Mortgage Rates Hold Steady as Summer Market Stays Challenging

Mortgage rates barely budged this week, offering little relief for buyers navigating one of the toughest housing markets in years.

Freddie Mac reported that the average rate on a 30-year fixed mortgage settled at 6.74% for the week ending July 23, a marginal drop from 6.75% the week prior. The average 15-year fixed mortgage dipped to 5.87%, down from 5.92%.

While the shifts are small, the consistency provides some stability in an otherwise unpredictable housing environment. “Overall, the backdrop for the housing market is positive as the economy continues to perform well with solid employment and income growth,” said Sam Khater, chief economist at Freddie Mac.

Mortgage activity reflects the mixed signals. Applications to purchase homes climbed 3% from last week, according to the Mortgage Bankers Association, but refinance activity dropped by the same margin. “We expect overall demand to ebb and flow as long as mortgage rates remain volatile due to the ongoing economic uncertainty,” said Bob Broeksmit, MBA CEO and president.

The bigger challenge lies in home sales. Realtor.com now forecasts that existing home sales could fall to just 4 million transactions in 2025, down 1.5% from last year and marking another historic low. At the start of the year, analysts expected sales to rise slightly — but higher borrowing costs and limited affordability have kept many buyers on the sidelines.

For now, mortgage rates remain elevated, and while they have steadied in recent weeks, housing market activity shows few signs of a meaningful rebound.

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Helping the Next Generation onto the Property Ladder

Buying a home for the first time can be overwhelming. Between scraping together a deposit, qualifying for a mortgage, and covering legal and administrative costs, first-time buyers face significant hurdles. Many young adults are leaning on the financial support of their families, often referred to as the “bank of mum and dad,” to help them get started. Whether it’s providing a gift toward the deposit or finding creative ways to increase mortgage affordability, there are more strategies than ever for parents to lend a hand

One of the most common forms of support is gifting money toward a deposit. A larger deposit not only improves a buyer’s chances of getting approved for a mortgage but also opens the door to better interest rates. While gifting is generous, it’s also important to understand the fine print. Lenders will want written confirmation that the gift does not need to be repaid, and legal documentation such as a deed of trust can protect your contribution—particularly if your child is purchasing a home with a partner. This document outlines who the money was gifted to and what should happen if the property is sold or the couple splits up. If the money is intended to be a loan, formalizing it with a contract avoids confusion later and ensures transparency with the lender, though doing so might impact your child’s borrowing power.

If you don’t have cash on hand, there are still ways to raise funds. For smaller sums, a personal loan could suffice. For larger amounts, you might consider a retirement interest-only mortgage, which allows you to access equity in your own home. You pay only the interest until you enter long-term care or pass away, at which point the loan is repaid through the sale of your home.

Parents can also consider family offset mortgages. These let you link your savings to your child’s mortgage, reducing the interest paid without giving up access to the savings entirely. This method offers a middle ground between gifting and safeguarding your future financial flexibility. Products like the Barclays Family Springboard allow parents to place money into a secured account that supports their child’s mortgage for a set period—often five years—before the funds are returned.

For buyers struggling to qualify for a mortgage based on income, a guarantor mortgage can be a powerful tool. This arrangement lets parents use their own savings or home equity as collateral, offering a safety net for lenders and increasing their child’s chances of approval. However, it also means you’re responsible for repayments if your child defaults, so it’s crucial to assess your own financial position carefully.

Another route is the joint borrower sole proprietor (JBSP) mortgage, which allows multiple people to be listed on the mortgage while only one person is listed on the property’s title. This arrangement helps boost affordability without adding to the parents’ taxable estate or triggering extra stamp duty fees for second-home buyers. JBSP mortgages are growing in popularity as more lenders embrace this flexible solution.

Joint mortgages are another option. Combining incomes can increase mortgage eligibility and unlock better deals. In this case, it’s important to legally define ownership—either as joint tenants, where both parties own 100% together, or tenants in common, where each person’s share is specified. Be mindful of the tax consequences, especially if the parents already own property, as this could trigger a second-home stamp duty surcharge and later, capital gains tax.

If your child is considering a new-build property, some developers offer incentives for parental contributions. For instance, Persimmon’s “Bank of Mum & Dad” program rewards qualifying family contributions with a £2,000 bonus after completion. These kinds of schemes can make supporting your child even more worthwhile.

Estate planning should also be part of the conversation. Gifts made during your lifetime can be exempt from inheritance tax, provided you live at least seven years after making them. Each person has an annual exemption of £3,000, and if unused, this can roll over for one year. This means a couple could gift £12,000 in a single tax year without triggering tax liabilities. You can also give up to £5,000 tax-free as a wedding gift to a child. These rules allow parents to reduce their taxable estate while helping their children build long-term financial security.

However, it’s essential to ensure that supporting your children won’t jeopardize your own financial well-being. A qualified financial adviser can use tools like cash flow modelling to help you understand how different gifting options impact your future. Additionally, make sure to update your will and keep documentation of any gifts or loans in a safe place.

Helping your child buy their first home is a meaningful and generous gesture—but it’s not one to rush into. Depending on your goals and financial situation, some options will be better than others. Whether you’re gifting money, acting as a guarantor, or exploring more complex lending arrangements, speaking with a mortgage broker, solicitor, or financial adviser will help ensure your support is structured wisely.

In the end, the goal is simple: giving your children the foundation they need to become homeowners, while protecting your own financial future. With careful planning and the right advice, you can do both.

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Smart Ways Parents Can Support First-Time Buyers Without Risking Their Own Future

Buying a first home is no small feat. For many young adults, the challenges are steep: saving for a deposit, qualifying for a mortgage, and navigating the added costs of legal fees, taxes, and insurance. With housing prices still high in many areas, more and more first-time buyers are turning to the “bank of mum and dad” for support. For parents willing to lend a hand, there are now a variety of financial tools available—each with its own pros, cons, and implications.

The most common way parents help is by gifting money toward the deposit. A larger deposit can dramatically improve mortgage terms and make approval more likely. However, lenders require clear documentation confirming the funds are a gift, not a loan. If the buyer is purchasing with a partner, it’s wise to formalize the arrangement with a deed of trust that outlines who the money belongs to and what should happen if the couple separates or sells the property. If the funds are being lent, rather than gifted, that should also be documented, though doing so may slightly reduce the buyer’s borrowing power since some lenders treat personal loans as a liability.

Parents who don’t have immediate cash available can explore other ways to raise funds. A personal loan may work for smaller contributions. For larger needs, a retirement interest-only mortgage allows homeowners to borrow against their equity and make only interest payments, with the loan repaid when the home is sold after death or long-term care begins.

For those concerned about giving up a lump sum, family offset mortgages offer a middle-ground solution. These mortgages link a parent’s savings to their child’s loan, reducing the interest owed without transferring funds permanently. Barclays’ Family Springboard mortgage, for example, lets parents deposit 10% of the home’s value into a special account for five years. At the end of the term, the money is returned, assuming repayments have been met.

Guarantor mortgages offer another alternative, particularly when income is the main barrier. By using their own savings or home as collateral, parents can help their child qualify for a mortgage they might not obtain on their own. The risk, of course, is that the parent becomes liable if their child can’t make the payments—so financial stability and legal clarity are key.

A more flexible option gaining popularity is the joint borrower sole proprietor (JBSP) mortgage. This allows parents and children to be listed as borrowers on the mortgage, but only the child is named on the property title. This setup helps increase borrowing capacity while avoiding additional stamp duty charges and keeping the property out of the parents’ taxable estate.

Traditional joint mortgages are still an option as well. These allow parents and children to combine their incomes to qualify for a larger loan. However, ownership must be clearly defined—either as joint tenants or tenants in common—and parents who already own property should be aware of second-home stamp duty surcharges and future capital gains tax implications.

Some new-build developers are now recognizing the role families play in home purchases and offering targeted incentives. For example, Persimmon’s “Bank of Mum & Dad” program offers parents a £2,000 reward if they contribute at least 5% of the purchase price toward their child’s new home.

Estate planning is another crucial consideration. Gifting money during your lifetime can reduce the value of your taxable estate, as long as you live for at least seven years after the gift is made. Each individual can gift up to £3,000 annually tax-free, and unused amounts can roll over for one year. That means a couple could give their child £12,000 in one year without affecting their inheritance tax position. Wedding gifts up to £5,000 are also tax-exempt.

Still, generosity must be balanced with personal financial security. A financial adviser can help assess whether a gift or loan is sustainable, using cash flow projections to ensure parents aren’t jeopardizing their own future. It’s also important to update your will and securely store documentation for any contributions made, whether as gifts or loans.

In the end, helping your child buy their first home is a deeply rewarding gesture—but it requires planning. From legal protections to tax planning and affordability checks, each step should be taken with care. Whether you’re contributing savings, offering a guarantee, or exploring new mortgage structures, speaking with professionals can help you make informed decisions that support your child while safeguarding your own financial health.

With the right structure and sound advice, you can help your child move forward with confidence—and maybe even unlock new peace of mind for yourself in the process.

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National WWII Museum Expands Educational Footprint with Major Property Donation

The National WWII Museum in New Orleans is taking another significant step forward in its educational mission, announcing plans to expand its “education corridor” along Magazine Street thanks to a generous property donation from the Arlene and Joseph Meraux Charitable Foundation.

The donated real estate includes three adjacent properties in the 900 block of Magazine Street, directly next to the museum’s John E. Kushner Restoration Pavilion. This space is already home to key World War II artifacts, including a restored patrol torpedo boat, and features the STEM Innovation Gallery. Located just across the street from the museum’s Higgins Hotel, the newly acquired 18,000 square feet will serve as vital support space for staff offices, meeting rooms, artifact storage, and programming.

According to museum leadership, the expansion is a critical part of a larger effort to broaden the museum’s educational impact for students, educators, scholars, and lifelong learners—not just in Louisiana but across the nation.

“This meaningful donation comes at an ideal time as the Museum prepares to grow its educational impact,” said CEO Stephen Watson in a statement Thursday. While the museum has not revealed the exact valuation of the properties, Orleans Parish records estimate the combined assessed value at just under $2.6 million.

The museum has long prioritized education in its growth plans. Founded by University of New Orleans historian Stephen Ambrose and fellow academic Gordon “Nick” Mueller, the museum began as a tribute to the D-Day invasion and has since evolved into a $420 million campus chronicling the entire war. Educational features are embedded throughout, including the Hall of Democracy’s library and research floors, the Jenny Craig Institute for the Study of War and Democracy, and a partnership with Arizona State University that offers an online master’s degree in World War II studies to nearly 200 students.

In May 2024, the museum’s Board of Trustees approved a new 10-year strategic plan through 2035 that includes a $260 million fundraising campaign. The plan calls for upgraded campus facilities, improved visitor engagement, and expanded educational initiatives.

Earlier this month, the museum also broke ground on a $12 million educational facility just a block away at Magazine and Poeyfarre Streets. That 34,000-square-foot development was made possible in large part by a $7.5 million gift from Texas philanthropists Timber and Peggy Floyd. This facility will be known as the Floyd Education and Collections Pavilion and will serve as a production and storage site for exhibits, in addition to housing the Sanderson Leadership Center. The leadership center will offer courses tailored to CEOs, military officers, and other professionals seeking to grow in strategic leadership.

Rita Gue, president of the Meraux Foundation and niece of World War II Coast Guard veteran Joseph Meraux, underscored the foundation’s commitment to the museum’s mission. “At the Meraux Foundation, we believe that education is a powerful force for change,” she said in the museum’s announcement.

As the museum shifts from completing its exhibition footprint to deepening its educational offerings, this latest expansion signals that its focus is now squarely on legacy—preserving history not only through artifacts but through instruction, research, and the cultivation of future leaders.

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Peace of Mind or Money Pit? What You Should Know Before You Buy

Buying a home is one of the largest financial commitments most people ever make. With the median price of a home in the U.S. now topping $361,000, according to Zillow, protecting that investment becomes a natural next step. But in the search for protection, some homeowners are tempted by TV commercials and online ads promising worry-free living through home warranties. These plans are marketed as safety nets, covering unexpected repairs to appliances and systems that homeowners insurance does not. But are they worth it?

Despite the name, a home warranty isn’t an insurance policy. It’s a service contract that promises to pay for the repair or replacement of covered items—such as HVAC systems, dishwashers, or plumbing—if they break down under normal use. That sounds reassuring, especially if your budget is tight and your appliances are aging. But before signing on the dotted line, you should take a closer look at what these contracts actually deliver and where they might fall short.

First, consider what you already have. Many appliances in newer homes are still covered under the manufacturer’s warranty, and if you bought a device with a credit card, that card may automatically extend the original coverage. For example, several Chase cards offer an extra 12 months of protection beyond what the manufacturer provides. If you already have some of this coverage in place, you might not need a separate plan at all.

Cost is another major consideration. Prices vary widely depending on your location and the level of coverage you choose. Some plans cover just your appliances, while others extend to plumbing and electrical systems. A homeowner in Ohio might pay around $600 a year for a basic plan, while someone in Westchester County, New York could pay $1,200 for more comprehensive coverage. And that’s before additional service fees—yes, most home warranties still charge you a fee each time a contractor comes out for a repair, even if the issue is covered.

Then there’s the question of what is actually included. Many complaints about home warranties stem from confusion over what’s covered. You may think your refrigerator is protected, only to find out the icemaker isn’t. Or your oven might be excluded from coverage if it breaks while in self-cleaning mode or is damaged by a power surge. Even something as seemingly minor as poor installation or skipped maintenance could void your claim.

This is why experts stress the importance of reading the fine print. Melanie McGovern from the Better Business Bureau warns that many consumers are caught off guard when repairs are denied or the quality of service is underwhelming. She advises homeowners to ask every question they can think of before buying—and to expect real answers. A company with strong customer service can make a big difference if you ever have to file a claim.

Another catch is how repairs and replacements are handled. If your appliance fails completely, the company might offer to replace it—but not necessarily with something equal in value. In many cases, they only pay the depreciated value of the item, leaving you to make up the rest if you want a similar replacement. And even then, payouts are often capped. One provider, America’s 1st Choice Home Club, limits coverage to $3,000 per item per membership term, which may not go far if you’re replacing a major system.

Given these limitations, some experts suggest skipping home warranties altogether. Instead, consider building your own financial safety net. Consumer Reports recommends setting aside money in a dedicated savings account for home repairs and replacements. That way, you can control how and when that money is used without navigating red tape or service limitations.

Home warranties are not inherently bad, but they’re not one-size-fits-all solutions. If you’re buying a brand-new home, your builder’s warranty and manufacturer coverage will likely provide more than enough protection in the first few years. However, if you’re moving into an older home with aging appliances, a home warranty might offer some value—as long as you understand what it covers and what it does not.

Ultimately, a home warranty might provide peace of mind, but it will not remove the responsibilities of homeownership. Before you commit, take time to ask questions, read the fine print, and decide whether it’s better to trust a third party—or yourself—with your home’s most important systems.

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