Money Management

Rent prices have quickly increased over the past few years. Read on to find out how to lower yours. [[{“value”:”

Many Americans are opting to rent rather than buy a place to live right now, as house prices have soared over the past few years. The increased demand for rentals has merged with rising inflation, pushing rent prices higher.

The result is that the typical monthly rent in the U.S. is now $1,988 — an increase of more than 30% from early 2020.

That increase is pushing the limits of some renters’ budgets and forcing more Americans to spend a larger portion of their monthly income on housing.

A snapshot of the rental market

Inflation and high housing costs aren’t the only factors affecting rental prices. Increased upward mobility among some renters pushed rents higher in certain parts of the country, and a surge in high-end apartment construction has made affordability more difficult for some renters.

Here’s what else is happening in the rental market right now, according to Zillow:

Rental prices rose on an annual basis in 48 of the 50 metro markets analyzed.The typical listed rent price is 29.1% of the current median household income.A household needs to earn $79,307 to afford the typical rent, which is 6% higher than what most households earn.

This data is more than a little concerning, considering that renting is the only housing option for many Americans right now.

How to lower your rent

The good news is that rental price growth appears to be back to pre-pandemic levels, according to Zillow. But that doesn’t mean it’s affordable. If you’re having difficulty covering the cost of your rent out of your bank account right now, here are a few suggestions for how to lower your costs.

Negotiate your rent

Many people might not realize that they can negotiate for a lower rent. There’s no guarantee it’ll work, but research shows that about 25% of renters successfully manage to lower their rent when they negotiate.

The winter months are usually a better time to negotiate because there’s typically less demand for rental homes at that time. If your landlord isn’t willing to lower the monthly rent, then ask if they’d be willing to give you one month free.

Look for deals

Zillow said that in areas of the country where there’s been a lot of apartment construction, many apartments offer concessions, like free parking or a free month of rent. A few years ago, I moved into a brand-new apartment building that needed to fill its units fast, and I received one month of free rent, plus they waived my security deposit.

Zillow says 33% of the rental listings on its platform currently offer a concession, and many apartment managers prefer to offer deals rather than lower rent prices to entice renters.

Sign a longer lease

It can be difficult for some apartment managers and landlords to find another tenant when one moves out. That’s why some of them offer lower rates to renters who sign longer leases. This might mean you’ll sign an 18-month or 24-month lease instead of 12 months.

Just be sure that you’re ready to commit to the longer lease. Getting out of a lease agreement usually isn’t easy. But if you love the place and want a better deal, signing a longer lease may be a smart financial move.

No matter what rent prices do in the near future, just remember that financial experts often recommend keeping your monthly rental payments below 30% of your gross monthly income. While sticking to this percentage may not be possible for everyone, aiming for that amount (or less) will help you have more cash for other expenses.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Chris Neiger has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Zillow Group. The Motley Fool has a disclosure policy.

“}]] Read More 

Some credit card perks don’t live up to their name. Learn which three popular perks aren’t as valuable as you think. [[{“value”:”

We all love our rewards credit cards, right? Hefty welcome bonuses, cash back on everyday purchases, annual flight credits, free travel, and purchase protections. Who doesn’t like earning points, miles, or cash back on things you were already going to buy?

True, credit card perks have come a long way in offering cardholders the utmost value. And while many are designed to reward you for spending you were already going to do, some are merely dressed up as “perks,” when, in fact, they don’t offer much value at all. As you’re shopping for your next credit card, here are three common “perks” that are completely overrated.

1. Free subscriptions you’ll never use

You might think it’s cool that your credit card offers free subscriptions, like an annual membership to Uber One or Lyft Pink. And while these perks could save you money if you’re actually using those services, they’ll amount to nothing if you use them once or twice then never again.

The truth is, many luxury credit cards with annual fees will advertise a slew of subscriptions in the hopes that you’ll see past the big fee and sign up. Even if you do use the service regularly — say, for example, Instacart+ — rarely will a card give you the membership indefinitely. Often, the subscription will expire after your card’s first anniversary. So, if you’re getting a card based on the value of these subscriptions, take a closer look at its rewards program and see if you can derive value from its points or miles alone.

2. Bonus points for purchases you’ll never make

Speaking of credit card points, another overrated perk is getting bonus points or cash back for purchases you’ll likely never make.

For example, many rewards credit cards will give you bonus points for buying a Peloton bike. Now, I have nothing against Peloton. Sure, they’re a little too expensive, but if that’s how you exercise, so be it. Now, if you, like me, aren’t dying to buy a new Peloton, earning bonus points is a perk you’ll never use.

Instead of bonus points on one-time luxury purchases, look for credit cards that earn rewards on items you’re already buying. For example, many gas and grocery credit cards will earn bonus cash back on food and gas, which could actually help you save money. Likewise, travel credit cards can help you earn miles or points for travel purchases you were already going to make.

3. Airport lounges

Not too long ago, airport lounge access was a real perk. Lounges were quiet, exclusive, and had hardly anyone in them.

Nowadays, when you walk into an airport lounge, it feels as if you walked into another airport. They’re crowded, loud, and sometimes so over their capacity, you just want to go back to that quiet corner in the food court where you could have some peace.

Of course, that’s not to say there aren’t airport lounges that live up to the name. Surely, you can still find a lounge that feels exclusive. Likewise, if a credit card gives you access to airport lounges for free, by all means — go. I wouldn’t leave a perk on the table because you can’t sip your mango juice in peace. But if you’re seeking this perk in a new card under the assumption that you’re about to step into the life of a C-suite, you might be disappointed to find yourself waiting a half-hour outside the lounge for entry.

Now, don’t get me wrong: for every overrated perk, there’s likely half a dozen great perks you’ll actually use. But it’s fine to be picky upfront about which perks you want your card to have. Ultimately, you want perks that will add value, not cool add-ons that you might use.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has positions in and recommends Uber Technologies. The Motley Fool has a disclosure policy.

“}]] Read More 

Airline elite status includes lots of perks, especially in the highest tiers. Check out the most valuable ones and learn how to get them without elite status. [[{“value”:”

Most major airlines have frequent flyer programs. While no two programs are exactly alike, they generally work the same way. If you spend enough money with an airline, you can earn elite status and get rewarded with special benefits. There are multiple status tiers, and the higher you go, the more perks you’ll receive.

It’s hard for the average traveler to earn elite status. If you don’t fly often, it could be out of reach. But that doesn’t mean those elite status benefits are out of reach, too. Here are other ways to get all the top perks.

1. Free checked bags

Airline elite status normally includes at least one free checked bag, and sometimes more. If you travel with luggage, this is a valuable benefit, especially since several airlines bumped up their baggage fees earlier this year. With some carriers, you’ll pay $80 roundtrip for one checked bag.

How to get it: Open a credit card with your preferred airline. Many airline credit cards include free checked baggage for the cardholder, and sometimes additional passengers traveling on the same reservation.

Another option is to book a ticket that includes free baggage. Airlines often include free checked baggage starting with premium economy seats. Or you could fly with Southwest, as that airline lets all passengers check up to two bags free of charge.

2. Complimentary upgrades

When you have elite status with an airline, you’re eligible for complimentary upgrades. Airlines have an upgrade list for their flights, and passengers in higher status tiers receive priority for upgrades. If the flight isn’t full, having elite status could get you into premium economy, business class, or first class.

How to get it: If upgrade space is available, airlines usually give passengers the opportunity to buy an upgrade before the flight. It’s not quite a free upgrade, but it’s cheaper than the cost of buying that seat from the beginning.

You could also book the ticket you want with airline miles instead of cash. If you’ve earned miles using a travel credit card, that’s a great way to save on expensive airfare.

3. A discounted or free membership to the airline’s lounge program

With some airlines, elite status could help you score airport lounge access. American Airlines offers a discounted rate on an Admirals Club® membership for passengers with elite status (the discount amount depends on your status tier). Delta Air Lines lets Diamond Medallion members select benefits of their choice, and options include a Delta Sky Club individual or executive membership.

How to get it: Airlines often include a complimentary membership to their lounge programs with their most expensive credit cards. These cards can cost $550 or more per year, so they don’t come cheap. But the cost of the annual fee is still typically cheaper than the cost of a lounge membership. If you fly with a given airline quite a bit, then getting its top credit card could be worth it.

If you don’t always fly with the same airline, there are also travel credit cards with memberships to other lounge programs, such as Priority Pass. You can get into a much larger variety of lounges this way.

4. Priority boarding

Airlines let passengers with elite status board before the general boarding group. If you want to make sure there’s enough overhead bin space for your bag, this perk can come in handy.

How to get it: This is another area where an airline credit card is just as good as elite status. Priority boarding is a feature you can find on most airline cards, and it typically applies for your travel companions on the same reservation, too. If you aren’t interested in getting an airline card, you might also be able to pay a small fee for priority boarding.

Elite status perks without elite status

Airline elite status comes with lots of valuable perks. But you can get most of them without elite status, too, either with an airline credit card or by just paying for the upgrades you want.

If you travel often, getting an airline credit card (or a travel credit card that isn’t tied to an airline) is probably a good idea. In addition to their travel perks, these cards can help you save on bookings with the miles you earn. Check out the best travel credit card options, as well as cards with your favorite airline, to see if there’s one you like.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Lyle Daly has positions in Delta Air Lines. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.

“}]] Read More 

The sooner you buy pet insurance, the more it can do for you. Read on to learn more. [[{“value”:”

When my friend Sarah brought home an adopted dog two months ago, I helped her shop for supplies to get ready for the occasion. We bought a crate, stocked up on a few different brands of dog food, and purchased some toys that have since gotten destroyed in short order. So it goes.

Another thing I told Sarah, a new pet owner, to do once she brought her dog home was apply for pet insurance right away. And it’s a good thing she did, because pretty shortly after being adopted, her pet got into the trash can, ate some bad stuff, and had to be taken to the animal hospital for X-rays and observation. That was a very large bill her insurance policy largely covered, minus her deductible.

If you’re adopting a pet, it’s important to sign up for insurance as soon as you can. Here’s what might happen if you wait to get pet insurance.

1. Your pet might get hurt in the interim

Unfortunately, pets have the potential to get injured at any time, whether due to someone else’s actions or their own (in my friend’s case, poking around in the trash). The sooner you put pet insurance in place, the sooner you have coverage. So if your pet gets hurt early on after you bring them home, you won’t necessarily have to raid your savings account to cover the cost of their care.

2. You may discover medical conditions that are excluded from your policy’s coverage

These days, companies that write health insurance policies for people are not allowed to exclude pre-existing conditions. But pet insurance companies are not held to that same standard.

With pet insurance, it’s perfectly permissible to exclude a known issue from coverage. So the sooner you buy that insurance, the less likely you’ll be to discover a brewing issue that your insurer won’t pay to treat.

To be clear, you can’t hide a pre-existing condition when applying for pet insurance. Doing so could void your coverage.

But let’s say you don’t know that your pet has arthritis when you first bring them home, and your vet doesn’t find the issue, either. If you buy pet insurance and then discover the arthritis two months later, at that point, your insurer should be willing to pay to treat it, since it wasn’t a known condition at the time.

Don’t wait to get pet insurance

You may be inclined to delay your pet insurance application because you’re worried about the cost. But coverage for your animal may be less expensive than you’d think.

Forbes Advisor says that the average cost of pet insurance is $576 per year for dogs and $336 per year for cats. Of course, your costs may be notably different depending on your pet’s age and health. The point, however, is that it pays to put insurance in place as soon as you can.

So once you bring your pet home, do some quick rate shopping to find your most cost-effective plan. It could spare you from having to pay for a host of pet care expenses yourself.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

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.
The Ascent does not cover all offers on the market. Editorial content from The Ascent 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