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By Lauren Young, Digital Special Projects Editor

My friends and I often joke that we plan to retire together – sans significant others(!) – in a big house somewhere warm with a giant kitchen, big garden, dance studio, pool and lots of closet space.

In fact, it sounds a bit like the ladies from the 1980s television series “The Golden Girls” who are known for their unique home arrangement in Florida: Living (and eventually owning) with each other, without spouses or significant others. 

And it’s a smart way to save money.

According to a new survey from LendingTree, an eye-opening 29% of Americans are open to the idea of alternative living arrangements. Of those potential homebuyers, 63% said they would consider buying with a family member who is not their spouse, and 57% would do so with a good friend or current roommate.

There are good reasons why this is happening now: The median price for existing homes in June was $410,200, near an all-time high, according to the National Association of Realtors. Meanwhile, the average rate on a 30-year mortgage has risen to over 7%, following a series of rate hikes from the Federal Reserve.

Combined, those two factors can make it very challenging to break into the housing market. While the math may seem attractive, this path to homeownership is also fraught with potential dangers. 

Here are a few pointers before embarking on a Golden Girls-style co-living arrangement.

U.S. dollar banknotes are seen in this illustration taken March 10, 2023. REUTERS/Dado Ruvic

Are your credit card balances ticking up?

Americans are borrowing more than ever on their credit cards, with balances surpassing $1 trillion for the first time.

Credit card balances rose by $45 billion to $1.03 trillion in the second quarter, the New York Federal Reserve Bank said in its latest quarterly household debt and credit report. The key factors for the rise in credit card balances include robust consumer spending as well as higher prices due to inflation.

There are plenty of reasons to pay with plastic, especially if you’re looking for extra protection on your purchases or if you’re stockpiling airline miles to take a big trip. But once you get buried by high-rate debt, it can be crippling. 

As an example, if you have $10,000 of debt on a card with a 20% rate and make a small monthly payment of $200, it will cost you an additional $11,000 in interest alone over time (and take 106 months to pay off). So go as far above the minimum as you can, and ideally do not carry a month-to-month balance at all.

As interest rates soar, here are four ways to manage your credit cards now.

Big oil majors know how to make the economy run. Giant U.S. oil companies like Exxon and Chevron are crucial for the transition to new energy, but their dominance in energy-focused ETFs can be offset by careful investment in small players.

Cam Gomez and Luiza Meneghim, whose wedding was canceled by City Hall and had to find other options while holding a Facebook Live ceremony as the spread of coronavirus disease (COVID-19) continues, pose for photographs as the Supermoon rises through the clouds at Golden Gate Bridge View Vista Point across from San Francisco. REUTERS/Shannon Stapleton

I’ve been married twice, and I have accumulated a lot of stuff in the process. Dishes! Glasses! Silverware! Bedding! A beloved Le Creuset pot!

But giving newlyweds stuff is becoming passé. Among couples who created a wedding registry in the last two years, an eye-popping 85% said they would have preferred cash toward a down payment on a home instead of typical registry gifts, according to a new survey from Realtor.com.

“It makes sense that couples getting married would prefer money for a down payment over china they will never use or a blender they don’t need,” said Clare Trapasso, executive news editor for Realtor.com. “They are looking at near-record home prices on top of mortgage rates hovering around 7%.”

Indeed, if newlyweds could do their registry over again, 80% told Realtor.com they would include an option to contribute to housing-related items like a down payment, monthly mortgage or closing costs.

Is it time to push tradition aside and rethink wedding gifts? Would you rather give newlyweds a gift from a wedding registry or cash for a down payment? Send me your thoughts at lauren.young@reuters.com.

Is Ford doing a better job of cutting emissions than Toyota? Is BP greener than Shell? For investors looking to weed out climate laggards from portfolios, these are vital questions but existing guidelines on emissions reporting and new rules due to come in for the United States and Europe are unlikely to provide hard answers. Sign up here to receive the new Reuters Sustainable Finance newsletter.

Do you need to set up a bank account for your college-bound children? Are you considering a post-nup? Send your money questions to me, and I’ll tap my extensive source network and braintrust for expert advice.

Send your questions to me at lauren.young@reuters.com. And don’t forget to subscribe to this newsletter or share it with a friend!

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