Building your own place can be immensely fulfilling. And you should end up with exactly the home you wanted. But you often need a flexible timeline and deep pockets.
How can you finance a land purchase and construction project? Should you even try? Read on to see what your best options could be.
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The cost to build a house
In 2022, a new home in the U.S. cost $392,241 to build on average, according to the National Association of Home Builders (NAHB). However, that excludes the cost of buying and financing the land on which you wish to build. With that added in, you may well be looking at something north of $500,000.
Of course, those costs can vary significantly depending on where you live. Some states and areas have vastly more or less expensive land prices and labor costs. Even the costs of materials can differ across the country.
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Inflation weighed heavily on construction materials in recent years. The following graph from the Federal Reserve Bank of St. Louis suggests price pressures were easing by July 2023. So comparing a friend’s new build from a few years ago may not be a good barometer for new construction now.
Many (probably most) of the homes in the NAHB study were likely built as part of large developments comprising dozens or hundreds of homes. We excluded developers’ costs, such as financing, marketing, sales commissions and profits from the numbers we cited. Large developers also may enjoy economies of scale on labor and materials costs that won’t be open to you on a single project. So, use the NAHB’s figures only as a very rough guide when calculating your own cost to build a house.
Breakouts of the costs associated with each building stage
The NAHB breaks down those average 2022 costs by different elements in the process:
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Site work (fees for permits, impact, inspections, architects and engineers): $29,193
Major systems (plumbing, electrical, HVAC and other): $70,149
Interior finishes (everything to bare-wall finish, including kitchen, bathrooms and appliances): $94,300
Final steps (landscaping, outdoor structures, driveway, clean up …): $23,065
Unspecified others: $6,059
Remember, those are only the elements that make up the average cost to build a house of $392,241. Read on for why your costs could be much higher or lower.
Factors that can change the cost to build a house
An endless list of things can make your home-building project’s costs vary from the average. Some of the biggest include:
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Location — Labor costs and land prices aren’t consistent across the country, with some states and areas significantly more or less expensive than others. Urban settings generally have higher costs than rural ones
Isolation — You may dream of living far from the general public or off the grid entirely, but you’ll likely pay more for materials and labor to travel there
Site conditions — If your construction site isn’t easily accessible for heavy machinery and deliveries, you’ll have to pay for it to be made so. If it’s steeply sloping or hard to excavate, that, too, will add to your costs
Square footage — A sprawling McMansion can cost 10 or 20 times as much to build as a tiny house. The NAHB study says the average home comprised 2,561 sq. ft. in 2022. So, scale up or down from that
Finishes — Will you be importing slabs of Italian marble and several antique fireplaces and fountains from Europe? Or will you rely on Home Depot and your contractor’s trade accounts for your finishes? The price difference could run from the thousands into millions
Amenities — Do you want a pool, firepit, hot tub, home theater, gym, games room, indoor basketball court, and a dedicated gift-wrapping room? Those luxuries will cost extra
It’s good to have an average homebuilding budget as a starting point. But you’re going to have to make a lot of adjustments as your plans evolve.
Ways to finance a newly constructed home
Unless you have serious funds squirreled away, you’ll likely have to borrow to finance the purchase of your land and to pay for your construction project.
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You have a dizzying array of options, including:
Land loans (aka lot loans) — Especially useful if you want to hold the land for a while before developing it
Home equity loans — Borrow a lump sum secured by the equity (the amount by which the value of your home currently exceeds your mortgage balance) in your existing home. You repay in equal installments over a period that you largely set
Home equity lines of credit (HELOCs) — Again, you’ll need plenty of equity in your existing home. You get a line of credit, meaning you receive a credit limit and can draw up to that amount. You pay interest only on your balance so these can be good for short-term borrowing or longer-term projects where costs arise over time
Personal loans — No collateral required. But you’ll typically need an uber-high credit score and very sound finances to get a competitive rate
Construction loans — These short-term loans can be combined with land loans to finance the whole process of getting you into your custom home. You can then refinance both into a new mortgage. Or you can opt for a “construction-to-permanent loan,” which lets you pay for everything with a single closing on your mortgage
For many homebuyers, a construction-to-permanent loan is the obvious choice. Popular ones of these are government-backed, by the FHA, VA or USDA. And that means you need only a small (3.5%) or no down payment. You also don’t need a stellar credit score to get approved.
Who offers these loan types?
There’s no shortage of lenders of home equity loans, HELOCs or personal loans. Nearly all mortgage lenders offer the first two, and plenty of banks and specialist lenders offer the third.
However, land loans and construction-to-permanent loans are a different matter. They’re specialist loans that many lenders — with otherwise wide portfolios of mortgage products — won’t touch them.
But don’t despair! They’re out there. You just have to track them down.
Is building a home right for you?
Building your own home isn’t for everyone. But the advantages of doing so are immense.
Most importantly, you get to choose everything: from the building style and layout, to every detail of the finishes. That means you get a sense of complete ownership that evades many who buy an pre-designed home from a developer.
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But there are disadvantages. First, the cost to build a house is often higher than buying an existing home. Then there’s the hassle. Even if you employ a project manager, there will be endless details that only you can decide upon. And, of course, you could face frustrating delays and cost overruns. If you’re impatient or on a tight budget, you could save a lot of headaches by opting for an existing home.
The bottom line: Cost to build a house
Don’t underestimate the challenges and costs of building a house. But also don’t underestimate the sheer joy of living in a home that’s been custom-built to meet your needs.
It’s like commissioning a tailor-made suit or gown that fits you precisely. You look great and feel comfortable. Of course, this tends to come at a higher price — both the dollar costs and the probability of unexpected budget and timeline changes.
But you have plenty of choices when it comes to financing your adventure. If you’re ready, reach out to a local lender and see what your best loan options are.
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Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations.
The amount of money you need for a down payment depends on the overall cost of the house as well as the type of loan you’re approved for. VA and USDA loans can be as low as 0% while conventional and FHA loans range between 3%and 10%. Jumbo loans typically require a 10%down payment or more.
Buying a home is a goal for many Americans. The consumer and market data experts at Statista expect over 6 million homes will sell in 2023, which is a great sign for the housing market. If you’re one of the millions of Americans planning on buying a home, the first question you may have is, “How much do I need to put down on a house?”
Today, you’ll learn about how much you’ll need to put down before buying a home, and it may not be as much as you think. We’ll also go over how your down payment affects your offer as well as the pros and cons of making a larger down payment to help you make the right decisions before purchasing your dream home.
What Is a Down Payment?
A down payment is a certain percentage of the purchase price that you pay up front to secure a property, and the rest is paid in installments as part of a loan. Buying a home is a major purchase that can be hundreds of thousands or even millions of dollars, and if you’re like most people, you don’t have that much cash lying around. A down payment is much more realistic amount to pay up front, and it also lessens the risk of the lender by showing you’re more likely to have the ability to make your mortgage payments on time.
Do You Need to Put a 20% Down Payment on a House?
It’s a myth that you have to put down 20% when buying a home. A 2022 National Association of Realtors study found that 35% of people believe you need a 16-20% down payment to buy a home, but that’s not the case at all.
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The data collected was from 1989 to 2021, and it shows that the typical down payment was 7% for first-time homebuyers and 3.5% for those getting an FHA loan.
The study also showed that repeat buyers put down an average of 17%, and this is because, based on their experience, they know the benefits of a larger down payment.
Although buyers don’t have to put down 20%, there are a few pros and cons to doing so:
Pros:
Better interest rates: A larger down payment means less risk for the lender and a smaller loan amount, so they charge less interest.
Lower monthly mortgage payments: The overall loan amount is lower, which also lowers the individual monthly payments.
The offer may be more competitive than other potential buyers: A larger down payment makes sellers feel more confident in the sale because it shows you can access more money and make the payments.
Cons:
It’s a lot of money you’ll no longer have access to: It’s always good to have a financial cushion in an emergency, so depleting your savings for a larger down payment may be a risk.
It may take longer to save for a home: The difference between a 5% and 10% down payment on a house can be tens of thousands of dollars, which can take additional years of saving.
You have less money for maintenance, repairs, furnishing, and appliances: Houses have many additional costs aside from the actual home.
You will have to take out Private Mortgage Insurance (PMI) insurance.
Minimum Down Payment Requirements Based on Type of Loan
The minimum down payment for a house can vary depending on which type of loan you’re approved for.
VA and USDA loans: If you’re a veteran or currently active in the military or qualify for a USDA loan, your down payment may be as low as 0%. The USDA loans are for suburban and rural home buyers and have an application process where you must meet certain requirements for the program.
Conventional loans: These loans include loans like HomeReady and Home Possible and can be as low as 3%. These aren’t backed by the government, but they have similar guidelines and sometimes require a minimum credit score of 620.
FHA loans: Federal Housing Administration loans are as low as 3.5%, but for those with bad credit, it may be 10%. To qualify for the lower down payment amount, you’ll need a credit score of 580 or higher.
Jumbo loans: For these larger loans that exceed FHA limits, the down payment may be as low as 10%, but lenders often require more to lessen their risk.
Five Benefits of Making a Larger Down Payment
If you know how much house you can afford and are in a good financial situation, a larger down payment is typically a better option. While 20% may not be achievable, there are still benefits to making a down payment that’s higher than the minimum.
The following are some of the benefits to a larger down payment:
Lower monthly payments: Your monthly payments are divided by what you owe on a home, so a larger down payment will reduce how much you spend each month.
Better interest rates: Interest rates are often higher when a lender is taking on more risk, so they’re lower when the lender is lending less money due to the larger down payment.
Lower closing costs: Lenders charge closing costs as a percentage of the total loan amount, which is less based on the big down payment.
Better equity: Your home’s equity comes from how much of the home you own, and you own more of a percentage of the home with a larger down payment.
Better chance of closing the deal: Sellers feel more confident selling to someone who can put down more cash up front.
How Much Should You Put Down on a House?
How much you put down on a home is going to be different for everybody. Not only will it depend on your personal situation and financial goals, but it will also depend on how competitive you want to be with your offer. When buying a home, there may be multiple offers, and a larger down payment can signal to sellers that you’re able to follow through with closing the deal.
A larger down payment also means less money for other financial goals. In that same study from the National Association of Realtors, they found the second most common source of down payments comes from loans. If you’re already in debt when looking to buy a house, you may want to put down a lower down payment.
Here are some other considerations that may help you decide how much to put down on a house:
How much you should keep in savings: Life is unpredictable, which is why it’s always good to have an emergency savings fund. When deciding on a down payment, it’s helpful to ensure you still have some savings to fall back on in case of emergencies.
Other costs as a homeowner: Some first-time home buyers forget that they’ll have more expenses when owning a home than renting. You’ll be responsible for all of the maintenance and repairs.
Closing costs: The closing costs of a home are a percentage of the loan, so when planning out the down payment, keep this fee in mind.
Down payment assistance options: There are various programs and incentives for home buyers, so you may be able to find down payment assistance options. Also, remember that different lenders may have different rates, so shopping around may help you find a better deal.
FAQ
There are additional nuances to down payments on a home, so we’ve answered some common questions below.
Is It Worth Putting 20% Down on a House?
If you’re in a good financial position and can afford a 20% down payment, there are many benefits to putting that amount down. It can help lower your interest rates and monthly payments and may even help you close the deal with the seller.
Is $10,000 Enough to Put Down on a House?
A $10,000 down payment might be enough for a home. According to the National Association of Realtors, down payments are based on a percentage of a home with an average down payment of 7-17%.
What Is the Normal Amount to Put Down on a House?
The normal down payment amount for a house varies depending on the house’s price and loan type.
How Much Do You Need to Put Down on a 400K House?
The most common type of loan is a conventional loan, and you may put 5% down for a 30-year fixed-rate mortgage. For a $400,000 home, the down payment would be $20,000.
Can You Buy a House Without a Down Payment?
Yes. There are government-backed loans like VA loans or USDA loans that don’t require a down payment if you qualify.
How Your Credit Affects Your Ability to Buy a House
In addition to the down payment for a home, your credit score plays a big role in the overall cost of a home as well as the type of loan you can qualify for. For example, the FHA has credit requirements, and you need a score of 580 to qualify for a 3.5% down payment.
If you’re unsure where you stand with your credit, you can sign up and get your free credit report card right at Credit.com. We also provide additional services through our ExtraCredit® program that can help you monitor your credit score in addition to other features as you get ready to buy a home.
The city meets urban, suburban and rural in one, with the most well-known motor race in the country: The Indy 500. Apart from raceways and government buildings, Indianapolis is home to stunning waterways, unique memorials and a picturesque charm you won’t find in any other city. Indianapolis is altogether her own city and completely unique.
If you’re moving into Indy or just relocating within city limits, you’ll want to examine this list closely. You’ll find the best neighborhoods in Indianapolis for your needs as you try to make that all-important decision on where to move.
Median 1-BR rent: $1,796
Median 2-BR rent: $1,204
Walk Score: 37/100
Not far from Downtown is the bustling neighborhood of Broad Ripple Village. The district is one for relaxed vibes and a community with tons of playgrounds and small businesses where families love to spend their time. Boutiques, galleries, pubs, breweries, pottery schools and other exciting options collect in this eclectic neighborhood, with reasonably priced apartments and plenty of room.
Median 1-BR rent: $1,022
Median 2-BR rent: $1,145
Walk Score: 37/100
If you’re looking for a super-inclusive neighborhood in Indianapolis, then Crooked Creek is the place for you. It’s considered one of the most inclusive areas in the city, with plenty of activities for the whole family, whatever the age. Everyone can find something in one of the best neighborhoods in Indianapolis.
Crooked Creek is in the northwest part of the city in Marion County and offers you plenty of parks and bike trails, horseback riding options and the Juan Solomon Park. Average rent prices are more affordable, too. It’s farther from the center of the city than many of the other popular neighborhoods so you’ll probably need a car living here.
Median 1-BR rent: $1,399
Median 2-BR rent: $1,722
Walk Score: 84/100
Sometimes called the Mile Square, Downtown Indianapolis is a neighborhood for folks looking for an active life. The neighborhood is full of cocktail bars, local festivals and marathons, art exhibits, dining establishments and coffee shops, among others. Because of the incredible revitalization occurring in the area and the booming boutiques and restaurants, Downtown Indy is one of the most popular areas in the city, especially since rent is actually pretty reasonable here.
Median 1-BR rent: $1,022
Median 2-BR rent: $1,145
Walk Score: 37/100
Another historically inclined neighborhood in Indy is Fall Creek. Here you’ll find plenty of historic houses and tree-lined streets for a gorgeous, comfortable community. Nearby parks surround apartment buildings and modern amenities you’ll love.
The neighborhood went through a total urban revitalization in the early 2000s, turning the area into a cozy place where you have access to the rest of the city within minutes and lots of local dining, work and entertainment opportunities.
Median 1-BR rent: $1,250
Median 2-BR rent: $1,425
Walk Score: 77/100
Another popular neighborhood in Indy is Fountain Square. It’s an affordable neighborhood where singles and professionals flock for the European city square vibe at the central fountain and plaza, along with the active nightlife and walkability of the area.
In Fountain Square, you’ll find tons of cozy apartments, single-family homes and duplexes nestled among the popular bowling alleys, billiard halls, bars, comedy clubs, live music venues and ethically-sourced home goods boutiques. Shop for clothing next door, drop into the local brewery or grab Pad Thai or street tacos at the local eateries. This is the perfect makeup of a best neighborhood in Indianapolis.
Source: Rent./E Washington St.
Median 1-BR rent: $1,022
Median 2-BR rent: $1,145
Walk Score: 37/100
Named for Washington Irving, Irvington is a great neighborhood that’s filled with history and encompasses 545 acres overall. The neighborhood originally came to prominence back in 1875 and stayed as the chic spot into the late 1920s, when Butler University grew up around it. Now, the whole neighborhood is kind of a historical small town within the city with many houses on the National Register of Historic Places.
Irvington is friendly and walkable (though not so much for running errands) with plenty of easy streets and parks and green spaces for tranquil living in the middle of the urban area. You’ll find plenty of shopping and dining, as well, in the neighborhood.
Median 1-BR rent: $1,102
Median 2-BR rent: $1,388
Walk Score: 41/100
Residents in Keystone at the Crossing are predominantly renters, and anyone looking for a familiar vibe will find it right here. The neighborhood suits all types of renters, too, with a concentration of jobs and nightlife in one section for the young professionals or peaceful quiet portions for families looking for some chill atmosphere.
Keystone at the Crossing is also a shopping center focused on the favorite Fashion Mall at Keystone. Apartments in the neighborhood are affordable, comfortable and reasonably easy to find, making it one of the best neighborhoods in Indianapolis.
Median 1-BR rent: $1,711
Median 2-BR rent: $1,099
Walk Score: 89/100
Lockerbie Square is one of the city’s oldest surviving neighborhoods. The historic locale is Downtown and known for the residence of Hoosier poet James Whitcomb Riley. The historic district offers surprisingly affordable rent and plenty of gorgeous architecture and cobblestone streets in a highly walkable area.
In Lockerbie Square, you’ll find some Bavarian influence with German heritage events, year-round festivals and celebrations and plenty of biergartens and Bavarian restaurants. There will definitely be crowds in the hood every time there’s the annual German Fest or other German heritage events going on.
Source: Rent./N College Ave.
Median 1-BR rent: $1,022
Median 2-BR rent: $1,145
Walk Score: 37/100
Meridian-Kessler is just 20 minutes from Downtown, offering residents quick, easy access to pretty much anywhere in the city for a lower housing rate than some of the other popular neighborhoods. It’s the perfect blend of urban and suburban for families and young professionals looking for green spaces, quiet streets and easy access to the main part of the city.
The median age of residents in Meridian-Kessler is 25-34, so the neighborhood is active and home to tons of local events, while the gorgeous Tudor-style houses and Craftsman-style cottages are plentiful and affordable. Butler University is just down the street, too, making it the perfect neighborhood for those working at the University or older students continuing their education.
In Meridian-Kessler, you’ll find tons of amazing local shops and restaurants, too, with offerings like short ribs and Latin American fare. You can also find a mix of books, live music, craft beer, vintage clothing and even a bridal expo at the Indiana State Fairgrounds just nearby.
Median 1-BR rent: $750
Median 2-BR rent: $767
Walk Score: 51/100
Near Eastside is one of those areas of town that’s been reclaimed and turned into a hipster hotspot with trendy new restaurants and developments and loads of amenities urban dwellers are looking for. You’ll find super affordable rentals here, along with retail shops, movie theaters, breweries, coffee shops, fining and more. The vibe in this best neighborhood in Indianapolis is definitely younger millennials.
Median 1-BR rent: $1,022
Median 2-BR rent: $1,145
Walk Score: 37/100
Similar to the other “near” neighborhoods, Near North is close to the heart of the city and made up of several smaller neighborhoods starting to find shape in themselves. The Near North is home to century-old houses, tree-lined streets, cultural landmarks and loads of beauty.
Plus, it’s just a five-minute drive (or Uber) away from the core of Indy, where you’ll find any nightlife or shopping you crave if you haven’t already found it here in the Near North.
Source: Rent./Vivio on Tenth
Median 1-BR rent: $1,045
Median 2-BR rent: $1,200
Walk Score: 44/100
The Near Westside of Indy is a cluster of smaller neighborhoods that attract renters looking for affordable housing near the main urban area of the city. Near Westside is just 15 minutes from downtown and offers more spacious areas at a more affordable price than others a little closer to the busiest parts of town.
Near Westside is also convenient to Bloomington, Lafayette, Terre Haute and other nearby college campus towns.
Median 1-BR rent: $1,022
Median 2-BR rent: $1,145
Walk Score: 37/100
North Willow is a super family-friendly area with affordable rent and plenty of choices for folks looking to settle into a cozy neighborhood with or without the kids. You’ll find it within easy access of Castleton and Keystone at the Crossing areas, as well. Plus, of course, the local entertainment and dining you’ll come to love in one of the best neighborhoods in Indianapolis.
Median 1-BR rent: $1,145
Median 2-BR rent: $1,439
Walk Score: 29/100
Old Northside offers its residents and visitors a blend of historic beauty and modern appeal. Restored Victorian homes are common, some of which have landed themselves a spot on the National Register of Historic Places.
The neighborhood is a few minutes away from IU Health Methodist Hospital, making it the perfect location for folks working there. You can choose from single-family homes with yard space, condos, apartments and more. Old Northside is also home to Indiana’s first-ever gay bar and is the most LGBTQIA+ friendly neighborhood in the city.
In the neighborhood, you’ll be able to visit the Benjamin Harrison Presidential Site and check out local artists at the Harrison Center. You can also participate in regular art events, take a job on the Monon Trail or enjoy the thriving nightlife in the area. Most folks do recommend a car for residents here.
Source: Rent./The Block
Median 1-BR rent: $1,022
Median 2-BR rent: $1,145
Walk Score: 37/100
Some cities have a warehouse district. Indy has the Wholesale District.
Here you’ll find the shimmering lights of theater marquees and elegant soirees, where doormen welcome residents. Circle Centre mall makes way for shoppers, who fill the neighborhood with bustling expectations and a thriving art scene.
Find the best Indianapolis neighborhood for you
You’ve come to the right place to find the best neighborhoods in Indianapolis! With condos, townhouses and single-family apartments for rent in Indianapolis, you’re sure to find the right spot for your lifestyle, be that calm and cozy or hip and happening.
The rent information included in this article is based on a median calculation of multifamily rental property inventory on Apartment Guide and Rent. as of November 2021 and is for illustrative purposes only. This information does not constitute a pricing guarantee or financial advice related to the rental market.
Ready to buy a home? Whether you’ve already found your dream home or you’re just starting the process, one thing’s for sure—you’ll probably need a home loan. But before you start looking into mortgages, you might need to give your credit score a little evaluation. You need a decent score to get a decent mortgage, but what’s the minimum credit score for a home loan?
The short answer? It depends on a lot of things. If you’re ready to start looking for home loans, but aren’t sure if your score is up to par, we’re to help. Keep reading to learn if your credit score is mortgage-ready.
A Quick Look at Minimum Credit Scores for Mortgages
Mortgages are complex forms of financing, so a lot of factors come into play when you’re applying. Find out more about the minimum credit requirements for these types of loans—and why your credit score even matters—below.
Why Does Your Credit Score Matter for a Mortgage Loan?
Your credit history tells a financial story about you. It lets mortgage lenders better understand whether you’re reliable, how likely you are to pay off your debt and whether your debt-to-income ratio is low enough to allow you to cover your current debt obligations in addition to a new mortgage payment.
If you have bad credit, you may look like a risky investment to potential lenders and you’ll be less likely to get the approval. Or, if you do get approved, you may be required to pay higher interest rates than individuals with a better credit score might pay.
Luckily, you can still get approved for a home loan even with a lower-than-average score. That’s because your credit score is critical, but it’s not the only factor lenders consider. Plus, different types of loans come with different requirements, so you don’t always need a good credit score to qualify.
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What Credit Score Do You Need to Get a Mortgage?
As stated above, the required credit score really depends on what type of loan you’re looking at. Let’s break it down a bit, defining these types of loans, so you can understand more about mortgages and some of your options.
Credit Requirements for Conventional Mortgage Loans
Conventional mortgage loans are not backed by a government entity. They’re offered via private lenders, including banks and mortgage companies. Typically, you need good credit to qualify for a conventional mortgage. For this purpose, that’s considered to be 640 or higher.
However, if you fall slightly short of that mark, you might still be able to find a lender if your payment history, debt-to-income ratio and other factors are positive. Ultimately, lenders need to know that you’re likely to pay your mortgage as agreed and that you also have the resources to do so.
Credit Requirements for Government-Backed Mortgage Loans
Credit requirements for government-backed loans get a bit more complex. Since these loans are all or partially backed by federal government agencies, lenders may approve you even if you don’t have good credit. However, that doesn’t mean everyone gets approved. Here are some basics about eligibility and minimum credit score requirements for various government-backed mortgage types.
Credit Score Requirements for USDA Loans
These loans are partially backed by the federal government and are available to individuals buying qualifying suburban or rural homes. USDA loan lenders must conduct a thorough review of an applicant’s credit profile. Here are just some of the rules they must apply:
If three credit scores are present, they take the middle one. If two credit scores are present, they take the lowest one. If only one or no credit score is present, the lender must do a credit analysis and obtain alternate credit verification.
The credit score must be based on at least two trade lines (open accounts) that were active at least 12 of the past 24 months. In short, if you don’t have much credit or you haven’t dealt in credit for years, you may have a challenge getting approved.
There must be no significant delinquencies or collection accounts.
Credit Score Requirements for VA Loans
VA loans are available to eligible veterans and their families and are backed by the Department of Veterans Affairs. They don’t require a down payment or private mortgage insurance. The VA does not establish minimum credit score requirements and requires lenders to conduct a comprehensive credit analysis.
VA loans don’t have maximum debt ratios, but the lender has to provide compensating factors that prove they can pay the mortgage if their debt-to-income ratio is more than 41%. Veterans who borrow without a down payment may be limited to mortgages of $453,100 or less.
Credit Score Requirements for FHA Loans
FHA loans are backed by the Federal Housing Administration and are seen as a lower risk by lenders because they’re government-backed loans. This option is a common choice for anyone who qualifies as a first-time home buyer because of its relatively low minimum credit score requirements.
Credit score requirements for FHA loans are:
580 or higher for maximum financing—this means you wouldn’t need a down payment or could have a very small down payment, depending on other factors.
500 or higher for partial financing—this means you’d need at least some down payment orwould need to buy a house for less than it was worth.
You can’t get approved for an FHA loan with a credit score less than 500. Other factors do impact approval, such as your payment history, income and debt level.
Do You Need Good Credit to Refinance Your Mortgage?
A refinance is still a mortgage, so yes, you typically need good credit to get approved for one. Many of the minimum credit scores for home loans above apply to refi loans too. One benefit you get when refinancing is that you may owe less than your house is worth. That could reduce the need for down payments and even help you access better interest rates because the lender has less risk in making the loan.
Has COVID-19 Impacted Mortgage Credit Requirements?
Yes, COVID-19 has impacted minimum credit scores for mortgages. These changes are typically made by each bank. In the early months of the pandemic, uncertainty led many banks to drastically reduce home loans or even put them on hold. For example, in April 2020, JPMorgan Chase changed credit requirements to at least a 700 credit score with a 20% down payment.
However, falling interest rates and improved economic factors caused many banks to loosen requirements in the later months of the pandemic and into 2021. Ultimately, you’ll need to do your research when you’re ready to apply for a mortgage loan to find out what options you might qualify for.
What You Can Do Now
First, check your credit score. You might consider signing up for ExtraCredit. You’ll get access to 28 of your FICO scores—and you’ll see the credit scores that mortgage lenders see. ExtraCredit also has features such as Build It to help you positively impact your credit score if you need to boost it before applying for a mortgage.
Once you have a credit score that’s above 640—or, even more optimally, above 700—you can start shopping for mortgage loans and good rates. And remember that if you do get approved, your credit score also impacts your interest rates. Always ensure you know what your mortgage is going to cost you each month and over the life of the loan.
In the United States, it’s illegal to drive a car without car insurance. Depending on the state you’re driving in, the consequences of doing so can range from a fine to a misdemeanor on your record. So, if you’re planning on hitting the road anytime soon, be sure to purchase car insurance to avoid penalties.
In this article, we’ve researched the average cost of car insurance by state to give you a better idea of how much to budget.
Key findings:
According to AAA, the national average cost of car insurance for a full-coverage policy was $1,588 in 2022.
On average, the cheapest states for full coverage car insurance are Ohio, Maine and Idaho, while the most expensive states are Florida, Louisiana and Michigan.
USAA, Geico and State Farm offer the cheapest minimum coverage plans, while USAA, Geico and Nationwide offer the cheapest full-coverage insurance.
The average cost of car insurance tends to decrease with age, but starts to rise again around age 70.
Individuals with high credit scores pay lower car insurance premiums on average compared to those with poor credit.
How much is car insurance?
According to AAA, the national average cost of car insurance for a full-coverage policy was $1,588 in 2022. This figure is based on an under 65 years old driver who lives in the city or suburbs, has over six years of driving experience, and has not been involved in any accidents.
Average cost of car insurance by state
When calculating the cost of car insurance, the state you live in plays a role in how much you can expect to pay. This is because factors like population density, climate, road conditions and crime rate in your area can play a part in the likelihood that you’ll file a claim.
According to insurance.com, the cheapest states for car insurance if you’re looking for minimum coverage are Iowa, South Dakota and Wyoming costing an average of $263, $267, and $293, respectively. Meanwhile, the cheapest states for full coverage auto insurance are Ohio ($1,023), Maine ($1,116), and Idaho ($1,121).
The most expensive states for car insurance in terms of minimum coverage are New Jersey, Florida, and New York where drivers pay an average of $989, $908 and $875, respectively. For full coverage insurance, drivers in Florida ($2,560), Louisiana ($2,546), and Delaware ($2,137) pay the most in the country on average.
State
Minimum coverage
Full coverage
AK
$336
$1,359
AL
$420
$1,542
AR
$422
$1,597
AZ
$494
$1,617
CA
$582
$2,115
CO
$467
$1,940
CT
$773
$1,750
DE
$821
$2,137
FL
$908
$2,560
GA
$567
$1,647
HI
$389
$1,306
IA
$263
$1,321
ID
$326
$1,121
IL
$484
$1,578
IN
$384
$1,256
KS
$389
$1,594
KY
$717
$2,105
LA
$726
$2,546
MA
$523
$1,538
MD
$607
$1,640
ME
$330
$1,116
MI
$711
$2,133
MN
$479
$1,493
MO
$525
$2,104
MS
$434
$1,606
MT
$389
$1,692
NC
$396
$1,368
ND
$340
$1,419
NE
$350
$2,018
NH
$411
$1,307
NJ
$989
$1,901
NM
$376
$1,505
NV
$683
$2,023
NY
$875
$2,020
OH
$308
$1,023
OK
$352
$1,797
OR
$551
$1,244
PA
$398
$1,445
RI
$648
$1,845
SC
$628
$1,894
SD
$267
$1,581
TN
$368
$1,373
TX
$520
$1,875
UT
$526
$1,469
VA
$469
$1,321
VT
$306
$1,158
WA
$505
$1,371
WI
$375
$1,499
WV
$474
$1,610
WY
$293
$1,736
Average cost of insurance by company
Another factor that’s going to influence how much you can expect to pay for car insurance is the specific company you purchase your plan through.
According to U.S. News & World Report, USAA, Geico and State Farm offer the cheapest minimum coverage plans, while USAA, Geico, and Nationwide offer the least-expensive full-coverage insurance.
Farmers, Progressive, and Nationwide offer the most expensive minimum coverage rates while Allstate, Farmers, and Progressive offer the most expensive full coverage plans.
Insurance company
Minimum coverage
Full coverage
Allstate
$1,961
$2,138
American Family
$1,327
$1,388
Farmers
$1,782
$2,059
Geico
$1,064
$1,238
Nationwide
$1,347
$1,338
Progressive
$1,440
$1,650
State Farm
$1,191
$1,348
Travelers
$1,290
$1,448
USAA
$948
$1,056
Average cost of insurance by age
According to CarInsurance.com, the cost of both minimum and full coverage car insurance tends to decrease with age, as seen in the chart below. However, there is an uptick around age 70 where rates start to go back up.
Age
Minimum coverage
Full coverage
20
$1,109
$3,532
30
$539
$1,785
40
$520
$1,682
50
$496
$1,581
60
$482
$1,511
70
$554
$1,661
Average cost of insurance for young drivers
Young drivers are the most expensive age group to insure. Although there are a few exceptions, insurance rates decrease with age among young drivers.
Age
Minimum coverage
Full coverage
16
$2,402
$7,203
17
$1,971
$5,924
18
$1,706
$5,242
19
$1,234
$3,874
20
$1,109
$3,532
21
$884
$2,864
22
$794
$2,593
23
$736
$2,415
24
$690
$2,267
Average cost of insurance by credit score
According to the Insurance Information Institute, your credit score is a good indicator of how many insurance claims you’ll file. As a result, insurance companies use credit scores to determine risk, and those with a good credit score pay cheaper premiums. The Zebra found that individuals with poor credit pay approximately 114% more than those with great credit.
Credit score
Average annual rate
Very poor (300-579)
$2,887
Average (580-669)
$2,296
Good (670-739)
$1,912
Excellent (740-799)
$1,606
Exceptional (800-850)
$1,350
What factors affect your car insurance rate?
As you can see from the above charts, the cost of car insurance varies by the following factors:
Age: Typically, young drivers under the age of 25 and senior drivers over the age of 65 are charged more for car insurance.
State of residence: Since the minimum coverage required varies by state, your location is one of the factors that will influence the price.
ZIP code: In addition to your state of residence, your ZIP code will also play a role in the cost of insurance since your vehicle is more likely to be damaged in certain areas, such as ZIP codes with high crime rates. Typically, the cost of car insurance will be greater in cities than in rural areas.
Marital status: Statistically, married drivers are less risky than single drivers resulting in a lower insurance cost.
Gender: Based on risk, male teenage drivers tend to have the highest cost of car insurance of any demographic.
Credit history: Those with a low credit score tend to pay higher premiums than individuals with good credit.
Driving record: Since car insurance premiums are based on risk, individuals with a good driving record can expect to pay lower premiums, while those with a poor driving record may experience increased rates.
Car make and model: You may pay less if you drive a vehicle that insurance companies deem safe. On the other hand, you’re likely to pay more if you drive a small sports car since they pose a higher risk.
Mileage: Higher annual mileage increases the risk you’ll get into an accident and will likely raise your premiums.
High-risk violations: Driving under the influence andat-fault accidents are examples of violations that may result in you being considered a high-risk driver.
What’s the difference between full and minimum coverage?
Minimum coverage car insurance — liability coverage — is required in most states and is used if you’re at fault in an accident. This coverage will pay for damages and injuries of the other party when you’re responsible for the incident.
On the other hand, full coverage insurance, or collision coverage, includes liability coverage plus damage caused to your own vehicle. Keep in mind that lenders often require you to obtain full coverage insurance before you get an auto loan.
FAQ
Below, we’ve answered some common questions regarding the cost of auto insurance.
Can my driving record affect my car insurance rate?
Your driving record is one of the factors that affects your car insurance rate. As a result, those with traffic violations or accidents on their record can expect to pay higher premiums.
Does your car insurance cost go down after you pay off your car?
Your care insurance cost doesn’t typically go down after your pay off your car. However, you do have the option to decrease the amount of coverage on your vehicle once it’s paid off.
Which car insurance company is the cheapest?
As mentioned above, insurance companies that offer the cheapest plans include Geico, Auto-Owners, USAA and Erie.
Does car insurance decrease annually?
For young drivers in particular, car insurance rates decrease each year you renew your policy without filing a claim. You can expect to see the biggest drop in price at age 25.
The average cost of car insurance varies by factors including state, age, insurance company and credit score. Some factors, such as your age, are beyond your control, but other factors, such as your credit score, can be improved.
Check your credit score for free today to see if it’s a reason your car insurance is high.
Past Ginnie Mae president Ted Tozer has argued that the FHA should lower or completely eliminate its current 3.5% down payment requirement.
He discussed the controversial take during a Community Home Lenders of America Roundtable in Washington, D.C. earlier this week, per Inside Mortgage Finance.
This isn’t the first time he’s floated the idea of turning the FHA home loan program into a zero-down-payment program.
In the past while arguing this same position, he noted that the Bush administration even proposed such a change all the way back in 2004.
The question is does this invite more risk at a time when home prices and mortgage rates are already out of reach for most?
Most FHA Loan Borrowers Need a Minimum 3.5% Down Payment
At the moment, FHA loan borrowers need to scrounge up 3.5% of the purchase price when buying a home, assuming they have a 580 FICO score.
Those with scores between 500 and 579 need at least a 10% down payment.
While this is seemingly a pretty low bar, it still acts as a roadblock for many prospective home buyers, especially low-income borrowers with little savings.
According to a semi-recent Federal Reserve study, the average American household had about $42,000 in savings.
But if you break it down by age, those under 35 only had $11,250 and those 35 to 44 only about $28,000.
A home purchase, even with a small down payment, could easily wipe out these accrued savings. And remember that these numbers are an average.
Many households have much less, which is why they’re probably still renting if their desire is to own.
Tozer has argued that after accounting for rent, taxes, food, utilities, and other necessities, prospective first-time home buyers have little left to save for a down payment.
The FHA Minimum Down Payment Was Increased in 2009
If you recall, the FHA Modernization Act of 2008 resulted in the FHA minimum down payment rising from 3% to 3.5%.
It also banned seller-funded down payment assistance, which correlated with much higher default rates on FHA loans.
Ironically, these types of loans resulted in a near-$5 billion loss for the FHA and put the entire program at risk.
Around that time, some lawmakers argued for even higher down payment requirements, such as a minimum of 5% down. That didn’t happen.
Back then, the big argument was about having skin in the game, as those with little invested had no problem walking away from an underwater mortgage.
That’s why the timing of this idea is a bit of a head-scratcher, with home prices at/near all-time highs and mortgage rates more than double their early 2022 levels.
While it isn’t quite 2006 all over again, there has been a lot of speculation in the housing market and prices are certainly not cheap.
The saving grace is that most homeowners hold boring old 30-year fixed-rate mortgages at ultra-low rates this time around.
And zero down loans are generally few and far between, other than homebuyer assistance offered by some state housing finance agencies (HFAs).
What’s the Argument for a 0% FHA Loan Today?
At the moment, you need a minimum 3.5% down payment to obtain an FHA loan, slightly more than the minimum 3% required on conventional loans.
Interestingly, you used to need 5% down to get a conventional loan before they introduced 97% LTV offerings in 2014.
This 3.5% is also significantly higher than what’s required for other government-backed home loans.
Tozer pointed out that both VA loans and USDA loans don’t require a down payment (100% financing OK!).
The thing is those loans are reserved for members of the military or those buying in rural areas, respectively. Conversely, FHA loans are much more widely available.
Regardless, he argues that underwriting should focus on a borrower’s credit history as opposed to the down payment.
But if we recall from the prior mortgage crisis, credit scores got a big share of the blame for the sharp rise in defaults.
So relying on credit score alone might not be the best policy either. While defaults certainly rise as credit scores fall, a holistic approach is best when formulating underwriting standards.
This means looking at layered risk, such as credit score, down payment, DTI ratio, employment history, and more.
The Skin in the Game Is the Cost to Relocate
As for skin in the game at zero down payment, Tozer said the skin is the cost to move.
In other words, once low- and moderate-income homeowners move in, it would cost them way too much to relocate.
And this is apparently what would keep them there. While that might be true, would they continue making payments?
Tozer’s proposal is unlikely to materialize as it would require Congress to act at a time when housing supply is already dismal and affordability historically low.
However, there is other proposed legislation that would offer 100% financing to first responders who need a mortgage, via the HELPER Act of 2023.
In the meantime, other options already exist to get an FHA loan with zero down.
As noted, many state HFAs have programs that offer deferred-payment junior loans that cover the down payment and even the closing costs.
There are also private lenders that offer FHA with zero down, such as the Movement Boost from Movement Mortgage, which relies on a repayable second mortgage.
So options already exist without the need for an across-the-board elimination of the FHA’s down payment requirement.
Here’s how this social worker has paid off $28,000 of student loan debt in 15 months.
Today, I have a great debt payoff progress story to share from Taylor. Taylor is a social worker who is working on paying off $277,000 of debt and retiring early. She shares tips on how she is cutting her expenses, the ways they’ve increased their income through various side hustles, house hacking advice, and how she qualified for an $88,000 student loan award.Enjoy!
Now, don’t let the title deceive you into thinking we are debt free; we most certainly are not.
As of this writing, we still have $251,195.39 of debt (all student loans).
This is our story about the debt payoff strategies we used in paying off $28,026.02 of debt and our goals for the future!
Who are we?
My name is Taylor, and I am a 29-year-old medical social worker who finished grad school in 2018. I am also a part-time social media coordinator and with both jobs combined, I make $96,000 (gross).
I live with my husband, Bret, who I have been with for 11 years and married for 3. He is a full-time student and has been in grad school since September 2020 (he has about 2 more years left). We love to travel, try new restaurants, hang out with our friends and family, and just have a good time.
I also have a blog at Social Work to Wealth.
Related articles:
How did we get here?
First, I need to give you some background before we get into the nitty gritty of our debt numbers and payoff strategies.
2012: We met when both of us were in college. I was 18 and Bret was 22. Soon after we met, Bret took a few years off from school while I finished my bachelor’s. I relied entirely on student loans, and don’t remember applying to any scholarships. When Bret returned to school to finish his bachelor’s, he did receive some scholarships and worked a summer job to pay forhousing but still needed to rely on student loans to pay the bulk of his tuition.
I will speak for myself when I say I didn’t take the time to calculate how much loan money I actually needed and blindly accepted the total amount. Looking back, maybe I would have needed it all or maybe not, but I wish I would have at least done the exercise.
We have always been open with talking about our debt and money in general, but I remember us both expressing the thought that we would probably always have our student loans. We would just live our life, pay our minimum payments, and that would be that. There was never any talk about debt payoff strategies, or any money management strategies, really.
We went through many life transitions. Living apart for two years while I went to grad school, him returning to school to finish his bachelor’s, various jobs, and a post-bach program.
2019: Bret was finishing up his post-bach program and got accepted into grad school. We were newly engaged and began planning and saving for our wedding scheduled for July 11th, 2020. Such exciting stuff!
March 2020: We got the news our wedding venue was closing for the foreseeable future due to the COVID-19 pandemic, and we decide to cancel our wedding. We switched gears and used the money we saved for a down payment on a new home. Then, we had a small intimate wedding featuring a hot-air balloon with 18 of our closest family members! We personally saved a ton and also had tremendous help from our family.
September 2020: I start a new job and Bret starts grad school. We are newlyweds and settling into our new home in a new city.
I wish I could talk more about 2020 because it was a HUGE year for us with buying a home, moving, getting married, Bret starting grad school and me starting a new job, but that’s a conversation for another day!
Our wedding
From frugal to spenders
When we were saving for our wedding, we were very frugal. Any extra money we had, we put toward our wedding savings (which again, ended up being used for the down payment on our house and a smaller wedding ceremony).
We went from frugal to swiping our cards left and right to prepare for our wedding and furnish our house. It was sooo nice to finally be able to spend the money we had been saving for so long! But this continued into 2020… and 2021…
We were mostly spending on eating out and experiences. We do like to buy “things” but we definitely value food and experiences a lot more. We even decided to put a trip to Hawaii on our credit card costing us around $5,000, along with other expenses, because why not? We deserved it!
We didn’t have much of a budget, our bills were getting paid, but the credit card bill kept increasing. Since I was the only one bringing in income, we took out some student loans to help with a portion of our living expenses. And the credit card bill continued to increase.
The “wake-up call”
The “wake-up call” is such a theme throughout many debt payoff stories. So, here’s mine.
I went to breakfast with two friends in December 2021, and one of them brought up high-yield savings accounts (HYSA). I had never heard of this type of account before and was shocked to learn that these savings accounts had a way better interest rate than a regular savings account.
How was I just hearing about this at 28 years old? My mind was blown!
I thought, what else don’t I know? So of course, that led me to deep dive into the world of personal finance. I consumed any book, video, blog, or podcast I could get my hands on. I read stories after stories of people paying off thousands of dollars’ worth of debt, leveraging credit card points for free travel, investing, and so much more!
It was so motivating. I was hooked! (And still am.)
Bret was open and willing for me to share with him what I was learning. We started realizing that for the last year and a half, we hadn’t been telling ourselves “No”. We had just been buying whatever we wanted, and we had the credit card bill and no savings to show for it.
We learned that we could pay off all our debt and it didn’t have to stay with us forever. We learned there was a way to use a credit card responsibly (we thought we were). We learned that we could even retire early. That one sounded real nice! We dreamed of having more time doing our hobbies, traveling and being with our friends and family. And if we ever had kids, we dreamed of being able to work part-time so we could be home more with them and available for school activities.
Knowing this, we started reining in our spending, trying to just be more “mindful”, but no major change was made.
We take on more debt
April 2022: People in our neighborhood were getting new fences. We started thinking, “Hey, we need a new fence, too…” In some areas it was broken, it hadn’t been stained so was rotting, and was 15 years old. We were also going to get an updated appraisal to see if we could get our primary mortgage insurance (PMI) removed after just two years of owning our home and thought a new fence might help.
A coworker told me she was using a home equity loan to buy a fence and to do some other home renovations. We investigated options and ended up opening a $20,000 home equity line of credit (HELOC) instead with about a 4% interest rate. We buy our fence which ends up being about ~10,000 and we were set on it…
The second “wake-up call”
When it was all said and done, we loved our fence. We still love our fence, it’s beautiful! (And it better be at that price!) We stained it and we believe it will last us for many years.
But we start talking again about our debt and how we probably didn’t need this fence right now. We know we didn’t need this fence right now. Our PMI was removed, and it could have maybe happened even without the fence. Who knows.
We began thinking we need to make some serious changes in the way we manage our money. We need to do more than just be “mindful” about our spending. We make a real plan. We plan to make an actual budget, stop taking on unnecessary debt, and take a break from using our credit cards for the foreseeable future.
May 2022: Beginning of our debt payoff journey
Since we were serious about our new money management changes, I documented how much debt we had so we could track our progress.
$277,721.41
Here was the breakdown:
$260,390.25 in student loans, Bret & I’s combined – various interest rates
$10,676.24 HELOC – 4% interest rate
$5,430.76 is from credit card spending – 4% interest rate*
$449 for furniture – 0% interest rate
$775.16 for Peloton bike – 0% interest rate
*We moved our credit card debt to our HELOC since our credit card was around a 25% interest rate.
July 2023: Current debt numbers
Our current debt balance is $251,195.39, * which are all student loans.
We have paid off a total of $28,026.02 of debt!
*Our current balance will increase to ~$255,000 once Bret gets his final student loan disbursement (more on that later).
I want to also mention that we do have our mortgage, but we aren’t trying to pay that down as quickly as possible for a few reasons: we have a 3% interest rate, we don’t plan on this being our forever home, and one day we might rent it out or sell it.
Actions that helped us pay off $28,026.02 of debt in 15 months
We found a budgeting method that worked for us
We realized we could live off my income alone and not take on anymore debt, but we would have to have a somewhat rigid budget.
Finding a budgeting method that worked for us took some time. I don’t know how many times over the years I have tried to track my expenses in a budget app or an excel sheet, only to find out it was too overwhelming and that I was still overspending!
I am a visual person and learned about the envelope budgeting method, so we decided to give that a try, but use a digital variation.
So, for our entire money management system we have 4 checking accounts and 2 savings accounts (short-term and emergency fund). Our checking accounts include bills, food and miscellaneous, and two personal spending accounts.
This may seem like a lot of accounts to some, but it has worked tremendously for us. I love having a separate account for each major category in our budget so I can easily see how much money we have left in a certain category without having to add every expense into an app or Excel spreadsheet. We are joint owners on all of these accounts.
We then use the zero-based budget method to determine how much goes into each account.
We do have multiple cards to manage, but the pros VERY MUCH outweigh the cons here.
And with our own spending accounts, we have a certain amount of money allotted to us each month, so we individually have some spending freedom. We don’t have to feel guilty and know this money is set aside specifically for our personal spending.
Cut expenses and increased our income
I know some people are tired of hearing about this recommendation, but it’s something that really did help us! We reined in our spending a bit but mostly we had to increase our income. At a certain point, there wasn’t much more to cut.
We didn’t have many streaming services, started to limit our eating out, we didn’t have car payments, and we meal planned and prepped. We did (and still do) aaalll the things. We had to increase our income somehow.
Ways we increased our income
My income increase
I continued with my second job as a social media manager and then started dog sitting.
I have been dog sitting for about 5 years and have primarily used the Rover platform to list myself as a dog sitter. I like this app because it’s easy to use and I can specify various services to offer (e.g., house sitting, boarding, drop in visits, day care, or dog walking).
It also allows me to mark which days I am available and then people reach out to me if I seem like a good fit and my availability matches with their needs! Setting up my profile took some time, but now that it’s done, everything else is fairly low maintenance.
I now just have to respond to inquiries in a timely manner and set up a meet and greet if it seems like a good fit.
I currently only offer house sitting and on Rover and I charge $65/night. Rover takes a cut, so I end up pocketing $52. I also have private clients who pay me directly, and I have gotten those by referrals from past Rover clients. I charge my private clients $40/night.
I recently increased my rates on Rover and have been slow to increase my price with my private clients because they’re loyal.
I don’t make a ton of money dog sitting, but I am able to make a couple hundred dollars a month. My schedule is very limited, but there are people with better availability who make significantly more than I do!
I love animals and we don’t have any due to our sporadic work schedules, so it’s a great way for me to spend time with pets and get paid, too!
Bret’s income increase
Last year, Bret decided to take a break from grad school and soon after, he was offered a summer job in Alaska.
When we first started dating, he used to spend almost every summer there working for a family who owned a set-netting fishery. His uncle had spent many summers in Alaska working for this family and one summer brought Bret to work with him. They would catch salmon and sell it to a buying station in their area.
He went up there for about 6 summers in a row, until he got too busy with school and couldn’t go anymore.
He hadn’t been to Alaska in over 5 years, but someone who worked for the buying station remembered Bret, called him, and asked if he’d be interested in working at the buying station! Since he was already on a break from school, he said yes and worked up there for 8 weeks.
We were able to put every paycheck he earned towards our debt because we could manage all our expenses on my income alone. It was also a great way for Bret to spend part of his summer and I was finally able to visit as I never gotten the chance in previous years.
House hacking
We also started house hacking! We had a spare bedroom and bathroom I would use for my office and occasionally, for guests. A friend of mine and her husband are really into the real estate space and gave us the idea to rent it out.
We weren’t comfortable with the idea of having a long-term roommate, and with both of us working in healthcare, we knew there was a need for short-term and furnished housing for travelling healthcare professionals.
For us, short-term meant renting for 1-6 months, but we were open to individuals staying longer if it worked well for everyone involved!
Some questions we had to address before renting:
Did we need a permit?
How much should we charge for the deposit, rent and pets?
What furniture and amenities are important for travelers?
Where should we list the room?
How to create a lease agreement?
In our county, we did not need a permit to rent out the room if we were renting for at least 30+ days at a time.
After researching rental prices in our area, I found rooms that were of similar caliber listed for $1,100 per month or more. We wanted to be competitive and so we initially settled on $900 per month and have steadily increased it. We have now landed on $995 per month which includes all utilities and internet.
We set the deposit at $995, with an additional $300 for a pet deposit, and no ongoing pet rent.
We wanted to upgrade the furniture in the room and IKEA was a great place for us to find affordable, durable, and aesthetically pleasing furniture. We made sure the room had a bed, large dresser, bedside table, and we kept my desk in there too.
I read it’s important for travelers to have their own TV available so they can unwind in their room. We were able to find a decently priced smart TV off Facebook Marketplace.
Furnished Finder is where we decided to list our room, which started out as a platform for traveling nurses to find furnished housing. It is now used heavily by many healthcare professionals, students, and professionals in other fields.
Travelers reach out to us through the Furnished Finder website and if the dates work out, we move forward with scheduling a video interview. It’s important for us to be able to talk to the person, even if it’s just over video, and we want them to see our faces and home in real time as well.
For the lease agreement, we used ez Landlord Forms, because they have leases for each state with specific information on what’s required to include.
We don’t ask for anything major from tenants. The most important things to us are that they are respectful of our space, don’t smoke in the house, and pay their rent on time. We also added a page at the end for tenants to add two emergency contacts in case we need to call someone on their behalf.
We have had 4 renters so far with the room being occupied for 13 out of the last 14 months. It has really helped us with our debt payoff goals and we have also met some awesome people through the process! We plan to continue renting it out for the foreseeable future.
Applied for in-state student loan help
My state offered a program called the Oregon Behavioral Health Loan Repayment Program where they help minorities in the behavioral health field, or those who serve them, pay back their student loans.
This program is funded by The Behavioral Health Workforce Initiative which has the goal of recruiting and retaining behavioral health providers who, “Are people of color, tribal members, or residents of rural areas of Oregon, and can provide culturally responsive care for diverse communities.”
To apply, I had to show I was employed and actively providing behavioral health services and give them detailed documentation about my student loans. I also had to answer two essay questions related to being a part of and/or working with communities who are underserved and how my training has equipped me with supporting these communities.
I applied last year and was a recipient of an award!
As a recipient, there is a two-year service commitment which means I have to continue providing some sort of behavioral health service during that time frame (which I planned to). Over the next two years, I will be getting ~$88,000 in quarterly disbursements to put towards my student loans. So far this year, I have received ~$11,000, and it’s been life changing to say the least!
Alongside this support, I am also pursuing Public Service Loan Forgiveness (PSLF) for additional student loan relief.
Managing our mental health while paying off debt
Since I am a social worker, I often think about how money and debt affect individuals’ mental health. It’s one of the reasons why I started my blog in the first place.
I realized managing money is a universal task and many of us don’t know what we are doing because talking about money is taboo. And when you have financial stress, it can really take a toll on your mental health. So, I wanted to share our journey in hopes of helping others.
Bret and I aren’t those individuals who want to avoid eating out and fun experiences until we are debt free. And, we are also privileged to not have to take those extreme measures either. It has been important for us to make this journey sustainable and not deprive ourselves of experiences while we are going through it.
Here’s how we are making our journey sustainable:
Still going out to eat
Budgeting for personal spending money, aka fun
Setting realistic debt payoff goals
Putting aside money for travel
Not comparing and thinking other people are better than us because they’re able to pay off their debt quicker
Tracking our debt payoff progress (we use Excel). With so much debt left to pay off, being able to see our progress is really motivating
Openly talking about our debt. Avoidance is a coping mechanism for many, for us, acknowledging and addressing it has been so freeing (but it wasn’t always this way).
Talking about our dreams and reminding ourselves why we want to do this in the first place
We know that if we eliminated going out to eat, budgeting for fun, or both, we could be paying off our debt much quicker. However, that sounds miserable to us. It’s worth it to still go out to dinner, travel, or buy plants (in my case) than to deprive ourselves of the joy these things bring.
We are making great progress and we know in time, we will be debt free.
Our debt payoff journey is not linear
A few months ago, we decided to take out $6,000 of student loans. Bret currently has a full tuition scholarship, so we are tremendously lucky in that regard, but he just learned about some conferences that would be really helpful to his professional growth. We have gotten $1,500 of this loan money already which is included in our current debt balance, but we haven’t received all of it yet.
We could have pinched and saved to avoid taking on any of this debt, but that would have caused me to work more than I currently am. Again, not in line with our current goal of making this journey sustainable!
We were very intentional about how much to take out. We estimated how much he would need for a few conferences and declined the rest. We even opened a separate savings account for the money to make sure it didn’t get accidentally spent on anything.
I’m SO proud of us for that!
The goal here is progress not perfection. So cliche, I know. But we are learning how to think critically about our money, spend thoughtfully, use our money as a tool to reach our goals, and enjoy our life along the way. And right now, that meant taking on a little more debt.
We are moving in the right direction, and we know when he starts working, that will really accelerate our debt payoff journey since we have proven to ourselves we can live on my income alone.
Our plan going forward
Bret is still in school which means his loans are on deferment, so we currently have his on the back burner.
With the loan payment assistance I am receiving, it’s allowing us to put any extra money we have each month towards our savings. Our priority right now is building up a good emergency fund of about $16,000 (~4 months’ worth of expenses).
This has been difficult because of inflation and just little emergencies that keep popping up, but we are slowly making progress.
I am also prioritizing investing in my employer retirement plan, but only up to the amount that gets me my employer match which is 6% of my income.
Bret will be graduating in 2025, so at that time, we will pivot to incorporating his loans into our budget. Our goal is to be debt free by 2028.
It will take a lot of discipline and persistence, but I think we can do it. I am manifesting it!
We want to continue to learn, implement, and grow. We want to keep having transparent discussions about money and building our money foundations. And I personally want to continue sharing our journey with hopes of inspiring, encouraging and educating others. Here’s to sharing the wealth.
Do you have debt? What are you doing to pay it off?
Taylor is a social worker and personal finance blogger at Social Work to Wealth where she shares tips, resources, and lessons learned on her family’s journey to paying off $277,000 of debt and retiring early. She hopes to inspire and empower social workers with financial education so they can have a better relationship with their money. When she’s not working or blogging, you can find her traveling, gardening, trying a new restaurant, or buying too many plants.
The Government National Mortgage Association (Ginnie Mae) announced on Thursday an expansion of its Environmental, Social, and Governance (ESG) labeling to single-family mortgage-backed securities (MBS) pools, an expansion of a previous initiative that had only impacted multifamily pools, and which some analysts say an increasingly strong market for investors.
In an interview with HousingWire, Ginnie Mae President Alanna McCargo explained that this represents Ginnie’s first social bond label in the investment space.
“This is really about just furthering the specifics around Ginnie Mae’s social impact story,” McCargo said. “We’re a 55-year-old company and [during that time], we’ve been a social impact company. This team during my tenure has done the yeoman’s work of really amplifying, collecting and gathering all the loan-level data that is in our securities to be able to disclose that data to investors, so they really understand what’s in the pools that they’re buying and what they’re investing in.”
McCargo also stressed that determinations of social impact will be left to the investors, and will not be made by Ginnie Mae itself.
“Something that we’ve always been doing all along in terms of the borrowers that we support through the Ginnie Mae program are now much more clear and transparent so investors understand and know the social impact elements in their bonds,” she said. “And I think it’s important to say that we don’t determine if it’s social impact, investors do. But we’re making all the tools and all the data available to them to be able to do that.”
The expansion will come in the form of a new prospectus language that will identify the social impact elements of the bond, on top of the recent rollout of the company’s ESG composite social and sustainability data.
“It’s a disclosure we’re doing on a monthly basis,” McCargo said. “[It allows you to] see the data around what is in Ginnie Mae securities, how it is affecting or helping low-to-moderate income households, or seniors, all the different categories of social support that we provide through the Ginnie Mae program.”
That record provides pool-level aggregate information about the extent of loans and unpaid principal balance (UPB) dollars that are in low- and moderate-income areas, with a chart illustrating the percentage of loans, percentage of UPB of ESG-flagged pools and/or loans and totals of the total portfolio over the last 12 months.
McCargo said she sees the development as “a big deal,” saying it’s representative of the other ESG work being done more broadly at HUD and at other federal agencies.
“This is a first-of-its-kind social bond label,” she said. “It’s laying down a marker for impact investing. It really has been something that we have noted is driving demand for Ginnie Mae, especially from the international investor community, and we are being responsive to that now that we have the data, the capability and the tools to be able to make that much more clear in our disclosures going forward.”
Part of the reason McCargo sees the development as significant is because ESG is often interpreted very differently by various parties that may be involved in the investment space.
“Social is a new construct, especially in the fixed-income markets and in the mortgage-backed securities space,” she said. “We’re defining it in a way that gives the transparency to investors for them to decide if that’s how they want to think about social, again, serving low-to-moderate incomes, tribal communities, rural communities and serving senior citizens through our [reverse mortgage securities] program. So all the different elements of that, we are trying to really lead the way because we are naturally, and inherently a social impact company.”
Sam Valverde, principal EVP of Ginnie Mae, added that the new label is designed to increase transparency and communicate that Ginnie Mae can provide a social investment opportunity.
“We’re extremely proud of what we launched in February, which is on per-security level, we now can offer investors clear verifiable data on who is represented in the bonds that they’re buying,” Valverde said. “And that is privacy-protected. So, we’re offering it on a pool level, and you can tell now how much of any given bond is being made to a borrower who makes less than 80% of the area median income. We have the address and income information at origination, so we’re offering demonstrable data to investors in a privacy-sensitive way so they can really understand what impact and investment in Ginnie Mae securities has.”
Through our consumption of modern media over the years, we’ve had a picture of urban and suburban life painted for us. We’ve witnessed Carrie Bradshaw run through the busy streets of New York City, growing her career and attending social events. We’ve also watched The Simpsons, living as a family in Springfield, with the youngest kids going to school and enjoying the neighborhood life.
While drastically different in plot and purpose, shows like these have influenced the way we view urban vs. suburban vs. rural life. When it comes time to actually decide where to move and which type of area suits your lifestyle, it’s tricky to navigate through your own influences and opinions. We’ve broken down 11 tale-tell signs, saying and truths that can help you navigate the difference and work through your own natural biases about urban vs. suburban living.
Urban, by definition
Urban areas, also known as cities or metropolitan areas, are densely populated regions characterized by high human activity and development. Urban areas are typically the centers of economic, cultural and social activities.
They are also known for their higher population densities, taller buildings, extensive public transportation systems and greater access to amenities. They offer a wide range of job opportunities and cultural attractions, making them hubs of economic and social life.
City examples:
Suburban, by definition
Suburban areas are typically located on the outskirts of larger cities or urban centers. These areas often have lower population densities compared to urban areas, with a greater emphasis on single-family homes, larger yards and local green spaces. Suburbs are known for their relatively quiet and less crowded environment compared to urban centers. People who live in the suburbs often commute to work in the nearby city.
Suburb examples of the above cities:
Urban vs. suburban: 11 giveaways that will tell the difference
Suburban and urban life are very different. And there are some over-arching themes, traits and signs related to each that amplify just how different these areas are. Think you’ll be able to tell the difference? Try to guess what kind of area the person in these scenarios lives in.
1. You can’t remember the last time you had to use your car.
Answer:Urban. One of the benefits of city living is the walkability and access to alternative transportation options. People living in urban areas often rely on railways, trains, cabs, bikes, Ubers and walking shoes to get where they need to go in their day-to-day lives. Cars are unnecessary in these areas and some city residents don’t even own cars.
2. Local businesses are within walking distance to your place.
Answer: Urban, again. Between bodegas, family-owned coffee shops and thrift shops, local businesses are on almost every corner in city areas. The convenience provided by the walkability to all of these types of businesses is a huge draw for potential city residents.
3. You’ve driven an hour or more to a play, but you have the movie theater right around the corner.
Answer: Suburban. Suburban areas, while they may not have a wide variety of entertainment options, typically have chain stores, a handful of local shops, movie theatres, restaurants and parks. To experience larger excursions, like a play or concert, you most likely will have to commute to the nearest city.
4. It’s almost too quiet when you go to sleep at night.
Answer: Suburban. A huge difference between suburbia and urban areas is the noise. Suburban areas wind down as the sun sets, creating a quiet atmosphere for sleep. The most noise suburban residents hear is the buzz of cicadas or weather-related sounds.
5. Getting late-night food a routine staple.
Answer:Urban. Cities notoriously never sleep. Bodegas, food trucks and convenience stores stay open late to specifically cater to this mindset. Whether you’re craving a snack while watching a movie or worked late and need to grab dinner, urban areas ensure your snack venture is quick and easy.
6. Traffic sounds are almost white noise to you.
Answer:While this seems like it could be both, it’s urban. Suburban areas often involve residents commuting to work, meaning sitting in traffic. However, urban areas have traffic noises 24/7, creating a constant background hum of city life.
7. Waze is your most used app.
Answer:Suburban. As touched on before, suburban residents often commute to the nearest city for their jobs every day. This means calculating traffic, taking less congested routes and anticipating fluctuating commute times. Waze, a popular navigation app, is perfect for planning around traffic and getting where you need to go, in as little time as possible.
8. You’re genuinely surprised when you hear a car horn honk, and it’s usually followed by an apology wave.
Answer:Suburban, for sure. City life is absolutely more fast-paced than suburban life. This can influence tempers and patience levels whereas in a slower-paced suburban atmosphere, there’s less rush, more patience and certainly less defensive driving. Meaning suburban residents have little reason to ever use their car horns.
9. Boutique shops are a bit out of reach, but you can count the strip malls within a 5-minute commute to your house.
Answer: You guessed it, suburban. Suburban areas have access to amenities though these are typically chain stores with a few boutiques sprinkled in. Due to the ability to place large businesses that take up more square footage, like strip and outlet malls, residents of suburban areas are sure to find themselves shopping at such stores.
10. You ride the elevator with the same people and have never said more than a few words, if any.
Answer:Urban. We’re all familiar with the term “southern hospitality” and while suburban areas aren’t always southern, they’re friendlier. The fast-paced atmosphere of urban areas doesn’t lend itself to too many unplanned conversations, as people always have places to go and things to do.
11. You can Tetris almost anything in your place.
Answer: Urban, yet again. The packed nature of cities means less square footage in your apartment or rental property. This causes residents to get creative and perfect the practice of playing Tetris with their belongings, furniture and everything else in between.
Urban vs. suburban: not exactly a battle
Both of these lifestyles have a lot to offer their residents, it boils down to personal preference and priorities. Remember, no moving decision you ever make is permanent and it’s worth it to experience what both areas have to offer to truly appreciate the diversity of lifestyles and opportunities available.
Exploring both urban and suburban living can provide insights and enrich your life in unexpected ways. Still in the market for that perfect place, in suburbia or the city? Start and end your search with our list of apartments for rent.
Wesley is a Charlotte-based writer with a degree in Mass Communication from the University of South Carolina. Her background includes 6 years in non-profit communication and 4 years in editorial writing. She’s passionate about traveling, volunteering, cooking and drinking her morning iced coffee. When she’s not writing, you can find her relaxing with family or exploring Charlotte with her friends.
Nevada is known for its dry climate, untouched natural wonders, and tall, forested mountains. The majority of the state is a plateau, with deep valleys and tall peaks. It has many climate zones, ranging from warm mediterranean in the western part of the state, to vast desert in the south, to high desert in the north.
Weather patterns generally range from dry and hot in metros like Las Vegas,to dry and cooler in areas such as Elko and Genoa. However, throughout the state, weather can often turn into natural disasters, like flooding, wildfires, and heat waves.When these happen, it’s essential to be prepared.
So what are the most common natural disasters in Nevada, how are they changing, and what can you do to prepare? Whether you’re planning a move to Las Vegas or are looking at apartments in Reno, read on for everything you need to know.
1. Nevada drought
Drought is a serious issue in Nevada, which is already the driest state in the US, receiving an average of 9 inches of precipitation per year. The state is one of many in the Colorado River Basin that has been dealing with a long-term “megadrought.” This drought hit a peak in spring 2022, when100% of Nevada’s population was experiencing severe to exceptional drought. This prompted the federal government to enact a tier two water shortage for the state, which is still in place.
The state’s water supply primarily comes from the Colorado River at Lake Mead, which has been shrinking due to chronic overuse and reduced precipitation. To help, Nevada has been working with the other six “basin” states who rely on the Colorado River to reduce water use and prevent an emergency that would require dramatic Federal action. Recently, the Lower Basin States of California, Arizona, and Nevada pledged to save around 1 billion gallons of water by 2026.
Southern Nevada has already adopted extremely strict water conservation measures, reducing water usage by 26 billion gallons compared to 2002, even though its population increased by over 750,000.
Droughts are exacerbated by warmer average temperatures, and can also increase the frequency and severity of other disasters, such as forest fires, dust storms, and heat waves.
How to prepare for drought in Nevada
Because Nevada has been experiencing drought for decades, it’s important to adapt your lifestyle to accommodate lower water use and prepare for future restrictions. For example:
2. Nevada wildfires
Wildfires are a major disaster in Nevada. In fact, from 2000-2018, wildfires burned more than double the number of acres compared to 1980-1999. Recently in 2018, the Martin and Sugarloaf Fires burned nearly 1 million acres. While most wildfires occur in the northern parts of the state, they can happen anywhere.
Most people don’t live within 20 miles of a recent active wildfire, excluding the mountainous cities of Reno and Carson City. However, according to data from First Street Foundation, 60% (733,893) of properties in Nevada are at risk of being affected by a wildfire in the next 30 years. Importantly, only 27% of properties in Las Vegas are at risk of being impacted by a wildfire, with most risk confined to Summerlin South, Enterprise, and nearby areas.
The state’s dry season from May through September (excluding monsoons), combined with parched forests, sets the stage for devastating fires that can spread rapidly. Prolonged drought and heat waves exacerbate the severity of wildfires. The primary causes of wildfires in Nevada are human activity and monsoon lightning. And in southern Nevada, where there are fewer trees, most wildfires are caused by target shooting and fireworks.
Wildfires can also devastate the landscapes and hillsides of northern Nevada, making them more susceptible to flooding, landslides, and mudslides, especially during intense rainfall.
How to prepare for wildfires in Nevada
If you intend to move to Nevada or already live in the Golden State, preparing for wildfires is essential. Here are some tips to help:
Create a defensible space around your property by removing flammable materials and trimming or removing dry vegetation.
Install interior and exterior sprinkler systems, if you have access to enough water and drought restrictions don’t prohibit it.
Install a generator to keep the power running in case of power outages.
Stay updated on fire weather forecasts and follow all fire restrictions.
Prepare for poor air quality by purchasing an air purifier and installing HEPA air filters on air conditioning units.
Build an emergency kit with essentials and valuable documents.
Ensure your insurance adequately covers fire damage, or, if the rising premiums are too high, understand the risks of going uninsured.
Work with your community. This is the most successful way to mitigate fire risk in your neighborhood.
3. Nevada heat waves
Hot, dry weather is common throughout Nevada, especially in the Southern parts of the state, where most of the population lives. Summer temperatures can reach over 100 degrees Fahrenheit throughout the state, especially in July and August. Most recently, during a heatwave in 2023, Las Vegas recorded temperatures above 100 degrees every day in July, with two weeks hitting a daily average temperature of 100.7. The city also hit 110 ten days in a row.
According to First Street Foundation, 66% (1.2 million) of homes in Nevada currently have a Severe Heat Factor, meaning the average daily temperature is at least 95 degrees Fahrenheit for the hottest month of the year. The overwhelming majority of homes at risk are in Clark County, which is home to Las Vegas.
Cities often feel the heat worse than rural areas due to the urban heat island effect. Las Vegas is the worst heat island in the country, experiencing a 5.76 degree difference between urban and rural temperatures. Las Vegas is also the fastest warming city in the US, with average temperatures increasing nearly 6 degrees since 1970.
How to prepare for heat waves in Nevada
Heat waves can be intense and cause health issues, including heat stroke and dehydration. As such, it’s essential to be prepared when they arrive. Here are a few ways to stay cool in extreme heat:
Stay updated on forecasts and advisories.
Prepare a meal plan that doesn’t involve cooking indoors.
Stay hydrated before, during, and after a heat event.
Make sure your air conditioning is functioning properly.
Install a generator in case the power goes out due to strained utility systems.
Limit outdoor activities to the early morning and late evening.
Switch from incandescent to LED light bulbs.
Stock up on lightweight, protective clothing.
Close blinds, shades, and curtains.
4. Nevada flooding
Nevada is known for its dry climate, but it’s actually very prone to flooding. 11% of properties in Nevada have a chance of being severely affected by flooding in the next 30 years, with most located in the mountains and highlands.
Nevada’s flood risk profile is marked by its dry climate, which makes it particularly susceptible to regional and flash floods year-round. Some cities also have a risk of riverine flooding. Recently, in February and March 2023, the winter storms that hit the Sierra Nevadas prompted a disaster declaration in Nevada for flooding, landslides, and mudslides. And, later in the year, an intense late summer monsoon caused flash flooding throughout Clark County.
Nevada is also prone to snowmelt flooding. The Carson Range and nearby peaks in Northwestern Nevada can receive substantial snowfall in the winter, often through winter storms and blizzards. And as temperatures rise in the spring and summer, this snow can melt rapidly, especially during an early heat wave.
How to prepare for flooding in Nevada
In Nevada, preparing for a flood is essential, particularly during sudden intense rain and snowmelt events. Because a large portion of the state is prone to flash flooding, you may not have much time to prepare, so it’s critical to practice and have supplies ready during the spring and summer. Here are a few tips to help:
Familiarize yourself with flood risk maps for your area to see your potential risks.
Consider flood insurance if you’re in a high-risk zone.
Keep emergency supplies on hand, including non-perishable food, water, medications, and important documents.
Elevate valuable items in flood-prone areas of your home, and install sandbags or barriers if necessary.
Invest in flood sensors.
Stay tuned to weather forecasts and alerts, and have a communication plan in place with your family.
5. Nevada earthquakes
Earthquakes are a major risk in Nevada. The state is home to thousands of fault lines, and many regions experience dozens of tiny earthquakes every day. The most notable region is the Walker Lane, which is a trough consisting of thousands of fault lines that pass through most of the Western border of Nevada and into southern California. This is where most geologic activity occurs, although there are notable major faults in the Las Vegas Valley. Reno and Carson City, located along the Walker Lane, are at a particularly high risk, although Las Vegas would suffer far more damage.
There have been 23 earthquakes with a magnitude 6 or greater since the 1840s, with the most recent being the Ridgequest quakes in 2019.
While earthquakes are infrequent, they are by far the most destructive type of disaster in Nevada when they hit. Additionally, Nevada can also be affected by earthquakes with epicenters in California, such as the recent quake in the Sierra Nevadas that was felt in Reno.
How to prepare for earthquakes in Nevada
Earthquakes are irregular but destructive and can cause significant damage to structures, utilities, and water systems. Main shocks can last for minutes, while aftershocks can last for years. They can also strike suddenly, at any time, with only seconds of warning. As such, preparing your home is critical. Here are a few tips to help:
Practice drop, cover, and hold on, so you’re ready when a quake hits.
Purchase earthquake insurance to cover some losses in the event of a quake. This is a separate policy that you purchase in addition to regular homeowners’ insurance. It’s also available to renters.
Make sure you have a durable, charged communication device in case of an emergency.
If you rent, ask your landlord about the building’s seismic history.
Keep your emergency kit stocked, updated, and accessible.
Anchor heavy items to the wall, strap down expensive electronics, and secure small valuables.
Brace your water heater according to state law.
Ensure your gas lines have flexible connections.
If you live in a house built before 1980, it will likely need to be retrofitted. Don’t do this yourself; hire a seismic retrofitting professional.
Final thoughts on natural disasters in Nevada
Nevada’s climate is diverse, dry, and pleasant. Drought, fire, heat, flooding, and earthquakes make it a varied and unpredictable place to live.Many cities in Nevada, especially Las Vegas, continue to be the most popular migration destinations, primarily due to people’s desire for sun. Because of this, the state’s population has increased by over 70,000 since 2020.
If you’re considering moving to Nevada or already call The Silver State home, make sure you’re prepared for natural disasters and long-term weather events. Understanding your risks and adequately preparing are helpful to make the most out of living in Nevada. The National Weather Service and University of Nevada, Reno offer experimental maps that show forecasted and past risks in any given area, which can help you prepare.
Lastly, many natural disasters are worsened by climate change.So no matter how you prepare, reducing your carbon footprint and pushing for systemic change are the best long-term solutions.
This article is for informational purposes only. Individual results may vary. This is not intended as a substitute for the services of a licensed and bonded home services or disaster prevention professional. Always seek expert advice and follow all official guidance before, during, and after a disaster.
