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4 strategic home equity moves to make for July

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Your home could provide all the financing you need if you tap into it this July.

Ken Wiedemann/Getty Images


If you’re one of the homeowners with an average of $200,000-plus worth of home equity right now, then you may wonder if it’s worth accessing and how you should do so. With inflation still elevated, albeit significantly cooled, and interest rates for traditional borrowing options high, many homeowners would benefit from using the equity they’ve already accumulated in their homes. And, there are multiple ways to do so, ranging from home equity loans to home equity lines of credit (HELOCs) to reverse mortgages and more.

To secure the most value from your home equity and keep costs minimal, however, you’ll want to take a nuanced and strategic approach. Below, we gathered four strategic home equity moves to make heading into July. 

Start by seeing what home equity loan rate you could lock in here now.

4 strategic home equity moves to make for July

Have you already decided that home equity is your best credit option right now? Then you’ll want to approach it smartly, especially in July’s unique economic climate. Specifically, you should:

Consider a HELOC

While HELOCs come with slightly higher interest rates than home equity loans right now, they also come with the inherent ability to adjust over time thanks to a variable rate. This is a major advantage in an economy in which interest rate cuts appear imminent, possibly as soon as the end of 2024. If you go with a HELOC in July, then, you could soon see a rate cut. That’s the opposite of home equity loans, which will come with a locked rate that you will need to refinance to get out of.

See what HELOC option works best for you online today.

Monitor certain dates

The next inflation report comes out on July 11, courtesy of the Bureau of Labor Statistics, and the Federal Reserve will meet again on July 31. If the report on July 11 shows additional cooling in the inflation rate, then interest rates may continue to fall in anticipation of a formal rate cut at the end of the month. And, obviously, a formal rate cut from the Fed will cause them to drop even further. But since home equity rates change daily, you’ll want to closely monitor any movement on these dates for an opening to capitalize on a lower rate. 

Use it for summer repairs and renovations

Do you need extra funding to finance summer repairs and renovations this July? Then a home equity loan or HELOC is advantageous compared to credit cards and personal loans. Not only do both of the former options have lower interest rates, but if you use the funding you receive for IRS-approved home projects, you may be eligible to write off the interest you paid on the amount you borrowed when it comes time to file your 2024 tax return.

Only use what you need

It can be tempting to overspend with a home equity loan or HELOC, especially now when home equity levels are near record highs and rate cuts appear likely. But that would be a mistake. Like all borrowing options, you should only use what you need, not what you have access to. Rate cuts haven’t taken place just yet and inflation is still above the Federal Reserve’s target 2% goal. 

And remember that your home serves as collateral in these circumstances, so if you can’t pay back all that you’ve borrowed you could lose your home in the process. So only use precisely what you need this July – and any other time you tap into your home equity.

See how much home equity you have to borrow here.

The bottom line

This July could be a smart time to tap into your home equity but you’ll want to do so in a strategic and balanced way to minimize costs and maximize value. To do so, you should consider a HELOC and it’s variable rate over a home equity loan, monitor important dates in the broader economic landscape for opportunities to secure a lower rate, use the funding for potentially tax-deductible reasons like eligible home repairs and only use exactly what you need. By taking these home equity steps this July, you’ll significantly improve your chances of financial success both in the month you withdraw the funds and the months and years in which you use them in the future.



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Social Security Fairness Act passes U.S. Senate

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Legislation to expand Social Security benefits to millions of Americans passed the U.S. Senate early Saturday and is now headed to the desk of President Joe Biden, who is expected to sign the measure into law.

Senators voted 76-20 for the Social Security Fairness Act, which would eliminate two federal policies that prevent nearly 3 million people, including police officers, firefighters, postal workers, teachers and others with a public pension, from collecting their full Social Security benefits. The legislation has been decades in the making, as the Senate held its first hearings into the policies in 2003. 

“The Senate finally corrects a 50-year mistake,” proclaimed Senate Majority Leader Chuck Schumer, a Democrat from New York, after senators approved the legislation at 12:15 a.m. Saturday.

The bill’s passage is “a monumental victory for millions of public service workers who have been denied the full benefits they’ve rightfully earned,” said Shannon Benton, executive director for the Senior Citizens League, which advocates for retirees and which has long pushed for the expansion of Social Security benefits. “This legislation finally restores fairness to the system and ensures the hard work of teachers, first responders and countless public employees is truly recognized.”

The vote came down to the wire, as the Senate looked to wrap up its current session. Senators rejected four amendments and a budgetary point of order late Friday night that would have derailed the measure, given the small window of time left to pass it. 


Some seniors shut out of full Social Security benefits

02:20

Vice President-elect JD Vance of Ohio was among the 24 Republican senators to join 49 Democrats to advance the measure in an initial procedural vote that took place Wednesday.

“Social Security is a bedrock of our middle class. You pay into it for 40 quarters, you earned it, it should be there when you retire,” Ohio Senator Sherrod Brown, a Democrat who lost his seat in the November election, told the chamber ahead of Wednesday’s vote. “All these workers are asking for is for what they earned.” 

What is the Social Security Fairness Act?

The Social Security Fairness Act would repeal two federal policies — the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO) — that reduce Social Security payments to nearly 3 million retirees. 

That includes those who also collect pensions from state and federal jobs that aren’t covered by Social Security, including teachers, police officers and U.S. postal workers. The bill would also end a second provision that reduces Social Security benefits for those workers’ surviving spouses and family members. The WEP impacts about 2 million Social Security beneficiaries and the GPO nearly 800,000 retirees.

The measure, which passed the House in November, had 62 cosponsors when it was introduced in the Senate last year. Yet the bill’s bipartisan support eroded in recent days, with some Republican lawmakers voicing doubts due to its cost. According to the Congressional Budget Office, the proposed legislation would add a projected $195 billion to federal deficits over a decade. 

Without Senate approval, the bill’s fate would have ended with the current session of Congress and would have needed to be re-introduced in the next Congress. 



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Saturday is the winter solstice and 2024’s shortest day. Here’s what to know about the official start of winter.

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The 2024 winter solstice, the shortest day of the year, happens on Saturday, Dec. 21, in the Northern Hemisphere. The celestial event signifies the first day of winter, astronomically. 

What is the winter solstice?

The winter solstice is the day each year that has the shortest period of daylight between sunrise and sunset, and therefore the longest night. It happens when the sun is directly above the Tropic of Capricorn, a line of latitude that circles the globe south of the equator, the National Weather Service explains. 

The farther north you are, the shorter the day will be, and in the Arctic Circle, the sun won’t rise at all. 

How is the day of the winter solstice determined?

The winter solstice occurs because of the Earth’s tilt as it rotates around the sun. 

When the Northern Hemisphere tilts away from the sun, the nights last longer. The longest night happens on the solstice because the hemisphere is in its furthest position from the sun. That occurs each year on Dec. 21 or 22. 

This year, it falls on Dec. 21 at 4:21 a.m ET, to be precise.

On the summer solstice, when the northern tilt is closest to the sun, we have the longest day, usually June 20 or 21.

Illustration of the Earth's tilt in different seasons
This illustration from the National Weather Service shows the tilt and rotation of the Earth on the winter and summer solstices, as well as the autumnal and vernal equinox marking the beginning of fall and spring.

National Weather Service


The solstices are not always exactly on the 21st every year because the earth’s rotation around the sun is 365.25 days, instead of 365 even. 

Will days start getting longer after the winter solstice?

Yes. Each day after the solstice, we get one minute more of sunlight. It doesn’t sound like much, but after just two months, or around 60 days, we’ll be seeing about an hour more of sunlight. 

When will winter officially be over in 2025?

The meteorological winter ends on March 20, 2025. Then, spring will last until June 20, when the summer solstice arrives. 

How is the winter solstice celebrated around the world?

Nations and cultures around the world have celebrated the solstice since ancient times with varying rituals and traditions. The influence of those solstice traditions can still be seen in our celebrations of holidays like Christmas and Hanukkah, Britannica notes.

The ancient Roman Saturnalia festival celebrated the end of the planting season and has close ties with modern-day Christmas. It honored Saturn, the god of harvest and farming. The multiple-day affair had lots of food, games and celebrations. Presents were given to children and the poor, and slaves were allowed to stop working. 

Gatherings are held every year at Stonehenge, a monumental circle of massive stones in England that dates back about 5,000 years. The origins of Stonehenge are shrouded in mystery, but it was built to align with the sun on solstice days

Winter Solstice at Stonehenge
People gather at sunrise for the winter solstice celebrations at the Stonehenge prehistoric monument on Salisbury Plain in Wiltshire, England, on Dec. 22, 2021.

Andrew Matthews/PA Images via Getty Images


The Hopi, a Native American tribe in the northern Arizona area, celebrate the winter solstice with dancing, purification and sometimes gift-giving. A sacred ritual known as the Soyal Ceremony marks the annual milestone.

In Peru, people honor the return of the sun god on the winter solstice. The ancient tradition would be to hold sacrificial ceremonies, but today, people hold mock sacrifices to celebrate. Because Peru is in the Southern Hemisphere, their winter solstice happens in June, when the Northern Hemisphere is marking its summer solstice.

Scandinavia celebrates St. Lucia’s Day, a festival of lights. 

The “arrival of winter,” or Dong Zhi, is a Chinese festival where family gathers to celebrate the year so far. Traditional foods include tang yuan, sweet rice balls with a black sesame filling. It’s believed to have its origins in post-harvest celebrations. 

Researchers stationed in in Antarctica even have their own traditions, which may include an icy plunge into the polar waters. They celebrate “midwinter” with festive meals, movies and sometimes homemade gifts.



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