Latest news with #nationalaverages
Yahoo
07-07-2025
- Business
- Yahoo
Average Net Worth of Single-Person Households vs. Families
What is your net worth? And are you on track compared with national averages? Your net worth is an important calculation that gives you a bird's-eye view of your financial picture. Comparing this number with the national average for your situation can help you determine whether you are on track or whether you need to make some serious changes. Read Next: Explore More: Here are more details on what net worth is, how it's calculated and why it's important to calculate, as well as a breakdown of national averages. Also see what your net worth should be based on your salary. Net worth is calculated by subtracting your liabilities from your assets to see how much you are 'worth.' Assets are what you own, while liabilities are what you owe. Common types of assets include your 401(k), savings accounts and house value. On the contrary, liabilities might include your mortgage, outstanding credit cards and other loans. A positive net worth means that if you sold all of your assets and paid off all of your liabilities, you would have money left over. A negative net worth is the opposite. You would still owe people money after liquidating all of your assets. Not everything is included in the net worth calculation. Some methods exclude personal assets, such as vehicles, jewelry and boats, because it's hard to put a price on how much someone will pay. Regardless of which method you use, it's important to be consistent. Check Out: Calculating your net worth is a good way to see how you are doing financially. Instead of looking at your monthly budget, your net worth gives you an overall picture of your financial health. When you work toward building a higher net worth, you may retire more comfortably or leave more assets behind for your children and family members. The most recent data from the Federal Reserve, as reported by Lexington Law, examines the median and average net worth of multiple groups. The mean is the average and can be skewed by high-net-worth individuals. On the contrary, the median is more closely related to the middle of where people fall. The table below breaks down the recent data. Type of Family Structure Median Net Worth Mean Net Worth Single with no children (under 55) $20,690 $198,970 Single with no children (over 55) $162,920 $721,820 Single with children $50,750 $274,130 Couple with no children $398,960 $1,867,480 Couple with children $250,620 $1,159,730 How do you compare? Are you on track? It's important to understand that these categories are broad. For example, having a lower net worth in your 20s and 30s is perfectly reasonable compared with your 40s and 50s. This is primarily due to compound interest. As your investment base begins to grow, so do your returns and growth. Evaluating the average net worth of single-person households versus families can be a great way to get a glimpse into how you compare. However, it shouldn't be the only source you rely on. If you feel behind, reach out to a financial advisor who can give you personalized feedback based on your situation. More From GOBankingRates Mark Cuban Tells Americans To Stock Up on Consumables as Trump's Tariffs Hit -- Here's What To Buy This article originally appeared on Average Net Worth of Single-Person Households vs. Families
Yahoo
24-06-2025
- Business
- Yahoo
Mortgage and refinance interest rates today, June 24, 2025: Rates take a small dip lower
Mortgage interest rates slipped a fraction today. According to Zillow, the 30-year fixed mortgage rate clicked down one basis point to 6.67%, and the 15-year fixed rate dipped two basis points to 5.88%. If circumstances are preventing you from waiting for more favorable home loan rates — because of a job move, a growing family, or other major life event, don't agonize — strategize. Bank the most down payment you can, nurture your credit score, and shop lenders until you find one with low fees and a fair interest rate. Dig deeper: What determines mortgage rates? Here are the current mortgage rates, according to our latest Zillow data: 30-year fixed: 6.67% 20-year fixed: 6.29% 15-year fixed: 5.88% 5/1 ARM: 6.70% 7/1 ARM: 6.88% 30-year VA: 6.24% 15-year VA: 5.59% 5/1 VA: 6.29% Remember that these are the national averages and rounded to the nearest hundredth. Have questions about buying, owning, or selling a house? Submit your question to Yahoo's panel of Realtors using this Google form. These are the current mortgage refinance rates, according to the latest Zillow data: 30-year fixed: 6.77% 20-year fixed: 6.34% 15-year fixed: 6.00% 5/1 ARM: 7.02% 7/1 ARM: 7.59% 30-year VA: 6.34% 15-year VA: 6.01% 5/1 VA: 6.16% Again, the numbers provided are national averages rounded to the nearest hundredth. Refinance rates are usually higher than purchase rates. A mortgage calculator can help you see how various mortgage term lengths and interest rates will affect your monthly payments. Use this mortgage calculator to play around with different outcomes. The Yahoo Finance mortgage calculator also considers factors like property taxes and homeowners insurance when calculating your estimated monthly mortgage payment. This gives you a better idea of your total monthly payment than if you just looked at mortgage principal and interest. As a general rule, 15-year mortgage rates are lower than 30-year mortgage rates. When comparing 15- versus 30-year mortgage rates, know that the shorter term will save you money on interest in the long run. However, your monthly payments will be higher because you're paying off the same loan amount in half the time. For example, with a $400,000 mortgage with a 30-year term and a 6.67% rate, you'll make a monthly payment of about $2,573 toward your mortgage principal and interest. As interest accumulates over decades, you'll end up paying $526,337 in interest. If you get a $400,000 15-year mortgage with a 5.88% rate, you'll pay about $3,350 monthly toward your principal and interest. However, you'll only pay $202,919 in interest over the years. If that 15-year mortgage monthly payment is too high, remember you can always make extra mortgage payments on your 30-year loan to pay off your mortgage faster and ultimately pay less interest. With a fixed-rate mortgage, your rate is locked in from day one. However, you will get a new rate if you refinance your mortgage. An adjustable-rate mortgage keeps your rate the same for a set period of time. Then the rate will go up or down depending on several factors, such as the economy and the maximum amount your rate can change according to your contract. For example, with a 7/1 ARM, your rate would be locked in for the first seven years, then change every year for the remainder of your term. Adjustable rates sometimes start lower than fixed rates, but once the initial rate-lock period ends, you risk your interest rate going up. ARM rates have also been starting higher than fixed rates recently, so sometimes you don't get a rate break. Dig deeper: Adjustable-rate vs. fixed-rate mortgage — Which should you choose? Economists don't expect drastic mortgage rate drops before the end of 2025. In 2024, mortgage rates trended downward from early August to the Sept. 18 Federal Reserve meeting, when the central bank announced a 50-basis-point slash to the federal funds rate. Since that announcement, mortgage rates have mostly increased or held steady. The Fed decreased its rate again at its November and December meetings (by 25 bps each time). The trajectory of future mortgage rates will largely depend on the Federal Reserve's decision on whether or not to cut the federal funds rate at its 2025 meetings. The Fed has not cut its rate at any of its 2025 meetings so far. According to the CME FedWatch tool, there's about a 77% chance that the rate will remain unchanged at the Fed's next meeting on July 30. This means rates probably won't significantly drop in the next couple of months. A sudden financial setback could change that. Dig deeper: Understanding the Fed's rate decisions — Do we want high or low interest rates? According to Zillow data, today's 30-year fixed rate is 6.67% for home purchases and 6.77% for refinances. These are the national averages, so keep in mind the average in your state or city could be different. Your rate will also vary depending on your personal finances. Mortgage rates may be slightly lower by the end of 2025, but they're unlikely to drop drastically anytime soon. Mortgage rates may ease a bit lower before the end of 2025, though probably not as sharply as many expected a few months ago. Depending on the economy, inflation, and the Fed, any decreases may be relatively small.
