Author: Moneywise

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Turning 65 in the U.S. means finally being able to rely on Medicare covering most of your health expenses. But before you join the 67 million Americans enrolled in this program, it’s important to understand what’s covered and what’s not.

If you have already been receiving Social Security benefits for at least four months when you turn 65, you’ll automatically be enrolled for Medicare Part A — but you will need to sign up for Part B and other coverage for yourself.

Navigating the rules around Medicare can feel overwhelming — especially when mistakes can end up costing you dearly. You could easily overlook important deadlines and end up with gaps in your coverage, higher out-of-pocket costs, or even miss out on advantageous tax breaks.

And when you’re living on a fixed income, the last thing you want to do is leave money on the table. Here are three costly Medicare mistakes and how to avoid them.

Choosing coverage without research

Medicare and Medicare Advantage plans have a number of differences. Not understanding these means you could be overpaying for a plan that’s filled with features you don’t need.

Medicare plans are offered by the government and designed for those aged 65 or older or qualifying individuals with certain disabilities. Private health insurance companies offer Medicare Advantage plans for those age 65 and up.

If you are on the cusp of retirement and are wondering about your healthcare expenses or your ability to meet your out-of-coverage needs, getting ancillary health insurance can ease your worry.

With U65 Health Insurance, Americans under the age of 65 can compare health insurance offers from leading insurance providers.

Simply enter some basic information about yourself and your finances, and U65 Health Insurance will compile and display offers from leading insurance providers like United Health, Anthem, Kaiser, etc., in less than five minutes.

Before signing up for any plan, ask to see the plan’s current formulary, which is a list of the medications a plan covers. And be sure to confirm if your doctor and providers are covered under a potential plan.

Not looking over whether your current doctor and preferred providers are covered under the plan you choose could end up costing you thousands of dollars in out-of-pocket costs.

Not budgeting for out-of-pocket expenses

Taking care of yourself during old age can be difficult for many, especially if you have a disability or chronic illness. According to the Administration for Community Living, Americans turning 65 today have a roughly 70% chance of needing long-term care services in some capacity during their golden years. However, Medicare typically doesn’t cover long-term care in a nursing home.

With costs skyrocketing, making other arrangements like getting long-term care insurance can ease the burden on your finances, making sure your nest egg doesn’t take a direct hit.

As of 2023, the cost of a private room in a nursing home averages around $9,733, while the median cost of a semi-private room is $8,669.

You can get long-term care insurance through GoldenCare, a leading privately held long-term care insurance brokerage.

GoldenCare offers different options based on your needs, including hybrid life or annuity with long-term care benefits, short-term care, extended care, home health care, assisted living, and traditional long-term care insurance.

Get a free quote from GoldenCare within minutes. Simply enter some basic information about yourself, and a licensed insurance agent will contact you to discuss your needs, with no obligation to enroll.

You can also get term life insurance to ensure your loved ones are taken care of after your passing.

Ethos Insurance offers fast and affordable term life insurance with flexible coverage options within just five minutes.

You can get a policy with up to $2 million in coverage starting at just $2 per day. The best part? You don’t need any medical exams or blood tests to get qualified.

Eligible policies with Ethos can also get a free legal will.

Not having an emergency fund

If you want a low-risk option to invest your discretionary funds, consider investing in a certificate of  deposit (CD). The rates offered on CDs are typically higher than standard rates offered on saving accounts, but the money remains locked in during the term of the deposit.

You can compare rates on CDs offered by different banks and credit unions nationwide through SavingsAccounts.com.

Their online comparison tool provides up-to-date information on rates, terms, and features offered by different institutions, making it easy to find the best option for you.

If you want your funds to remain accessible, open a high-yield cash account with Public and get up to 4.35% APY. In comparison, the national average interest rate on savings accounts is 0.42%, according to the Federal Deposit Insurance Corporation (FDIC).

Public’s high-yield cash account charges no fees and offers unlimited transfers and withdrawals. Plus, you can get 20x the standard FDIC insurance coverage.

Looking for more options? Check out the Moneywise best high-yield savings accounts of 2025 that can earn you more than the national average of 0.42% APY.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Mark Cuban became a billionaire by starting and selling multiple businesses. However, you might know him from the hit TV show Shark Tank on ABC. Hosts on the popular reality series are shrewd negotiators and savvy investors looking to place bets on the best startup ideas pitched by contestants.

However, in a 2022 interview, Cuban revealed that his broad suite of investments on the show had made a net loss.

“I’ve gotten beat,” the billionaire told the Full Send podcast. Cuban deployed millions of dollars over hundreds of episodes of the show since 2009, before announcing in fall 2024 that he would step down after 16 seasons.

This rare sneak peek behind the scenes of the reality TV show offers ordinary savers and investors three key lessons.

1. Startups are risky

The type of investment popularized by shows like Shark Tank can best be described as angel investing, venture capital, or startup investing. This is because the ideas presented on the show are usually from early-stage companies with a short track record and an eye-catching idea rather than an established business. In this asset class, Cuban’s track record isn’t unusual. According to data from San Francisco-based research organization Startup Genome, 90% of startups fail.

Making safer bets on investments

The high-risk nature of startup investing can be a thrill for high-net-worth investors like Cuban, who have well-diversified portfolios and lots of assets to play with. But for the average investor who is looking for a secure retirement, it’s better to consider guaranteed returns and low-risk investing.

SavingsAccounts.com is an online comparison platform that allows you to compare rates on high-yield savings accounts from multiple banks and financial institutions, so you can grow your nest egg securely and sustainably.

The platform helps you find the highest interest rates, lowest fees, and best features, so you can feel confident about growing your savings. The investing platform Public also offers a high-yield cash account, with competitive interest rates on your uninvested funds.

When you use the commission-free platform for trading stocks, REITs, ETFs, and more, you get access to a range of major benefits for shoring up your funds.

Plus, Public’s social investing features let you interact and get advice from their community of investors, so you can learn more about how to make Cuban-level money moves.

One of the best ways to save is to make the most of your daily purchases — and you can do that by downloading the Acorns app.

With Acorns, whenever you make a purchase with your linked debit or credit card, the app automatically rounds up the total cost to the nearest dollar and invests the change in a diversified portfolio. You can also link these investments to your IRA, so you’re maximizing your retirement savings with every purchase you make.

You can also check out Moneywise’s top picks for Best High-Yield Savings Accounts of 2025 to compare more options for growing your savings safely.

Venture capitalists know the risks associated with startup investing. They often rely on the “power law” to make a return, according to Common Fund Private Equity. In other words, most startup investors expect only one or two firms in their portfolios to offer such massive returns that they offset losses across all the rest.

This investment style isn’t suitable for everyone. Mark Cuban’s net worth is $5.7 billion, according to Forbes, so losing $20 million doesn’t necessarily move the needle for him. However, the average saver or investor will need a much safer approach.

2. Established businesses are safer alternatives

Instead of focusing on early-stage companies with lofty expectations of future returns, everyday investors could turn their attention to established firms with robust track records.

For instance, Cuban acquired a majority stake in the NBA’s Dallas Mavericks for $285 million from real estate developer Ross Perot Jr. — 20 years after the brand had been established. It would go on to be one of his most successful investments.

Similarly, you can pick beaten-down or overlooked companies with a long track record. Nike, for instance, has lost a lot of its value since 2021. This stock might still be in a better position than many unprofitable and overvalued startups with flimsy business models.

Stock picking is also notoriously risky — but there are ways to make safer bets and benefit from the wisdom of experts.

Moby, an investment advice platform, can help you reduce the guesswork when selecting stocks and ETFs. In four years, across almost 400 stock picks, Moby’s recommendations have beaten the S&P 500 by almost 12%, on average.

With their easy-to-understand formats, you can become a wiser investor in just five minutes, all with their 30-day money back guarantee.

However, another key lesson from Cuban’s investing history is that he spreads his money across different bets.

3. Diversification is important

Cuban’s portfolio stretches far beyond the companies he selected on Shark Tank. His company has stakes in various firms, ranging from affordable generic drug companies to tech and entertainment companies. This well-diversified approach could be one of the reasons why the entrepreneur has continued to build wealth despite several missteps and failed ventures along the way.

The lesson for ordinary investors is clear: diversify.

Here are ways to diversify your portfolio outside of the stock market, including investing in real estate, commodities and fine art.

Real estate

Real estate remains a booming market, and investors as prestigious as Warren Buffett recommend putting your money to work in this asset class.

For those interested in further diversification through commercial properties, First National Realty Partners (FNRP) provides accredited investors with access to necessity-based commercial real estate investments with a minimum investment of $50,000.

As a private equity firm, FNRP acts as the deal leader and offers white-glove service to investors. The team handles all the legwork for you, from the vetting and buying of properties to the leasing and management details.

The firm then distributes its positive cash flows quarterly to investors, so you can increase your income without the hassle of buying and selling property. But if you don’t have thousands of dollars to invest right now, you can still benefit from this hot market with a small budget.

With Arrived, investors of all income levels can access SEC-qualified rentals and vacation homes with flexible investment amounts.

Simply browse their curated selection of homes, choose shares, and start benefiting from the income and appreciation potential for as little as $100.

Gold

Gold remains a solid performer and the backbone of many wealthy investors’ portfolios. In fact, its steady performance is a byword for investors. During the market crash in 2008, gold prices rose, cushioning the portfolios of investors who were savvy enough to diversify with this commodity.

A gold IRA gives you the opportunity to diversify your portfolio with this stable asset.

With the help of American Hartford Gold, you can open an IRA that allows you to benefit from the tax advantages of this retirement savings plan, along with the inflation-hedging properties of gold.

When you sign up, you’re eligible to get up to $10,000 in complimentary silver, and a free investor guide that can show you how to protect your nest egg while growing your wealth.

Fine art

The global art market saw significant growth in 2023, with a further 20% increase predicted for 2025, according to a report by Art Basel and UBS. If you’ve ever dreamed of owning an iconic piece of art, you may have thought that you’d have to be a billionaire like Cuban first.

However, platforms like Masterworks are democratizing the ownership and sale of artworks.

Masterworks is an online platform that allows you to invest in shares of the work of renowned artists. Simply choose the amount of shares you want to purchase, and Masterworks takes care of everything else.

How it works

• Step 1: Accredited investors need to visit Masterworks.com, where they’ll be prompted to enter a few details about their portfolio and investment goals.
• Step 2: Investors can schedule a call with one of Masterworks Advisers — registered investment representatives — to determine which current art holdings match their investment goals. The benefit is that you can select one or many art pieces, buying fractional shares based on your interests and goals.
• Step 3: As soon as Masterworks sells a piece you invested in, you get a return from the net proceeds. While every artwork performs differently, overall the past three exits — where Masterworks has acquired, held and eventually sold the art work — delivered median returns of 17.6%, 17.8%, and 21.5%.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

While TV shows make home flipping look easy, in reality, it’s a high-risk investment. Professional flippers often put in a lot of sweat equity, or they have a network of trusted contractors who work at a fair rate. They also typically spend a lot of time analyzing real estate market trends to ensure they can make a profit.

If you just dive into flipping without these advantages, it’s entirely possible you could find yourself sitting in a house you can’t sell, and writing checks for mortgage payments you can’t really afford. If this happens to you, here are a few options for dealing with the situation.

Ensure the price is right

The Dallas housing market is getting more competitive, with Redfin reporting a 7.8% increase in median home prices from last year as of October. But homes are also taking an average of 44 days to sell compared to 31 in 2023.

If your home isn’t selling, it’s worth checking with a real estate agent to see how you could better appeal to your target market.

Lowering the price is one option if you want to offload the property ASAP. Just remember that if you can’t sell for enough to exceed your mortgage and renovations, plus closing costs and fees, you won’t be making a profit.

Consulting a professional financial advisor can help you sort out these questions and ensure you have enough funds to stay afloat — even if your property sits on the market for a while.

Through Advisor.com, you can connect with a vetted financial advisor who can guide you through this journey.

How it works

Three easy steps to get matched with a financial advisor.

• Step 1: Answer a few quick questions about yourself and what you would like help with.
• Step 2: Advisor.com will match you with a vetted advisor who can provide you with a personalized plan based on your financial situation.
• Step 3: Book a free, no-obligation consultation to confirm if your match is right for you.

Explore other profitable options

You don’t necessarily have to buy a property and flip it in order to benefit from the booming real estate market. Instead of having to deal with downpayment and mortgages as well as the headaches of upgrading a property, passively investing in real estate may help you generate similar, if not higher, profits.

While commercial real estate has underperformed compared to residential real estate over the past few years, one avenue has secretly thrived: necessity-backed retail commercial properties.

Retail properties had the lowest vacancy rates compared to any other commercial real estate sector as of 2024, according to the CBRE Group.

Accredited investors can invest in such real estate through First National Realty Partners (FNRP). You can own a share of institutional-grade properties leased by brands like Walmart, CVS, Kroger, and other household names.

The best part? FNRP distributes any positive cash flows to investors every quarter. Thus, you can potentially set up a passive income stream without having to do any heavy lifting.

Investing in real estate can diversify your portfolio, but it comes with an inherent risk: it’s difficult to predict what’s going to happen.

But real estate investments also carry significant risks. Rather than outright committing to invest in real estate properties, you can invest in loans used to fund home renovations or other improvement projects through Arrived Private Credit Fund.

These short-term investments are significantly less risky than investing in real estate, as they are typically backed by the underlying residential properties.

Arrived Private Credit Fund has historically delivered 8.1% in annualized dividend yield, distributed monthly. You can get started with a minimum investment of just $100.

If you want to kick things up a notch, you can diversify your real estate portfolio further by investing in commercial properties.

Consider refinancing your mortgage

Finally, if you’re struggling with your mortgage, you could try to reduce the monthly payments. You can do this by refinancing — although there are upfront closing expenses, this approach makes sense if you decide you’re going to keep the house for a while.

You can compare the rates offered by various lenders near you through Mortgage Research Center. All you have to do is answer some basic questions about your property and your finances (including your annual income and credit score), and Mortgage Research Center will compile a list of refinance rates offered by lenders near you.

You can also get connected with custom mortgage offers from lenders, and set up a free introductory call with no obligation to hire.

Remember: Always do the math to see how many months it will take for lower payments to cover closing expenses so you break even.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

A retirement crisis is on the horizon, largely because many Americans aren’t saving enough for their retirement.

22.0% of retirement-age adults were still working in March 2024, according to LendingTree, and the average retirement account balance ranged from a high of $448,500 in Massachusetts to only $286,600 in Nevada. With estimates for an ideal retirement account ranging from $1.5 million to over $2 million, a comfortable retirement may be unobtainable for many Americans.

To address this, one-fifth of U.S. states have enacted automatic individual retirement accounts (auto-IRAs) as of July 1, 2024, according to Georgetown University’s Center for Retirement Initiatives.

Nearly all other states are exploring or implementing similar state-facilitated savings programs to help private sector workers without workplace retirement plans. Does your state offer one, and are you eligible?

What are auto-IRAs and why are they needed?

Many Americans struggle to save for retirement, particularly those without access to employer-sponsored plans like 401(k)s. This savings gap has left over 56 million private sector workers at risk, according to the University of Pennsylvania.

Only about seven out of 10 workers in the U.S. have access to either a defined contribution or defined benefit pension plan, according to the Congressional Research Service, and the numbers are much worse among certain demographics.

Whether you have access to a plan or not, you’ll likely need help planning a secure retirement. With the help of a professional, like those found through WiserAdvisor, you can explore your retirement options and create a personalized plan for your golden years.

WiserAdvisor is a free service that matches you with pre-screened financial advisors who can help you achieve your goals. Simply answer a few questions, and WiserAdvisor will connect you with two to three personalized matches, offering free, no-obligation consultations.

Auto-IRAs aim to bridge the savings gap by providing state-offered retirement plans to private-sector employees without traditional workplace retirement options.

Active in 10 states, including California, Colorado, Connecticut, Delaware, Illinois, Maine, Maryland, New Jersey, Oregon and Virginia (though plans vary), these programs automatically enroll eligible workers unless they opt out. Contributions typically go to Roth IRAs, which are not tax-deductible, though some plans offer traditional IRA options. Default contribution rates usually range from 3% to 5% of income, with some plans increasing rates over time to 8% or more.

Employer contributions are generally not permitted, but auto-IRAs simplify saving and encourage long-term financial planning.

Auto-IRAs appear to be achieving their objectives

Auto-IRAs aim to jumpstart retirement savings by automatically enrolling workers, and they appear to be effective.

Research by Gusto, a payroll and benefits company, shows workers in states with auto-IRA programs are 20% more likely to contribute to a retirement account, with average contributions increasing by 18% across all plans. For workers earning a median income or less, the impact is even greater, with their average savings rate rising by 55%. If you’re eligible for an auto-IRA, it’s worth understanding the program and considering contributing the maximum amount to grow your nest egg faster.

Alternate IRAs

While setting up a traditional IRA or Roth IRA is a key first step in securing your retirement, the volatility of the stock market means that alternative investments can be critical for protecting your retirement fund.

Securing your financial future can be as simple as diversifying your portfolio with a gold IRA. Gold prices surged in 2024, now standing at about $2,700 per ounce.

With firms like American Hartford Gold, specializing in gold IRAs, you can take advantage of the steady rises in gold prices.

Unlike traditional retirement accounts that rely on stocks and bonds, a gold IRA allows you to invest in tangible assets, providing stability and protection against inflation and market volatility.

This service is ideal for retirement savers looking to shield their portfolios from economic uncertainties while achieving diversification. American Hartford Gold provides expert guidance to help navigate the complexities of setting up and managing a Gold IRA, along with secure storage through IRS-approved depositories.

With customizable options, competitive pricing, and educational resources, the AHG gold IRA service is tailored to meet individual financial goals.

For those looking to maximize their tax-advantaged savings, a Roth IRA is an excellent option, and RothIRA.org makes it easy to get started.

This free matching service connects you with pre-screened financial advisors who specialize in Roth IRAs, offering personalized guidance to help you open and manage your account effectively.

With RothIRA.org, the process is simple. Answer a few questions about your financial goals, and you’ll be matched with two to three advisors for a free, no-obligation consultation.

These advisors help you navigate the benefits of a Roth IRA, such as tax-free withdrawals in retirement and the potential for significant savings growth. Whether you’re new to IRAs or looking to optimize your retirement strategy, RothIRA.org provides the support you need to ensure your savings work harder for you.

And if you’re looking for a more automated DIY way to save and invest while going about your everyday life, try Acorns.

By rounding up your debit and credit card purchases to the nearest dollar and investing the spare change, Acorns helps you build a diversified portfolio effortlessly. This innovative approach allows you to grow your savings while completing routine purchases.

New users can take advantage of a $20 bonus investment when they sign up with a recurring investment.

For those focused on retirement, Acorns Silver includes a 1% IRA match, while Acorns Gold offers a 3% match and the option to customize your portfolio by selecting individual stocks. These features make Acorns an excellent choice for turning spare change into meaningful investments and setting yourself up for long-term financial success.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

After a health crisis, discovering a lien on your home for unpaid medical bills would be a shock — but it’s one thousands of Atrium Health patients faced. Atrium, one of North Carolina’s largest hospital systems, recently canceled 11,500 such liens, relieving affected families.

These liens, though legal, allowed the hospital to claim payment if a homeowner sold or refinanced their property.

One patient, grieving his wife’s death and battling cancer himself, was pursued in court over medical debts tied to a deed of trust with Atrium. Health advocate Rebecca Cerese criticized the added stress on struggling families.

“Dealing with an illness or loss of a loved one is hard enough,” said the health policy advocate at the North Carolina Justice Center. “We should not be compounding that with this additional stress of facing financial ruin.” Atrium has since reversed course, citing a commitment to easing financial burdens and rebuilding trust.

Liens: A common tool for recovering debt

The Atrium Health case highlights a national crisis as medical debt surpasses $220 billion, according to a February 2024 Kaiser Family Foundation report.

While hospital liens are a legal last resort to recover unpaid bills, critics argue they are ethically questionable, especially for financially struggling patients. An Urban Institute study revealed that nearly two-thirds of adults with overdue medical debt earn well below their area’s median income.

For individuals burdened by medical debt, consolidating can be a practical step toward financial stability; services like Credible offer an efficient way to manage that debt repayment journey.

Through their online marketplace, you can access personalized loan offers from vetted lenders, helping you streamline payments with a fixed rate instead of juggling multiple bills.

Simply provide basic information, and Credible will present loan options tailored to your needs, empowering you to tackle medical debt more effectively.

Tips for managing medical costs without risking financial stability

Navigating a health crisis without accumulating debt is difficult, and just one major health event can drastically change the financial picture — even for those who are financially stable. However, there are practical steps everyone can take to manage expenses and avoid financial distress.

Know your options

Medical debt is the leading cause of bankruptcy in the U.S., with over 56 million people struggling annually. These expenses often stem from unavoidable costs like emergency care, hospital stays, and prescription drugs.

With healthcare costs among the highest globally, 2023 premiums averaged $8,435 for single coverage and $23,968 for families.

To manage medical expenses, start by negotiating bills and seeking financial assistance. Hospitals often offer help to low-income or uninsured patients, including discounts for upfront payments or charity care policies.

Nonprofit organizations like the Patient Advocate Foundation and HealthWell Foundation provide grants or loans to ease high medical costs.

For those with high-deductible health plans, a Health Savings Account (HSA) allows you to save tax-free for qualified medical expenses, reducing taxable income.

Also, avoid using high-interest credit cards for medical bills; instead, consider low-interest medical loans designed for healthcare costs, which offer more affordable terms.

Build an emergency fund with high-yield savings options

Facing medical debt can feel overwhelming, but building a financial safety net is a powerful way to regain control. High-yield savings options offer a low-risk way to grow your money while preparing for unexpected expenses.

If you’re looking for safe, high-return options, certificates of deposit (CDs) are a great choice, and SavingsAccounts.com makes finding the best ones easy. Their comparison platform provides real-time data on CD rates and terms from various banks, offering tailored recommendations to maximize returns.

Ideal for conservative savers and long-term planners, this tool simplifies the decision-making process, helping you grow low-risk, high-return investments without the stress.

For a flexible and accessible option, you can also make your money do a little work for you by placing it in a high-yield bank account, like the ones offered by SoFi.

SoFi offers a no-fee checking account and a savings account with a 4.60% APY.

With SoFi, you can enjoy no-fee overdraft protection, early paycheck deposits and access to over 55,000 ATMs within the Allpoint network.

Speaking of deposits, sign up now and you can earn a bonus of up to $300 for setting up direct deposit.

Want to see more high-yield banking options? Our curated selection of the best high-yield savings accounts of 2025 can help you find the right fit for your financial goals.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

For many young Americans, buying a first home is now a dream deferred. The average first-time buyer is 38, up from the historical range of 29 to 33, according to the National Association of Realtors.

“First-time buyers face high home prices, high mortgage interest rates and limited inventory, making them a decade older with significantly higher incomes than previous generations of buyers,” said Jessica Lautz, NAR deputy chief economist and vice president of research.

Meanwhile, existing homeowners use equity to secure dream homes with cash or large down payments.

The aging buyer

Younger buyers have a few factors lined up against them.

Property values of existing homes have risen steadily across the country, making it difficult for new and younger buyers — including many who carry significant student loan debt — to save enough for a down payment. At the same time, higher mortgage rates have increased monthly housing costs, pushing many first-time buyers out of the market.

Then there’s the lack of affordable housing options. Reports show builders are constructing fewer starter homes and more luxury properties, leaving many entry-level buyers with fewer choices. And with sellers holding onto properties for longer due to rising rates, the limited inventory available is snapped up quickly, often at high prices.

Build a plan

Buying a home isn’t just about finding the right property; it’s also about ensuring your financial foundation is solid. Improving your credit score, reducing debt, and building a savings plan can open the door to better loan terms and more favorable interest rates, thus making homeownership more affordable.

Start by working on your credit. Paying down high-interest debt, keeping credit card balances low, and ensuring all bills are paid on time can boost your credit score and increase your loan options.

Many lenders offer lower rates to applicants with higher credit scores, which can make a substantial difference in monthly mortgage payments — and how much you end up paying in interest in the long run. A better credit score is a great way to save yourself thousands over the life of your loan.

Increase your chances

One of the most effective ways to navigate today’s housing market is to expand your search to more affordable areas. Instead of focusing solely on high-demand cities, consider exploring smaller or emerging markets where housing is less expensive and the competition isn’t as fierce.

For remote workers, the flexibility to live farther from traditional business hubs can be an asset. With more companies offering work-from-home options, many buyers have the freedom to prioritize affordability over proximity to an office.

Additionally, some U.S. cities have introduced programs to attract new residents, providing grants or tax breaks that can reduce the cost of buying a home.

Leverage available help

First-time homebuyers can access a range of grants, tax breaks and assistance programs that can make homeownership more attainable. Programs like Federal Housing Administration (FHA) loans, which require as little as 3.5% down, and USDA loans, which offer zero-down options in rural areas, open doors for those who might otherwise struggle with the upfront costs.

Beyond federal programs, many states also provide grants specifically for first-time buyers, helping to reduce the financial burden of down payments and closing costs. Some employers offer home-buying assistance or have partnerships with lenders that provide discounted mortgage rates.

The more money you have saved up, the easier it’ll be to buy a home. Don’t just leave your house fund sitting in your checking account, though. You can make your money do a little work for you by sticking it in a high-yield savings account. And to help keep you on track, you might consider setting up an automatic monthly transfer to your savings account.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

If you feel like buying a home — and paying for the upkeep — has become more expensive than ever, you’ve just nailed the essence of what a new study calls the modern American Nightmare.

Oxford Economics, an independent global economic advisory firm, reported in its November briefing that housing affordability “has dropped significantly over the last five years.” According to data from 173 of American metropolitan areas, a household now needs an average annual income of $107,700 to afford a new single-family home.

This housing affordability crisis presents a daunting challenge compared to past years. Today, only 36% of U.S. households clear this financial hurdle, down from 59% in the third quarter of 2019, just before the pandemic. Back then, a combined household income of $56,800 could buy a single-family home.

In fact, the $108,000 figure doesn’t square at all with real median household income — which was $80,610 in 2023, according to the U.S. Census Bureau figures.

No wonder it feels like a For Sale sign driven straight through your heart.

Why home affordability has plummeted

The affordability crisis isn’t due to one or two factors, but at least four: mortgage interest rates, housing prices, property taxes, and insurance.

While the report acknowledges that mortgage rates have moderated somewhat, volatility remains. This time last year, rates for a 30-year mortgage peaked at 7.79%, compared to the record low of 2.65% in January 2021. Although rates fell to around 6.08% in late September, they climbed again to 6.78% by mid-November.

Meanwhile, U.S. home insurance premiums average $2,377 annually, with a 6% increase expected by year-end, on top of a 20% leap over the previous two years, according to Realtor Magazine.

Home insurance represents a significant percentage of a family’s annual budget — and if you pay the bill annually, it can be difficult to plan for that big expense. One way to make the expense easier to swallow is to cut it down to size — using BestMoney Home Insurance.

Their easy-to-use platform helps you find the best home insurance rates in your area. With a simple process, BestMoney makes shopping for home coverage fast, easy and affordable.

Just answer a few quick questions about yourself and your home, and you’ll find a list of offers tailored to your needs.

Three strategies for navigating the housing market

If these numbers have you doubting your chances of becoming a homeowner, consider these approaches:

Shop around for your mortgage

According to 2023 research from Freddie Mac, borrowers who received at least four rate quotes from different lenders saved up to $1,200 annually on their mortgage payments.

Mortgage Research Center (MRC) can help you save a similar amount.

Quickly compare rates and estimated monthly payments from multiple vetted lenders. All you have to do is enter some basic information about yourself, such as your zip code, desired property type, price range, and annual income.

Minimize property taxes

While major U.S. cities like Chicago and Atlanta face soaring property taxes, many metros offer lower rates — or none at all. Ballwin, Missouri, for instance, hasn’t imposed a municipal property tax in 37 years. With a median home price of $409,000, it ranks among Realtor.com’s Hottest 2024 Zip Codes.

Take advantage of first-time programs

First-time buyers can benefit from loans insured by the Federal Housing Administration (FHA), which require down payments as low as 3.5%. Veterans Affairs (VA) loans often require no down payment.

Additionally, IRS publication 590-B allows couples to withdraw up to $10,000 each from IRAs for a first home without incurring the 10% early withdrawal penalty.

By exploring these strategies, prospective homeowners can better navigate today’s challenging market.

Real estate investing

If you are priced out of the market right now, there are ways to take advantage of the big price jumps without taking on a property and mortgage. Investing in real estate investment trusts (REITs) and real estate exchange-traded funds (ETFs), for example, can help you grow your income — and maybe save for that downpayment.

Income-generating residential investments

Investing in short-term rentals and vacation homes is a great way to profit from the hot real estate markets in the nation’s most desirable (and expensive) cities.

For example, with Arrived, investors of all income levels can access SEC-qualified rentals and vacation homes with flexible investment amounts.

Simply browse their curated selection of homes, choose shares, and start benefiting from the income and appreciation potential for as little as $100 to begin.

You can also invest in private real estate, which can offer higher returns since it can be invested in opportunities that simply aren’t available on the public market. DLP Capital offers tax-advantaged, private REITs through various investment funds. They’re primarily focused on acquiring or developing safe, affordable rental housing for working families across the burgeoning Sun Belt region.

Investors in these funds can earn passive income through monthly, quarterly, or annual distributions — while making a positive impact on communities in need of more housing.

Commercial real estate investing

For those interested in further diversification through commercial properties, First National Realty Partners (FNRP) provides accredited investors with access to necessity-based commercial real estate investments.

As a private equity firm, FNRP acts as the deal leader and offers white-glove service to investors. The team handles all the legwork for you, from the vetting and buying of properties to the leasing and management details.

The firm then distributes its positive cash flows quarterly to investors, so you can increase your income without the hassle of buying and selling property.

These are just a few ways you can benefit from a hot real-estate market without sinking your whole (perhaps nonexistent!) six-figure salary into the costs of buying and keeping a home.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Anyone who lived through the Great Recession remembers the tremendous economic turmoil that took place.

While the economy has since recovered, many people have become wary of financial institutions, with some choosing to hold their cash outside the system entirely.

But if you’ve been keeping money out of banks or investments, you’ve missed out on significant growth — like the Dow Jones climbing from an average of $8,886 in 2009 to $34,122 in 2023, with even further gains in 2024.

How to deposit a large sum of money

You can deposit large sums of cash, but banks must report amounts over $10,000 and may ask about the source of funds. As long as your money is legitimate, there’s no issue — just avoid breaking up deposits to dodge reporting, as that’s illegal. Notify your bank ahead of time, and remember FDIC insurance covers up to $250,000 per account category. To protect more, spread funds across multiple accounts or banks.

Holding onto cash can mean missing out on opportunities for growth. By exploring secure, high-yield savings options and investing platforms, you can maximize your money’s potential and put it to work for your future.

If you’re looking for a dependable way to grow your savings without taking on significant risk, a certificate of deposit (CD) is an excellent choice. With SavingsAccounts.com, you can compare rates and features of CDs offered by different banks and financial institutions — all in one place.

With the Federal Reserve lowering benchmark rates, locking in your funds with a high-interest CD can help you boost your savings.

You can compare real-time data on CD offers and get personalized recommendations here.

If you prefer to take a hands-on approach to investing, Public offers a platform that balances self-directed investing with tools to help you make informed decisions. Whether you’re interested in stocks, ETFs, crypto, or alternative investments, Public allows you to diversify your portfolio responsibly. You can also open a high-yield cash account with Public and earn up to 4.35% APY on uninvested cash. Public charges no fees on its cash account, and you can withdraw and transfer as much as you want without incurring any penalties.

With features like real-time insights, fractional share investing, and a high-yield cash account, Public helps investors grow their wealth steadily.

For those who want to explore additional high-yield savings opportunities, this list of the best high-yield savings accounts of 2025 by Moneywise highlights some of the best accounts available today.

Making moves

While banks may have lost consumer trust during the Great Recession, avoiding the financial system entirely can be a missed opportunity. For instance, $100,000 invested in an S&P 500 index fund in 2009 could have grown to $850,000 by 2024, assuming dividends were reinvested.

While it’s natural to feel cautious about investing, the truth is that long-term, steady investment strategies often yield the best results.

Even in turbulent markets, consistent investing can help you grow your wealth. Platforms like Moby simplify this process by offering expert financial analysis and proven stock recommendations.

Navigating the stock market can be overwhelming, but Moby makes it easier by delivering top-tier research and recommendations. The platform’s team of former hedge fund analysts spends hours analyzing data to provide actionable insights for everyday investors. Moby’s picks have outperformed the S&P 500 by nearly 12% over the past four years, proving its value to users looking to build their portfolios.

If you’re unsure where to start or want professional advice, Advisor.com connects you with vetted financial advisors who can help you create a tailored plan.

From budgeting to retirement planning, Advisor.com provides a comprehensive approach to financial wellness. Whether you’re looking for a one-time strategy session or ongoing support, their platform makes it easy to find the right fit for your needs.

After answering a few simple questions about your financial goals, you’ll be matched with an advisor and can book a free consultation to explore your options.

Invest for retirement

Planning for retirement requires careful consideration of both stability and growth. Whether you’re diversifying with precious metals or automating investments, there are options to suit every approach.

Gold has long been hailed as one of the best investments for retirement, acting as a hedge against inflation and economic fluctuations. The yellow metal’s performance speaks for itself — gold prices have risen by about 84% over the last five years.

You can directly invest in the safe-haven asset by opening a gold IRA with the help of American Hartford Gold. By including gold in your retirement strategy, you can protect your savings as well as reap the tax benefits associated with registered retirement accounts.

You can get up to $15,000 in free silver along with an information guide when you sign up with American Hartford Gold.

If you prefer a hands-off approach to saving, Acorns makes it easy to grow your retirement fund with minimal effort.

With Acorns, you can invest your spare change into diversified ETF portfolios, ensuring steady progress toward your goals. When you make a purchase on your debit or credit card, Acorns rounds up the price to the nearest dollar and deposits the excess into a smart investment portfolio developed by experts.

You can also customize how you save. With an Acorns Silver plan, you get access to Acorns Later, a retirement investment account with a 1% IRA match on new contributions.

You can also opt for Acorns Gold, which offers a 3% IRA match on new contributions and the ability to customize your portfolio by selecting your own stocks.

Sign up now and you can get a $20 bonus investment.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

A survey by LendingTree shows 94% of Americans consider homeownership part of the American dream. But real estate tycoon Grant Cardone thinks otherwise.

“No matter how much you guys complain about rent, it is still half of what it costs to live in that piece of s— house that you call the American dream,” Cardone says in a post on his YouTube channel. “A house is a terrible investment.”

The data supports his claim: Bankrate analysis reveals buying a home is 37% more expensive than renting, with renting being the cheaper option in all major U.S. metros.

Cardone’s argument? Skip homeownership, save the difference, and invest in assets with better returns.

Rental properties

While Cardone criticizes owning a home for personal use, he’s a staunch advocate for owning rental properties. “A rental property will always make more money than a house will,” he says. That’s because rental properties generate cash flow, offer tax advantages, and appreciate over time — making them a triple threat for investors. In the third quarter of 2024, the average gross rental yield across the U.S. is 6.1%, according to GlobalPropertyGuide.

For those who want the benefits of owning rental properties without the headaches of being a landlord, Arrived is a strong alternative to applying for a mortgage.

Arrived offers SEC-qualified investments in rental homes and vacation properties starting at just $100. Their platform handles all the details, from property management to tenant interactions, so you can focus on building your portfolio. It’s a simple and affordable way to enter the real estate market, even if you’re not an accredited investor.

If you are an accredited investor and looking for higher-end opportunities, DLP Capital specializes in private real estate funds tailored for accredited investors, with a focus on high-demand rental markets.

DLP Capital’s proven ability to identify high-potential properties allows investors to benefit from real estate’s long-term appreciation and consistent cash flow.

Unlike owning a home, which ties up resources without generating income, investing in rental properties through firms like DLP Capital gives you a potential stable revenue stream, regardless of fluctuating market conditions. This is ideal for diversification and financial growth.

Commercial real estate

Also, real estate investors are not restricted to residential properties.

Grant Cardone emphasizes the importance of investing in assets that generate consistent returns, and commercial real estate perfectly aligns with his philosophy of making smart money moves.

Commercial real estate such as data centers, malls, industrial warehouses, farmland and grocery-anchored retail centers could offer higher yields.

These properties tend to perform well, even during economic downturns, thanks to their necessity-based nature. First National Realty Partners (FNRP) deals in commercial real estate and provides accredited investors access to those assets which include buildings leased by major retailers including Walmart, Kroger, and Whole Foods.

You can engage with experts, explore available deals and easily make an allocation, all through one personalized portal.

Stocks

Stocks have long been a reliable vehicle for building wealth. Historically, the U.S. stock market has outperformed the housing market.

From 1992 to 2024, the S&P 500 delivered annualized returns of 8.41% — a significant edge over the 6.1% annualized return for the housing market. And that’s before factoring in reinvested dividends, which can boost the S&P 500’s performance to an impressive 10.24%.

For investors looking to harness this growth, having the right tools and insights is essential. That’s where Moby comes in.

Moby is an investment research platform authored by former hedge fund analysts who distill complex market data into actionable stock picks. Over the past four years, Moby’s recommendations have outperformed the S&P 500 by an average of nearly 12%. Their easy-to-understand reports are perfect for investors who want to make informed decisions without getting lost in financial jargon.

You can become a wiser investor in just five minutes — and their expertise is supported by a 30-day money back guarantee. But knowing what to invest in is only half the battle. You also need a platform that simplifies the investment process.

Public stands out with its commission-free structure, fractional share investing, and user-friendly interface.

Unlike robo-advisors, Public provides control without automated management, promoting transparency by rejecting payment for order flow in favor of an optional tipping model.

If you’re looking for a community-driven approach, with real-time insights and social features that empower users to make smarter financial decisions, this might be hard to beat.

Cryptocurrency

Cardone isn’t shy about highlighting cryptocurrency’s potential, noting that “any cryptocurrency” would have outperformed the housing market historically.

To be fair, comparing crypto to real estate isn’t exactly straightforward. Over the past 12 years, Bitcoin has delivered a 100.68% compounded annual growth rate when measured in U.S. dollars, according to Curvo.

But crypto is notoriously volatile, and not all tokens are created equal. Failures like FTX and LUNA remind investors that risk management is crucial. If you’re considering dipping your toes into the crypto waters, Robinhood offers a straightforward way to get started on its commission-free platform.

Robinhood makes investing in cryptocurrency simple and accessible, even for beginners. With features like automatic investing, in-app guides, and the ability to buy fractional shares starting at just $1, it’s easy to diversify your portfolio without a large upfront commitment.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

We adhere to strict standards of editorial integrity to help you make decisions with confidence. Some or all links contained within this article are paid links.

Investing in real estate may seem like an attractive prospect, but not everyone agrees on whether it’s a good investment for the average American.

Some see it as the pinnacle of wealth generation, while others believe real estate requires too much upfront capital to invest and too much ongoing capital for property management and maintenance.

“The brightest people in real estate will say if you really account for maintenance and upkeep, then real estate has not outperformed other asset classes,” New York University professor and finance expert Scott Galloway said on Steven Bartlett’s “The Diary of a CEO” podcast on July 11.

But that hasn’t stopped the renowned entrepreneur from making “good money” from real estate investing and enjoying the process.

Here’s why Galloway likes real estate as an asset class — and how you can get your piece of the pie.

Tax advantages

Galloway described real estate as “the most tax-advantaged” investment you can make in the U.S.

“There are very few asset classes you can lever up four-to-one,” he said. “A 20% downpayment? I can’t buy $100 of Apple stock for $20! It’s huge leverage [and] the interest on that is tax deductible.”

Mortgage interest, property taxes and certain maintenance expenses are often tax deductible, helping homeowners or investors to reduce their overall tax liability. Also, if you hold onto your primary home for at least two years, you may qualify for capital gains tax exemptions.

Even if the mortgage rates are somewhat high ahead of the holiday season, you can benefit from getting a mortgage now.

If you are thinking about buying a house, Mortgage Research Center can help you determine the best mortgage rates offered by vetted lenders near you. All you have to do is enter some basic information about your finances and desired property type, and Mortgage Research Center will automatically match you with a lender with the right mortgage offer for you.

Despite the potential tax breaks, a mortgage is a huge undertaking — you need to have a clear picture of your finances before you delve into it. A financial advisor can help you out.

Advisor.com connects you with vetted fiduciary financial advisors near you. All you have to do is answer a few simple questions about your finances, and Adivsor.com matches you with a short list of certified experts to choose from.

You can then set up an introductory meeting with no obligation to hire.

Build your own real estate portfolio

Anyone with the time and means can build a real estate portfolio. But you do have to be somewhat strategic about where you invest in property.

Steven Bartlett shared some advice he received from his brother during the podcast: “If everybody is playing the game, the returns probably aren’t great from it.”

Galloway agreed.

“It goes back to sex appeal — too much capital going in,” he said. “When everyone’s trying to buy homes in a certain area, that usually means it’s probably getting overvalued and, like any other asset class, it can lose money.”

But even up against tricky market dynamics, Galloway is still a fan of investing in real estate. “The reason I like it is because it is a form of forced savings,” he told Bartlett. Galloway noted much of the savings for baby boomers is tied to the equity in their homes.

Crowdfunding

Galloway’s insights into establishing a passive income stream through real estate might seem old school.

“Find a nice home or a rental unit that you can rent out or upgrade — maybe you’re handy,” he said. “Do that every few years and take advantage of the tax deduction and then roll into something bigger.”

But it’s easier said than done. Not only do you have to worry about downpayment and monthly mortgage payments, but you also have to remember the headaches that come with renting out your investment property.

Crowdfunding platforms like Arrived can help you avoid this. Backed by prominent investors, including Jeff Bezos, Arrived lets you passively invest in residential properties and vacation rentals for as little as $100.

Your money can grow in two ways with Arrived. First, you can potentially receive monthly distributions based on the rental income earned by the property you invested in. Second, as the value of the home appreciates, you are eligible for capital gains payouts as well.

If you want to take it one step further, you can try investing in commercial properties. While commercial real estate has definitely taken a hit post-pandemic, necessity-backed properties like grocery chains and health care properties have held strong.

Accredited investors can start investing in commercial real estate through First National Realty Partners (FNRP). You can own a share of institutional quality grocery-anchored properties leased to brands like Walmart, CVS, and Whole Foods — without having to worry about the paperwork.

FNRP distributes any positive cash flows quarterly to its investors, meaning you can set up a passive income stream without having to stress about the hassles of direct property ownership.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.