Category: Moneywise

Home buyers in Las Vegas are walking away from contracts in increasing numbers.

High interest rates, financial anxiety and an oversupplied market are pushing many to rethink their purchases before closing.

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A recent Redfin report found 14.3% of U.S. homes under contract in April were canceled, marking the second-highest April cancellation rate on record, behind only the pandemic-era spike in April 2020.

In Las Vegas, the rate was even higher: 18.6% of purchase agreements fell through, placing the city eighth among major U.S. metros for canceled deals.

Here are two of the main reasons for the growing trend.

Reason 1: Financial concerns

Higher mortgage rates and skyrocketing home prices are driving many to the brink. The average 30-year fixed mortgage rate hit 6.85% in June, more than double what it was during pandemic lows. That kind of increase can add hundreds — even thousands — to monthly payments when taxes and insurance are included.

“Groceries have been high, gas has been high, utilities have been high,” said Jillian Batchelor, a Southern Nevada realtor, in an interview with 8 News Now. “So buyers are more payment-conscious or payment-savvy than they really ever have been.”

And with inflation still weighing on American households, some prospective buyers are having trouble securing final approval. Others are rethinking whether they can afford the total cost once they see the final numbers — including homeowners association (HOA) fees and insurance premiums.

Redfin agents nationwide are also seeing buyers hesitate due to broader economic and political instability — including layoffs, tariffs and federal policy uncertainty. Another recent Redfin survey found that nearly 1 in 4 Americans scrapped plans for a major purchase this year due to tariffs.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Reason 2: A flood of choices

The housing market in Las Vegas is also experiencing a surge in listings.

“[A] buyer goes under contract,” Batchelor told 8 News Now. “And all of a sudden a week later they see, ‘oh there’s five more homes available in that neighborhood, this one might be nicer, this one might have more upgrades.’”

With inventory now at a five-year high nationally, according to Redfin, this scenario is becoming increasingly common — especially in states like Nevada, Texas and Florida, where new home construction has surged.

Buyers feel less pressure to settle, knowing there may be better deals just around the corner.

That confidence is reshaping buyer behavior. According to Redfin’s report, five of the 10 metros with the highest cancellation rates are in Florida — which is a sign that growing supply can tip the scales in favor of consumers.

A warning sign for the national market?

While Las Vegas may be an extreme case, the underlying issues — affordability and market saturation — are national in scope.

From Riverside, California to Atlanta, Georgia (which led the country with a 20% contract cancellation rate), buyers are hitting the brakes.

This shift may suggest that while the housing market may be cooling, affordability is still out of reach for many Americans.

Still, Redfin economists predict some relief later in 2025, with home prices expected to drop modestly as demand softens. In the meantime, buyers are urged to do their research, stay flexible and be ready to walk if the numbers don’t add up.

As Batchelor put it, “All of this is just an adjustment to probably (…) equalize the playing field — maybe a little bit more.”

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• Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

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

Keeping your inbox tidy often starts with tapping “unsubscribe.” After all, nobody likes a flood of spammy emails.

But that simple click can put you at risk. One recent report found that one in every 644 unsubscribe clicks leads to a malicious website. Because most scams target your wallet, good email hygiene is more than convenience; it protects your money.

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• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now

When ‘unsubscribe’ can backfire

Clicking unsubscribe feels productive, yet it can be dangerous. Even legit-looking messages can hide bad links.

The FBI logged more than 298,000 phishing complaints in 2023, and bogus unsubscribe links remain a favorite tactic. DNSfilter, a cybersecurity firm, told the Wall Street Journal the aforementioned one in every 644 clicks it tracked landed on a malicious website.

Even if the page you reach is harmless, the act of clicking tells scammers you interact with links, making you a bigger target down the road.

"If it’s a bad actor that’s sending this email to you, and the email looks legit, but at the bottom it says, ‘Click here to unsubscribe,’ why would that link be any safer than ‘Click here to see if you won $5,000’?” Heidi Mitchell, a contributing writer to the Wall Street Journal, told WGAL.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Email hygiene that protects your money

A single bad link can cost you cash or hours of cleanup. To lower the odds:

• Skip every link from senders you do not recognize, even ones labeled unsubscribe.
• Navigate to the company’s real website on your own and change email settings there.
• If you do not have an account, mark the message as spam so future notes bypass your inbox.
• Create a burner email for coupons, contests and other signups so your main address stays clean.

When in doubt, do not click. Your wallet will thank you.

What to read next

• You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here’s how
• Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

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.

When you enter into a marriage, you expect your spouse to be faithful. But sometimes, a different type of infidelity — financial — can rear its ugly head.

That’s what happened to Cathy from Dallas, Texas, who recently called into The Ramsey Show seeking urgent financial advice.

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• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now

Cathy revealed to co-hosts Ken Coleman and Jade Warshaw that she suspects her to-be ex-husband has racked up close to $1 million in debt behind her back — and she’s probably on the hook for half of it.

Here is what Coleman and Warshaw had to say.

What happens when financial infidelity rears its ugly head?

Money can be a huge driver of marital strife, especially when one spouse keeps secrets.

A 2021 survey by the National Endowment for Financial Education found that 43% of people with combined finances in a relationship have committed financial infidelity.

For 39%, that meant hiding a purchase or bank statement from their partner. For 19%, it meant hiding cash. And for 16% of couples, financial infidelity ultimately led to divorce.

Cathy, meanwhile, learned that her husband hadn’t paid income taxes for three-years and owed $80,000 in credit card debt. The kicker? Cathy and her soon-to-be ex have a $550,000 mortgage for an office building that she co-signed on.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Even worse, Cathy doesn’t have a record of how that money was spent.

"I feel like an idiot," Cathy said.

Coleman thinks Cathy owes at least $250,000.

How to dig yourself out of debt after financial infidelity and plan for the future

If, like Cathy, you’re struggling with substantial debt, there are a few things you can do. One option is tapping into your home’s equity through a Home Equity Line of Credit (HELOC), especially if you’ve made consistent mortgage payments.

A HELOC is a secured line of credit that leverages your home as collateral. Depending on the value of your home and the remaining balance on your mortgage, you may be able to borrow funds at a lower interest rate from a lender as a form of revolving credit.

Rather than juggling multiple bills with varying due dates and interest rates, you can consolidate them into one easy-to-manage payment. The results? Less stress, generally reduced fees, and the potential for significant savings over time.

LendingTree’s marketplace connects you with top lenders offering competitive HELOC rates. Instead of going through the hassle of shopping for loans at individual banks or credit unions, LendingTree lets you compare multiple offers in one place. This helps you find the best HELOC for your situation.

Terms and conditions apply. NMLS#1136.

Being equal partners on all things finance-related could help avoid not just a situation like Cathy’s, but marital conflict more broadly.

In a 2024 Fidelity survey, more than 25% of partners resented being left out of financial decisions. Be vocal and set the guardrails early on for what you expect of your partner when it comes to financial decisions.

Setting a realistic budget and tracking where your money is going can help you avoid falling into financial traps — including noticing missing money due to financial infidelity.

Whether you plan to merge your finances with your spouse or keep your money separate, budgeting can be challenging, especially when trying to track multiple accounts and daily expenses simultaneously. Monarch Money’s expense tracking system simplifies the process.

The platform seamlessly connects all your accounts in one place, giving you a clear view of where you’re overspending. It also helps you monitor your expenses and payments in real-time.

Whether you’re looking to save, invest, or simply control your spending, Monarch Money offers the tools to help you succeed. For a limited time, you can get 50% off your first year with the code NEWYEAR2025.

What to read next

• You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here’s how
• Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

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

It’s easy to think that once you crack six figures, you’re in the clear financially. But that assumption doesn’t always hold up. One-third of Americans earning over $200,000 a year say they’re still living paycheck-to-paycheck, according to a 2024 report by PYMNTS Intelligence.

Turns out wealth isn’t just about how much you earn, it’s about how you think and what you do with it.

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• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now

Here are the top five ways wealthy people approach life, career and finances differently from the rest of us.

Subtle about their wealth

Contrary to popular belief, most multimillionaires are not cruising around in neon orange Lamborghinis or smoking cigars stashed in their Gucci bags. Instead, many wealthy Americans are trying to hide their wealth rather than flaunt it.

The “stealth wealth” or “quiet luxury” trend was highlighted in the 2024 National Millionaires Survey by Ramsey Solutions, which found that the top three car brands preferred by the wealthy were Toyota, Honda and Ford.

Simply put: wealthy Americans stay wealthy by resisting the urge to flaunt it.

Delayed gratification

Another major psychological difference between the rich and the poor is their ability to delay gratification.

In 2016, the National Bureau of Economic Research surveyed Americans over the age of 70 to see how much extra they’d need to wait a year for $100. Would they need $10 or $30? Those who required less compensation had greater patience and were better at delaying gratification, which was closely linked with their actual wealth and financial well-being.

In short, the ability to resist instant gratification is a key sign of future financial success.

Spend money to make money

Because they’re better at delaying gratification, wealthier Americans are more likely to invest their money rather than spend it.

A 2024 Gallup poll found that 31% of upper-income Americans believe stocks are the best investment. Only 7% said a savings account was a good investment.

In contrast, 20% of lower-income Americans chose savings accounts as the best investment, while just 14% preferred stocks.

This difference in strategy highlights a key mindset shift. Many lower-income households avoid risk and prefer safety, while wealthier households are more familiar with the potential rewards of riskier assets.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Leverage debt skillfully

Debt isn’t good or bad — it’s all about how it’s used.

Lower-income households are more likely to rely on expensive forms of debt to cover daily spending. About 18% of households earning between $25,000 and $49,999 used buy-now-pay-later programs in 2023, compared to just 10% for those earning more than $100,000, according to the Federal Reserve.

Wealthier Americans tend to use debt for productive investments, such as real estate or business ventures. These assets have the potential to grow in value, while consumer goods like cars or electronics lose value over time.

Rethinking how you use debt could be a game-changer on your path to building wealth.

Pursue lifelong learning

In a constantly shifting economy, wealthier individuals know the key to preserving and growing wealth is to keep learning new skills and adapting to unexpected changes.

Whether it’s signing up for professional courses, attending workshops and expanding your horizons, could give your career the boost it needs to step up wealth creation.

What to read next

• You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here’s how
• Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

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

Mike from Florida recently was put in a tough situation by his dad. He called into The Ramsey Show for some advice on how to move forward.

He revealed that his retired dad recently called up to ask for a loan of around $1,000 per month from Mike to cover some outstanding debt payments. The kicker is that his 65-year-old dad has been retired since age 49.

“I’m sorry he did that to you,” said Dr. John Delony, a host on The Ramsey Show.

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• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now

Delony continued, “Dads aren’t supposed to do that to their boys.”

Retired dad racked up debt and now wants his sons to bail him out

According to Mike, his dad has around $85,000 in personal loans and $5,000 in credit card debt. In total, these come with minimum payments of around $2,500.

However, he receives only around $4,000 per month from a retirement pension. In addition to his monthly income, he receives an annual bonus of around $7,000 to $12,000 at the end of each year.

But, understandably, the debts are making it challenging to live out his retirement dreams.

After a health scare, Mike’s dad shared his account passwords and asked his sons to cover his debts with whatever he had available.

More recently, he’s asked his sons to help him out financially. Ideally, he wants them to provide $1,000 per month to help cover the debt payments.

Supposedly, he plans to repay them at the end of the year, after receiving his annual bonus.

After learning that the dad retired at age 49 and is currently 65, Ramsey hosts pushed back against the idea of Mike handing over cash to his father.

“I would say you need to go back to work,” said Jade Warshaw.

Recently, Mike visited the family home and suggested that his father sell off some of his assets, specifically a paid-off farm.

Unfortunately, his father didn’t take that suggestion well. “He said that was his dream when he retired to be able to have that land,” said Mike.

“But was his dream also to go hit up his sons for money?” responded Delony.

Ultimately, the Ramsey hosts suggested Mike skip loaning his dad any money. Instead, they believe the dad should head back to work to fund his own dreams.

“My thing is like he can work. He’s not 85, he’s 65,” said Warshaw, “He for sure has six good working years in him.”

Warshaw suggested telling his dad, “This is not my burden to carry.”

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

The dangers of retiring too early

Retiring early is a dream for many. But retiring too early comes with significant financial dangers, specifically around the possibility of outliving your savings.

When you choose to retire around age 50, instead of a more traditional retirement age, your nest egg needs to last significantly longer. After all, you have a longer timeline for covering your costs. But you’ll have a shorter timeline to build the nest egg you need.

If you leave work early, you’ll miss out on years of retirement contributions from you and your employer. Additionally, your portfolio won’t have as much time to grow in the lead-up to your retirement years.

Beyond your own nest egg, if you choose to take Social Security benefits early, you’ll face a smaller monthly check. For retirees with a pension option, retiring early often cuts down on your annual income.

Healthcare costs are another overlooked factor for early retirees. Without an employer-sponsored health insurance plan, you’ll need to pay for your own until you’re eligible for Medicare at age 65. Many early retirees are shocked to discover their new healthcare costs are significantly higher, which can throw a wrench into their retirement plans.

While retiring early seems to receive a lot of attention in the press, it’s not a common choice to retire before age 60. In fact, just 18% of Americans retire before age 60, according to the LIMRA Secure Retirement Institute. And 13% of retirees are leaving the workforce between the ages of 55 and 60. Only around 2% of retirees opt out of work before age 55.

Early retirement isn’t too common. And likely for good reason, few Americans have enough savings to comfortably retire early. On average, households aged 55 to 64 have $537,560 in retirement savings. But the median household retirement savings for the same age group is $200,000.

Although the actual amount required for a retirement varies, estimates suggest that retirees need to leave the workforce with around $1.2 to $1.5 million for a comfortable retirement. The gap between actual savings and suggested savings puts many retirees at risk of running out of money, even when leaving the workforce at a traditional retirement age.

What to read next

• You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here’s how
• Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

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

It’s a scam so convincing that it’s raked in millions from unsuspecting residents across Washington State, including one victim who lost a jaw-dropping $870,000.

Con artists posing as government agents are using high-pressure, fear-fueled tactics to trick victims into handing over huge sums. Many of the scams involve references to victims’ Social Security.

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• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now

At least 47 victims have come forward — 27 in King County alone. Authorities believe that’s just the tip of the iceberg and are asking anyone with information about the scam to come forward.

Patrick Hinds, who heads the Economic Crimes and Wage Theft Division at the King County Prosecuting Attorney’s Office, is talking to local media to raise awareness of the problem.

“In a nutshell, this scam really works by playing on people’s fear,” he told Fox 13 Seattle.

Fake officials, real devastation

It begins with an ominous email, text, or computer pop-up that appears to be from the Social Security Administration (SSA) or a related agency that claims your identity has been stolen or your accounts hacked.

Victims are told to act fast and click on a link or call a number to connect with an official — when in fact they’re directed to a live con artist.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

The scammers tell victims their safest course of action is to liquidate all their accounts — storing their money as cash or gold — and hand it over to a courier, who will deliver it to a federal agency, for “safekeeping.”

“Of course none of that is true,” Hinds says.

Social Security scams are among the most common of the imposter scams in the U.S., and cost unsuspecting Americans $577 million in 2024 alone.

One Washington victim fell for just such a ruse when a scammer told him his Social Security Number had been compromised. He ended up losing more than $500,000 to the fraud.

He told KIRO 7 that the imposters are convincing and definitely instill fear.

“One of the first things they do is say, ‘We’ll have you electronically sign a non-disclosure agreement,’” he said. “They kept saying, ‘You can’t discuss this with anybody.’”

Hinds confirmed the scammers create a sense of urgency and secrecy to manipulate their victims and conceal their wrongdoing. They keep the con alive with fabricated letters confirming “receipt” of funds, and more calls with “officials.”

“They’ll bring in someone else who claims to be from a different agency, like your bank or the FBI,” said Hinds. “It’s all part of the trap.”

How to protect yourself

Of course, Washington isn’t the only state where this is happening. Across the U.S., imposter scams ranked first among all fraud types in 2024, according to the Federal Trade Commission, accounting for $789 million in losses — an increase of $171 million from 2023.

Hinds urges the public to remember key ways to stay safe:

Watch for 3 Red Flags:

1. Fear: The message is meant to scare you.

2. Urgency: You’re told to act now, with no time to think or ask questions.

3. Secrecy: You’re warned not to tell anyone, not even your family or bank.

Gut check

Ask yourself, “Does this make sense?” If something feels a little off, your gut may be telling you something. Get a second opinion from family, friends and trusted advisors.

Keep in mind:

1. A real government agency would never use robocalls or texts to demand money via gift cards, wire transfers or cryptocurrency. Hang up on suspicious calls and delete any such texts.

2. Con artists ‘spoof’ (fake) legitimate email addresses and caller IDs to trick you, so even if an email or phone number looks real, it could be fake. Moreover, in this era of deep fakes, fraudsters can forge convincing documentation, with authentic-looking signatures and government logos, so be wary.

3. You can always verify that communications are legitimate by cross-referencing with official government agency contact information.

What to do if you’ve been scammed

If you have fallen victim to a scammer, or suspect you have, here’s what to do:

• Stop all contact with the scammer immediately.
• Document everything including screenshots, messages and receipts.
• Contact your bank to freeze accounts, reverse transfers or flag suspicious activity.
• Contact local police.
• File a complaint with the Federal Trade Commission, the FBI’s Internet Crime Complaint Center, and in the case of Social Security scams, the SSA Office of the Inspector General at oig.ssa.gov

It’s important to act fast.

Banks and card issuers may be able to reverse fraudulent charges. State and Federal Deposit Insurance Corporation (FDIC) reimbursement programs might help in limited cases.

Bottom line?

“If someone asks you to withdraw all your money and give it to a stranger ‘for safekeeping’ — don’t do it,” Hinds said. “Real agencies don’t work like that.”

What to read next

• You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here’s how
• Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

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

Money mastery isn’t always taught in school. In fact, a survey by Intuit found that 73% of Canadian high school students wish they understood more about personal finance but don’t know where to start.

But Ramit Sethi’s goal in life is to bridge that knowledge gap.

“Many people drift through their 20s and 30s hoping money just figures itself out,” Sethi said in a video posted to his Youtube channel in June.

With his website, I Will Teach You To Be Rich, he created an empire built around clear, no-nonsense financial advice that anyone can put into practice today.

If you’re in your 20s, 30s, 40s or beyond, his 9 money milestones are worth considering.

Milestone #1: Zero high-interest debt

His first milestone is clearing all high-interest debt. This means any debt with an interest rate of 6% of higher.

“You cannot build a rich life while dragging credit card debt behind you — and you will be shocked at how fast your money grows once this anchor is gone,” Sethi says.

Credit card debt is the worst kind of debt, according to Sethi. It creates compound interest in reverse, counteracting any of the benefits you would otherwise receive from investing. Clearing this debt before doing anything else with your cash should be your number one priority.

The two most common types of debt payment strategies are the avalanche and snowball methods. The avalanche technique starts with your largest, or highest interest, debt to create cascading relief once it’s settled. The snowball method aims to knock off smaller debts first and build momentum over time.

To make clearing your high interest debt easier, you can consolidate it into one loan at a lower rate with Loans Canada. Instead of juggling multiple monthly payments, you’ll have one predictable payment to manage each month.This can both ease your interest costs and improve your credit score.

You can shop for the most competitive interest rates on personal and debt consolidation loans, since Loans Canada specializes in comparing rates offered by different lenders. You don’t need a minimum credit score or annual income to receive personalized loan offers.

Milestone #2: Have a bullet-proof emergency fund

After your debt is cleared, the next milestone is creating an emergency fund.

While many money influencers suggest three to six months so you can invest more of your money faster, Sethi believes six to 12 provides true psychological security.

“Your goal is to build six to 12 months of core expenses in an emergency fund,” Sethi notes. “That includes rent or mortgage payments, transportation, groceries — and put that money in a boring high-yield savings account.”

A high interest savings account can help you grow your savings faster. It often pays to shop around because some banks offer special interest rates for new customers.

For example, if you open a Simplii Financial high interest savings account (HISA), you can earn 4.25% interest on eligible deposits up to $100,000 for the first four months of having an account.

If you’re already a client, you can still take advantage of the welcome offer if you’re still within 60 days of opening a Simplii Financial account. Offer ends September 30, 2025.

Simplii also has a no fee chequing account which can help you make the most of your everyday spending while you’re at it.

With unlimited transactions and no monthly fees, Simplii’s no-fee chequing account simplifies everyday financial activities, allowing you to make purchases without a worry.

Plus, you can earn 0.01% to 0.1% interest on your balance.

Milestone #3: Reach full financial automation

His next milestone is all about ensuring you are investing regularly, without lifting a finger.

Automating your finances means you don’t have to do anything to invest — it happens automatically. This requires setting up automatic contributions with your banking and investing accounts, so a percentage of the money you earn is automatically invested every time your paycheck hits your account.

“The secret to getting rich is not about stock picks, it’s not about crypto, it’s definitely not day trading … it’s boring, automated, consistent investing,” according to Sethi.

He recommends investing at least 10% of your income into tax-advantaged savings vehicles — like an RRSP or TFSA — every time you are paid.

He also suggests increasing that auto-investment by 1% every year to supercharge your investment plan — meaning if you invest 7% of your pay this year, next year you would revisit your automatic investment plan and set it to 8%. The year after would be 9%, and so on.

Using an app like Wealthsimple Invest makes it easy for you to automate monthly contributions to your RRSP and/or TFSA

Once you set up your risk profile and financial goals, Wealthsimple will build a smart, diverse, expertly-managed investment portfolio to help achieve your goals.

Plus, you’ll get a $25 bonus when you open your first Wealthsimple account (through this page) and fund at least $1 within 30 days. T&Cs apply.

Once you’re fully automated, it’s time to consider diversifying your investments. Investing in stocks and bonds with a 60/40 split is a good first step, but still exposes you to market risks tied to fiat currency, global trade and the like.

Milestone #4: Reach career mastery

Sethi notes that your income is your most powerful wealth building tool. Your career is where you earn money, and the more money you earn, the more you can invest.

“The majority of millionaires in America made it from having a nice stable salary and then investing their money in low cost investments,” he says. “They didn’t win an insurance settlement. They didn’t pick a lottery ticket.

“They literally had a nine-to-five job and they took part of that money and invested. That’s why it makes a lot of sense for you to pay attention to your career and build the skill of increasing your income.”

The same goes for Canadians. A survey by RBC found that Canadian millionaires’ wealth is largely self-made. Wages and investment gains account for the largest source of their assets and only 8% inherited the bulk of their wealth.

Milestone #5: Know your number — and your why

Sethi’s next milestone is all about finding and understanding the bank account balance you need to retire and achieve all the financial goals you want in life.

“What number in the bank is enough for you? Is it a million dollars in savings? Two million, five million? Okay, but why?” Sethi asks.

“Why do you want that number? Truly rich people know their number and they know their why.”

Ask yourself what number will make you feel like you have enough to retire comfortably, retire early or go on that dream sabbatical. Knowing how much you need and why is the backbone of any strong financial plan.

“If you don’t know what that money is for, then you are simply wasting your life chasing a number,” Sethi continues.

Once you know your number, consider opening a self-directed trading account through a platform like CIBC Investor’s Edge to invest in low-cost index funds.

With CIBC Investor’s Edge, you can enjoy low commissions on trades and no or minimal account maintenance charges, depending on the size of your portfolio. You don;t have to pay any account fees on RRSPs with a balance of $25,000 or more and TFSAs with a balance of $10,000 or more. For non-registered accounts, the platform waives maintenance fees if the account balance exceeds $10,000.

Build your portfolio with CIBC Investor’s Edge and get up to 100 free trades and over $200 in cash back.

Milestone #6: Have a shared financial dashboard

If you are married, or considering marriage, this is crucial advice.

Sethi notes that there should never be one person in the relationship who controls all the fiances — as that can be a breeding ground for resentment. A shared dashboard means you actively look at your money together, share financial goals and make long-term plans together.

His advice isn’t just about emotions. It’s also practical.

“If you happen to get hit by a bus one day, you’re going to leave your grieving family not even sure where the money is.”

If one partner holds access to all the accounts, and that person is suddenly gone, this creates extra chaos for the partner left behind.

With this in mind, Monarch Money offers tools for couples to track your combined finances across multiple accounts. This can help you and your partner create a shared dashboard to manage your full financial picture.

Monarch Money is a platform that acts as a personal finance concierge. It connects you with over 11,200 financial institutions — this means you can have a top-down view of your bank accounts and investment portfolios.

Milestone #7: You’ve created your “no” list

What don’t you care about? Cut it out ruthlessly.

“This checkpoint is about clarity. It’s about knowing what doesn’t matter to you,” Sethi notes. “Here’s what you need to do: Write down three things you don’t care about spending money on, then write three things you want to spend money on unapologetically.”

This means actively looking at what you spend money on by tracking spending for a few months. Make sure your spending is aligned with the things you actually care about.

“Once you know what is not part of your rich life, then you can cut those things without guilt, and you can actually redirect that money to the things you love,” Sethi says.

Tracking your spending could show that you’re actually spending $120 a month on subscription services you haven’t used in years, allowing you to make cuts and put your money toward something more meaningful.

Milestone #8: A simplified credit card assortment

Sethi’s next milestone is all about simplicity.

It is easy to get caught up in financial optimization to the detriment of enjoying your life.

An all-consuming obsession with getting the best deal possible, or carrying around a wallet full of credit cards that need a spreadsheet to keep track of the best cash back rates for each spending category, is not how you create a healthy relationship with money.

“Do you really want to spend the rest of your life optimizing a spreadsheet of cash back rewards?” Sethi asks.

This takes up time you could better spend earning money, recharging by watching your favorite show or being with family. All that work to save an extra $50 a year isn’t always a worthwhile use of time.

Instead, he recommends keeping “one to two solid rewards cards.”

“Cancel those junk cards, including those predatory f—ing credit cards with 30% plus APRs that you got from Gap and Kohl’s to get $10 off a sub par pair of jeans,” he continues. “And then monitor your interest rates like a hawk while you’re paying off debt.”

Neo Financial’s Mastercard can be a good option to consider for one of your two go-to credit cards.

It has no annual fee and offers 1% cashback on gas and groceries so you can earn while you spend on essentials.

And if you shop at select stores nationwide — like Aldo and Pet Valu — or book a room with Best Western, you can get up to 15% cashback on your purchases.

Apply today and get a $25 bonus.

Milestone #9: Have your financial vision in place

Finally, Sethi recommends using everything you learned from the other milestones to create a financial vision that you revisit yearly.

What you think you want out of life in your 30s will not be the same as what you might want in your 40s or 50s. At the end of each year, update your plan to suit your current lifestyle and future goals — a recurring calendar event can help with this.

Sethi recommends asking yourself the following questions during these check-ins: “What do I want more of in this coming year? What doesn’t matter to me anymore? What do I want less of? And finally, what’s next?”

While it’s certainly not an easy thing to think about, planning for the finances of what happens when you’re gone can be a life saver for your loved ones and ease your mind in the present by knowing your wealth is protected.

With PolicyMe finding the best, most affordable life insurance policy for you is simple. All you need to do is fill in some information about yourself — things like your age, income and smoking status —and they will provide you with a free quote in minutes.

Sources

1. Intuit: Intuit Survey: Few Canadian high schoolers feel they have a solid understanding of personal finance terms (July 18, 2024)

2. Intuit: I Will Teach You To Be Rich: 9 Major Money Milestones to Accomplish Before 40

3. RBC: Canada’s millionaires concerned about next generation’s financial future: RBC

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.

There’s great news for America’s homeowners: A growing percentage now own their homes outright. No mortgage, no liens.

U.S. Census Bureau data showed that in 2024, about 38.8% of owner-occupied homes in the United States are owned outright, meaning they no longer have mortgages to pay. That is a 40% increase between 2012 and 2022.

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Over half of homeowners from this reporting period are also above the retirement age of 65. So if you’re fortunate enough to be mortgage-free and headed towards retirement, chances are you have a lot going for you financially.

For starters, the worth of your home, should you choose to sell it, represents 100% equity — meaning your bank owns none of it. If property values in your area have jumped since buying, your home is now much more than a roof over your head. It’s also a storehouse of wealth.

Here’s a closer look at what a fully owned residence could translate to in dollars and cents.

Hard-won returns

It’s important to note that homes don’t provide returns like traditional investments. After years of mortgage payments, much of your money goes to the lender.

For example, on a $500,000 home with a $100,000 down payment and a 15-year mortgage at 2.5%, you’d pay around $80,000 in interest, excluding property taxes, repairs and insurance.

Even if you don’t own your own home, there are other ways to get the housing market working for you without a hefty downpayment or managing property. New investing platforms are making it easier than ever to tap into the real estate market.

For accredited investors, Homeshares gives access to the $36 trillion U.S. home equity market, which has historically been the exclusive playground of institutional investors.

With a minimum investment of $25,000, investors can gain direct exposure to hundreds of owner-occupied homes in top U.S. cities through their U.S. Home Equity Fund — without the headaches of buying, owning or managing property.

With risk-adjusted internal returns ranging from 14% to 17%, this approach provides an effective, hands-off way to invest in owner-occupied residential properties across regional markets.

If you’re not an accredited investor, crowdfunding platforms like Arrived allows you to enter the real estate market for as little as $100.

Arrived offers you access to shares of SEC-qualified investments in rental homes and vacation rentals, curated and vetted for their appreciation and income potential.

Backed by world-class investors like Jeff Bezos, Arrived makes it easy to fit these properties into your investment portfolio regardless of your income level. Their flexible investment amounts and simplified process allows accredited and non-accredited investors to take advantage of this inflation-hedging asset class without any extra work on your part.

Between 2008 and 2013, home prices more than doubled, according to the Federal Housing Finance Agency. This means that a $500,000 home bought in 2008 could be worth $1.08 million today.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Your fully owned home’s ripple effect

Another way to determine what your paid-off home is worth is by considering how it impacts your retirement budget.

By eliminating a $2,500 mortgage payment, you cut your annual expenses during retirement by $30,000.This can help bring your retirement income needs closer to the lower end of the 55%-80% range suggested by Fidelity. Paying off your home before retirement can make for more years of mortgage free investing.

For example, paying off your home by 60 years of age frees up $150,000 to invest over five years. At a 7% return, that can grow to $210,000 — providing a solid retirement cushion and the means to build extra wealth.

Real estate investing can be a proven path to building lasting wealth. For the 12th year in a row, Americans have ranked real estate as the best long-term investment in 2024, according to a Gallup survey.

Through strategic investments in commercial properties and residential real estate, investors can create a robust portfolio that provides both immediate returns and long-term growth.

Today, innovative investment platforms are making real estate more accessible than ever. First National Realty Partners (FNRP) allows accredited investors access to grocery-anchored commercial real estate investments with a minimum investment of $50,000.

With FNRP, investors own a share of properties leased by national brands like Whole Foods, Kroger and Walmart, providing potential cash flow without the headache of tenant costs and management.

Cashing out your equity

One creative way to fund your retirement lifestyle is through a reverse mortgage, which lets you tap into your home equity to supplement your income, pay off substantial debt or fund renovations.

The average homeowner has a home equity of $313,000 as of March 2025, according to the ICE Mortgage Monitor report. This could beis quite substantial depending on your financial situation.

You can choose to borrow the funds as a lump sum or fixed monthly payment and can spend it however you want, allowing you to turn all that home equity into tax-free cash, helping to support your retirement lifestyle.

With a reverse mortgage, you can continue living in your home while accessing its value — and you won’t have to make monthly mortgage payments. The loan only becomes due when you move, sell the home or pass away.

You can check out Money.com’s list of industry-leading companies offering reverse mortgages here.

Compare offers instantly and request a free information guide to help you understand how to get started, and to see if a reverse mortgage is right for you.

What to read next

• You don’t have to be a millionaire to gain access to this $1B private real estate fund. In fact, you can get started with as little as $10 — here’s how
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• Accredited investors can now buy into this $22 trillion asset class once reserved for elites – and become the landlord of Walmart, Whole Foods or Kroger without lifting a finger. Here’s how
• Rich, young Americans are ditching the stormy stock market — here are the alternative assets they’re banking on instead

Stay in the know. Join 200,000+ readers and get the best of Moneywise sent straight to your inbox every week for free. Subscribe now.

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

When Alex Oleksy and his young family moved into an unfinished subdivision in Mooresville, North Carolina, he looked forward to peace, quiet and beautiful surroundings.

He got quiet all right. Eerie quiet. And the view? Half-built homes with fraying housewrap, rusting construction materials and other eyesores. It’s like a subdivision ghost town.

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“Very unexpected,” Alex Oleksy told WCNC. "You see rods sticking out. You see tall grass. There’s a roof being held by a 2×4. Looks unstable.”

It’s the same for other homebuyers who purchased new-build homes from Helmsman Homes and Nest Homes in Mooresville and nearby Statesville. These builders, both connected, ran into financial difficulties.

That led to work stoppages as subcontractors demanded payment for their work. As work stalled on the subdivisions, unfinished homes were left vacant, and deteriorating, for a year.

Homes sit unfinished for months

“Doesn’t look good, does it?” said Dolphus Lee, a Marine veteran and homeowner in a similarly half-built neighborhood in Statesville. “I’m upset, but ain’t nothing I can do about it.”

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Homeowners have heard little from the developers.

But contractors, including masonry and roofing companies, have filed lawsuits against both Nest Homes and Helmsman Homes, with claims that the developers owe them a combined total of $1.7 million.

According to Iredell County’s director of building standards, the companies have shuttered and the remaining properties are now owned by mortgage companies and banks.

That leaves homeowners like Oleksy and Lee — who’ve waited months hoping their subdivisions will be completed — in limbo. Now, there’s light at the end of the tunnel.

Another developer has stepped in to finish building the homes in Olesky’s neighborhood. Homeowners like Lee hope something similar will happen in their subdivisions.

Tread carefully when buying a new-build

The situation is instructive for anyone looking to buy into a new subdivision.

“Buyers need to be aware of buying into a neighborhood that’s not complete,” attorney and real estate expert James Galvin told WCNC.

“You can’t treat that purchase the same way as you’re treating a purchase in a finished neighborhood. You’re going to really want to kick the tires.”

Here are some tips on how to do your due diligence on a new development.

Seek out reviews of the developer to get an idea of how homeowners like working with them. Consumer review sites like Consumer Affairs often have customer reviews on popular builders.

Request a copy of the developer’s financial statements. Comb through the details to confirm whether the company can afford to finish building and maintaining the community.

Be wary if the HOA fees are especially low. That’s because developers own the HOA until the development is completed. Low HOA fees may indicate that construction is stalled.

Look for lawsuits in the builder’s past, ongoing litigation or signs of financial mismanagement. You might even consider hiring an investigator to dig deeper.

Take red flags seriously.

Finally, if you decide to move forward, keep a solid emergency fund on hand. If something goes wrong, you want to be able to rent a place to call home until you sort out any unexpected issues.

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