Money Management

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Owning a home is by no means inexpensive. In addition to paying a mortgage, you have to cover the cost of property taxes, insurance, and maintenance. And given the rise in home prices over the past few years, most U.S. households do not earn enough money to reasonably afford a place of their own.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. It now takes an income of $107,700 to afford a new single-family home plus property taxes and insurance on it, according to a new report by Oxford Economics.But here’s the shocking part. In 2019 — not so long ago — it only took a household income of $56,800 to afford a new home.This means the income needed to swing a home purchase has nearly doubled in five years, which explains why so many people have been struggling to become homeowners. In fact, only 36% of households earn enough money to buy a home today.Why homes are so much harder to affordA couple of factors have come together to make homeownership much more expensive than it was a few years ago. First, home prices have risen. In September, the median existing home sale price was $404,500, according to the National Association of Realtors.Secondly, mortgage rates have soared in recent years after dropping to record lows during the COVID-19 pandemic. As of this writing, the average 30-year mortgage rate is 6.78%.Another issue would-be homeowners have grappled with in recent years is inflation. Because living costs have been so high, it’s been harder to save up funds for a down payment. That’s put many buyers in a position where they have to borrow more to finance a home — and at less affordable rates.Don’t take on too much houseIf you’re hoping to buy a home, it’s important to know what you can afford based on your salary and expenses. As a general rule, you should aim to keep your housing costs to 30% of your take-home pay or less. And that 30% threshold should include what you spend on a mortgage plus property taxes and homeowners insurance.That said, there are steps you can take to find a more affordable mortgage. One is to boost your credit score before applying, which you can do by paying bills on time and keeping outstanding credit card balances as low as you can.Also, shop around for a mortgage, since you never know when one lender might offer you a much better deal than another. You can start with this list of the best mortgage lenders.It may or may not shock you to learn that it takes a salary of about $108,000 to own a home in the U.S. today on average. If your salary isn’t close to this, you don’t necessarily have to write off homeownership, especially if you live in an inexpensive area. Housing prices could come down in time, and so could mortgage rates. And you can potentially make up for a lower salary with a higher down payment. But aim to stick to that 30% threshold either way, so you don’t wind up in over your head.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

Owning a home is by no means inexpensive. In addition to paying a mortgage, you have to cover the cost of property taxes, insurance, and maintenance. And given the rise in home prices over the past few years, most U.S. households do not earn enough money to reasonably afford a place of their own.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

It now takes an income of $107,700 to afford a new single-family home plus property taxes and insurance on it, according to a new report by Oxford Economics.

But here’s the shocking part. In 2019 — not so long ago — it only took a household income of $56,800 to afford a new home.

This means the income needed to swing a home purchase has nearly doubled in five years, which explains why so many people have been struggling to become homeowners. In fact, only 36% of households earn enough money to buy a home today.

Why homes are so much harder to afford

A couple of factors have come together to make homeownership much more expensive than it was a few years ago. First, home prices have risen. In September, the median existing home sale price was $404,500, according to the National Association of Realtors.

Secondly, mortgage rates have soared in recent years after dropping to record lows during the COVID-19 pandemic. As of this writing, the average 30-year mortgage rate is 6.78%.

Another issue would-be homeowners have grappled with in recent years is inflation. Because living costs have been so high, it’s been harder to save up funds for a down payment. That’s put many buyers in a position where they have to borrow more to finance a home — and at less affordable rates.

Don’t take on too much house

If you’re hoping to buy a home, it’s important to know what you can afford based on your salary and expenses. As a general rule, you should aim to keep your housing costs to 30% of your take-home pay or less. And that 30% threshold should include what you spend on a mortgage plus property taxes and homeowners insurance.

That said, there are steps you can take to find a more affordable mortgage. One is to boost your credit score before applying, which you can do by paying bills on time and keeping outstanding credit card balances as low as you can.

Also, shop around for a mortgage, since you never know when one lender might offer you a much better deal than another. You can start with this list of the best mortgage lenders.

It may or may not shock you to learn that it takes a salary of about $108,000 to own a home in the U.S. today on average. If your salary isn’t close to this, you don’t necessarily have to write off homeownership, especially if you live in an inexpensive area. Housing prices could come down in time, and so could mortgage rates. And you can potentially make up for a lower salary with a higher down payment. But aim to stick to that 30% threshold either way, so you don’t wind up in over your head.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: Getty Images
If you’ve been thinking about signing up for Costco, now could be a good time to take the plunge. Not only can you benefit from Costco value on all your holiday shopping, but new members can also score a $45 Costco Shop Card. That effectively cuts the cost of a regular membership to $20.Top credit card to use at Costco (and everywhere else!)
We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco. Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.
Click here to read our full review for free and apply before the $200 welcome bonus offer ends!The deal expires on Dec. 22, 2024, so you need to act fast. Read on for more info on the offer as well as other ways to maximize your Costco membership value.How to get a $45 gift card as a new Costco memberCostco’s regular Gold Star membership costs $65 and its premium Executive membership will set you back $130. Sign up via Groupon or Stack Social to get a $45 Costco Shop Card (Costco’s version of its own gift card) alongside all the normal membership benefits.The deal is only available to new members or people who haven’t had a membership in the past 18 months. It’s a fantastic way to cut your membership costs and access Costco’s treasure trove of high-quality low-price products.What you need to do:Buy your annual membership through Groupon or Stack Social.Costco will email you your membership information within a couple of hours.After two weeks, you’ll receive your $45 Digital Costco Shop Card by email.To get your physical membership card, take a photo ID and the confirmation email to the membership desk at a Costco store. You don’t need an actual card to shop online.New to Costco? Here’s how to get the most value out of your membershipShopping at the warehouse giant can be a great way to save money, particularly if you have a big household and make the most of its bulk buys. Here are some other ways to make the most of your new membership.Use Costco’s sales and monthly coupon booksPay attention to Costco’s monthly deals to get the best prices, especially on items you buy regularly. You’ll often find better deals in store than online.Stack cash back benefitsCostco only takes Visa cards in-store (and Visa and Mastercard on Costco.com), which isn’t ideal if you want to get cash back or points on your spending with another type of card. Click here to check out our top Costco credit cards and earn cash back every time you shop.Check out Costco’s Kirkland labelYou’ll likely find Kirkland-brand products to be high quality and great value. But if they don’t meet your expectations, the store’s money back guarantee makes it easy to return anything that’s not what you hoped.Use all the perks of a Costco membershipYour Costco membership doesn’t stop at access to the warehouses. Members can also benefit from a host of extra services, including great prices on vacation packages, rental cars, and more at Costco Travel, low prices on gas and tires, and pharmacy discounts.Check out the Executive membershipThe biggest perk of Costco’s Executive membership is a 2% cash back on much of your spending. If you spend $3,250 a year at Costco (around $270 a month), the upgrade to a premium membership would pay for itself. Combine an Executive membership with top credit cards and cash back apps and you’ll really be cooking.Costco membership deals don’t come around very oftenThis deal means you can effectively get your first year’s membership for $20 ($1.67 a month). Costco’s low prices mean many households will quickly save enough to cover that fee, particularly if you have a car and there’s a Costco nearby.If you’re hesitating to jump in, it’s worth knowing that Costco rarely discounts the actual membership price. Groupon says it runs a Costco deal roughly once a year. It may be a while before another new membership promotion comes around.Top credit card to use at Costco (and everywhere else!)
We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco. Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.
Click here to read our full review for free and apply before the $200 welcome bonus offer ends!We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Emma Newbery has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.”}]] [[{“value”:”

If you’ve been thinking about signing up for Costco, now could be a good time to take the plunge. Not only can you benefit from Costco value on all your holiday shopping, but new members can also score a $45 Costco Shop Card. That effectively cuts the cost of a regular membership to $20.

Top credit card to use at Costco (and everywhere else!)

We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco.

Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.

Click here to read our full review for free and apply before the $200 welcome bonus offer ends!

The deal expires on Dec. 22, 2024, so you need to act fast. Read on for more info on the offer as well as other ways to maximize your Costco membership value.

How to get a $45 gift card as a new Costco member

Costco’s regular Gold Star membership costs $65 and its premium Executive membership will set you back $130. Sign up via Groupon or Stack Social to get a $45 Costco Shop Card (Costco’s version of its own gift card) alongside all the normal membership benefits.

The deal is only available to new members or people who haven’t had a membership in the past 18 months. It’s a fantastic way to cut your membership costs and access Costco’s treasure trove of high-quality low-price products.

What you need to do:

Buy your annual membership through Groupon or Stack Social.Costco will email you your membership information within a couple of hours.After two weeks, you’ll receive your $45 Digital Costco Shop Card by email.

To get your physical membership card, take a photo ID and the confirmation email to the membership desk at a Costco store. You don’t need an actual card to shop online.

New to Costco? Here’s how to get the most value out of your membership

Shopping at the warehouse giant can be a great way to save money, particularly if you have a big household and make the most of its bulk buys. Here are some other ways to make the most of your new membership.

Use Costco’s sales and monthly coupon books

Pay attention to Costco’s monthly deals to get the best prices, especially on items you buy regularly. You’ll often find better deals in store than online.

Stack cash back benefits

Costco only takes Visa cards in-store (and Visa and Mastercard on Costco.com), which isn’t ideal if you want to get cash back or points on your spending with another type of card. Click here to check out our top Costco credit cards and earn cash back every time you shop.

Check out Costco’s Kirkland label

You’ll likely find Kirkland-brand products to be high quality and great value. But if they don’t meet your expectations, the store’s money back guarantee makes it easy to return anything that’s not what you hoped.

Use all the perks of a Costco membership

Your Costco membership doesn’t stop at access to the warehouses. Members can also benefit from a host of extra services, including great prices on vacation packages, rental cars, and more at Costco Travel, low prices on gas and tires, and pharmacy discounts.

Check out the Executive membership

The biggest perk of Costco’s Executive membership is a 2% cash back on much of your spending. If you spend $3,250 a year at Costco (around $270 a month), the upgrade to a premium membership would pay for itself. Combine an Executive membership with top credit cards and cash back apps and you’ll really be cooking.

Costco membership deals don’t come around very often

This deal means you can effectively get your first year’s membership for $20 ($1.67 a month). Costco’s low prices mean many households will quickly save enough to cover that fee, particularly if you have a car and there’s a Costco nearby.

If you’re hesitating to jump in, it’s worth knowing that Costco rarely discounts the actual membership price. Groupon says it runs a Costco deal roughly once a year. It may be a while before another new membership promotion comes around.

Top credit card to use at Costco (and everywhere else!)

We love versatile credit cards that offer huge rewards everywhere, including Costco! This card is a standout among America’s favorite credit cards because it offers perhaps the easiest $200 cash bonus you could ever earn and an unlimited 2% cash rewards on purchases, even when you shop at Costco.

Add on the competitive 0% interest period and it’s no wonder we awarded this card Best No Annual Fee Credit Card.

Click here to read our full review for free and apply before the $200 welcome bonus offer ends!

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Emma Newbery has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy.

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