Buy Archives - Page 14 of 1182

Apache is functioning normally

September 14, 2024 by Brett Tams

Perhaps the idea of home ownership sounds appealing, but the thought of all the maintenance involved — inside and out — doesn’t sound so great. Dealing with snow removal or tending to your lawn might be the last thing you want to add to your already full plate.

If that resonates, buying a home that has a homeowners association, or HOA, might be the right move. Whether you’re shopping for a condo or a 3-bedroom house in a new development, an HOA could be a valuable thing. These organizations, funded by dues, take care of many of those maintenance responsibilities, run shared facilities (like a pool), and create guidelines (and enforce them) for the community of homeowners.

That said, interacting with an HOA and following its guidelines may not be for everyone. Read on to learn:

• What is an HOA, or homeowners association

• How do HOAs work

• How much are HOA dues

• What are the pros and cons of HOAs

• How will HOA fees impact your costs as a homeowner

What Is an HOA (Homeowners Association)?

An HOA is typically a non-profit volunteer group that manages aspects of homeownership in certain planned unit developments (PUDs), condos, and other housing communities. The HOA collects fees from each member of the community and uses them to handle maintenance duties and amenities. These may include:

• Landscaping and maintenance of walkways and the like

• Pest control

• Maintenance and utilities of shared spaces, such as lounges and pool areas

• Garbage pickup

• Parking

• Security

Another answer to “What is an HOA?” should mention that these associations typically make enforceable rules about the look and feel of the community. There may be guidelines about, say, the size of pets one may own, or the color schemes permissible for a townhome’s exterior. The existence of an HOA will be an important consideration when you are shopping for a place to live and HOA fees need to be built into a homebuyer’s financial plan, just like home loan payments.

Recommended: Condo vs. Townhouse: 9 Major Differences

How Does an HOA Work?

HOAs can be staffed in different ways. They can be run by people owning property within its boundaries, run by a board of directors, or through a similar arrangement, with board designees elected to oversee and enforce HOA rules.

Many HOAs are incorporated, which makes them subject to the laws of the state and may require them to file annual reports with the corporation commission, in order to remain in good standing.

People who purchase properties within an HOA jurisdiction become members of that organization, and they must abide by the rules contained within that organization’s bylaws and Declaration of Covenants, Conditions, and Restrictions (CC&Rs).

HOA rules, fees and restrictions vary. Some bylaws and CC&Rs are strict, while others are looser, typically focusing on how residents must keep properties maintained according to stated specifications. In a planned unit subdivision of single-family homes, for example, rules may include what types of landscaping are permitted, or exterior colors of paint, what kinds of fencing is allowed, and more.

They can include usage rules for common property, such as a pool, and typically outline penalties for rule violations, ranging from forcing a homeowner to comply to fees and, sometimes, litigation.

How Common Are HOAs?

Here are some recent statistics that will help you get an idea of how common HOAs currently are in the U.S.:

• Approximately 75.5 million Americans live in HOAs, cooperatives, or condominium units.

• 30% of all U.S. homeowners live in HOA communities.

• 28.2 million housing units in America are part of HOA communities.

As you see, HOAs are quite popular.

What Is an HOA Fee?

Now that you know a bit about what is a homeowners association, let’s look at those fees they charge. People who buy property in an HOA-governed condo or community usually must pay dues — also known as HOA fees — typically due monthly. These fees help to maintain common areas of buildings, such as lobbies and patios, and perhaps community clubhouses. These fees can cover maintenance on elevators or swimming pools, if applicable, or could be used for landscaping expenses, and so forth. Additional special assessments may be charged for major repairs, such as roof repairs.

Some studies suggest that average HOA fees range from $200 to $400 per month, although they can be as low as $50 and as high as $2,500 or more. It depends on the HOA complex, where it is, what amenities the project maintains, and sometimes on how the individual HOA is managed.

What’s most important when shopping for a new home is that you are clear about what fees would be assessed on your individual unit and whether that fits your budget.

First-time homebuyers can
prequalify for a SoFi mortgage loan,
with as little as 3% down.

When Considering an HOA Property

When considering whether or not to buy a property within a homeowners association, it makes sense to understand what you’d be committing to if you bought this property.

To get an understanding of how the organization operates, you can ask the board of directors if you could read minutes from meetings — if you have a real estate agent, they should be able to help you access records. This may give you a good overview of any challenges the organization is facing, and insights into how solutions are brainstormed and implemented.

Questions to investigate can include:

• What are the HOA fees each month? What do they cover?

• If the fees seem low, does it appear as though enough funds are collected to maintain general areas? What about meeting rooms, the gym, pool area, and so forth?

• If the HOA fees are higher than expected, do they seem excessive for what you’d get in return?

• Are homeowners also being charged special assessments to cover other costs? If so, how often and what are they?

• How many units are not paying their HOA fees? What are the consequences for that? Are penalties being imposed?

• If certain units don’t pay their HOA fees, can these unpaid costs be imposed upon other owners to make up the difference?

• If desired, will you be allowed to sublet your unit? Over what term and with what restrictions?

• Are you allowed to have a pet? If so, what restrictions exist? Ask to read a copy of the CC&Rs which is recorded public information.

• Does pending litigation exist against the HOA? If so, of what type? Does it involve, say, damage to one unit, or does it affect the entire organization?

If you have friends or family members who are part of this HOA, consider asking them what they like about living there, and what they don’t. If you have a friend or family member who owns housing under a different HOA, chat with them as well. Their insights can be valuable in regards to what questions to ask and issues to explore before buying.

You can also review the bylaws, which usually share voting rights of members, budget and assessment rules, meeting requirements, and so forth. Check to see what actions can be taken without a member vote — if they include raising assessments or creating rules, this could have an impact on your buying decision.

Recommended: Mortgage Servicing: Everything You Need to Know

Pros vs Cons of HOAs

There are several benefits of buying a property that’s part of an HOA. Consider these upsides:

• Guidelines to help maintain the look of the community, settle issues, and create harmony among residents.

• Enhanced quality of life and property values.

• Maintenance services so homeowners don’t need to do the work themselves or hire freelance help.

That said, there are also possible drawbacks to being part of an HOA. These can include:

• The cost of the HOAs fees can be prohibitively expensive, and the possibility of assessments can be financially challenging.

• Potentially restrictive guidelines that inhibit your freedom over your property (that is, you may not be allowed to have a certain kind of pet or put in solar panels).

• Those who run the HOA may be volunteers vs. skilled real estate professionals, which could lead to inefficiencies.

Can You Afford to Buy into an HOA?

When shopping for a new home or condo, one key consideration is how much you can afford for a house — with the true cost being more than just principal, interest, and homeowners insurance. If you are considering properties that have HOA charges, it’s vital to factor those in to make sure your budget is manageable.

You’ll need a down payment on the home. There are also property taxes, insurance, closing costs (which can run from 3% to 5% of the home’s cost, paid by the buyer and/or seller according to the contract). And there are expenses other than closing costs such as moving expenses, furniture costs, and more that should be considered as you grapple with how much you can afford.

Plus, you might want to have an emergency fund established for unexpected expenses, whether unanticipated housing repairs, or medical expenses, or something else entirely.

To help you figure out that affordable house payment number, you could check out our mortgage calculator.

Recommended: What Credit Score Is Needed to Buy a House?

What to Know About Mortgages and HOAs

There’s one more wrinkle to the topic of what is a homeowners association and should you buy into one: the impact it may have on securing your mortgage.

When you buy a property that is part of an HOA, you may need additional documentation for your lender. If your bid is accepted, the lender will likely request a homeowners association certification, called an HOA cert for short. This document provides your lender with a snapshot of how the HOA is being run, and may provide information such as:

• How old the project is

• Whether a condominium development was converted from an apartment building or specifically built as condo units

• How many units exist in the project

• How many units are occupied

• How many occupied units are owner occupied and how many are rented to someone else

• How much HOA fees are

• The amount of insurance on the project

If this information is requested, it will likely be reviewed to confirm that this property meets the lender’s loan eligibility guidelines. Because guidelines can vary from lender to lender and loan program to loan program, it makes sense to check with your lender of choice as soon as possible to determine if this financial institution considers your condo to be eligible for financing.

The HOA cert may also be obtained by the escrow/title company and provided to your lender, along with the relevant CC&Rs. This provides insight into any property restrictions and other aspects that may affect a home’s lendability and marketability.

Recommended: Home Loan vs. Mortgage: What You Should Know

The Takeaway

Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% – 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It’s online, with access to one-on-one help.

SoFi Mortgages: simple, smart, and so affordable.

FAQ

Why do HOAs exist?

Homeowners associations exist to manage and maintain common areas, to enforce community rules, and to collect and manage the finances used for community upkeep. Many people who participate in HOAs expect the association to help enhance their property values.

How much are HOA fees?

HOA fees vary widely based on the amenities offered by the development but most people can expect to pay at least $200 to $300 per month.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.

SOHL-Q324-051

Source: sofi.com

Apache is functioning normally

September 13, 2024 by Brett Tams

Buying a house is a major step, and planning to purchase a home can be a lot of fun. You get to figure out where you’d hang your favorite artwork, plant a vegetable garden, put the PlayStation — and maybe contemplate taking on some DIY projects yourself.

But there’s another, more nuts-and-bolts aspect to your pursuit of the American Dream: how to budget for a house. Most people in the U.S. are homeowners, with the latest Census data revealing that 65.6% had attained this status in the second quarter of 2024. So that’s a good indicator that buying your own home is within reach.

Doing so will likely require you to be smart about your finances, both as you save and then take on the responsibility of owning a home. To help you be successful in this pursuit, read on for the intel you need, such as:

• How do I know how much house I can afford?

• What are the costs/fees to consider?

• What will my ongoing costs be?

• How can I budget for a house?

Up-front Expenses

First, consider how much you would have to fork over if you find that perfect center-hall Colonial or loft-style condo. Once an offer on a new home is accepted, there are certain costs the buyer needs to pay right off the bat and, in most cases, out of their own pocket. These are called up-front expenses. Here are a few to prepare for as you consider how to budget for a house:

Down Payment

You may have heard of the traditional 20% down payment guideline, which helps you avoid paying private mortgage insurance (PMI) on applicable loan programs. Additionally, a higher down payment can sometimes result in better mortgage loan terms (such as a lower interest rate) which may translate into lower monthly mortgage payments.

Yep, it’s a lot of money to try to save, but if you can swing it, in the long run, applying a 20% down payment will likely save you from paying thousands of dollars in additional mortgage interest over the life of the loan. Can’t pull together that big a chunk of change? Look into your options for a mortgage lender with lower or no down payment. Some options:

• The minimum down payment for a first-time homebuyer on a conventional loan can be as low as 3%. You may also need a certain credit score of, say, 620, to qualify for this kind of mortgage.

• An FHA government loan that is open to everyone typically requires a down payment of at least 3.5%.

• Veteran VA loans or government USDA loans may allow eligible borrowers to finance up to 100% of their home’s cost. In other words, no down payment is required.

It’s worth noting that, regardless of the size of your down payment, buying may still significantly reduce your overall monthly expenses, compared to your current rent and real-estate market conditions.

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3% to 5% Closing Costs

You can likely expect to pay an estimated 3% to 5% of your home price for closing costs, and should save accordingly. For example, if you buy a home that costs $300,000, you may be required to pay between $9,000 and $15,000 in closing costs.

Worth noting: Some costs are fixed and not tied to the price. In these cases, the percentage can be higher for the lower range and lower for the higher purchase price range.

What exactly comprises closing costs? This can be bank charges like origination fees and any points you may have purchased to buy down your interest rate. There are also costs like the appraisal fee, a title search, and others.

Keep in mind that there are alternatives to paying the closing costs out-of-pocket, such as requesting a seller credit, requesting a lender credit, or tapping an applicable down payment assistance program. These can help you minimize this expense.

Moving Costs

Don’t forget when budgeting for buying a house that you will need funds to actually move in. Unless you’re lucky enough to have a generous pal with a van, you are probably going to have to hire a moving company when it’s time to get settled in your new home. The average cost of moving the contents of a three-bedroom home 1,000 miles is $4,800 according to research by U.S. News & World Report.

These costs can vary widely, of course. If you are moving with just a bedroom’s worth of furniture versus a whole house, your price tag will be lower. It’s wise to comparison-shop for moving companies and factor this expense into your own budgeting for a home move.

If you are moving for work reasons, check with your company to see if it offers a relocation package to help cover some or all of the moving costs.

New Furniture and Appliances

Your new house may not have the same dimensions and style of your old house. That could mean that you need to buy new furniture and appliances. When budgeting for buying a house, you might want to talk to friends or relatives who have moved recently and inquire about unexpected expenses as well. For example, it’s not uncommon when you move to have to purchase such items as new locks, shower rods, and window treatments. These can add up quickly.

You might want to start a savings account for these types of purchases — some of them may be unexpected and costlier than you imagined.

Recommended: First-Time Homebuyer Guide

First-time homebuyers can
prequalify for a SoFi mortgage loan,
with as little as 3% down.

Ongoing Expenses

Now that you’ve figured out the details related to the actual purchase, consider the expenses that will accrue once you are a homeowner. This is a very important step when budgeting for buying a house. These recurring charges are a vital part of the calculations of how much home you can afford.

Monthly Charges

First, consider how much you’ll be spending every month on your monthly mortgage payment and related costs. PITIA (principal, interest, property taxes, homeowners insurance, and other assessments) is an acronym describing all the components of a mortgage payment. Here’s how it breaks down:

• P: The principal is the “meat” of the monthly payment amount — paying down the principal will reduce the loan balance.

• I: Interest is what you are charged for borrowing the money.

• T: Taxes refer to your property taxes.

• I: This “I” refers to insurance. This includes both your homeowners and mortgage insurance, if applicable.

• A: The other assessments refer to things that may be applicable to the home you purchase such as homeowners association dues, flood or earthquake insurance, and more.

HOA Dues

HOA stands for homeowners association. These dues usually apply to a condo, co-op, or property owned in a planned community.

The charge is usually monthly (but it could also be charged quarterly or annually), and it typically goes to maintaining the community (landscaping, garbage collection, repairs, and upgrades).

Before purchasing a property with HOA dues, it can be important to ask the Homeowners Association for a complete HOA questionnaire. With this in hand, you can view how healthy the association is, whether there is any outstanding litigation due to structural or other issues, etc. These could mean increased costs down the road.

Maintenance and Lawn Care

Your budgeting probably won’t stop once you’ve moved and settled into your new home. Expenses will likely continue to knock on your door — landscaping, roof repair, and water heater replacement are just a few items that might require ongoing financial consideration.

You may want to budget for 1% to 4% of the cost of your home in maintenance each year to pay for these expenses. However, deferred maintenance costs may require more funding, depending on the age, quality of construction, where you live, and more.

Pest Control, Security, Utilities

The cost of electricity, gas, water, and internet services differ from market to market. This is also true with pest control, and services that help ensure your home is secure and safe. You could find yourself paying more (or even less) for these services in your new home.

How Much House Can You Afford Quiz

Planning Ahead

So now that you understand the costs associated with homeownership, whether they are one-time or ongoing, you can get to work on how to budget for a house.

Ideally, you want to cover the homebuying costs and then be able to afford your monthly carrying costs without racking up debt. The standard advice is that your monthly housing expenses should account for up to 28% of your monthly pre-tax income. Given how expensive some housing markets can be, it’s not uncommon to find people spending more than that right now.

Here, some advice on figuring out what you can afford.

Target Mortgage Costs

Do your research on the different types of mortgage loan programs. Determine what your price range is given the current interest rates. Find the programs that may best suit you, so you’ll feel confident you can bid and afford a home once you have your down payment saved. Don’t forget to factor in those other PITIA expenses mentioned above as you think about your own monthly income and cash outflow when you’re a homeowner.

Build a Budget

Once you have these costs calculated, you can then start budgeting for buying a house. You’ll want to accumulate your down payment, while taking care of current bills and other financial obligations, of course.

• Create a line item budget. You’ll want to note how much money you have coming in and how much goes out toward your needs (housing, food, medical expenses, debt repayment). Then you’ll see what’s left for your wants (think travel, dining out, clothes, entertainment) and start saving it, whether for your future home or retirement.

Don’t skimp, though, on establishing an emergency fund. In a pinch, these funds can keep you from using your credit card and running up even more debt.

• Assess where you can save more. To ramp up your savings for your house, look for ways to economize. Could you drop a subscription or two to streaming channels, or perhaps eat out less often?

Also see what you can do to avoid high-interest credit card debt, which can take a bite out of anyone’s budget. You might want to take advantage of a zero-interest balance transfer credit card offer, or investigate whether a lower-interest personal loan could help you pay off your debt and save money.

• Use automatic transfers. Help yourself hit your savings goals by automating payday transfers from checking to savings. That way, you won’t see the cash in your account and be tempted to spend more.

• Bring in more moolah. If the numbers aren’t adding up to bring your homebuying plans within reach fast enough, consider using windfalls (a tax refund, a bonus at work, a birthday gift of cash from a relative) to plump up your savings. Also think about ways to bring in more income, whether by asking for a raise or pursuing a side hustle.

The Takeaway

Budgeting for buying a house requires thinking about both short-term costs, such as a down payment, closing costs, and moving expenses, as well as long-term costs such as homeowner’s insurance and maintenance expenses. It’s wise to look at both before you pursue a mortgage preapproval or make an offer on a home.

SoFi Mortgages: simple, smart, and so affordable.

FAQ

How much money should you save before buying a house?

If possible, you should save enough money for a down payment on a house in the price range you’re thinking about. But you don’t need to make a 20% down payment — many homebuyers put down less, and some government programs will allow you to buy with no down payment at all. You’ll also want to have closing costs on hand (3% to 6% of the home’s price). And it’s wise to always have an emergency fund in case of an unexpected setback.

How much do I need to earn to afford a house?

How much you need to earn to afford a house depends on the housing market you’re looking in and the area’s overall cost of living. The national average salary is $63,795 and at that salary you may be able to afford a home priced at $180,000. Use a home affordability calculator to explore the numbers for your specific situation.

SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.

*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.

^¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.

^†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.

SOHL-Q324-053

Source: sofi.com

Apache is functioning normally

September 13, 2024 by Brett Tams

Chicago may be famous for its eye-catching skyline and iconic deep-dish pizza, but the city’s true charm lies off the tourist path. Whether you’re an adventurer, a crafty soul, a foodie, or simply looking to relax, there’s plenty of unique things to do in Chicago, IL..

Whether you’re in the market to buy a home in the city, have your eyes on an apartment, or looking to rent a house in the area, you’ll soon find there’s plenty of unique things to do in Chicago. First-time visitors, new residents, and lifelong locals alike will discover hidden gems that make you fall in love with the Windy City.

1. Unleash your creativity

Chicago is renowned for its rich artistic heritage and vibrant art scene. Whether you’re looking to enrich your skills or just enjoy a creative escape, the city offers endless possibilities to foster your creativity.

Express your artistic skills

If you’re looking to enhance your art skills or indulge in a creative escape, head to The Paintbrush, a beloved art studio nestled in Lincoln Park where they offer art classes and events for kids as well as their After Dark adults program which has featured events like “Art and Wine Night” or “Sip and Slime.”

Try your hand at street art

Always admired street art and wish you could try it yourself? Head to The Studio W.I.P in Uptown, where you can dive into the world of street art through their hands-on Spray Paint workshops. If you prefer to appreciate the art from afar, join a Chicago street art tour and explore the vibrant murals around the city. Gabby at The Studio W.I.P shares, “the perfect way to end your night is with some prime hole-in-the-wall pizza at Gigio’s Pizzeria.” Here, you can expect to satisfy your taste buds with classic and satisfying traditional pizzas.

Experiment with different mediums

Not an artistic person yourself but have a little one who wants to explore their creativity? Easel Art Studio, located in Ravenswood and Bucktown, offers all avenues of art including classes like Food Art, Printmaking, and Portfolio Lab. Each class is focused and led by talented instructors who ignite every child’s imagination and encourage artistic freedom.

2. Serving sports beyond the stadium

Chicago is a city that lives and breathes sports, but the action isn’t limited to just watching from the stands. For those eager to get in on the excitement, the city offers hands-on experiences that go beyond the ordinary, catering to both adrenaline seekers and casual enthusiasts.

Hit the slopes year-round

Check out Snowlike Studio, the only indoor ski and snowboard spot in the area. Located in Schaumburg, IL, this unique venue offers a chance to hit the slopes year-round, whether you’re a beginner or a pro, young or old.

Photo courtesy of Snowlike Studio

Eat, drink, and swing

For an unforgettable game night, head to The Barn Hockey Bar and savor a chef-driven menu with friends, sip on ice-cold beverages, and enjoy nonstop fun in a lively atmosphere. Need a break from the action? Swing by the “Gilmore Room” in the back, featuring two state-of-the-art golf simulators for some friendly competition between periods.

The pregame before the game

Start your pre-game adventure just a short walk away from the ballpark at Café Tola on Southport. You can enjoy Chicago’s best empanadas and horchata lattes in a vibrant setting that gets you ready for the exciting game ahead. This beloved café provides the perfect on-the-go snack before you make your way to Wrigleyville for a Cubs game.

3. Take your taste buds on an adventure

Chicago’s food culture is a colorful tapestry of flavors and experiences. The city blends diverse culinary traditions with local innovation, offering a dynamic array of dining options that cater to every palate and occasion.

Sip and savor with friends

Located in two Chicago locations, get a feel for the cool industrial energy at Fulton Market or the history charm meets modern artistic vibe at Logan Square when visiting Federales Bars for a bite to eat. “If you’re new to the city, you have to try Federales,” Tonia Rudny at Feed Media shares, “both locations offer tasty margaritas, handmade taquitos, Chicago’s best guacamole, and 15+ creative tacos. Plus, monthly specials, a great happy hour, and a weekend brunch you can’t sleep on.”

If a sports game and live music is more your speed, head to Joe’s Bar on Weed St. This six-time Academy of Country Music Award winner for Nightclub of the Year, has been the go-to place for both local and touring country acts for 27 years. Not only is it a music hotspot, Joe’s is also one of the city’s largest sports bars, featuring alumni and fan clubs for teams like the Carolina Panthers and the Pittsburgh Steelers.

Photo courtesy of Federales Bar

Experience global flavors

Satisfy your craving for a European vacation at Cafe Cremerie, where the flavors and ambiance of Europe come to life. This charming spot invites you to indulge in exquisite sweets, savory bites, rich, smooth coffee, and a curated selection of wines—all set within a warm, inviting atmosphere that transports you straight to the heart of Europe, no passport required.

Continue your global culinary journey at ROOH, one of Chicago’s top modern Indian restaurants. Known for blending authentic flavors with unexpected local ingredients, ROOH offers a dining experience that’s both innovative and true to its roots. Don’t miss their new tasting menu, crafted in collaboration with a Michelin-starred chef from the Netherlands, for a promising fusion of international tastes.

For a touch of Ireland without leaving the city, get up early on the weekend for a rugby or Premier League match at Mrs. Murphy’s. Enjoy a full Irish breakfast at this imported Irish bar, complete with an authentic pub experience. If you’re not into pints or whiskey, join the lively music session, sign the kids up for Irish music lessons, or pick up imported Irish chocolates, biscuits, and sausages from the shop.

Fine dining lovers

For an approachable fine-dining experience, Boka is a must-visit Michelin-starred restaurant located in the heart of Lincoln Park. With a stunning main dining room, a cozy patio, and a bar serving delicious handcrafted cocktails, Boka offers an elevated yet welcoming atmosphere that makes every visit special.

4. Feel the buzz of live entertainment

If you’re in need of a good laugh, KOVAL Comedy at Chicago Comedy Works delivers both top-notch stand-up and specialty cocktails. Each show features some of Chicago’s best comedians, and to make it even better, all proceeds benefit a local nonprofit partner for the night. Whether you’re rounding up friends or flying solo, it’s the perfect way to enjoy an evening of laughter and support the community.

5. Discover local treasures

Chicago is a shopper’s dream for finding unique and eclectic items. With its rich vintage scene, the city offers a range of opportunities to discover distinctive pieces, from rare antiques and one-of-a-kind home decor to hidden literary gems.

Time travel through vintage finds

For a rotating shopping adventure, check out the Vintage House Chicago pop-up, perfect for all your thrifting needs. Popping up twice a month at different city locations, Vintage House features a mix of vintage and handmade vendors, offering everything from 1920s pieces to Y2K styles.

If home decor for your new home is what you’re after, look no further than Vintage Grind House. Located in Chicago’s Irving Park area, explore one of the largest collections of truly eclectic vintage furniture including chairs, sofas, lighting, art and one-of-a-kind knick-knacks. Be prepared to spend hours browsing through turn of the century antiques, mid century modern, post modern, contemporary furnishings and everything in between.

Photo courtesy of Media Meade (@oppungo) | Vintage House Chicago

For the bookworms

For an intimate literary escape, visit Tangible Books at 3326 S. Halsted. This cozy shop caters to Chicago’s literati and book lovers, with owner Bob always on hand to chat and help you discover your next great read. Don’t miss their periodic events, like the poetry readings and open mic nights hosted by Vittorio Carli every first Saturday of the month. Plus, if you’re looking to declutter your bookshelves, Tangible Books offers a convenient way to recycle your reads.

6. Explore Chicago from every angle

Taste the history

While you’re exploring Chicago’s diverse neighborhoods and soaking in the local culture, taking a Chicago Foodways Tour is another great step to deepen your connection with the city. The tours highlight the stories of Chicago’s immigrant communities and the delicious cuisines they’ve brought with them, from the hidden gems of Andersonville to the vibrant flavors of Uptown and Lincoln Square. It’s a perfect way to experience the city’s global culinary landscape while learning about the people who shape Chicago’s cultural fabric.

Uncover the dark secrets

Dig into the dark side of Chicago’s history with the thrilling Gangsters and Ghosts Tour. This unique experience blends history and mystery as you walk through the same streets once ruled by notorious mobsters like Al Capone. Expert guides will share chilling stories of power, crime, and the supernatural while you visit haunted landmarks that vividly bring Chicago’s dark past to life.

7. Set sail

To truly experience life in Chicago, take it in from the other side of Lake Shore Drive with KnockOut Charters. Whether you’re cruising to Soldier Field for a Bears game, enjoying a sunset cruise after dinner on the river, exploring the skyline on a private architecture tour, or relaxing in the playpen with your friends, taking a ride on the water offers a unique and unforgettable way to explore the city.

Unique things to do in Chicago, IL: Final thoughts

Chicago is a city that thrives on its diversity, offering an array of experiences that go beyond the typical tourist stops. Whether you’re just in the beginning phases of thinking about moving to Chicago or you’re a lifelong resident, there’s something for everyone. you’re exploring local art scenes, trying new sports, indulging in the city’s culinary offerings, or unearthing vintage treasures, there’s always something unexpected to discover.

Source: rent.com

Apache is functioning normally

September 13, 2024 by Brett Tams

Do you want to know how to save for a baby in 9 months? Having a baby is exciting and joyful, but it also brings new costs. Getting your finances ready in the months before your baby arrives can make things easier. Saving for a baby in just nine months is possible if you plan…

Do you want to know how to save for a baby in 9 months?

Having a baby is exciting and joyful, but it also brings new costs. Getting your finances ready in the months before your baby arrives can make things easier. Saving for a baby in just nine months is possible if you plan and budget well.

To get ready for these changes, you might need to change how you spend money now and save up for future costs. It’s a good time to think about where you can save and how to use your money wisely for your growing family.

Best Ways To Save for a Baby in 9 Months

Below is how to save for a baby in nine months.

1. Set a budget

The very first thing you should do if you want to learn how to save for a baby in nine months is look at your budget.

Setting a budget involves taking a good look at your current finances and figuring out how much money you’ll need to save for baby-related expenses. This will help you plan and avoid any big financial surprises.

First, you need to know where your money is going. Track all your income and spending for a month or two. Include everything like rent, groceries, utilities, health insurance, life insurance policy, and entertainment. Also, don’t forget about annual or longer-term expenses, like possibly a car insurance payment that only comes up every six months or a property tax bill.

Use a spreadsheet or budgeting app to list all your expenses. And, break down your spending into categories like housing, food, transport, and bills.

Next, review your financial statements, such as bank accounts, credit cards, and any loans. Note any areas where you might be able to cut costs. For example, can you dine out less or cancel unused subscriptions? Can you negotiate any of your bills or shop around to get a better rate?

Finally, total up your monthly income and compare this with your total expenses. This will help you see if you need to make changes to save for baby expenses.

You can learn more at How To Create A Budget That Works.

2. Calculate baby-related expenses

Now, let’s figure out how much money you’ll need for the baby. As everyone knows, having a baby can be expensive!

You can start by listing one-time larger expenses for things like a crib, stroller, and car seat. Then, there are many smaller expenses, like blankets, changing table, diaper bag, swing, rocking chair, dresser, crib mattress, and more (you don’t need everything on this list, though).

Next, think about monthly expenses such as diapers, formula, and baby clothes. And, if you plan on breastfeeding, don’t forget that there may be higher costs with that as well (many people think that breastfeeding is free, but that’s not always the case). Even if you are breastfeeding, you may have costs related to creams, pads, a breast pump, a lactation consultant, and more.

Medical costs can also add up quickly, so you will want to check what your insurance covers for prenatal and postnatal care. You will want to think about what you may have to pay out-of-pocket when/if you go to the hospital for labor, any midwives you may use, and more.

You may also want to think about childcare costs, whether it’s daycare, a nanny, or a babysitter.

Don’t forget to include potential changes in income, especially if you or your partner plan to take time off work.

And then, there are bigger-picture expenses that you may eventually want to start thinking about as well, such as college savings and starting a college fund.

Remember to adjust your budget as needed. Babies grow fast, so your spending will change. Be flexible, and update your budget to meet your baby’s needs.

3. Cut unnecessary expenses

If you need to find more money in your budget and stretch your paycheck, then I recommend looking at your current spending and finding areas where you can cut back. Every dollar saved can go toward your new baby.

Here are some ideas:

Skip eating out frequently. Cooking at home saves a lot of money. Plus, you can make extra portions for leftovers.
Evaluate your subscriptions. Do you need all those streaming services? Cancel the ones you use the least.
Stop buying expensive coffee every day. Brew your coffee at home instead. It’s much cheaper and can be just as tasty (plus, it saves you valuable time).
Limit buying new clothes. See if you can make do with what you already have or shop at thrift stores.
Avoid impulsive buys. Always make a shopping list and stick to it. This helps you avoid buying items you don’t need.
Cut down on travel costs. Save on gas by combining errands into one trip and using public transportation when possible.
Reduce utility bills. Simple actions like turning off lights and unplugging devices can lower your electricity costs.
Look for deals and coupons for groceries and household items. Many stores offer discounts that can help you save a lot.

Now, of course, not everyone will want to do everything on the list. You may want to just try one or two, or you may decide to do them all. It is personal and it all depends on how much money you want or need to save.

Every little bit helps. By cutting unnecessary expenses, you’ll free up money that can go toward preparing for your baby’s arrival.

4. Meal plan and bulk cook

One smart way to save money and reduce stress is by meal planning and bulk cooking freezer meals before your baby is born.

This strategy allows you to prepare meals in advance and freeze them, so you’ll have ready-to-eat options when you’re too busy with the baby to cook.

By buying ingredients in bulk and preparing meals ahead of time, you can save a significant amount on groceries, avoid the temptation of takeout, and make sure you’re eating well during those hectic early days of parenthood.

Plus, having meals ready to go in the freezer means one less thing to worry about as you adjust to life with a newborn.

Some easy meals that you can make ahead include:

Lasagna – A classic dish that freezes well. You can make a big batch, portion it out, and freeze it. When you’re ready to eat, just pop it in the oven.
Stir-fry – Cook chicken and your favorite vegetables with a simple sauce. Freeze in portions and serve over rice or noodles.
Chili – A hearty and versatile meal that’s easy to freeze. Make a large pot, and freeze it in individual portions. It’s perfect for quick lunches or dinners.
Casseroles – Dishes like shepherd’s pie or chicken and rice casseroles are ideal for freezing. They can be made in bulk and heated up in the oven.
Soups and stews – These are some of the easiest meals to freeze. Options like vegetable soup, beef stew, or chicken noodle soup can be made in large batches and stored in the freezer for later use.
Burritos – Assemble burritos with fillings like beans, rice, chicken, or beef. Wrap them individually and freeze. They’re great for quick, handheld meals.
Meatballs – Cook and freeze meatballs in marinara sauce. They can be served with pasta, in a sub, or as a quick protein-packed snack.
Quiche – A versatile dish that can be filled with various vegetables, meats, and cheeses. Bake, cool, and freeze for a quick breakfast, lunch, or dinner.

These meals are easy to prepare in large quantities, freeze well, and can be reheated with minimal effort – perfect for those busy days after the baby arrives.

I really wish I would have done this before I had my daughter. I think it would have been a lifesaver! I have a friend who recently had a get-together (during her pregnancy) with all of her friends and they spent all day prepping meals for her. I thought this was a wonderful idea and so sweet.

I recommend reading 15 Delicious, Easy Freezer Meals For New Moms & Dads to see more ideas.

5. Use cash back apps

Cash back apps can be a great way to save money. These apps give you a percentage of your spending back in cash or rewards.

My favorite cash back apps are:

Fetch Rewards – This is my absolute favorite cash back app, and you can get points back on ANY grocery store receipt, and then eventually turn your points into gift cards.
Swagbucks – This is a rewards site that will give you cash back as well as help you make some extra money online.
Rakuten – This is my favorite cash back site for when shopping online as almost every store is listed on this website.
Upside – This app is a great way to get cash back on your gas purchases.
Honey – This app is great for online shopping and coupon codes.

Cashback apps can make a difference. Every little bit adds up when you are preparing for a baby.

6. Buy secondhand baby gear

One of the best ways to save money when preparing for a baby is to buy secondhand baby gear. Babies grow quickly and tend to use items for only a short time. This means you can find gently used gear at a fraction of the cost.

And, you can often find high-quality brands that are built to last when shopping secondhand! Baby strollers, cribs, and high chairs are usually available in good condition if you shop around. Make sure you inspect these items carefully for any damage or missing parts.

Shopping for used baby clothes can also save you a lot of money. Babies outgrow clothes so fast that you can often find barely worn outfits at thrift stores or online marketplaces.

You can find secondhand baby items at places like thrift stores, online marketplaces, and even through friends and family.

Some of the most popular ways to find used baby gear include:

Once Upon a Child
Goodwill
Salvation Army
Poshmark
Facebook Marketplace
Buy Nothing groups on Facebook
Local parent groups on Facebook – I’m a part of a local mom group in my area, and moms are always giving away free things, such as strollers, clothes, diapers, and more.

7. Find ways to make extra money

There are many ways to make money while preparing for a baby.

Here are some ideas:

Freelancing – You can freelance in areas like writing, graphic design, proofreading, or social media management.
Selling unused items – Go through your home and sell items you no longer need, like clothes, electronics, or furniture. Platforms like eBay, Poshmark, and Facebook Marketplace make it easy to sell your items locally or online.
Taking online surveys – Answer online surveys through platforms like Swagbucks, Survey Junkie, or Branded Surveys. While not a huge income, surveys can help you make some extra cash or gift cards that can be used for baby-related expenses.
Providing babysitting or pet sitting services – If you have experience with kids or pets, you may want to babysit or pet sit. Websites like Care.com, local Facebook groups, and Rover can help you find clients.
Starting a side hustle – You may want to try starting a small side business, like selling printables on Etsy, blogging (this is what I do so that I can work from home!), or bookkeeping. A side hustle can grow into a steady source of income over time.

You can learn more at 16 Best Jobs for Pregnant Women.

8. Find cheap or free diapers

Diapers can be one of the biggest expenses for a new parent. Buying them on sale or even finding them for free is a smart way to save money.

Some ways to get free or cheap diapers include:

Ask in a Buy Nothing group on Facebook – Join local groups where people give away items they no longer need, including diapers.
Join rewards programs – Sign up for programs like Pampers Club or Huggies Rewards to earn points that can be redeemed for free diapers.
Sign up for diaper coupons – Register on diaper brand websites to receive coupons and promotions via email.
Check online marketplaces – Look for free diapers on Craigslist, Facebook Marketplace, and Freecycle.
Visit local diaper banks – Access free diapers through local community organizations or diaper banks.
Apply for government assistance – Explore programs like TANF that may offer diaper allowances.
Use the National Diaper Bank Network – Find a nearby diaper bank through this network’s resources.
Reach out to nonprofit playgroups – Connect with local playgroups that provide free diapers to families in need.
Add diapers to your registry – Include diapers on your baby registry or create a diaper fund for your baby shower.
Use cloth diapers – Save money by using reusable cloth diapers instead of disposable diapers.

I recommend reading How To Get Free Diapers: Free Diaper Boxes, Samples, Coupons to learn more.

9. Build an emergency fund

An emergency fund is a savings account for unexpected expenses. This might include medical bills, car repairs, or sudden job loss.

This is something that I highly recommend having because it will help to lessen your stress level a little bit once the baby comes. This money gives you peace of mind when life throws you a curveball.

I recommend that you aim to save enough to cover 3 to 6 months of living expenses. But, you should definitely start small if you need to. Setting aside $1,000 is a good first goal. Even a little cushion can prevent you from going into debt.

Then, save what you can each month. Even small amounts add up over time, and this makes your emergency fund grow slowly and steadily. If you get a tax refund, use it to increase your emergency fund. Extra money can help you reach your goal faster.

And, keep your emergency fund in a separate savings account. It should be easy to access but not too easy to spend.

I personally use Marcus by Goldman Sachs for my emergency fund as they have a very high rate. You can get up to 4.40% at the time of this writing through a referral link bonus. According to this high-yield savings account calculator, if you have $10,000 saved, you could earn $440 with a high-yield savings account in a year. Whereas with normal banks, your earnings would only be $46. That’s a big difference!

Building an emergency fund takes time, so be patient. Consistency is key and I recommend that you keep contributing whenever you can.

Frequently Asked Questions

Saving for a baby can be tough, but it’s doable with the right plan. Here are some common questions and helpful tips to guide you as you get your finances ready for your new family member.

What are the top ways to save money for my baby’s first year?

To save money for your baby’s first year, I recommend that you find ways to cut unnecessary expenses wherever you can. Try meal planning and bulk cooking to save on food, use cash back apps to get some money back on purchases, and find ways to make extra money.

How much to save for baby’s first year?

Deciding how much to save for your baby’s first year is hard. You can expect to spend on things like diapers, formula (or breastfeeding items), and baby gear. Diapers and wipes might cost around $50 to $100 per month. Formula can add another $100 to $150 each month. Also, include costs for clothes, toys, and medical bills.

What to do if not financially ready for a baby but pregnant?

If you are not financially ready for a baby, but you are currently pregnant, there are things that you can do. I recommend that you reach out to community resources or government assistance programs for help as many areas give free or low-cost baby supplies. You can also ask friends and family for hand-me-downs. Start saving whatever you can now; even small amounts help.

Is 9 months enough time to prepare for a baby?

Yes, nine months can be enough time to prepare for a baby. Start by making a plan and budget right away. Cut back on unnecessary spending, use this time to save as much as you can, and look for deals on baby items.

How expensive is having a baby?

Having a baby can be expensive. The first year alone can cost several thousand dollars. Baby gear, diapers, formula, and medical bills add up quickly. Planning, budgeting, and finding ways to save can make these costs more manageable.

How To Save for a Baby in 9 Months – Summary

I hope you enjoyed this article on how to save for a baby in nine months.

Getting ready financially for a baby in nine months might feel like a lot, but with some planning, it can be doable.

By making a budget, cutting out extra spending, and thinking ahead about baby costs, you can save a good amount of money before your baby comes. You can save even more by planning meals, cooking in bulk, using cash back apps, and buying used baby items.

Every bit of savings helps, and by starting now, you’ll be more prepared to welcome your baby without worrying about money.

What do you think are the best ways to save for a baby in 9 months?

Recommended reading:

Source: makingsenseofcents.com

Apache is functioning normally

September 13, 2024 by Brett Tams

Fix and Flips

September 12, 2024
by Mark Ferguson

As a house flipper with over 20 years of experience, I’ve often heard misconceptions about how flipping affects the real estate market. Some believe flippers drive up housing prices or take homes away from owner-occupants. In reality, the situation is much more nuanced, and flippers actually play a vital role in stabilizing the market.

Video: House Flipping’s Impact on the Real Estate Market

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Do House Flippers Take Homes Away from Owner Occupants?

Many assume flippers are outbidding potential homeowners, but that’s rarely the case. In fact, owner-occupants typically have a competitive edge. Here’s why:

Flippers Have More Costs: When I buy a home, I have to factor in repair costs, labor, materials (which have skyrocketed), holding costs (utilities, insurance, taxes), and financing. Homeowners, on the other hand, don’t incur most of these expenses.
Owner-Occupants Can Pay More: Since they’re living in the house, owner-occupants can often afford to pay $20,000 to $30,000 more than a flipper, still getting a great deal and building equity.
Livability Standards: Most owner-occupants use loans like FHA, VA, or conventional loans, which require the home to be in livable condition. Houses that flippers buy—like those with holes in walls or broken plumbing—often don’t meet those standards, meaning we’re not competing for the same properties.

Why Are We Buying the Homes No One Wants?

The homes we buy usually aren’t competing with those available to owner-occupants. They’re homes that need serious work, often too much for the average buyer to handle. Whether it’s through a foreclosure auction or from sellers who want to avoid showings and inspections, many of these homes would otherwise sit vacant.

The reality is, most buyers don’t want the hassle of dealing with broken heating systems, electrical issues, or mold. That’s where we come in, using our expertise to restore the property.

Fix and Flip 70 Percent Rule Calculator

Are House Flippers Raising Housing Prices?

Another common myth is that flippers are raising housing prices. However, this idea doesn’t hold up to scrutiny:

Appraisals Keep Prices in Check: After we renovate a house, the new buyer still needs an appraisal, and appraisers typically won’t value a house beyond what comparable homes in the neighborhood are selling for.
Neighborhood Caps: In many areas, there’s a price cap on what homes will sell for, regardless of how nice the renovations are. Trying to exceed this cap can lead to financial disaster.
Low Appraisals: Sometimes, appraisers will even come in low, assuming that the flipper is making too much profit, which can further limit prices.

Flippers can’t single-handedly raise prices. In fact, most of us aim to buy at a discount to cover our renovation and holding costs while ensuring the home’s final price is competitive.

Do Flippers Just Put “Lipstick on a Pig”?

It’s true that some flippers only make cosmetic improvements, but that’s not the norm. My team and I thoroughly inspect the homes we purchase, addressing major issues like plumbing, electrical, and structural repairs. While cosmetic flips happen, they’re usually the result of specific situations, like a seller needing a quick, hassle-free sale.

When buying homes, we focus on making the property safe, livable, and up to code—because if we don’t, it’ll be impossible to sell it later. That said, bad actors exist in every industry, and there are some flippers who cut corners. That’s why inspections are crucial for homebuyers, especially with flipped homes.

What is the Best Way to Invest in Real Estate?

How House Flippers Help the Real Estate Market

The idea that house flippers hurt the market is flawed. In reality, we contribute by:

Adding Inventory: Many of the homes we buy are vacant, unlivable, and have been off the market for years. By fixing them up, we make these properties available to buyers, increasing the housing supply in tight markets.
Revitalizing Neighborhoods: Many homes we flip are eyesores that have been neglected. Renovating these properties improves neighborhood aesthetics and prevents further deterioration.

My House Flip Case Studies

Landlords and Flippers: A Misunderstood Group

Like flippers, landlords are often seen as contributing to housing problems, but this isn’t accurate. There are fewer single-family rentals today than in 2016—1.2 million fewer, in fact. While corporate landlords dominate the headlines, the reality is that more homes are being purchased by owner-occupants than landlords, which reduces rental inventory and contributes to rising rents.

When landlords do buy and renovate dilapidated properties, they’re also adding to the housing supply, particularly for those who can’t afford to buy a home. This added inventory helps stabilize both rental prices and the overall market.

Conclusion

The real estate market is complex, and while there are bad actors, most house flippers are providing a necessary service. By buying homes that are unlivable, fixing them up, and putting them back on the market, we’re helping to increase supply in a housing market that’s always in need of more options. While we aren’t perfect, flippers aren’t the villains of the housing market. We’re just another piece of the puzzle.

Source: investfourmore.com

Apache is functioning normally

September 13, 2024 by Brett Tams

A blanket mortgage is a special type of real estate financing that can be helpful when someone wants to buy multiple properties at once. Developers, investors, and house flippers may find blanket loans beneficial.

Here’s more about how they work and their pros and cons.

What Is a Blanket Mortgage?

A blanket loan is a single mortgage loan that uses more than one piece of residential or commercial real estate as collateral.

The borrower can sell one of the properties while keeping the rest under the loan. Then the mortgagor can sell a second property, a third one, and so forth while still keeping the financing intact for the loan’s entire term.

You may be able to negotiate a blanket mortgage that lets you buy, sell, or substitute properties with minimal angst.

Recommended: Investment Property Guide

How Does a Blanket Mortgage Work?

A developer, for example, may find a large lot to subdivide into smaller ones, creating a new housing subdivision, under a blanket loan financing structure.

As general contractors or families buy the individual lot or lots they want to build on, those lots could be released from the developer’s blanket mortgage, with unsold lots remaining under the blanket loan.

As another example, someone who buys fixer-uppers, renovates them, and sells them for a profit may buy several properties of interest and finance them with a blanket mortgage. Each property that is refurbished and sold can be released from the blanket mortgage loan.

If a blanket mortgage comes with a release clause, the proceeds from a property the borrower sells can be used to buy another property.

Lenders can create their own terms, so it’s important to be clear about a loan’s parameters. They will want to know about each of the properties involved, their intended use, where they’re located, and their condition. If a housing development is being planned, the lender will want proof of the borrower’s experience.

Recommended: How to Buy a Multifamily Property With No Money Down

Pros and Cons of a Blanket Mortgage

Each of the different types of mortgages comes with pros and cons. That’s true of a blanket mortgage, too.

Pros	Cons
Developers, investors, and the like can expand their portfolios in ways that can circumvent any limit on the number of mortgages that one borrower can take out. The borrower needs to close on just one loan, which can save them money on closing costs.	Lenders will require anywhere from 25% to 50% down.
Only one credit approval is involved, and fewer monthly payments need to be made.	The borrower may need to have significant assets and excellent credit to qualify.
If the loan is set up with a balloon structure, payments may be low during a predetermined time frame, perhaps interest only.	If the blanket mortgage is set up as a balloon loan, a large amount may be owed when the term ends.
The interest rate may be more attractive than separate loan rates, which can lead to lower monthly payments (and contribute to better cash flow).	If the borrower defaults on one property, the lender may attempt to foreclose on all properties covered by the mortgage.

Recommended: Home Loan Help Center

Should You Consider a Blanket Mortgage?

Possibly. If you’re qualified and you want to buy multiple properties with one mortgage, selling them and releasing them from the loan as they are individually sold, then a blanket loan may make sense.

Blanket mortgages can be elusive. If a blanket loan seems like a good choice, you can inquire about one with banks that offer commercial loans or talk to a mortgage broker.

Any lender or broker you contact should be able to answer your mortgage questions.

The Takeaway

Blanket mortgages are a specialty type of loan used by developers, real estate investors, and house flippers when they want to put multiple properties under a single loan. Blanket loans have pros and cons. Qualifying for one isn’t for the faint of heart.

SoFi Mortgages: simple, smart, and so affordable.

FAQ

What is an example of a blanket mortgage?

If someone wants to buy fixer-upper homes to rehab and resell, they may use a blanket loan to purchase several of them at once. As a home gets refurbished and sold, that property is released from the blanket loan while the other properties are still funded.

Is it hard to get a blanket mortgage?

Lenders will typically want a borrower to have sizable assets and excellent credit, and the down payment can range from 25% to 50%. So blanket loans are limited to more established borrowers with solid financials.

Who would most likely obtain a blanket mortgage?

Businesses may apply for a blanket loan to buy commercial property. Landlords, both commercial and residential, may also utilize this type of loan. So can construction companies and people who flip homes.

Is a blanket loan a good idea?

Under certain circumstances, a blanket loan can be a useful form of financing. When purchasing multiple properties with one loan, just one approval is needed. Closing costs may be lower. Interest rates and payments may be more attractive, too. That said, requirements to qualify for this type of loan can be significant, with down payments ranging from 25% to 50%.

Photo credit: iStock/oatawa

SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SOHL-Q324-038

Source: sofi.com

Apache is functioning normally

September 13, 2024 by Brett Tams

Known for its historic charm and friendly locals, San Antonio is a great place for folks from all walks of life to settle down. This city has something for everyone, from its fascinating history to its beautiful scenery. That said, moving to a new city is a big decision, and it’s important to understand all the benefits and drawbacks. This brief guide will give you a comprehensive look at the pros and cons of living in San Antonio, helping you decide if it’s the right place for you.

San Antonio at a glance

1. Pro: Affordable cost of living

With a median home sale price nearly $170,000 below the national average, San Antonio is known for its affordability compared to other large Texas cities. Housing costs are lower, whether you’re looking to rent or buy a home in San Antonio, making it a great option for families and young folks.

2. Con: Hot summers and high humidity

One of the downsides of living in San Antonio is dealing with extremely hot summers. The temperatures often climb into the high 90s or low 100s and can remain high for several months. This heat is often accompanied by high humidity, making it feel even hotter. The intense summer weather can be challenging for those not used to such conditions, and it can lead to higher air conditioning costs. Outside time may also be limited during the peak heat of the day.

3. Pro: Family-friendly environment

San Antonio is praised as a great place to raise a family. The city is home to a variety of family-friendly activities, like museums, zoos, and professional sports that cater to children and parents alike. The educational system in San Antonio is full of respected public and private schools, providing options for quality education.

4. Con: Traffic and limited public transportation

One of the challenges of living in San Antonio is traffic, especially during rush hours. The city’s rapid growth has led to increased traffic, which can be frustrating for daily commuters. Beyond that, the public transportation system is not as developed as in some other Texas cities, making it less convenient for those who prefer not to drive.

5. Pro: Historical and natural attractions

San Antonio has a wealth of historical attractions and outdoor activities that appeal to locals of all ages. The city is home to several UNESCO World Heritage sites, including The Alamo and the San Antonio Missions. For outdoorsy types, the city’s parks and the famous River Walk provide plenty of opportunity for fun under the sun, whether it’s walking, sightseeing, or enjoying a meal by the water.

6. Con: Fewer entertainment options for young people

For young professionals or those looking for a more dynamic nightlife, San Antonio may not have as many options as other cities. While there are bars, restaurants, and concert venues, the variety might not be as extensive or as lively as what you would find living in Austin or Houston.

7. Pro: Mild winters

While the summers may be hotter than hot, San Antonio benefits from short and mild winters. This makes the city a great place for those who enjoy warmer weather year-round and want to avoid harsh winter conditions. The pleasant winter weather allows for outdoor activities throughout the year, including hiking, biking, and enjoying the city’s many outdoor festivals, like Fiesta San Antonio.

8. Con: Exposure to severe weather and natural disasters

Yes, the winters are mild, but San Antonio does face occasional severe weather conditions, like heavy rain, flash floods, and even the rare tornado. These weather events can disrupt daily life and pose safety risks. The region’s susceptibility to flooding, in particular, requires residents to be vigilant and prepared for sudden weather changes. It’s important to consider these factors when planning your move to San Antonio, especially if you are not accustomed to such weather patterns.

9. Pro: Growing food scene

San Antonio’s food scene is growing, with a variety of dining options that reflect the city’s diverse population. From world-renowned Tex-Mex to traditional barbecue and new culinary fusions, there is something for every palate. The city hosts several food festivals throughout the year, like the Tasting Texas Food + Wine Festival.

10. Con: Rapid development

San Antonio’s rapid growth has led to urban sprawl, with new developments expanding further from the city center. This growth can lead to longer commute times and a greater reliance on cars for daily transportation. Some residents may find the expansion overwhelming as it changes the landscape and dynamics of certain neighborhoods. The increased development also brings construction and road work, which can be inconvenient and disruptive.

A native of the northern suburbs of Chicago, Carson made his way to the South to attend Wofford College where he received his BA in English. After working as a copywriter for a couple of boutique marketing agencies in South Carolina, he made the move to Atlanta and quickly joined the Rent. team as a content marketing coordinator. When he’s off the clock, you can find Carson reading in a park, hunting down a great cup of coffee or hanging out with his dogs.

Source: rent.com

Apache is functioning normally

September 12, 2024 by Brett Tams

Welcome to NerdWallet’s Smart Money podcast, where we answer your real-world money questions. In this episode:

A certified financial planner offers a listener actionable advice to help him save for a big move while maintaining financial stability.

How much should you save before you move to a new city? How can you reach your savings goals while also spending on your lifestyle? Recording in-person from a studio in Chicago, host Sean Pyles sits down with Magda Doemeny, a certified financial planner with NerdWallet Advisors, to host an actual financial planning session with a listener. Jim, a 36-year-old nonprofit worker, joins them to share his aspirations of moving to a higher cost-of-living area without a job lined up. Magda advises him on how much money in living expenses he should consider saving before making the move, the practicality of high-yield savings accounts, and the benefits and limitations of using a Roth IRA for a down payment, among other practical strategies for reaching his goals while maintaining financial stability.

NerdWallet Advisory LLC, dba NerdWallet Advisors, is an SEC-registered investment advisor and wholly owned subsidiary of NerdWallet Inc. The advice provided in this episode of Smart Money was for illustrative purposes only and not intended as financial or investment advice specific to your personal facts or circumstances.

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Episode transcript

This transcript was generated from podcast audio by an AI tool.

Sean Pyles:

Welcome to NerdWallet’s Smart Money Podcast, where you send us your money questions and we answer them with the help of our genius Nerds. I’m Sean Pyles. This episode, we’re continuing our series where we’re doing something pretty unusual for Smart Money. At the request of NerdWallet’s brilliant legal team, we say often and explicitly that we are not here to give you individual personal finance advice. What we talk about is food for thought, for educational and entertainment purposes only. But this episode, our listener is getting specific personal finance advice for their money question.

A few weeks ago, you may remember that we put out a call inviting you, dear listener, to contact us if you wanted some free financial planning and allow us to record that planning session. Lots of you wrote in and today we’re going to hear from one of you. We’re coming to you live from a studio in Chicago and we’ll be talking in person with a listener. But before we get into that, I’d like to bring back Magda Doemeny. She’s a certified financial planner with NerdWallet Advisors. One thing I want to be clear about is that Magda and NerdWallet Advisors are a distinct platform from NerdWallet. Magda will give our listeners some specific individual personal finance advice and that advice will be given on behalf of NerdWallet Advisors, not NerdWallet. Also, in exchange for coming on and talking with us, our listeners are receiving a free one-year membership to the NerdWallet Advisors platform. Magda, welcome back to Smart Money.

Magda Doemeny:

Thanks, Sean.

Sean Pyles:

So we’ve talked with you before, but can you give us a refresher on who you are and what the NerdWallet Advisors platform is?

Magda Doemeny:

Yeah. So I’m an advisor with NerdWallet Advisors, and what we offer is affordable financial planning memberships with access to a certified financial planner like me at a low monthly cost. What we do is review your finances as a whole, and ultimately, create a financial plan that has action items in there that are pretty bite-sized for you to break down. And then we’ll check in with you periodically throughout the year. And ultimately, if you ever have a question, you can always schedule a call and/or send us a note, and you really just have unlimited access to us.

Sean Pyles:

Great. So a lot of people have not gone through the financial planning process before. What’s something that people might not expect about going through this?

Magda Doemeny:

I think the thing that folks aren’t usually ready for is the commitment aspect of this. Kind of like if you decide to update your health and fitness regimen, going to the gym or going to the doctor, if that’s all that you’re committing to, that’s not really going to change your life. And so what we really want is for folks to understand that we can break this into bite-sized pieces so that it is one day and one month at a time so it’s a lot less daunting. But it does take commitment for you to make sure you want to go through this process.

Sean Pyles:

It’s about the small regular actions beyond one big meeting with you.

Magda Doemeny:

Sean Pyles:

All right. Well, let’s get to some financial advising in a moment, our financial planning session with a listener here in Chicago. Stay with us. Let’s get to the guest star for this episode. Jim is a Smart Money listener who is 36 and lives in Milwaukee, Wisconsin. And he’s here with us now in studio. Jim, welcome to Smart Money.

Thanks for having me.

Sean Pyles:

So tell us a little bit about yourself. What do you do for work? What are your hobbies, all that sort of stuff.

I work for a nonprofit. I manage grants that go out to education programs. I’m a former journalist and middle school math teacher, actually. And for fun, I play a sport. I play a sport called hurling, not curling on the ice with the brooms. Hurling is like Irish lacrosse. And I love, love, love to kayak for the very few number of weeks that it’s fun and comfortable to do that and the weather’s nice.

Sean Pyles:

I bet. Okay. So how would you describe your current mode of managing your finances? Are you active? Are you passive? Somewhere in between?

I would say extremely active.

Sean Pyles:

What does that mean for you?

I track all of my expenses. I rebalance my accounts as best as I can about every quarter. I’m very, very, very cognizant of where my money’s going and if it’s doing the most that I can make it.

Sean Pyles:

Great. And that’s why you’re a Smart Money listener.

That’s right.

Sean Pyles:

So how would you very broadly describe your finances right now?

I would say stable, but maybe precarious. So I make enough to do what I’m doing now, but I don’t make enough to be working towards some other really big goals. So what I’m really interested in learning is what kind of financial risks might be worth it for me to take so that I can pursue some big goals that I have.

Sean Pyles:

Okay. Well, tell us about your current financial goals. From what I understand, you’re hoping to move from Milwaukee to San Diego potentially, and you’re considering even maybe dipping into your retirement accounts to fund that move. Talk with us about that.

That’s right. I am a Midwestern boy, born and bred. I was born in Chicago. I absolutely love the Midwest and I absolutely love Milwaukee. Everyone should visit. It’s a wonderful place to live. It’s affordable, it’s got this gorgeous lake. It’s got friendly people, and I am so sick of winter. I never want to be cold again for the rest of my life if I can avoid it. And while I’m pretty sure that if I did move to a warmer place, I’d eventually see that maybe the grass isn’t greener, but I would feel a lot more peace of mind if I’d given it a shot. So I’ve been on the job hunt for a while to try and make that feasible. And San Diego is kind of my prime target, but it’s been slow-going.

And I’ve had a couple of close calls and I’ve got some traction right now with a few things, but it’s an expensive place. I don’t have a lot of connections, and I’ve put a lot of time in and I’m getting older and I’d like to start a family and buy a house one day and stuff like that. So I’m trying to weigh how important is it to me based on my financial security, if it’s a risk that’s wise to take.

Sean Pyles:

Right. Well, making such a jump, moving to a new place and maybe even using retirement funds to make that move is pretty risky. So how are you thinking about the tradeoffs of the risks and potential rewards for your life?

Absolutely. So I have a Roth IRA that I’ve been saving and I’d originally used it as a way to save for a down payment. I have a really generous retirement plan through my work when I put 5% in, another 9% comes back. So about 14% of my pay is going into my retirement fund through my employer. So extra stuff has been going into this Roth IRA that I’ve had for a couple of years. And it’s because I’ve done some research and I know that you can use a Roth IRA without paying penalties and without paying taxes. And even on the earnings of that, I know that there’s a limit that you can use even toward a down payment on a first home.

So I’ve been saving for that, but because I really, really, really want to make this move and I haven’t gotten a job to do that yet, I would feel more secure and not like I’m going to deplete all my emergency funds and all that if I knew that it wasn’t a terrible idea for me to tap into that Roth. And I might even be willing to go without a job and work service industry things just to get out there, and maybe that would advance the job hunt faster. But I don’t want to do that if I think that that’s going to put me in an unwise situation. I would say that I’m very, very cautious about my finances because I took on a lot of student loan debt in my undergraduate degree, so I never want to be in that position again. And being stable financially is really, really important to me.

Sean Pyles:

Right. Okay. And so you’re hoping to get maybe a second opinion to bounce some ideas off of and see if this isn’t so crazy an idea?

I would love someone to give me permission to do something a little scary.

Sean Pyles:

Okay. Well, have you ever used a financial advisor before?

Sean Pyles:

Okay. Well, Jim, I know you have been sitting here across from Magda for a little while, but let me officially introduce you to each other. Jim, Magda, Magda, Jim.

Magda Doemeny:

Sean Pyles:

So Magda, I’m curious if you have any initial thoughts about Jim’s financial situation based on what we just talked about?

Magda Doemeny:

Yeah, I think this is not uncommon. There are folks who want somebody to talk to them about where they are financially today and what kinds of decisions they can make, whether it be moving across the country or halfway across the country, buying a home, how much can they actually afford when it’s so expensive? Can they actually afford a little bit more than they think? So when I look at your situation, I think you’re doing all the right things by asking all of these questions. And what it really boils down to is what do we do? Do we actually make that move with your current financial situation or not? I think I am a firm believer that your retirement is intended for retirement and we want to do everything in our power not to touch that mostly because we can’t undo it.

Once we remove the funds from a retirement account, you can’t really put them back. And there’s so many tax benefits specifically to those types of accounts. So I want to talk a little bit more about the details of what your income is, talk about those expenses, talk about other ways we could increase income, if at all. Because when we do something big like this, I want to plan for it. And that means not taking the resources necessarily that we have and seeing what we can do with it, but instead saying, I’m going to do this in X amount of time. How do I get myself there? What do I do now?

Sean Pyles:

Let’s look into some more specifics. I know when you do financial planning, you need some specific numbers. You’re looking for balances of savings accounts. Let’s really dive into that nitty-gritty. So when it comes to something like a savings fund for a move, what would you maybe want to see from Jim here? Or what other options might there be for Jim to make this move if there isn’t a lot of liquid cash available?

Magda Doemeny:

I think if you are going to be making a move without a job, I want at least a year’s worth of expenses. I really want a year’s worth of expenses where you’re going, not where you are today, right? Because what we want to know is if it takes you a year to find a job that can pay you somewhat near your cost of living, I don’t want you to have to incur high interest debt, which is what could happen, right? Ultimately, if you need to pay for something, it goes on a credit card and if there’s not cash to support it, that stays there. You get a rolling balance, and that could just be for your day-to-day expenses potentially. So we need ideally at least a year if you’re quitting your job and moving.

Sean Pyles:

And so Jim, what is your emergency savings like right now, or your move savings fund? Do you have anything like that put aside?

I do. So my emergency fund right now, I’ve been aiming to have about six months and I don’t have that yet. So I’d say right now I just wanted a big trip, but I’ve gotten reimbursed for my company. So I would say I’ve got something like 6,000 in emergency savings and my low cost of living in Milwaukee, I’d say that would just barely cover three months.

Sean Pyles:

Okay. And are you putting aside a certain amount monthly to build that up or how are you thinking about increasing your emergency savings?

Yeah, I save about $850 a month, although I’ve had a couple of big expenses lately and I have a car that I love, but she is at the end of her rope. She’s put in a good hard life and she deserves a rest. So knowing that I have this car that serves me fine now, but would absolutely not make a cross country move. I’ve been delaying doing anything about the car in hopes that I might be able to move somewhere where that’s not a necessity and that would save me a lot of money, but I don’t know those circumstances until I’ve made that change.

Sean Pyles:

Okay. So talk with us a little bit about the car. Are you willing to take on some debt? I know you mentioned that you’re not really keen on debt at this point after all of your student loans. It seems like it might be an inevitability unless you really prioritize living somewhere that’s more central, which could mean higher rent payment, especially in a more expensive place like San Diego.

Sure. I mean, of course if I bought a car I would absolutely need a car loan, but my bigger more important priority is the move. So if I could move somewhere where I didn’t need a car, I would happily forgo a car so that I could pursue that.

Sean Pyles:

Okay. Well, Magda happens to live in San Diego. Can you speak a little bit about how walkable certain parts might be? What are your thoughts around the necessity of a car in that city?

Magda Doemeny:

Yeah. I’ve been there for just over a year now, and I live more in the suburbs since I have two kids. I think it’s possible, but generally California is not very public transportation friendly, I’d say, born and raised in California. So part of what’s fun about California is all the places you can go. Beach, mountains and those things will need a car. And so outside of you moving there to restrict your life to your area, you can expect to need a car to get places which is $100 Lyft here or something like that. I mean, it costs me $50 here to the airport. So you’ll probably need a car.

Sean Pyles:

So I’d like to hear your thoughts around Jim’s savings in terms of emergency savings and savings for a move like this. Do you have any tips for how he could potentially increase the cash that he has to make a move like this possible on the timeline that you have? Do you have a set timeline, by the way? Do you want to move within a year?

Yesterday.

Sean Pyles:

Yesterday. Yeah. So as soon as possible, what do you think are some good ways to accelerate savings?

Magda Doemeny:

Yeah. So I have a little bit of context on your situation, which includes how much you have in retirement savings, which for your age is actually pretty good relative to how much your income is. And this is more something that we use to gauge just general progression around how much you’re saving for retirement, but it is based on your income and your living expenses because it means you’ve saved enough to cover your current lifestyle. But with a move to San Diego, the assumption would be you’d have to increase your income and increase your savings if that was your permanent home forever.

If you end up moving back to Milwaukee, great, then you’re saving higher. So because of that, I think something that I could suggest is one, we want to take a look at your expenses in general. It sounds like you track them pretty closely, which is great, but we can always, if we set a goal which is I need to save X dollars, which for you would definitely be six months, but if you didn’t have an income, I’d want it to be a year, and we can work backwards from that number. One thing I could suggest is that we actually decrease some of your retirement contributions, but I want to learn a little bit more about your match. So in order to get that 9% match, is there a minimum contribution you have to put in to get the 9% match?

So we are a unionized office, so there’s actually two employer contributions. So when I put in 5%, that gets matched to 3.5%, but then there’s a 5.5% that is not a match, it’s just put in. But my 5% that I put in now is necessary to get the full 9%. Yeah.

Magda Doemeny:

Sean Pyles:

And this is 5% on what salary?

Well, I just got a raise, so about 74.

Sean Pyles:

Okay. Congrats on the raise, by the way.

Thank you. Thank you.

Sean Pyles:

And so you mentioned that Jim was in a pretty solid place in terms of his age for retirement savings. What was that balance and how do you think about these benchmarks? Because there are certain numbers people see around, okay, one time is your salary, one you’re 30, that sort of thing. So can you provide some context and details around Jim’s situation for that?

Magda Doemeny:

Yeah. So correct me if I’m wrong, Jim, but I have that in terms of retirement savings, about 125,000 or so, which is spread between a Roth IRA and a 403(b) at your employer. So that’s about 97,000 in one and 26,000 in the other.

It’s like 120 in the employer and then another 27 or so in my Roth.

Magda Doemeny:

Oh, okay. So 120.

Sean Pyles:

Which just for context will put you ahead of the vast majority of people in this country. So even though these benchmarks are very aggressive, one time your salary at 30 is impossible for many, many people, you’re doing fantastic in that regard. So you should be proud of that.

Magda Doemeny:

Older me will thank me, but younger me really wants to be warm.

Magda Doemeny:

Right. And that’s true. So that I tend to use, there’s a number of different ways you can just figure out if you’re on or off track. I tend to not use the very detailed method until you’re really close to retirement because then we’re actually making a decision to cut off your salary, which the best ways for you to increase your saving is really only two ways. It’s increase your income or decrease your spending. And so for you, I think that your retirement savings is great, which is why potentially we could trim back a little bit, but I really hate giving away free money, so I don’t know that I’d want to do that. So I would want to prioritize two things. The first one would be is there any other way we can increase your income, whether it’s gig work or contracting at what you do? If there’s a way for you, I think you had mentioned at some point that you have a journalism background. Is there a way you can start picking up some writing?

Magda Doemeny:

Something like that.

Fun fact about me, I’m a giant nerd and I actually am a seasonal tax preparer.

Magda Doemeny:

So I’ve done that the last couple of years. People look at me like, what is wrong with you that you could do this for fun? But I love it. But part of the reason why I haven’t spent more time on side gig work, even though I have plenty of time for it, is because I’ve been using that time for the job hunt. So I’ve been trying to spend my time making connections and networking and finding roles that I might want to do that would increase my income and my full-time job. So it’s tricky to be able to find the time to do that when you’re working at night as well.

Magda Doemeny:

And what’s the target salary range you’re looking at, where are you finding it?

I would love something in maybe the 110s, but I think I would accept a role that would be anything from 95 on up.

Magda Doemeny:

Sean Pyles:

Okay. Which sort of specific jobs are you looking for?

That’s a great question. So my background is in nonprofits, that’s where I have the most experience and I think it’s most likely where I’d go. One reason why I’ve stayed in nonprofits so long is not only do I love it and it is very meaningful work and I work with good people and I like the causes that I work for, but I was on the public service loan forgiveness plan, so about half of my student debt was forgiven in April because I had worked for a nonprofit for 10 years. So now that that’s happened, the financial incentive isn’t there for me to stay in nonprofits. So I’m very open to going into something else. For a while, I really like the analytical parts of my job and I take classes in SQL and R and Python for fun.

But because I’m sort of in a middle career, it’s tricky to find a role where I’m not taking a low step, a step downward, and I’ve got a lot of ad hoc do-it-yourself learning that is a little trickier to sell, especially in tech right now, which seems like it’s had a lot of layoffs. So I have a very, very broad net, which has its pros and cons. It means I’d be willing to do a lot of things, but then it’s really hard to know how to network or find something. So I’d say right now I’ve been looking in largely government jobs.

Magda Doemeny:

And I will say that you ultimately want to look at what your goal is here, which if it is to increase your income. We as financial planners will tell people all the time, you can stop working to go and get a degree if that’s going to increase your income over time. And so even you mentioned taking a step down from maybe career level where you are, but ultimately, if you’re stepping into an industry that will 2 to 3x your salary, that might not be a bad decision, especially if some of these positions being in the engineering tech space, their entry level positions could be not too far below your current one and sure it might be below, but it’s probably remote, which is great.

And you’ll still be a W-2 employee, which we care a lot about. Not that you can’t be a contractor, but that comes with benefits when it comes to being fully remote. And so that could be something that you shouldn’t shy away from if you can actually get into that industry and then start to really progress your career a lot higher versus in one that might be a little more stagnant.

I have no problem with that and applying elsewhere. And I love learning, but I have such a hate-hate relationship with the higher ed industrial complex. And the thought of taking on more student loan debt makes me want to jump out a window. It’s not to say that I would never do it, but it would be very hard to maintain the feeling that this is…

Magda Doemeny:

Really going to help you.

Right. Really going to help me. That it’s not going to cause a lot of the same kind of anxiety that it’s caused me for the past 18 years.

Magda Doemeny:

And could you get into the industry without additional education?

I’d like to think so.

Magda Doemeny:

Yeah. But that’s where you’re struggling.

People keep saying that I can, but they haven’t given me an offer yet.

Sean Pyles:

Well, I want to turn to talking about a different type of debt, home debt, mortgage debt. You’re hoping to become a homeowner at some point. How have you begun to plan for that?

Limited. So I used to be married. I got divorced last year and I had been using the Roth IRA combined with my partner. We were saving together in different vehicles, but the Roth was a way where I could save this money. I had worked in a lot of other sketchy nonprofits before that I didn’t really trust how they were managing their finances. So I did my retirement savings myself through my Roth. So after doing some research, I learned that with a Roth IRA, as long as it’s at least five years old, you can use all the contributions toward whatever you want without a penalty or taxes and even 10,000 of the earnings for first-time home purchase. So the way that we were saving for a home together was she was using her savings vehicle and I was using the Roth IRA as my savings vehicle.

So that’s been there. I’m not contributing to that Roth right now because I’ve got other priorities in my budget, but it’s been there as well. When it’s time for a down payment, I’ll draw from that. But I don’t intend to buy property anywhere until I have proven to myself that whether or not living somewhere with a really, really wonderful miraculous climate like San Diego would be worth it. So I guess my savings is in the Roth IRA and that’s part of why I’m interested in talking today is like, well, I don’t think buying a home is in the very near future and I don’t think it will ever feel like something that I would feel good about until I made this other change, if that makes sense.

Magda Doemeny:

Yeah. And that absolutely makes sense. I want to weigh, I think it’s okay to use a Roth IRA for something that I would view as an investment. Not to say that you moving to San Diego and bettering your life and the way that it would better your life isn’t an investment. But the problem with doing it not into an asset like a house is that if you decide that this isn’t for you and you don’t like it and you move back, it is money that was depleted that didn’t have the potential to turn into something more. And so for something like living expenses, that is something that I’d prefer we save for outside in some capacity versus depleting a retirement account to use for effectively an emergency fund really is what we would be using it for. And I do think that we could, ultimately, find a way to do that.

We would just probably extend your timeline a bit, but you had mentioned that you’re saving typically around 880 or so a month in a year’s time, and especially if there’s any way we can even trim back expenses even more, that can be a good chunk of money that we can set aside to say, this is your getting to San Diego. I know a year might be too long of a timeline, so we could figure out how to adjust that if we can figure out how to make more money and then we can really hoard a lot of cash that we can use for a move.

Music to my ears, making more money.

Sean Pyles:

So I want to turn to specific advice on an even monthly basis potentially for Jim in a moment. But I also have a question around accounts because we’re NerdWallet, I’m all about getting people the best products for their goals. What sort of savings account are you using? Do you have a high-yield savings account? Talk with me about that.

I chose my savings account based on NerdWallet’s recommendations.

Sean Pyles:

And it is high-yield?

It is high-yield. [inaudible 00:24:29] income. Yeah. So I think right now my savings account is at 4.6%.

Sean Pyles:

Okay, great. So what do you think about trimming expenses to be able to save more? Do you have anything in mind that you think, okay, that’d be an easy expense to trim right off the bat?

Honestly, no. So sure, I go out often. I am a pretty extroverted person and it’s been very good for just my mood to be able to see a lot of my friends. I don’t always have to spend money when I go out, but it’s pretty tricky to go out into a bar or a restaurant with friends and not spend some money. So I can imagine if I was really disciplined I could shave a couple of hundred dollars a month off of that. But like I said about my car, I feel like anything that I would save by doing that would just get gobbled up when this car, ultimately, crosses the Rainbow Bridge.

Magda Doemeny:

And it is something that we want to plan for when we look at cash. We don’t want anyone to have too much cash. I don’t know if that’s crazy to say out loud, but cash is not great. Cash is for specific purposes, which is your emergency fund and any short-term goals that you have, your car being one of them. So we would want to pre-fund whatever we think a down payment would be, so you’d want to do some research on what car you would want, and then we’d figure out roughly how much we’d want to put down for something like that and that we’d want to set aside in cash. So if you’re saying that you don’t think that you could trim expenses too much, which is fair, I mean, I don’t want to say go live with 10 roommates and find a way to never go out and enjoy life. That’s not what your finances are all about.

It’s about meeting you where you are within the means of getting to your goals. I do think the next priority would have to be focusing on increasing income, which it sounds like you’re doing. But then my goal for you would be that we wouldn’t move to San Diego until we at least knew where your income could get. Because if we find out that your income is 110 or 120, that’s very different than if we find out your income would stay at 75, which we know for certain…

Would not.

Magda Doemeny:

Would not cut it.

Would not be possible.

Magda Doemeny:

Yeah, because I mean right now your housing expense is $1,000 a month, correct?

Which is incredible.

Magda Doemeny:

It’s incredible. And no roommates, I assume.

That’s right.

Magda Doemeny:

Yeah. So I think in San Diego I would guess that you could do $1,000 with maybe two or three roommates or something. I don’t know if I’m being extreme. And so right now, based on your ability to maintain your contributions to retirement, which I’d love to do. Like I said, you’re a little ahead of the game, so if you change jobs and they didn’t have this incredible match, I think I’d be okay with you trimming down your retirement contributions and we could reallocate those funds to maybe a cash account or just a standard investment account so that you can liquidate that anytime. There could be penalties associated with if you’ve made money on them, but no penalty, that would just be taxes. So we could reallocate funds that we could say this is towards building towards a future home or something like that. So I would be okay with that, but I think we really need to figure out what your next job is going to be.

You and me both. Yeah.

Magda Doemeny:

Sean Pyles:

Well, that brings me to the next part of this conversation, the actual specific recommendations, Magda, that you would have for Jim. So when you’re thinking about a financial planning session like we’re having now and this ongoing relationship that you will have with Jim going forward, what would you say is maybe the first best thing that Jim should do to get to that goal? Moving to San Diego, hopefully, within a year, maybe two years.

Magda Doemeny:

I think the first thing would be that we get a better idea of what the cost is actually going to be in San Diego. So that means really doing some research and finding real places on rent. We could talk about the other parts of the cost of living, obviously, but there’s ways to do research and just find out how much is it going to cost to buy your groceries down there. And then accommodating for lifestyle change of just going out and about potentially a lot more in a new city. So I’d want to get a better handle on that so then we could figure out how much do you need to make to support that lifestyle. I also want to make sure we figure out how much we need for a down payment on a car. If we need one, which I think in San Diego you would, I wouldn’t want to anchor on not needing a car because if you do, we got to find that money somewhere once we’ve already done that.

Sean Pyles:

I imagine it’d be cheaper to buy a car in Wisconsin than San Diego.

Magda Doemeny:

And driving it all the way through. I don’t know if there’s income tax you guys…

Magda Doemeny:

Or do you guys have sales tax there?

Magda Doemeny:

Yeah. Okay. So I’m sure it’s probably cheaper than California. So I think those would be the first few things, and then we would want to figure out how to create an actual budget for you once you moved so that we could decide how much can you be spending while you’re there on non-housing so that we don’t go too far over budget. And then we would figure out if we need to, how much we can contribute to your retirement once you started your job. My biggest thing that I actually haven’t mentioned is moving somewhere without a job. One of the most important things that you’re losing is your healthcare. And I don’t know about other states, but being in California, it’s not cheap. And this can be several hundred dollars a month just so that you have healthcare coverage, which you have to have. And so that’s another reason why it’s just important for you to have some source of employment, whether it be that they provide it or you have an income to pay for the healthcare. So we’d want to make sure that got set up as well.

Sean Pyles:

Accomplishing financial goals. One thing Magda and I talked about before this recording is about making changes. It’s like going to therapy. You don’t just go for the conversation. It’s about having some proactive differences that you’re going to make in your day-to-day life. Are you prepared to make some significant changes to maybe how you manage your income and expenses, maybe working a little bit more to be able to get to where you want to be in a year?

I very much am. The challenge is making the changes that are going to yield the biggest benefit. So like I mentioned, I have no problem working two jobs. I’ve done that for a lot of my career, but lately I’ve been using that second job time to find a different first job. And so it’s hard to know what the payoff is, like where’s the most lucrative place to spend my time. That also aligns with my goals and also takes into account just how much time I’ve already put in. I don’t want to look too much at all this time that I’ve worked on it, but the fact that I’ve put so much time in and it’s still this important to me kind of makes me want to look more boldly at what kind of risks am I really willing to take.

Sean Pyles:

Well, Jim, do you have any other specific questions for us that you haven’t asked yet?

Anybody’s selling a car for really cheap?

Sean Pyles:

Unfortunately, no. Not here, not me. Great. Well, Magda, let’s turn to what some listeners can get from this conversation. At a high level, what do you see in Jim’s situation that might be applicable to our audience?

Magda Doemeny:

I think it’s very common for people to not really understand exactly what their money can do for them. And frankly, even as a CFP, I find this to be the case sometimes too, where I want to take risks, which is taboo, but sometimes I want to do that and I know folks want to be able to stretch their dollars. It is possible to be too conservative sometimes. I want to encourage folks to take risks sometimes that are something you’ve at least thought through and have a plan for. I know I’ve said plan a thousand times right now, but that’s really what this boils down to is when you want to take a risk, you just have to do the research to put it together so that you have a plan. Because too many times what we see is I might talk to somebody on the back end of that non-existent plan and I say, well, let’s talk about how you got here.

And it comes along with such and such was going on and I just didn’t want to do it anymore, and I did X and now I’m here. And that’s not always the case for everybody, but if you have a plan and a direction, it also helps you decide when it’s not working. You get there and you’re bleeding cash and you say, wow, I can only make it here six months. So you have an exit point to say, I can only spend this much money in six months. Now I need to go back to my cheaper lifestyle. If we don’t at least plan things through, then we don’t know our entry, our exit, and we don’t know when things are really turning in the wrong direction. I know that’s more of a negative way of thinking about it, but the positive spin would be true as well.

Like I mentioned, when you want to make a change, I want people to be empowered by that change. The same is true if you decide to go back to school and get an education. I want you to know that this is bettering your future, and that’s why you’re willing to take the risk and slow down your career temporarily to speed it back up. The same is true for making this move. I want you to get there and enjoy it and not have money be the thing that’s just constantly in your background saying like, oh, is this a bad decision? I can’t afford it. And so I think that’s pretty applicable to most people who want to take risks.

Sean Pyles:

Great. Well, Jim, I hope this was helpful. Keep us posted on how things are going for you, and thank you so much for coming on Smart Money and talking with us.

This is fantastic. Thank you so much.

Sean Pyles:

Great. And, Magda, thanks as always for sharing your insights.

Magda Doemeny:

Of course. Happy to be here.

Sean Pyles:

And that’s all we have for this episode. Remember, listener, that we are here to answer your money questions. So turn to the Nerds and call or text us with your questions at 901-730-6373. That’s 901-730-NERD. You can also email us at [email protected]. Also visit nerdwallet.com/podcast for more info on this episode. And remember that you can follow the show on your favorite podcast app, including Spotify, Apple Podcasts, and iHeartRadio to automatically download new episodes. To learn more about NerdWallet advisors, go to https://nerdwalletadvisors.com/smart-money.

Here’s our brief disclaimer. I am not a financial or investment advisor. This nerdy info is provided for general educational and entertainment purposes and may not apply to your specific circumstances.

This episode was produced by Tess Vigeland, Cody Gough, and myself. And a special thank you to Magda Doemeny, Georgia McIntyre, and Emily Canedo, and a big thank you to NerdWallet’s editors for all their help. And with that said, until next time, turn to the Nerds.

Source: nerdwallet.com

Apache is functioning normally

September 11, 2024 by Brett Tams

Homebuyers who want modern touches and few maintenance worries may opt to purchase new construction or have a home built to order.

In mid-2024, the median price of a new home was $429,800, according to the U.S. Census Bureau. As homebuyers have found a shortage of existing homes on the market in recent years, new-home construction has worked to fill the gap and consumers may find builders offering incentives to choose new construction. You’ll want to understand the market and learn some of the lingo.

Understanding New Construction Homes

On the upside, newly constructed homes can come with warranty-backed electronics, energy efficiency, and high-end features.

But new construction isn’t without potential snags, such as construction delays and the mounting price of upgrades.

The type of new construction you choose will determine cost and ability to customize and may also affect your home loan options.

• Tract homes. These go up in a builder’s new development. The buyer chooses the lot and design features.

• Spec homes. These are move-in-ready homes, but the buyer still might be able to choose some of the finishings. It’s a good idea to understand the difference between standard property features and upgrades.

• Custom homes. A builder tailors a house to the buyers’ specifications on their land.

How Do I Buy a New Construction Home?

A first step is to get preapproved for a mortgage and hire a real estate agent. You’ll choose a builder, go over your desired home features, and sign the builder contract, which will include the anticipated timeline, the cost, and all other details.

Mortgage options for a tract or spec home are the same as buying an existing home: conventional or government-backed home loans.

Those who are building a custom home might use a construction loan for the build and then obtain a mortgage once the home is complete. There are, however, FHA, VA, USDA, and conventional construction-to-permanent loans, also called single-close loans.

Figuring Out the Costs of New Construction

How much does it cost to build a new house? For 2,500 square feet, it could cost $345,000, but of course, there are lots of variables, including location, the price of labor and materials, and your tastes.

For a spec home, it might be a good idea to look at comparables in your area. For a new build, HomeAdvisor suggests budgeting the amount each project of the home requires as well as the necessary time to build.

In normal times, expect to spend about 50% of your budget on materials, HomeAdvisor says.

Buying a staged model house? The upgrades are considered marketing costs, and the home may have been walked through many times. You might have lots of room to negotiate.

First-time homebuyers can
prequalify for a SoFi mortgage loan,
with as little as 3% down.

Pros and Cons of Building or Buying a New Construction Home

Buying new has its pros and potential cons.

Pros

Everything’s New. Novelty can be a lure all its own. From a practical standpoint, new items signal less maintenance for years.

Additionally, with a from-scratch property, homebuyers may also be able to build their house on the precise plot of land that they want. Buying an existing home could mean having more neighbors nearby or less choice about the size or borders of the property.

Warranties. Appliances, roofing, and the HVAC system may be covered by manufacturer and construction warranties. Replacement or repair may be guaranteed for years, which can be a big relief when buying new construction as opposed to buying an existing home. Ask most homeowners about typical home repair costs. They are the opposite of fun.

Energy Efficiency. Homebuilding has been moving toward energy efficiency, or green architecture. Features like solar panels, treated windows, efficient lighting, and energy-saving appliances curb home energy expenses over the life of owning a home.

Reduced Homebuyer Competition. If a buyer opts to build a new home on an undeveloped tract of land, chances are low that a competing homeowner wants to build in that exact location at the same time.

Benefitting From Buying Discounts. A local contractor has ties to building supply companies and hardware stores. These business-to-business connections may translate into lower costs.

Cons

Land-Starved Locations and Zoning. The denser a community — think a big city or large suburb — the harder it may be to find land to build on. Moreover, local zoning regulations often regulate the size and type of new homes that can be built on residential lots.

Potential Building Delays. It takes 7 to 12 months on average for a contractor to build a house, and 12.1 months for an owner to, according to census data. That’s a significant wait, but building delays are fairly common and add to the bottom line. If a homebuyer needs to rent, for instance, while the house is being constructed, any delays could mean extra housing expenses.

New-home buyers can prepare for changes by touring similar finished homes in the community, researching the builder’s reputation, and speaking to residents. It’s also a good idea to talk with the builder about common construction delays and how unexpected costs are handled.

Negotiating Price May Be Harder. When working with a homebuilding company, negotiating may not be possible. Many builders attach a minimum price to the construction of a new home.

Upgrades Add Up. If wood floors, glass-front cabinets, and premium tile are must-haves, be prepared to pay for them. There is usually a “starting-from” price attached to newly constructed homes. Upgrades can add substantial costs to a new home.

Buying Tips for Newly Built Homes

Prepare to breathe in that new-house smell, but first lay the foundation.

Line Up Financing

When it comes to buying any type of house, getting prequalified is good. Getting preapproved is more serious, because you will have let lenders vet your finances and give you a specific amount you qualify for.

Lenders can also recommend the best kind of financing for a new build.

Hire a Real Estate Agent

Homebuyers wanting to make a new dream home a reality may want to find a good real estate agent. Here’s one reason why that’s important: The sales contact from the home construction company is hired to represent the seller (i.e., the builder or developer). A buyer’s agent can champion buyers’ interests, negotiate the contract, and answer questions.

Ask for Builder Concessions, Sign the Contract

Homebuyers aren’t likely to get a builder to slash a new home’s sales price, but they might be able to gain some concessions. Some builders may offer upgrades at a reduced price to incentivize a homebuyer to buy.

Upgrades may come in the form of a higher grade of carpet, granite countertops, a more advanced HVAC unit, or higher-end kitchen appliances. It doesn’t hurt to ask.

Once you’re pleased with your decisions, you’ll sign the builder contract to buy a spec home or start construction on a home.

The Takeaway

Newly constructed homes have obvious appeal, but they can come with potential delays and other drawbacks. Buyers who have their heart set on a brand-new home will find that financing often works the same way as it does for an existing-home purchase.

SoFi Mortgages: simple, smart, and so affordable.

FAQ

Can you negotiate the price of a new construction home?

Negotiating the price of a new construction home can be challenging as many builders set a minimum price. However, it might be possible to negotiate upgrades or concessions instead of a price reduction. Homebuyers can work with a real estate agent to help them negotiate with the builder.

What is a realistic budget for building a house?

A realistic budget for building a house will vary depending on the location, size, and desired features. In general, a 2,500 square foot home requires a budget of around $345,000, not including the cost of land. But cost can increase or decrease depending on the specific materials and finishes chosen.

SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility for more information.

Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

^¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.

^†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.

SOHL-Q324-056

Source: sofi.com

Apache is functioning normally

September 11, 2024 by Brett Tams

Are you looking for the best digital marketing side hustles? Digital marketing side hustles are a great way to earn extra money online. With so many options like social media management, SEO, and affiliate marketing, there’s bound to be a side hustle that fits your interests and skills. Why should you start a digital marketing…

Are you looking for the best digital marketing side hustles?

Digital marketing side hustles are a great way to earn extra money online. With so many options like social media management, SEO, and affiliate marketing, there’s bound to be a side hustle that fits your interests and skills.

Why should you start a digital marketing side hustle? It gives you the freedom to work from anywhere, the flexibility to set your own schedule, and the chance to build new skills. Whether you’re a beginner or have some experience, you can probably find a digital marketing side hustle that works for you and suits your lifestyle.

I have been hearing the term “digital marketing side hustle” a ton online lately, and I wanted to write a full article on it so that you can learn more about it as well. These types of side hustles are extremely popular right now (and I think they will be for a really long time)!

What is digital marketing?

Digital marketing is any online marketing that takes place on the internet.

It includes a lot of different activities:

Social media – Sharing posts on platforms like Facebook and Instagram
Email – Sending promotional messages to people’s inboxes
SEO (Search engine optimization) – Making a website more visible on search engines like Google
Content creation – Writing blog posts or making videos to connect with an audience

Why is digital marketing important?

It helps businesses reach more people. Many people shop online, so having a strong presence is key.

A digital marketing side hustle is a way to make extra money by growing a business online (this could be your own business or someone else’s!). This could mean running social media accounts, making ads, writing content, or improving websites so they show up better in search results (SEO).

It’s a flexible job you can do from home and often at your own pace, which is great if you want to earn money without a full-time job. Some people even turn their digital marketing side hustle into a full-time job (this is what I’ve done!).

Best Digital Marketing Side Hustles

Below are the best digital marketing side hustles.

1. Blogging

Blogging is a great digital marketing side hustle for a person who wants to be creative.

For me, this is my favorite digital marketing side hustle, and I started this very blog that you’re reading as a side hustle. (It’s now my full-time job.)

I started making over $1,000 a month from my blog around one year after starting, and I was making around $10,000 a month just two years later. I have now earned over $5,000,000 from my blog over the years (you can read all of my income reports here). I am able to travel whenever I want, and I really love what I do.

You can start a blog about something you’re passionate about. Whether it’s cooking, travel, or fashion, there’s an audience out there for almost any topic.

To make money from your blog, you can use display ads, sponsored posts, affiliate marketing, or even sell your own products (like courses, ebooks, T-shirts, etc.).

I have free training that you can take to learn more about starting a blog – How To Start A Blog FREE Course. Want to see how I built a $5,000,000 blog? In this free course, I show you how to create a blog, from the technical side to earning your first income and attracting readers.

2. Social media management

Social media management is a popular digital marketing side hustle. Businesses need help with their social media accounts and you can earn money by managing these accounts for them.

Social media managers create posts, respond to comments, and grow their followers. This helps companies get more customers and build their brand.

I have been a social media manager in the past, and it is an interesting and fun job if you like social media. I specialized in Facebook marketing, but you could manage a company’s TikTok, Pinterest, Instagram, and more for them.

3. Affiliate marketing

Affiliate marketing is a great way to earn money online. You promote products or services and earn a commission for each sale made through your referral link. This can be done on platforms like blogs, YouTube, or social media.

Affiliate marketing is one of my favorite digital marketing side hustles too! I love that I can write content and possibly earn money from it years later, all because people are still searching and reading the content that I wrote a long time ago. So, this means that I can earn money while I’m sleeping or on vacation.

One of the other best parts about affiliate marketing is that it has a low entry cost. You don’t need to invest in inventory or worry about shipping. You just share products you believe in and can start earning money (the company that you are promoting does most of the work).

Creating quality content is key when it comes to affiliate marketing. I recommend that you always write honest reviews, make tutorials, or share personal experiences. These best practices build trust with your audience and increase the chances they will buy through your links.

Plus, there are affiliate programs for almost every product you can think of nowadays, so this is a digital marketing strategy that you can probably easily start.

If you want to learn more about affiliate marketing, I recommend learning more at Affiliate Marketing Tips For Bloggers – Free eBook.

4. Selling online courses

Selling online courses can be a great way to make extra money. If you have expertise in a subject, you can create a course and sell it online.

Many people are looking to learn new skills and are willing to pay for quality courses. I buy online courses all the time and I have learned so much. (I have bought courses related to running an online business, blogging, personal finance, and even parenting courses such as childbirth and baby sleep.)

Here are some course topic ideas:

Personal finance – Courses on budgeting, investing, or paying off debt can be popular.
Blogging – Teach others how to start a blog, create engaging content, or monetize their platforms.
Online business and entrepreneurship – Share insights on starting an online business, dropshipping, or creating digital products.
Health and wellness – Topics like fitness routines, nutrition planning, or mental health can be so helpful.
Skills and hobbies – You can teach anything from photography, painting, and cooking to coding, graphic design, or language learning.
Career development – Courses on resume writing, job interview strategies, or career coaching can be valuable for those looking to advance in their careers.
Social media marketing – Teach strategies for growing a following, creating content, or using platforms like Instagram, TikTok, or LinkedIn for business.
Parenting and family – Courses on parenting strategies, homeschooling, or managing work-life balance as a parent can be very helpful.
Arts and crafts – You can sell courses on creative writing, drawing, digital art, or playing music.
Travel planning and hacks – Share your expertise on travel planning, finding deals, or traveling on a budget.

Creating a course can take some time, but the payoff can be worth it. You can record video lessons, create quizzes, and provide downloadable resources. Once your course is ready, you can sell it on platforms like Teachable (this is the platform I use for my courses) or your own website.

You can learn more about the course that I created at How I’ve Made Over $1,000,000 From My First Course Without a Big Launch.

5. Creating a YouTube channel

Starting a YouTube channel can be a great way to make money. It’s all about creating videos that people want to watch. You don’t need fancy equipment and many people start with just a cell phone.

The key to success on YouTube is to find a niche you enjoy and create consistent, high-quality content that resonates with viewers.

Making money with your YouTube channel can be done through multiple ways, such as ad revenue, sponsorships, affiliate marketing, and selling your own products or services.

You can learn more at How Much Money Do YouTubers Make?

6. Dropshipping

Dropshipping is a popular way to start a side hustle. This type of business lets you sell products online without needing to have inventory. All you do is set up an online store, and when a customer orders, the supplier ships the product directly to them.

You don’t need a big budget to start dropshipping. Most of the costs go into creating and marketing your online store, so this can make it a low-risk option for beginners.

7. Virtual assistance

Virtual assistance is a flexible and rewarding side hustle. If you’re good at organizing, managing tasks, or providing customer support, you can help businesses stay on track.

Virtual assistants (VAs) do many kinds of work. You might handle emails, manage social media accounts, manage their blog, schedule appointments, and more. You can choose tasks that match your skills.

You don’t need much to get started. A computer and internet connection are enough. Many clients don’t care about formal education as long as you can do the job well.

I was a virtual assistant for several years, and I really enjoyed the job. Now, I currently have a virtual assistant and she is a lifesaver for my business!

You can learn more at How To Find Virtual Assistant Jobs.

8. Selling ebooks

Selling ebooks is a good way to make money online. You can write about anything you know well. Whether it’s cooking, personal finance, fiction, or self-help, there’s an audience for your expertise.

Or, you can also write fiction such as romance novels.

Publishing platforms like Amazon Kindle Direct Publishing (KDP) and Barnes & Noble Press make it easy to self-publish and reach a wide audience. You can also sell your ebook directly from your own website, allowing you to keep a larger portion of the profits.

Promotion is extremely important when it comes to writing a book, so you’ll want to use digital marketing, such as social media, your blog, or even email marketing to reach potential book buyers.

The best part about selling ebooks is that it creates passive income. Once your ebook is published, it can possibly sell with little ongoing effort, making it a great way to earn money over time.

9. Graphic design

Graphic design is a good side hustle for anyone with a creative eye. You can use your skills to create logos, websites, social media graphics, and more. People and businesses always need good design to stand out.

I have hired graphic designers many times in the past, and I know of many other business owners who have as well.

One of the best things about graphic design is that you can start without spending a lot of money. There are free or low-cost design tools, like Canva, that help you make professional-looking graphics without needing expensive software.

Graphic design is needed in many fields, from making social media images and website banners to designing ebooks, infographics, and print materials. This gives you the chance to pick projects that match your interests and skills.

10. Freelance writing

Freelance writing is a great way to make extra money. If you love writing, it’s a perfect fit. You can write about topics you enjoy and get paid for it. Many businesses need content for their blogs, websites, and newsletters.

As a beginner, you might start with lower-paying jobs. This helps you build a portfolio. Over time, you can raise your rates as you gain experience.

There are many types of freelance writing. You can write articles, blog posts, product descriptions, or social media content. You might also do copywriting or ghostwriting.

I have been a freelance writer for years and I really enjoy it due to the flexible schedule and being able to work from home.

You can learn more at 14 Places To Find Freelance Writing Jobs – (Start With No Experience!).

11. Email marketing

Email marketing is a great side hustle. It involves sending emails to a group of people to promote products, services, or events. This may involve running your own email list or helping other businesses reach their customers directly.

You don’t need much to start. Just a computer, internet connection, and starting an email list on a platform like Convertkit.

For my email list, I use Convertkit. They make it easy to manage my newsletter email list and send high-quality emails.

12. SEO consulting

SEO consulting is all about helping websites appear higher in search engines like Google. If a website ranks higher, more people will visit it.

This might involve fixing content, making the site faster, looking for the best keywords (with keyword research), doing competitor analysis, building links from other sites, on-page optimization, and making sure the site works well on mobile devices. You’ll also need to keep up with the latest SEO trends and changes since search engines are always changing.

13. Run Facebook ads for small businesses

By running Facebook ads for local businesses, you can help small businesses reach new customers, and you may be able to earn $1,000 a month for each client that you have.

Facebook is one of the largest advertising spaces that exists, and this is an area that will just continue to grow and be popular.

Also, there is a free webinar (you can sign up here) that will teach you how to start this business, even if you’re new.

14. Influencer marketing

Influencer marketing is when you use social media to promote products or services. There are many social media platforms that you can get started with, such as Instagram, TikTok, YouTube, and Facebook.

You have probably seen people on Instagram or YouTube showing off clothes, their favorite electronics, vacations, or even food. These content creators are getting paid to do that.

You don’t need millions of followers to start. Even with a few thousand engaged followers, brands might pay you to talk about their products.

I have done many influencer marketing partnerships over the years and I think it’s a great gig, especially if you have passion for the topic that you are creating content on.

15. Video editing

Video editing is a great digital marketing side hustle. Lots of businesses need videos to promote their products or services, and you can help them create polished, engaging content.

You don’t need a lot of fancy equipment to start. A decent computer and good editing software will do.

Many video editing projects can be done remotely so this means you can work from home or anywhere with an internet connection.

Video content is everywhere. From YouTube to Instagram, more people want high-quality videos and this means there’s a growing demand for video editors.

Frequently Asked Questions

Below are answers to common questions about digital marketing side hustles.

Is digital marketing a good side hustle?

Yes, digital marketing can be a good side hustle. There are many ways to make money with digital marketing, so there is probably something that may fit what you’re looking for. Plus, many digital marketing side hustles don’t cost a lot of money to begin, so there is little risk to start.

Can I do digital marketing with no experience?

Yes, you can start digital marketing with no experience. Many online resources (such as blog posts) and courses can teach you the basics.

What are some digital marketing side hustles for beginners?

For beginners, some great digital marketing side hustles include blogging, managing social media accounts, and affiliate marketing. You might also try selling online courses or creating a YouTube channel. These are all beginner-friendly options.

What’s the best way to learn digital marketing skills to make money on the side?

The best way to learn digital marketing skills for making extra money is to start with free resources like blogs, YouTube videos, and podcasts that teach the basics. After that, you can take online courses to learn more about specific topics like SEO, content marketing, social media marketing, or email marketing.

How can I turn email marketing into a profitable side job?

To turn email marketing into a profitable side job, start by building an email list. You can share valuable content or discounts to your subscribers. Then, send regular newsletters or promotional emails.

Best Digital Marketing Side Hustles – Summary

I hope you enjoyed this article on the best digital marketing side hustles.

Digital marketing side hustles can be a great way to make extra money from home. Whether you like blogging, managing social media, or affiliate marketing, there’s probably a side hustle that can match your interests.

Many of the digital marketing jobs listed above are flexible and can be done from anywhere, making them really appealing.

There are also lots of resources to help you get started, so even beginners can jump in and start earning. If you want to add to your income or try out a new career, digital marketing side hustles can be a great choice.

What digital marketing side hustles are you interested in?

Recommended reading:

Source: makingsenseofcents.com

What Is an HOA (Homeowners Association)?

How Does an HOA Work?

How Common Are HOAs?

What Is an HOA Fee?

First-time homebuyers canprequalify for a SoFi mortgage loan,with as little as 3% down.

When Considering an HOA Property

Pros vs Cons of HOAs

Can You Afford to Buy into an HOA?

What to Know About Mortgages and HOAs

The Takeaway

FAQ

Why do HOAs exist?

How much are HOA fees?

Up-front Expenses

Down Payment

3% to 5% Closing Costs

Moving Costs

New Furniture and Appliances

First-time homebuyers canprequalify for a SoFi mortgage loan,with as little as 3% down.

Ongoing Expenses

Monthly Charges

HOA Dues

Maintenance and Lawn Care

Pest Control, Security, Utilities

How Much House Can You Afford Quiz

Planning Ahead

Target Mortgage Costs

Build a Budget

The Takeaway

FAQ

How much money should you save before buying a house?

How much do I need to earn to afford a house?

1. Unleash your creativity

Express your artistic skills

Try your hand at street art

Experiment with different mediums

2. Serving sports beyond the stadium

Hit the slopes year-round

Eat, drink, and swing

The pregame before the game

3. Take your taste buds on an adventure

Sip and savor with friends

Experience global flavors

Fine dining lovers

4. Feel the buzz of live entertainment

5. Discover local treasures

Time travel through vintage finds

For the bookworms

6. Explore Chicago from every angle

Taste the history

Uncover the dark secrets

7. Set sail

Unique things to do in Chicago, IL: Final thoughts

Best Ways To Save for a Baby in 9 Months

1. Set a budget

2. Calculate baby-related expenses

3. Cut unnecessary expenses

4. Meal plan and bulk cook

5. Use cash back apps

6. Buy secondhand baby gear

7. Find ways to make extra money

8. Find cheap or free diapers

9. Build an emergency fund

Frequently Asked Questions

What are the top ways to save money for my baby’s first year?

How much to save for baby’s first year?

What to do if not financially ready for a baby but pregnant?

Is 9 months enough time to prepare for a baby?

How expensive is having a baby?

How To Save for a Baby in 9 Months – Summary

Table of Contents

Video: House Flipping’s Impact on the Real Estate Market

Do House Flippers Take Homes Away from Owner Occupants?

Why Are We Buying the Homes No One Wants?

Are House Flippers Raising Housing Prices?

Do Flippers Just Put “Lipstick on a Pig”?

How House Flippers Help the Real Estate Market

Landlords and Flippers: A Misunderstood Group

Conclusion

What Is a Blanket Mortgage?

First-time homebuyers can
prequalify for a SoFi mortgage loan,
with as little as 3% down.

First-time homebuyers can
prequalify for a SoFi mortgage loan,
with as little as 3% down.

First-time homebuyers can
prequalify for a SoFi mortgage loan,
with as little as 3% down.