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Why home equity loans may become cheaper soon

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If you’re looking to access your home equity now may be an inexpensive time to do so.

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Borrowers looking for inexpensive credit in recent years haven’t had many attractive options. Thanks to a surging inflation rate and a federal funds rate raised to keep it in check, rates on everything from credit cards to personal loans to mortgages surged. While not totally immune from this climate, however, home equity loans and home equity lines of credit (HELOCs) emerged as low-cost alternatives for existing homeowners.

Because the home is used as collateral in these borrowing circumstances, owners were able to secure significantly lower rates than they could have gotten with credit cards or personal loans, for example. While interest rates on both of those options currently sit around 21% and 12%, respectively, home equity loans and HELOCs both come with single-digit rates right now. And while that’s good news for current borrowers, prospective borrowers may be in store for even lower rates. Below, we’ll detail two reasons why home equity loans may become even cheaper soon. 

See what home equity loan rate you could secure here now.

Why home equity loans may become cheaper soon

Here are two reasons why home equity borrowing could become more affordable soon:

Inflation is cooling

Inflation has now cooled for two consecutive months. And while that cooling has been marginal (the inflation rate was down to 3.3% in May, down from April’s 3.4% and March’s 3.5%), it is moving in the right direction, especially compared to the decades-high it reached just two years ago. 

While this is a beneficial development for millions of Americans, it’s particularly helpful for those who need to borrow money. As inflation cools, after all, higher interest rates designed to cool it tend to fall in tandem. But even absent a formal rate cut, lenders may start to lower the rates they offer on these products if they feel that an official cut is imminent, as it appears to be now.

Start shopping for low-rate home equity loans and HELOCs online today.

Interest rates may be cut

While the Federal Reserve again elected to keep the federal funds rate frozen after their June meeting, it may not stay there for much longer. Currently unmoved since last summer, the rate is stuck at a range between 5.25% and 5.50% — the highest it has been in 23 years. In theory, the Fed won’t cut that rate until the inflation rate drops even further and hits or gets close to the Fed’s target 2% goal. 

“The Committee does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2 percent,” the Fed said Thursday. “In addition, the Committee will continue reducing its holdings of Treasury securities and agency debt and agency mortgage‑backed securities. The Committee is strongly committed to returning inflation to its 2 percent objective.”

But that goal is now in sight following two consecutive reports showing inflation dropping. And while 2024 may not see as many cuts to the federal funds rate as some had anticipated at the start of the year, one or two cuts are still in play in the final months of the year. If either comes to fruition, then, home equity borrowing will become even cheaper than it is now.

The bottom line

If you’re looking for one of the most inexpensive borrowing options available, home equity may be the way to go. And while rates are already lower than most other credit alternatives, they could fall even further thanks to a consistently cooling inflation rate and reductions in the federal funds rate, should the former continue to fall. As with all financial considerations, however, homeowners should weigh the pros and cons of tapping into their home equity right now as they may lose their home if they’re unable to pay back what they borrowed. 



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Avian flu confirmed in a Colorado farmworker, marking fourth human case in U.S. since March

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Bird flu confirmed in a Colorado farmworker


Bird flu confirmed in a Colorado farmworker

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A case of H5 influenza, also known as bird flu or avian influenza, has been confirmed in a man who was working at a dairy farm in northeastern Colorado. That’s according to the Colorado Department of Public Health and Environment, which said it is the fourth confirmed human case in the United States since an outbreak among cows that appears to have started in March.  

An image of three cows in a meadow
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The man was working in Northern Colorado and had direct contact with cattle that were infected with avian flu. To this point, the only U.S. cases have been among farmworkers.

The CDPHE says the person who tested positive for the avian flu only had one symptom — pink eye, otherwise known as conjunctivitis. He was tested after reporting his symptoms and received an antiviral treatment with oseltamivir afterwards. Those are the Centers for Disease Control and Prevention’s recommended steps when there’s a confirmed human case. The man, whose identity is not being released, has recovered.

This is the first confirmed a case of avian flu in Colorado since 2022. CDPHE state epidemiologist Dr. Rachel Herlihy said the risk to the public is low.

“Avian flu viruses are currently spreading among animals, but they are not adapted to spread from person to person. Right now, the most important thing to know is that people who have regular exposure to infected animals are at increased risk of infection and should take precautions when they have contact with sick animals,” Herlihy said in a prepared statement.

Jill Hunsaker Ryan, the executive director of the CDPHE said “Coloradans should feel confident that the state is doing everything possible to mitigate the virus.” The guidance for farmworkers includes the recommendation that people shouldn’t touch animals who are sick or who have died. For people who must handle such animals, the following is recommended:

– Wear personal protective equipment that includes an N95 respirator as well as eye protection and gloves.
– Wash hands with soap and water afterward. An alcohol-based hand rub could also be used if soap and water is not available.

“We can make these recommendations, but I think all of us realize that this may be a bit challenging for workers to comply with that,” the CDC’s Tim Uyeki said at a briefing with rural doctors last month.

It is unclear whether the man was wearing personal protective equipment.  

“Our partnership with the Colorado Department of Agriculture has been crucial in disseminating information to dairy farmers across the state,” Hunsaker Ryan said.

The three other confirmed human cases of avian flu since the March outbreak in cattle were found in Texas and Michigan. 

Anyone who has been working with dairy cows and begins to feel sick with possible avian flu symptoms should call the CDPHE at 303-692-2700 during the day or 303-370-9395 after hours.

More information about avian flu can be found on the Colorado Department of Public Health and Environment’s website.

News of the case comes as federal officials are now debating whether and when to deploy 4.8 million doses of bird flu vaccine that are being filled into vials this summer. Finland announced last month it would offer shots to workers who might be exposed to the virus.

Vaccinating farm workers?

U.S. officials say manufacturing of the vaccines is expected to be done by August. 

Vaccinemaker CSL Seqirus says it is still in talks with the Food and Drug Administration to clear use of their shots in humans. After that, it would be up to the CDC to decide whether to roll out the shots for farm workers.

“No final decisions are made, but we are in the process of robust discussion,” the CDC’s Principal Deputy Director Dr. Nirav Shah told reporters on Tuesday. 

Shah said the vaccine debate hinges in part on whether more distribution of flu treatments might be a better alternative.

“If our goal is to reduce the number of infections that may occur, we have to wonder whether vaccination is the best route for that, or whether there may be other routes that are faster or even more effective such as, as I mentioned, more widespread use of antivirals,” said Shah.

Officials are also discussing other measures to help workers infected with the virus, Shah added, including the possibility of offering financial help with sick leave and further outreach.

Farm workers may also not be willing to get the shots, even if they were to become eligible for vaccination.

“If right now, H5 is not perceived as a pressing threat among farm workers, and I’m not speculating as to whether it is or not, but if that is the case, then uptake may not be robust,” said Shah.



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Iconic Texas painting saved from Goodwill fetches over $100,000 at auction

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Nearly lost forever, a family heirloom painting turned out to be a Texas masterpiece and sold for six figures at Dallas-based auction house last week. 

According to Heritage Auctions, the painting of Texas bluebonnets was loaded onto a trailer with donations bound for Goodwill, all belongings of a woman who was moving to the West Coast for retirement. 

She had received it as a gift from an extended family member in Texas to commemorate her birth in 1922, according to the auction house. At the last minute, the woman decided “it was too pretty to surrender,” and she kept it.

After the woman died, her daughter kept the painting on display in her own home near Tacoma, Washington. 

For years, no one in the family realized the artwork was an original by “the father of Texas painting,” Julian Onderdonk. The family recently made the discovery and decided to put it up for auction “to someone who will genuinely appreciate it,” the original owner’s grandson told Heritage Auctions.

On June 29, the painting, named “A Field of Bluebonnets, San Antonio” sold for $112,500. In the same auction, two other Onderdonk paintings sold for $106,250 and $93,750, respectively.

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A Field of Bluebonnets, San Antonio painted by Julian Onderdonk, 1921

Heritage Auctions, HA.com


Who was Julian Onderdonk?

Onderdonk was born in San Antonio, Texas, in 1882 and showed artistic talent at a young age, according to the Texas Historical Society. He began teaching art as a teenager and later moved to New York City to study and teach.

In 1906, Onderdonk took a seasonal job organizing art exhibitions at the Dallas State Fair, now known as the State Fair of Texas. In 1909, he moved his family back to Texas, eventually taking an interest in painting bluebonnets and other Texas landscapes.

Onderdonk painted “A Field of Bluebonnets, San Antonio,” in 1921. He died the next year, at the peak of his success.

His work is on display at several museums, including the Amon Carter Museum of American Art in Fort Worth and the San Antonio Museum of Art.

Former President George W. Bush had several Onderdonk works in the White House during his administration, according to the historical society.



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Uncovering America’s deep-rooted love for baseball

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Uncovering America’s deep-rooted love for baseball – CBS News


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“CBS Mornings” co-hosts Tony Dokoupil and Nate Burleson explore baseball’s mass appeal that has captivated Americans for generations, sharing personal stories and experiences at Citi Field with the New York Mets coaches.

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