credits

Apache is functioning normally

Apache is functioning normally

Mortgage tech firm Blend has launched a lower-cost version of its mortgage suite for retail independent mortgage banks, the company announced this week.

This offering, called Blend IMB Essentials, includes many of the same features of its standard offering for mortgage lenders.

Blend IMB Essentials will streamline the application process, will facilitate pulling soft credits instead of tri-merge credits during the initial phase of application. It will also serve loan officers on-the-go with a mobile application, Nima Ghamsari, C.E.O of Blend told HousingWire. 

“The mortgage market is grappling with the effects of high interest rates, home affordability, and low inventory, so reducing costs is top of mind for everyone,” Ghamsari said in a prepared statement. “Retail IMBs have helped build Blend into what it is today and we stand by the industry during this time. We will make sure every loan officer can offer the best possible borrower experience while also being able to conveniently manage their pipeline on the go with the LO Mobile App.”

Additionally, Blend integrates with the most common loan origination systems, pricing engines, as well as other key systems.

Earlier in September, Blend added an assets-derived income capability to its existing “Blend Income” product. This enhancement gives lenders “additional ways to verify more income sources far earlier in the application process than traditionally feasible,” HousingWire reported. 

Source: housingwire.com

Apache is functioning normally

Apache is functioning normally

On a day when mortgage rates are officially close to hitting 8%, I decided to write a post about why they might be a lot lower in 2024.

Call me a contrarian. Or an optimist. Or perhaps just an individual that is looking at data and drawing some conclusions.

While the trend for mortgage rates lately has undoubtedly been higher, higher, higher, we could be close to hitting a peak. I know, I’ve said that before…so much for the mortgage rate plunge.

But maybe we just need to cross that psychological 8% threshold before things can turnaround.

Sometimes you need to see/experience the worst before a recovery can take place.

Here Come the 8% Mortgage Rates…

The threat of 8% mortgage rates might last longer than the 8% mortgage rates themselves, assuming they actually materialize.

This isn’t a new threat. I wrote all the way back in September 2022 to watch out for 8% mortgage rates. At that time, we inched closer to those levels before rates pulled back.

More recently, Shark Tank’s Mr. Wonderful called for the same, arguing that the Fed wasn’t messing around when it came to its inflation fight.

And now it appears he might be right, with the 30-year fixed averaging 7.92%, at least by MND’s daily survey.

But despite higher and higher mortgage rates over the past month and a half, the Fed has become more and more dovish.

There have countless comments of late from Fed speakers essentially signaling a pause in rate hikes. Basically arguing that no further tightening is necessary.

That doesn’t mean 10-year bond yields can’t keep rising, nor does it mean mortgage rates can’t also increase.

While the Fed is saying one thing, everyone else is looking at the data, which continues to come in hotter than expected.

About 10 days ago, it was a big jobs report print, and today it was retail sales coming in much higher than forecast.

Per the Commerce Department, retail sales increased 0.7% in September, more than double the 0.3% Dow Jones estimate.

This has pushed the odds of another Fed rate hike up for the December meeting to near parity with a pause.

Per the CME FedWatch Tool, chances of a rate hike at the December 13th meeting are now at 41.9%. That’s up from 32.7% yesterday and 25% a week ago.

Should We Listen to the Fed or the Data?

It’s been a strange contrast lately, with the Fed becoming more dovish as hot data continues to come down the pipe.

But ultimately it appears as if the interest rate traders are more focused on the data than they are what Fed speakers have to say.

Even so, the odds remain ever so slightly in favor of a pause, which is good news for the time being.

Of course, those numbers can change quickly, as evidenced in the daily and weekly movement highlighted above.

And if consumers keep spending, despite economic headwinds and higher prices, it might be difficult to see the cooler economic reports the Fed wants.

However, the Fed may still stand pat at these levels and wait for conditions to deteriorate, as would be expected after 11 rate hikes.

Today, Richmond Fed President Thomas Barkin said the hot data “doesn’t match with his on-the-ground observations that demand seems to be slowing.”

So perhaps we just need more time to let the restrictive monetary policy do its thing. It’s not as if consumers immediately stop spending just because costs are higher.

People still need to buy things, especially gas, groceries, clothing, and other essentials.

And thanks to all the credit floating around, whether it’s 0% APR credits cards or buy now, pay later platforms, the party can continue for a lot longer.

The 10-Year Yield Is Forecast to Fall in 2024, Pushing Mortgage Rates Down with It

At last glance, the 10-year bond yield, which tracks 30-year fixed mortgage rates pretty well, was a sky-high 4.86%.

Meanwhile, the mortgage rate spread was over 300 basis points, when it’s typically closer to 170.

Combined, that means a yield of 5% would signal 8% mortgage rates. In normal times, it would translate to a rate of say 6.75%. But these are not normal times.

Mortgage rates keep rising and mortgage lenders continue to price defensively as the threat of more inflation and Fed rate hikes remains.

But maybe, just maybe, we are approaching the worst of it, as consumers teeter on the brink of a possible recession.

And perhaps 8% mortgage rates will signal a peak and possible turning point.

After all, the 10-year treasury yield is expected to fall to 3.41% by April 2024, per a September 27th note from Statista.

Meanwhile, Capital Economics market economist Hubert de Barochez predicts the 10-year yield will fall about 80 basis points by the end of the year thanks to slowing growth and the possibility of a mild recession.

De Barochez says this would allow the Fed to cut rates sooner, ideally leading to lower mortgage rates in the process.

Yes, such forecasts are subject to change (or can be completely wrong), but the general consensus is that we’ll be lower by mid-2024 or earlier. Just maybe not that low.

If we take a lower 10-year yield and sprinkle in a more traditional mortgage rate spread, say just 200 basis points, that puts mortgage rates back in the 6% range.

Mortgage rates in the 6s, or even high-5s if paying discount points at closing, would usher in some normalcy to the housing market.

If accompanied by a mild recession and some job losses, it could also mean slightly lower home prices as well, instead of a return to bidding wars.

And that could be good for the long-term health of the housing market, which is clearly broken right now.

(photo: Eli Duke)

Source: thetruthaboutmortgage.com

Apache is functioning normally

Apache is functioning normally

The ultra-charming Santa Monica estate of late Emmy Award-winning SNL writer John Bowman is looking for a buyer to join the ranks of its famous owners.

A sprawling coastal estate with three separate structures and over half an acre of exquisite outdoor space, the property recently hit the market for $16,850,000 (Justin Alexander of The Alexander Group at Compass holds the listing).

Since 1995, the property has served as home to John Bowman and his wife, Shannon. Bowman, who passed away in 2022, was an accomplished TV showrunner, an Emmy Award-winning SNL writer, Martin series co-creator and producer who also led the WGA’s negotiating committee during the 2007-08 strike.

Photo credit: Engel Studios courtesy of Compass

A three-time Emmy nominee, Bowman is known for writing on In Living Color, co-creating the ’90 sitcom Martin, and for his countless writing credits, which include The Fresh Prince of Bel-Air, It’s Garry Shandling’s Show, Men Behaving Badly, The Hughleys, and Murphy Brown. He served as an executive producer on the latter three, as well as on Frank TV, Root of All Evil, Cedric the Entertainer Presents, The Show, and Princesses.

But he wasn’t the only famous resident of the Santa Monica estate.

John and Shannon bought the 1917-built home from singer/songwriter and Rock and Roll Hall of Famer, Jackson Browne and his then-partner, actress Daryl Hannah, who owned it back in the day.

But despite its roster of famous residents, the Santa Monica house is known as the Witbeck House — after its first owner, businessman Charles Witbeck. Witbeck commissioned the property, with Arts and Crafts architects Charles and Henry Greene delivering the East Coast-inspired shingle house that we see today.

Inside the celebrity-favorite Witbeck House in Santa Monica

Photo credit: Engel Studios courtesy of Compass

Set among over a half-acre of park-like grounds, this rare three-structure estate in the heart of Santa Monica boasts a five-bedroom main house with grand formal and gathering rooms and a hidden playroom, a detached two-story A-frame studio, and a detached two-bedroom guest house.

The East Coast shingle-style main house has four large bedrooms upstairs, including a stunning primary suite with soaring cathedral ceilings and a luxurious spa bath, an office, and a hidden playroom.

Downstairs we find another full bedroom with its own bathroom, as well as grand, formal gathering rooms — each featuring French doors that open into the backyard.

Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass

Also on the property, a storybook A-frame cottage serves as a detached two-story studio, perfect for creators, musicians, writers, and innovators to carry on the legacy of the estate. An additional two-bedroom guest house with a kitchen and bath is also included.

The park-like grounds feature a custom patio firepit with an al-fresco dining deck, a resort-inspired swimming pool, an expansive grass lawn, a rose garden, and a private sports court. Adding an extra note of privacy, the property is surrounded by beautiful mature trees and extra tall hedges.

Photo credit: Engel Studios courtesy of Compass
Photo credit: Engel Studios courtesy of Compass

But despite the home’s many attributes, it’s the location that makes it all the more desirable.

The Palisades Ave property sits on one of the most sought-after streets in all of Santa Monica, just two blocks from the beach, and within reach of the best shops and restaurants on Montana, the Jonathan Club, and a short drive to LA’s premier Westside golf courses.

More stories

The wildly imaginative homes of our favorite movie directors

Inside Guillermo del Toro’s spine-chilling Bleak House: A treasure trove of horror memorabilia

George Lucas’ Skywalker Ranch is a fanboy paradise with Victorian roots

Source: fancypantshomes.com

Apache is functioning normally

Apache is functioning normally

Rent prices are on the rise, with the average cost increasing 18% between 2017 and 2022. But buying a home requires a hefty down payment and good credit. Renting to own your home can give you the best of both worlds, but there are some downsides.

If you’re thinking about signing a rent-to-own agreement, it’s important to weigh the pros/cons of rent-to-own home deals. Here’s what you need to know before you sign on the dotted line.

What are rent-to-own homes?

When you own a home, part of your monthly payments goes toward paying off the principal. If you stay in the home long enough, you’ll own it.

The same doesn’t apply to rentals. Your monthly rent solely covers your costs of living in that home, whether it’s a condo, apartment, townhouse, or single-family house.

A rent-to-own home lets you pay rent to live on the property, with the option to buy it when the lease runs out. In some cases, a portion of your rent goes toward the purchase price, but that isn’t always the case.

How does rent-to-own work?

A rent-to-own agreement is essentially a lease agreement with an option to buy. Rent-to-own contracts should be read thoroughly. Those options can vary from one contract to another.

When you sign a rent-to-own contract, you pay an upfront fee called an option fee. This is typically 1 to 5% of the home’s purchase price, and it’s non-refundable.

It’s important to note that a lease does not relieve you of the requirements to buy a house. You’ll still have to qualify for a mortgage and make a down payment. It’s merely a way to buy yourself some time and possibly put some of your rent toward the purchase price of a home.

Lease Option vs. Lease Purchase

Before you sign, pay close attention to the lease agreement you’re signing. There are two types, and one contractually obligates you to buy the property.

Lease Option Agreement

A lease option agreement is the best deal of the two for you, the buyer. You’re signing a lease option contract that merely gives you first rights to the house when the lease is up. If you change your mind, find a better deal, or can’t qualify for a mortgage, you can find somewhere else to live and move your belongings out.

Since the option fee is nonrefundable, it’s important to note that you will lose money if you choose not to buy. Calculate this loss when you’re deciding whether to buy.

Lease Purchase Agreement

Unlike a lease option agreement, lease purchase agreements obligate you to buy at the end of the lease. Since it’s a contract, that means you’re legally obligated to purchase the house.

This can be risky for a couple of reasons. Once you’re in the house, you may see issues you didn’t notice when you were first touring the house. Things could change with the neighborhood or your circumstances that you couldn’t know at the outset.

But the biggest issue with a lease purchase contract could simply be that you aren’t eligible for a mortgage to buy the house. Make sure you know, up front, what penalties or liabilities you’ll face if you can’t buy the house when your lease is up.

Even though both agreements operate differently on your end, they do obligate the seller to give you the option to buy when your lease expires. This puts you in a position to own a home at a predetermined future date, giving you the opportunity to start planning.

Length of a Rent-to-Own Agreement

Rent-to-own contracts start with a lease period that can be up to five years but is usually less than three. The thought is that the rental period will give a renter time to qualify for a mortgage. During this time, you’ll work on building your credit, if necessary, and saving for a down payment.

In some cases, a rent-to-own arrangement could have renewal terms. That means if you reach the end of the lease and want more time, you can extend the lease. With this option, though, the property owner could increase your monthly rent or the purchase price.

Preparing for Homebuying

During your lease term, you’ll make each monthly rent payment in exchange for remaining in the house. But it’s important during that time that you work toward purchasing the house when your time is up. Here are some things to do to boost your chances of landing a mortgage once your lease expires.

Boost Your Credit Score

Your rent-to-own deal requires that you qualify for a mortgage once the term is up. To do this, you will need to meet the minimum credit score requirements. You can get a free copy of your credit report each year at AnnualCreditReport.com, but there are also credit monitoring services that can help you stay on top of things.

Although requirements can vary from one lender to the next, Experian cites the following credit scores as necessary to land a mortgage:

  • FHA: If you qualify, a Federal Housing Association loan will accept credit scores as low as 500.
  • USDA loans: Those who meet the requirements can qualify with a score as low as 580.
  • Conventional loan: Generally 620 or higher, but some lenders require 660 at minimum.
  • VA loans: Eligible military community members and their families can obtain loans with scores as low as 620.
  • Jumbo loan: These loans cover houses at a higher price, so you’ll need a score of at least 700.

Save for a Down Payment

In addition to a good credit score, you’ll need to put some money down on your new home. Down payment requirements vary by loan type, but it’s recommended that you put at least 20% down. That means if you’re buying a $200,000 home, you’ll need at least $40,000 by closing.

There are lower down payment options, but if you choose those, your mortgage payments will include something called private mortgage insurance. This will increase your monthly payment by $30 to $70 per $100,000 borrowed.

If you can’t save up 20%, you may qualify for an FHA loan, which requires as little as 3.5% down. Both VA and USDA loans have zero down payment options, and there are programs offering down payment assistance to those who qualify.

The best part about rent-to-own properties, though, is that some come with rent credits. With a rent credit, a percentage of your rent will go toward your required down payment. Calculate in advance how much you’ll have in that escrow account at the end of your lease to make sure you save enough to supplement it.

What are the pros of rent-to-own?

Rent-to-own homes can be a great option, especially during a tight housing market. If there’s a house you want to buy, but you can’t make a down payment or your credit isn’t where it should be, it could be a great workaround. Here are some of the biggest benefits of rent-to-own agreements.

Rent May Go Toward Purchase Price

Depending on the terms of the rental agreement, renting to own could help you work toward paying for the home. Instead of the full amount of your rent being pocketed by a landlord, a percentage of your rent could go toward the eventual purchase price. Before signing, pay attention to rent credits and try to negotiate the best deal possible.

The Purchase Price Is Locked In

When a landlord agrees to a lease option, the home’s purchase price is written into the contract. That price will typically be higher than what the market says it’s currently worth. This means if the U.S. housing market sees an unexpected increase, you’ll be buying the home for less than its value. Even if the market dips, once you purchase the house and remain there for a few years, you may be able to sell it at a profit.

You’ll Buy Extra Time

For many renters, the rent-to-own period provides time to qualify for a mortgage. If you’ve researched all the options and found you’re close but not quite there yet, a rental period could be just what you need.

Before you choose this option, though, take a look at your circumstances. If substantial existing debt and poor credit mean you won’t qualify, you may need more than the few years you’ll get with a rent-to-own agreement.

No Moving Necessary

Let’s face it. Moving can be a pain. You have to pack everything up, line up a moving truck and get help moving, and unpack your items once you’re in the new location.

With a rent-to-own agreement in place, you skip the hassle of moving. You’ve already been in that home, making monthly rent payments, for at least a couple of years. You’ll simply go through the closing process and switch from rent payments to mortgage payments.

What are the cons of rent-to-own?

If you can get a mortgage, that’s always going to be a better option than renting or leasing to own. But there are some instances where renting without the buy option could be better for you. Here are some things to consider.

Rent-to-Own Home Maintenance

Before you sign any lease agreement, it’s important to read the fine print. One thing to note, specific to own agreements, is who will be responsible for maintenance during the rent-to-own period. If you rent without the promise of eventual ownership, your landlord will take care of those costs. In some cases, rent-to-own agreements require the renter to handle all repairs.

But there’s an upside to handling repairs on your own. To your landlord, the property is technically yours. That means you likely will give it more TLC. Still, it’s well worth it to pay for a home inspection before you agree to a rent-to-own agreement. This will identify any serious issues that will need to be addressed before you buy.

Option Fee

One distinguishing feature of a rent-to-own property is the option fee. This is usually between 1 and 5% of the purchase price and is non-refundable. That means if you don’t ultimately qualify for a mortgage, you’ll lose that money.

Home Values Could Drop

Property values aren’t guaranteed. Your landlord estimates the value of the property, but if you’re in a rising market, you might get that home at a steal. While that’s good news for you, the reverse can happen. If housing prices drop substantially during that time frame, you could find yourself buying a property for more than it’s worth.

Contract Breaches Can Be Costly

Rental agreements are a legal obligation. If you don’t pay your rent, your landlord can evict you and keep your security deposit. But rent-to-own contracts bring an additional level of risk. Missed payments mean you could be evicted and lose all the money you’ve put in. That includes the upfront fee and any rent credit you’ve earned.

All that money will also be lost if you can’t qualify for a mortgage when your rental time is up. These agreements can give you some breathing room. However, if your low credit scores, income, lack of a down payment, or employment situation make you ineligible for a mortgage, you could be searching for another rental while losing everything you’ve paid on the lease-to-own home.

Steps to Buy a Rent-to-Own Home

Once you’ve decided renting to own is the route you want to take, you may wonder what to do next. The following steps can help you ensure you get the best deal in a rent-to-own agreement.

1. Find a Home

This is more challenging than it might sound, especially if you’re looking in a competitive real estate market. Rent-to-own homes are extremely rare, so you may have to find a home for sale and try to negotiate this type of setup.

Typically, homeowners become renters when they can’t sell their homes. This means your rent-to-own contract might be on a home that’s in a less desirable or convenient area of town. For someone whose home has been on the market for a while, being able to collect rent money with the promise of a sale in a few years can be a huge relief.

For best results, find a real estate agent who can help you track down a home and negotiate with the seller. The National Association of REALTORS® maintains a directory of real estate agents, but you can also ask for a referral or find real estate agents nearby who have brokered these types of deals recently.

2. Research the Home

Even if it’s tough to find a lease-to-own home in your area, don’t snatch up the first one you find. Crunch the numbers to make sure the rent and purchase price make financial sense for you. Look at the sale history of the home to verify that the owner’s estimated purchase price is somewhat within what the median home price will likely be when your lease expires.

3. Research the Seller

The seller needs to be looked into as well. This is even more important with rent-to-own agreements since this person will be your landlord for the entire lease period. If you see any red flags during your interactions with the seller, move on.

4. Choose the Right Terms

Before you make a real estate purchase, you would have a closing attorney review the documents. The same goes for a rent-to-own agreement. Run all the paperwork past a real estate attorney to make sure there’s nothing in the contract that will hurt you in the long run.

Your real estate agent should be able to negotiate the best terms for you, including how each rent credit will help you build equity and what happens at the end of the lease.

5. Get a Property Inspection

Any time you make a home purchase, it’s essential to know what you’re buying. The same is true for rent-to-own properties. A home inspector can check things out and make sure you aren’t purchasing a home with serious issues.

6. Start Preparing to Buy

Once you start making rent payments, it’s time to start preparing for your eventual home purchase. Chances are, you’ll have to make a sizable down payment on a home loan, so plan to have that ready. Also, keep an eye on your score with all three credit bureaus and make sure you’ll qualify.

A rent-to-own contract can be a good deal for both the buyer and the seller. It can give you time to save money and improve your credit score. A real estate lawyer should take a look at your contracts and make sure your best interests are protected.

Bottom Line

Rent-to-own homes present a unique option for potential homeowners. This approach offers the opportunity to enter the homeownership arena at a slower pace, allowing individuals to build credit, save for a down payment, and experience living in the home before making a final purchase decision.

However, the rent-to-own path isn’t free from drawbacks. Potential buyers should be wary of unfavorable terms, higher monthly payments, and the risk of losing money if they decide not to buy. Ultimately, like all significant decisions in life, choosing a rent-to-own option requires careful consideration and thorough research.

Frequently Asked Questions

Where can I find rent-to-own houses?

Rent-to-own houses can be found through specialized websites dedicated to these types of listings, local real estate agents familiar with the concept, or sometimes through classified advertisements in local newspapers or online platforms.

Can I find rent-to-own homes on Zillow?

Yes, Zillow does list rent-to-own homes. When searching for properties, you can filter the search results to show only rent-to-own options. However, availability may vary based on the region and market conditions.

How long is the typical rent-to-own contract?

The typical lease term ranges from one to five years, but terms can vary based on the agreement between the homeowner and tenant.

Do I have to buy the house at the end of the lease?

No, the decision to buy is optional. However, if you decide not to purchase, you may lose any upfront fees or additional monthly amounts set aside for the potential purchase.

Can the seller change the purchase price once set?

Generally, the purchase price is fixed in the initial agreement. However, some contracts may have clauses allowing price adjustments based on market conditions.

What happens if the property value decreases during the lease period?

If the home’s value decreases and you’ve agreed on a set purchase price, you could end up paying more than the current market value. It’s crucial to negotiate terms that protect your interests.

Who is responsible for repairs and maintenance?

The agreement should clearly outline these responsibilities. In most cases, the tenant bears the responsibility for maintenance and repairs during the lease term.

What’s the benefit of a rent-to-own agreement for sellers?

Sellers can generate rental income while waiting to sell, often at a premium. It also widens the pool of potential buyers, especially those who need time to improve their credit or save for a down payment.

How do property taxes work in a rent-to-own agreement?

In a rent-to-own scenario, the property taxes are typically the responsibility of the homeowner, as they still retain ownership of the property during the rental period. However, the specific arrangement can vary based on the terms of the agreement.

Some contracts may stipulate that the tenant pays the property taxes directly or reimburses the homeowner. It’s crucial for both parties to clearly understand and agree upon who will cover the property tax obligation before entering into a rent-to-own contract.

If I don’t buy, do I get a refund for the extra money paid?

Typically, the extra money paid above regular rent, often referred to as “rent premium,” is forfeited if you decide not to buy.

Is the rent in a rent-to-own agreement higher than usual?

Often, yes. A portion of the monthly rent may be used for the potential down payment or purchase price, making it higher than the average rent for similar properties.

What’s the difference between rent-to-own and mortgage?

Rent-to-own is an agreement where a tenant rents a property with the option to buy it at the end of the lease. No bank is involved initially, and the tenant isn’t obligated to buy. A mortgage, on the other hand, is a loan specifically for purchasing a property. The buyer borrows money from a bank or lender and agrees to pay it back with interest over a predetermined period.

Does rent-to-own hurt your credit?

A rent-to-own agreement, in itself, doesn’t usually affect your credit. However, if the homeowner reports late payments to credit bureaus, it could hurt your credit score. On the positive side, consistently paying on time and eventually securing a mortgage can benefit your credit.

What is another name for rent-to-own?

Rent-to-own agreements can go by various names, including:

  • Lease to purchase
  • Lease option
  • Rent-to-buy
  • Rent-to-purchase option
  • Lease purchase

Each of these terms represents the concept of renting a property with the potential option to buy it after a set period.

Source: crediful.com

Apache is functioning normally

Apache is functioning normally

The difference between the two travel cards mostly comes down to basic math: As a mid-tier travel card, the Sapphire Preferred has a$95 annual fee, but the Venture X is considered a premium travel card — and has the hefty price tag to match. The Venture X certainly delivers when it comes to luxury perks, but the card won’t be the right choice if you won’t make use of any of those benefits, or aren’t willing to pay for them.

Here’s how to decide between the Chase Sapphire Preferred® Card and Capital One Venture X Rewards Credit Card.

At a glance

How the cards compare

Capital One Venture X Rewards Credit Card

Chase Sapphire Preferred® Card

on Chase’s website

Annual fee

Welcome bonus

Earn 75,000 bonus miles when you spend $4,000 on purchases in the first 3 months from account opening, equal to $750 in travel.

Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That’s $750 toward travel when you redeem through Chase Ultimate Rewards®.

Rewards

  • 10X miles on hotels and rental cars booked through Capital One Travel.

  • 5X miles on flights booked through Capital One Travel.

  • 2X miles on all other purchases.

  • Earn 5X points on travel purchased through Chase Ultimate Rewards®, excluding hotel purchases that qualify for the $50 annual Ultimate Rewards® hotel credit.

  • Earn 3X points on dining, including eligible delivery services, takeout and dining out.

  • Earn 3X points on online grocery purchases (excluding Target, Walmart and wholesale clubs).

  • Earn 3X points on select streaming services.

  • Earn 2X on travel purchases not booked through Chase Ultimate Rewards® .

  • Earn 1X per dollar spent on all other purchases.

Extra benefits

  • $300 annual credit for bookings through Capital One Travel.

  • $100 credit for Global Entry or TSA PreCheck.

  • Get 10,000 bonus miles (equal to $100 toward travel) every year, starting on your first anniversary.

  • Every year, earn bonus points equal to 10% of your total purchases made the previous year. 

  • Up to $50 in statement credits each account anniversary year for hotel stays purchased through Chase Ultimate Rewards.

Still not sure?

Why Chase Sapphire Preferred® Card is better for most people

Lower annual fee

Annual fees for credit cards aren’t inherently bad, and in most cases the more you pay, the more you get. Still, forking over a large fee for a travel card can be a tough pill to swallow. The annual fee for the Chase Sapphire Preferred® Card is several hundred dollars less than the Venture X’s. And when you consider how much value you get for the Chase Sapphire Preferred® Card and its $95 annual fee, many people will find it hard to justify paying hundreds more for another travel credit card.

Better transfer partners

Transfering points to a partner airline or hotel is one of the best ways to squeeze more value out of them. While Chase has fewer transfer partners than Capital One, most travelers will find Chase’s to be more attractive. For example, only Chase partners with United and Hyatt, and Hyatt boasts perhaps the best transfer value at 2.3 cents per point, according to NerdWallet’s analysis.

Capital One also boasts an array of airline and hotel transfer partners, but they are largely foreign brands. Savvy travelers can find outsize value from Capital One’s partners, but many travelers will find Chase’s options more accessible.

Broader rewards structure

The rewards structure on the Chase Sapphire Preferred® Card makes the card more suited for everyday spending than the Venture X. The latter has the potential to earn up to an eye-popping 10x on travel, but you’ll have to book that travel through the Capital One portal. The card earns a respectable 2x on everything.

With the Chase Sapphire Preferred® Card you’ll earn 3x points on dining, including delivery services and takeout; streaming services; and online grocery purchases. If your spending habits sync with the Sapphire Preferred’s rewards structure, you’ll be able to effortlessly rack up points to pay for your next vacation.

🤓Nerdy Tip

By adding another no-fee card or two to your wallet, you can create a Chase Trifecta and supercharge your Ultimate Rewards® earnings. The Chase Freedom Flex℠ earns 5x up to $1,500 per quarter in rotating bonus categories when you activate (1x on everything else), plus 3x at drugstores.

Points worth 25% more

As major card issuers, both Chase and Capital One have their own travel portals through which cardholders can book flights, hotels and car rentals. However, Chase’s Ultimate Rewards® travel portal offers slightly better value. Points are worth 1.25 cents each when used to book through Chase while one Capital One mile is worth 1 cent.

Who might prefer the Capital One Venture X Rewards Credit Card

You want lounge access

True to its classification as a premium travel card, the Venture X grants its cardholders and two guests unlimited access to more than 1,000 airport lounges including Priority Pass lounges and Capital One lounges.

If you want lounge access but prefer Chase’s lineup of credit cards, your only option is the $550-annual-fee Chase Sapphire Reserve®.

You like Capital One’s travel portal

Booking travel through Capital One’s portal is the best way to offset most of the Venture X’s annual fee. Cardholders will receive a $300 annual credit toward travel expenses, which can be used in a single transaction or across multiple purchases. If you don’t mind booking through the portal, the $300 credit plus the 10,000 anniversary points you’ll get each year you renew (worth $100) will cover the entire annual fee of the card.

The Chase Sapphire Preferred® Card offers an annual credit, too, but it’s $50 and only good for hotel bookings through the Ultimate Rewards® portal.

You want trusted traveler program credit

Skipping the line in a crowded airport can be a huge perk, and Capital One Venture X Rewards Credit Card cardholders get a $100 credit for Global Entry or TSA PreCheck. The Chase Sapphire Preferred® Card offers no such reimbursement. Note, though, that you must pay for the Global Entry or TSA PreCheck fee with the Venture X card, and the $100 credit renews every four years, not annually.

Which card should you get?

The Chase Sapphire Preferred® Card, with its reasonable annual fee, top-tier travel partners and access to Chase’s travel portal, is the perfect entree into the world of travel credit cards. Plus, the $95 annual fee can be partly recouped by redeeming the hotel travel credit. Only if you’re after luxury perks and are comfortable paying a triple-digit annual fee should you commit to the Capital One Venture X Rewards Credit Card.

Source: nerdwallet.com

Apache is functioning normally

Apache is functioning normally

Depending on the severity of your symptoms, the Social Security Administration (SSA) may consider asthma a disability. This means you might qualify for Social Security Disability Insurance (SSDI). You might also qualify for work accommodations under the Americans with Disabilities Act (ADA).

How much are SSDI benefits for asthma?

The average monthly SSDI benefit for disabled workers was $1,486.83 as of August 2023

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To determine a person’s monthly SSDI benefits, the Social Security Administration uses a fairly complicated calculation based on the person’s past earnings.

SSDI applicants also usually need 40 work credits (20 of which must have been earned in the 10 years before the disability began) to qualify for benefits. The amount needed to earn a work credit changes every year. In 2023, workers earn one credit for each $1,640 in wages or self-employment income

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What types of asthma qualify for disability?

Because asthma can have several symptoms, “when evaluating asthma, SSA does categorize the disability with a broad use of the word,” says Amanda Bonnesen, managing partner at Berger and Green law firm in Pittsburgh.

“Being diagnosed with asthma does not automatically render an individual disabled,” Bonnesen says. “The condition must impair their ability to work and function, despite all medical options and care.”

The SSA Blue Book provides general terms for what’s covered, but separate medical diagnoses you might see in your medical records that could be covered include allergic asthma, Aspirin-exacerbated respiratory disease (AERD), cough-variant asthma, exercise-induced asthma, nighttime asthma, steroid-resistant asthma and occupational asthma, Bonnesen says.

Jennifer Cronenberg, who is senior counsel and director of legal information with the National Organization of Social Security Claimants’ Representatives, says the SSA will likely consider any form of asthma that prevents an individual from full-time work.

“Some considerations that might come into play are [when asthma causes] time off task, absences, unscheduled breaks, intolerance to dust, fumes and odors and limited stamina,” she says. “While one limitation might not knock out all work, a combination of limitations might leave a person with such limited residual functional capacity that they are unable to perform any competitive, substantially gainful full-time work activity.”

How to apply for SSDI

You’ll need several things on hand when filling out your SSDI application, including:

  1. Your work history, including employer names, dates of employment, a list of previous jobs and information about workers compensation benefits you’ve received.

  2. Medical records, lab and test results and information about your medications.

  3. Contact information for your doctors, care providers and their offices, as well as the dates of your visits.

  4. Information about family members who might qualify for benefits.

The SSA first determines if the application meets some basic requirements for benefits. Then it forwards the case to the Disability Determinations Services office in the applicant’s state. At that point, an adjuster and state physicians make the decision to approve the application.

During that time, you’ll be asked to fill out additional forms regarding your work history and daily functioning. “These forms are imperative, as it is your way to communicate with your adjudicator about your symptoms and daily struggles,” Bonnesen says. You may even be required to undergo an independent medical evaluation.

You can appeal if the SSA denies your application. When that occurs, “the case is transferred to a different adjudicator, and a new and independent decision is made on the previous medical evidence and any new medical evidence provided,” Bonnesen says.

If the SSA denies your appeal, you can hire an attorney and ask for a hearing before an administrative law judge. If you disagree with the judge’s decision, you can request a review from the Social Security Appeals Council. The final option is federal court

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Work accommodations for asthma

People with respiratory impairments can consult the Job Accommodation Network, which is a service of the U.S. Department of Labor’s Office of Disability Employment Policy, for examples of workplace accommodations under the Americans with Disabilities Act. Examples include:

  • Providing air conditioning, heat and dehumidification as needed, as well as a smoke- and fragrance-free environment.

  • Additional rest breaks for fresh air or to take medications as necessary.

  • Alternative work arrangements during certain periods, such as when construction is taking place in the office and it’s causing breathing issues.

  • Removing the need to use stairs or walk long distances to get to your desk

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How likely is it that the SSA will approve my SSDI application?

“The SSDI process can last up to three years before a favorable decision is made,” Bonnesen says. “It’s impossible to provide a likelihood of approval rate, since humans are on the other side of the decision.”

Statistics show, though, that the SSA denies the majority of disability claims it receives

. To set up your case with the best odds, Bonnesen recommends two things.

  1. Maintain care. Refraining from all drug, alcohol and cigarette use during the process and remaining in medical treatment can help, Bonnesen says. For example, establishing care with specialists such as pulmonologists and allergists, undergoing all necessary testing and remaining compliant with all prescribed medications can help improve your odds.

  2. Track your condition. Cronenberg recommends keeping a symptom journal that details things such as how often you use rescue inhalers, how often you have to take breaks after performing simple household tasks, how long those breaks last and if you have to take additional breathing treatments.

Source: nerdwallet.com