expected result of rising mortgage rates; as rates increase, purchase activity grows while the opportunity to refinance decreases. In the same report, the MBA found that industry-wide refinance activity reached a new low of 32.9 percent – nearly a two percent decrease from the week before.
We’ll continue to observe these ongoing trends and keep you informed. For now, know that today’s market is most favorable to those looking to purchase a home. Our team of dedicated experts is ready to assist you 24/7, so don’t hesitate to pick up the phone or contact us for more information.
In Closing
So, will mortgage rates increase during the rest of this month? We believe that last week’s steady period was only temporary. This week, we’ll likely see a return to the usual upward trend in rates that we’ve grown used to – so if you’re a prospective homebuyer, now is the time to get started and pursue financing. 2022 has set records for mortgage rate movement and volatility; low rates this week could look significantly different from the next, and so on.
For now, stay tuned for next week’s Mortgage Monday update and be sure to contact your Total Mortgage loan officer for more detailed information about your financing process. We’re here for you and are ready to help you navigate today’s ever-changing market. See you next week!