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Most of us think of India as a young country. And as home to one-fifth of the world's young population and with an average age of 29, you're right. But did you know India's elderly population is set to double from its present 153 million to a staggering 347 million, in just 30 years? Moreover, by the end of this century, the population of <keyword id="19894991" type="General" weightage="20" keywordseo="senior-citizens" source="keywords">senior citizens</keyword> in India will surpass the population of those aged under 14, as per a report by the United Nations Population Fund and the International Institute for Population Sciences. As such, with <keyword id="19955368" type="General" weightage="100" keywordseo="Budget-2024" source="keywords">budget 2024</keyword> looming on the horizon, what is it that this burgeoning section of our population wants? We take a look : <h2>Wish 1: Raise deduction threshold for <keyword id="22285655" type="General" weightage="20" keywordseo="mediclaim-premium" source="keywords">mediclaim premium</keyword></h2>At present, senior citizens (aged 60 and above) and super senior citizens (aged 80 and above) can claim a deduction of up to Rs 50,000 on health insurance premiums they pay during the year. For those aged below 60, the annual deduction limit is of Rs 25,000. But, as Tarun Mathur, CBO, Policybazaar.com notes, "There’s a need for an increase in the tax deduction limit for health insurance premiums, to raise the same to Rs 50,000 for individuals, their spouses, and dependent children, and to Rs 1 lakh for senior citizen parents". With insurance regulator <keyword id="6361421" type="General" weightage="20" keywordseo="IRDA" source="Orion">IRDA</keyword> removing the age cap (which was previously 65 years) for buying new insurance policies, health insurance for senior citizens becomes far more accessible. Given that only 20% of India's population aged 60 have any kind of health insurance, a comprehensive insurance coverage with low tax liabilities becomes a necessity for our senior citizens. At present, the government is mulling extending the <keyword id="22285657" type="General" weightage="20" keywordseo="Ayushman-Bharat-Pradhan-Yojana" source="Orion">Ayushman Bharat Pradhan Yojana</keyword> to provide crucial, free healthcare support for India's senior citizens aged above 70. But only time, and July 22nd will tell. <h2>Wish 2: Offer similar tax benefits to pension products as NPS </h2>NPS, or <keyword id="475509" type="General" weightage="20" keywordseo="National-Pension-System" source="Orion">National Pension System</keyword> is a lucrative retirement planning scheme. And it comes with many tax benefits. For instance, if you withdraw up to 60% of your accumulated pension as lumpsum once you turn 60, your withdrawal is tax free. Similarly, if any amount you receive from NPS is reinvested in the annuity plan, it remains tax exempt. However, income from annuities is taxed as per your regular income tax slab. And any early withdrawals that you make (before 60 years) will attract taxes. A standard deduction of Rs 50,000, or amount of annuity income (whichever is lower) can be claimed. But under regular annuities or pension products, senior citizens pay a 10% tax on total taxable income over Rs. 3 lakhs , Rs 20,000 + 20% over amount exceeding Rs 5 lakh, and Rs 1.2 lakh+ 30% on amount exceeding Rs 10 lakh. As Mathur notes, "Pension products like annuity plans should be given the same tax benefits as NPS, since the current taxation does not encourage investment in retirement planning. It’s also necessary to expand Section 80C deductions and add a dedicated category for term insurance because the existing limit of Rs. 1,50,000 is insufficient". Even retirement planner Sanjeev Dawar notes that income from annuities is a primary source of income for retirees. "As such, tax relief is expected since returns, although assured for life, are relatively low. Moreover, they remain fixed and have no sensitivity to inflation". Additionally, Dawar also advocates for special financial considerations for eligible individuals who are compelled to stay in old-age homes in their twilight years. It is also needed that travel concessions, that have been withdrawn, are restarted". <h2>Wish 3: Lowering lock-in periods for elderly </h2>Many schemes like national savings certificate (NSC), unit-linked insurance plans (ULIP) and senior citizen savings scheme (SCSS) are subject to tax deductions, provided they are redeemed after their specific <keyword id="20792448" type="General" weightage="20" keywordseo="lock-in-period" source="keywords">lock-in period</keyword>. For instance, tax-saver FDs, ULIPs and NSC have a lock-in period of 5 years, while equity-linked savings scheme (ELSS) have a lock-in period of 3 years. It would help senior citizens if this lock-in period is reduced, so that they have some liquidity and cash handy during medical or other such emergencies. Additionally, withdrawals should be allowed within lock-in period sans hefty penalties, as is the case right now. <h2>Wish 4: Lowering GST on health insurance premiums </h2>Currently, GST on health insurance premium is payable at 18%, which can translate into a hefty levy, especially since senior citizens end up paying significantly higher premiums to get insurance coverage. For a premium of Rs 30,000, the GST could go as high as Rs 5,400. As per Prasun Sikdar, MD &amp; CEO, Manipal Cigna Health Insurance, "lowering the GST burden on the health insurance premiums will be a huge respite for missing middle and senior citizens to get access to quality healthcare they need and help to significantly boost insurance penetration across India by driving affordability.” <h2> Wish 5: Reduce tax on <keyword id="21695681" type="General" weightage="20" keywordseo="passive-income" source="keywords">passive income</keyword> sources for aged</h2>For most senior citizens, rental income from house, pension and other such passive sources turn into a major income avenue, once they retire from active employment. As such, these should be taxed at a lower slab, and not considered as regular salary. Or else, higher exemption limits should be introduced to allow them to save more. At present, the basic exemption limit for senior citizens between 60-80 years is Rs 3 lakh, while the exemption limit for citizens above 80 years is Rs 5 lakhs. The limits should be revised, keeping in mind how expensive medical care is in current times.

Budget 2024: Here's what India's elderlies want

<keyword id="22053621" type="General" weightage="20" keywordseo="Insurance-regulator-IRDA" source="keywords" meta.keywordsubtype="org" meta.entityname="Insurance regulator IRDA" meta.hostid="261" meta.entityid="Insurance regulator IRDA">Insurance regulator IRDA</keyword> has introduced sweeping reforms for various <keyword id="19936531" type="General" weightage="100" keywordseo="life-insurance" source="keywords">life insurance</keyword> products. In its master circular dated 12th June, 2024, the insurance watchdog laid out a slew of customer-friendly directives for life insurance companies to follow with immediate effect. Read on to know all about how these new rules will impact you : <cmsannotation type="cmsannotation" annotationid="Customer information sheet" comment="subhead" text="Customer information sheet"><keyword id="22033784" type="General" weightage="20" keywordseo="customer-information-sheet" source="keywords">Customer information sheet</keyword></cmsannotation> Going ahead, all life insurance companies will have to mandatorily provide their policyholders with a CIS, or Customer Information Sheet. This will serve to explain to them the basic features of the policy in very simple terms, and will include essential details like sum assured, benefits, policy loan options, free-look period and procedures for making claims and redressing grievances. In addition, benefits payable to the policyholder if they survive the policy tenure (maturity benefits), upon death and surrender of policy should also be clearly spelt out. Along with this, the policyholders are also entitled to a customised illustration of how the policy will benefit them while they are being sold the policy. CIS should also be made available to the policyholder in their local language on request. <cmsannotation type="cmsannotation" annotationid="Free-look and grace period" comment="subhead" text="Free-look and grace period"><keyword id="22053620" type="General" weightage="20" keywordseo="Free-look-and-Grace-Period" source="Orion">Free-look and grace period</keyword></cmsannotation> Policyholders will now have a 30-day window from the day they receive the policy document to review and cancel the policy if they want. If the policy is cancelled within this period, they will be entitled to a full premium refund. Earlier, this period only lasted for 15 days. For grace period, which basically refers to the additional, penalty-free window given to the policyholder to make premium payment post due date to avoid losing coverage, the windows will differ depending on premium payment frequency. If you pay the policy premiums on a monthly basis, you will get a 15-day grace period. For premium payments made on a quarterly/half-yearly or annual basis, the grace period will be of 30 days. <cmsannotation type="cmsannotation" annotationid="Penalty on violating Ombudsman’s word" comment="subhead" text="Penalty on violating Ombudsman’s word">Penalty on violating Ombudsman’s word</cmsannotation> The insurer is bound to comply with the <keyword id="960887" type="General" weightage="20" keywordseo="Insurance-Ombudsman" source="Orion">Insurance Ombudsman</keyword>’s award within 30 days of receiving the same. In case the same is violated, the insurer will have to pay a penalty of Rs 5,000 per day to the complainant. <cmsannotation type="cmsannotation" annotationid="Higher value on early policy surrender" comment="subhead" text="Higher value on early policy surrender">Higher value on early policy surrender</cmsannotation> Often, policyholders ended up with a low, negligible amount as refund upon surrendering their insurance policy. This is set to change with <keyword id="21879234" type="General" weightage="20" keywordseo="IRDA" source="keywords">IRDA</keyword>’s latest directives. Now, policyholders will be eligible for <keyword id="885219" type="General" weightage="20" keywordseo="surrender-value" source="Orion">surrender value</keyword> even if they decide to surrender their policy after just one year. Previously, only 50% of <keyword id="2939473" type="General" weightage="20" keywordseo="policy-premium" source="Orion">policy premium</keyword> would be refunded, provided the policyholders surrendered their policy between years 4-7 of the policy tenure. Moreover, they would lose the entire premium amount if they surrendered their policy within a year. Customers will also be entitled to higher special surrender value (SSV) from now on. This SSV should be at least equivalent to the expected present one of the these three: <ol><li>Paid up sum assured, or present value of your sum assured after you stop paying premiums</li><li>Paid up future benefits</li><li>Accrued benefits</li></ol>Also, it will be compulsory for life insurers to offer loans to policyholders as per the eligible surrender value of the policy. Says Vivek Jain, Head, Investments, Policybazaar.com, "The provision for higher Surrender Value (SV), calculated at a prevailing 10-year government securities rate with a limited spread, significantly increases the value returned to policyholders in the event of a policy surrender, after the completion of first year. The mandatory facility of policy loans across all life insurance savings products and the allowance of partial withdrawals under pension products will provide vital financial flexibility, which will enable policyholders to meet liquidity needs and specific financial goals. These measures will certainly enhance trust and transparency in the industry." <cmsannotation type="cmsannotation" annotationid="Partial withdrawal allowed from pension products" comment="subhead" text="Partial withdrawal allowed from pension products">Partial withdrawal allowed from pension products</cmsannotation> Policyholders will be allowed to make partial withdrawals, provided they have 3 years of continuous coverage under their insurance-cum-pension plan. Also, these withdrawals cannot be more than 25% of the total premiums paid till date. The insurer cannot use this withdrawal towards making any adjustments in the policy's sum assured. However, this withdrawal will only be allowed for specific situations, like funding children’s higher education/marriage, constructing a house, treating critical illnesses, starting a new venture or for skill development purposes.

Here’s how your life insurance plans are set to change

<ul class="summary-list"><li>Half of <keyword id="23335388" type="General" weightage="20" keywordseo="US-renters" source="keywords">US renters</keyword> spend over 30% of their income on housing, <keyword id="21621325" type="General" weightage="20" keywordseo="Census-data" source="keywords">Census data</keyword> shows.</li><li>Skyrocketing home prices and rents, driven by supply shortages and high interest rates, are to blame.</li></ul>For decades, financial advisors and the federal government have recommended that Americans spend no more than 30% of their gross income on housing. But as home prices and rents have skyrocketed in recent years, that so-called <keyword id="23335390" type="General" weightage="20" keywordseo="30-rule" source="keywords">30% rule</keyword> is increasingly challenging to follow. And for a whopping half of US renters, it's become impossible. Almost half — 49.7% — of American renter households spent more than 30% of their income on <keyword id="21020775" type="General" weightage="100" keywordseo="housing-costs" source="keywords">housing costs</keyword>, according to data released by the <keyword id="19899587" type="General" weightage="20" keywordseo="US-Census-Bureau" source="keywords" meta.keywordsubtype="org" meta.entityname="US Census Bureau" meta.hostid="261" meta.entityid="US Census Bureau">US Census Bureau</keyword> from its <a target="_blank" class="" href="https://www.census.gov/newsroom/press-releases/2024/renter-households-cost-burdened-race.html">2023 American Community Survey</a>. That's unchanged from 2022, when the median ratio of income-to-housing costs for renters was also 31%. Among racial and ethnic groups, Black renters were the most frequently <keyword id="23335389" type="General" weightage="20" keywordseo="cost-burdened" source="keywords">cost-burdened</keyword>, with 56% spending more than 30% of their income on rent, according to the census data. Hispanic renters were the second-most affected, with 53% cost-burdened, while 47% of white renters were cost-burdened. Renters are currently struggling more than homeowners. Rents rose <a target="_blank" class="" href="https://www.census.gov/library/stories/2024/09/acs-rent-burden.html">faster than home prices</a> for the first time in a decade, the Census found. Rents rose by 3.8% between 2022 and 2023, while home prices rose by 1.8%. And a greater share of tenants are <a target="_blank" class="" href="https://nlihc.org/gap/about">low-income or very low-income</a> and have significantly less wealth than homeowners. But <a href="https://www.businessinsider.com/housing-crisis-homeowners-struggling-mortgage-interest-rates-insurance-home-equity-2024-6" target="_blank">homeowners are also struggling</a>. Mortgage interest rates recently hit a two-decade high, and rising insurance premiums, growing home-repair costs, and property taxes add to the burden. Last year, first-time <a href="https://www.jpmorgan.com/insights/real-estate/housing-market/the-american-homeowners-dream-vs-recent-reality#:~:text=become%20a%20reality.-,In%20the%20third%20quarter%20of%202023%2C%20the%20first%2Dtime%20homebuyer,the%20problem%20has%20become%20exacerbated." target="_blank">homeownership affordability</a> hit its lowest level since the 1980s. The number of cost-burdened homeowners — those who spent more than 30% of their income on housing and utilities — rose by about three million people between 2019 and 2022, according to <a target="_blank" class="" href="https://www.jchs.harvard.edu/sites/default/files/reports/files/Harvard_JCHS_The_State_of_the_Nations_Housing_2024.pdf">a recent report</a> from the <keyword id="19898366" type="General" weightage="20" keywordseo="harvard" source="keywords">Harvard</keyword> Joint Center for Housing Studies on the state of US housing. Most of this increase was among those who make less than $30,000 a year. A full 30% of Black and 28% of Hispanic homeowners are cost-burdened, compared to 21% of white homeowners, the Harvard report found. While the Federal Reserve finally announced its first <a href="https://www.businessinsider.com/federal-reserve-interest-rate-cuts-mortgage-investment-credit-savings-2024-9" target="_blank">interest-rate cut</a> in four years, the move probably <a href="https://www.businessinsider.com/buying-home-not-easier-interest-rate-cuts-prices-rent-crisis-2024-8" target="_blank">won't bring housing costs down</a> by much. The US is suffering from a severe shortage of homes — the only way to solve it is to build many more units of housing. And that takes time. Are you spending more than 30% of your income on housing costs? Reach out to this reporter to share your story at erelman@businessinsider.com. Correction: September 25, 2024 — An earlier version of this story misstated a recent move by the Federal Reserve. It announced an interest-rate cut, not a hike.

Half of renters live somewhere they can't afford

<ul class="summary-list"><li>Residents say it's becoming a lot harder to enjoy living in Florida. </li><li>Among the pandemic's hottest markets, the Sunshine State is increasingly expensive, hot, and crowded. </li></ul>Cindy, a 50-year-old small-business owner who's lived in Florida for most of her life, says she and her husband are starting to sour on life in the Sunshine state. The summers are extremely <a target="_blank" class="" href="https://www.businessinsider.com/moving-to-north-carolina-from-florida-climate-crisis-2023-8">hot and muggy</a>, prices have climbed, and the crowds have gotten worse, she said. Cindy noted that the commute from her suburban area to downtown Tampa has more than doubled over the past few years.Now, with most of their adult children out of the house, she and her husband are seriously considering packing their bags and moving out of state. More than likely, they'll be gone within the next 10 years, she said, adding that her business was one of the last remaining things that kept her tied to the area."It's funny. I know most people retire to Florida, but we're hoping to retire away from Florida," she told Business Insider.Cindy's experience isn't actually all that unique. <a target="_blank" href="https://www.businessinsider.com/why-are-people-moving-florida-home-prices-cost-of-living-2023-12">Florida was one of the epicenters</a> of the pandemic's great migration, but while crowds of people are trying to settle into places like Orlando, Tampa, and Jacksonville, many Floridians want to <a target="_blank" class="" href="https://www.businessinsider.com/moving-to-leaving-florida-reasons-home-prices-affordability-weather-2023-11">dump their homes</a> and get out.The exodus is mainly being driven by higher housing costs, a higher cost of living, and souring attitudes toward the influx of people who moved to Florida in recent years. Those factors combined are making daily life in the state way more difficult, current and former Florida residents said.While 730,000 people moved to Florida during 2021 and 2022, nearly half a million people left, according to US Census data.The state, meanwhile, just lost its status as the most moved-to region this year, according to an <a target="_blank" class="" href="https://www.pods.com/blog/moving-trends">analysis</a> conducted by the Florida-based moving service PODS. South Florida, in particular, ranked among the regions people were most keen to move out of, the report said.Waning enthusiasm for the state is evident in housing activity, which has fallen from its pandemic highs. The number of homes for sale in Florida has soared 42% compared to levels last year, according to <a target="_blank" href="https://www.redfin.com/state/Florida/housing-market">Redfin</a>.Many people looking to sell add that they're looking to leave the county, or possibly move out of state, according to Rafael Corrales, a Redfin agent based in Miami.Buyers are also getting cold feet. In Orlando, Jacksonville, and Tampa — three metros that boomed during the pandemic — 21% of <a target="_blank" class="" href="https://www.businessinsider.com/florida-housing-market-outlook-nightmare-home-prices-mortgage-rates-affordability-2024-7">home purchase agreements fell through</a> in June, Redfin data shows."They're just being a little more cautious now," Corrales said, pointing to affordability concerns. "There's issues that were normally acceptable for a buyer, they're no longer acceptable anymore because it's money and it's a lot of money."Kevin, a 36-year-old software engineer, is among the sellers who recently left. He and his wife traded their life in St. Pete, Florida to move to Seattle about a year ago. They have no regrets, and never plan on moving back to the state, he told BI."If you would have called me five years ago, I would have vastly different answers to this," Kevin said. "The cost of living hadn't gone up and just the past five, six years, it's gotten crazy down there. I used to love Florida five years ago. I never imagined leaving Florida, but things have changed."<h2 id="14bd5ed1-f1a4-44dc-b8cb-afc8c6739964">Temperature change</h2>Attitudes appear to be different than even just a few years ago, when pandemic transplants altered the state's reputation as more than just America's biggest retirement destination. Bill McBride notes that booms and busts are part of the housing cycle, and the housing forecaster thinks some areas of Florida could see an exodus of people in the coming decade.While people were likely attracted to Florida for its balmy weather and cheaper housing relative to expensive cities like New York, homeowners in the state are feeling exhausted by extreme weather, which is pushing up the cost of homeowners insurance and homeowner association fees, McBride told BI.More than three quarters of homeowners in Florida said their <a target="_blank" class="" href="https://www.redfin.com/news/home-insurance-survey-report-2024/">home insurance premiums have risen</a> in the past year, according to a Redfin survey. <a target="_blank" class="" href="https://www.businessinsider.com/real-estate-prices-drop-florida-texas-violent-weather-insurance-costs-2024-8">Property insurance costs in the state are rising at the fastest pace</a> in 20 years, according to Capital Economics.According to Cindy, her home insurance costs around $8,000 a year. That's actually better than the state average, with the typical household paying over $10,000 for home insurance in 2023, according to data from <a target="_blank" class="" href="https://insurify.com/homeowners-insurance/florida/#:~:text=The%20average%20home%20insurance%20cost%20for%20Florida,include%20Travelers%2C%20Nationwide%2C%20and%20Security%20First%20Insurance.">Insurify</a>."It's insane. It's craziness how much more we're paying for homeowners' insurance, and I think that's pretty common across the whole state right now. Everyone is having issues with that," she said.The cost of living has also risen, in part due to rising housing costs and more people living in the city. Consumer prices in the Miami, Fort Lauderdale, and West Palm Beach areas of Florida are <a target="_blank" class="" href="https://fred.stlouisfed.org/series/CUURA320SA0">up around 30%</a> since February 2020, according to the Bureau of Labor Statistics. Prices in Tampa, St. Petersburg, and Clearwater areas, meanwhile, are <a target="_blank" class="" href="https://fred.stlouisfed.org/series/CUUSA321SA0">up 25% since the pandemic</a>.Home prices have accounted for a big portion of that increase. The median home in <a target="_blank" class="" href="https://www.redfin.com/state/Florida/housing-market">Florida</a> now costs $409,700, up by about 55% from the median house price recorded in February 2023, Redfin data shows."I think one of the main draws of Florida has always been that it's cheaper," Darryl Fairweather, the chief economist of Redfin, said, pointing to the wave of newcomers who flooded in from high-cost areas, like New York and Washington DC."Eventually the affordability just becomes so bad that people can't put up with it anymore."The hoards of people who moved to Florida during the pandemic are part of the problem, Kevin and Cindy said, describing a more tense political climate and increased violence in some areas.Florida saw an increase in most types of offenses in 2023 compared to the prior year. Simple assaults shot up 66% compared to 2021, while aggravated assaults jumped 65%, according to data from the <a target="_blank" class="" href="https://www.fdle.state.fl.us/CJAB/FIBRS">Florida Department of Law Enforcement</a>."So it was probably 2020 that I was like, yeah, time to go get out of here," Kevin said.Florida will probably still be attractive to some older people, who are flush with cash and are not as concerned by the increasing frequency of extreme weather events, McBride and Fairweather say.But for the most part, McBride expects people to begin turning away from and also leaving the Sunshine State. Some communities near Florida's coastline could become "ghost towns" in as soon as 50 years, he speculated, as climate change will make them uninhabitable.The state probably won't be considered a retirement haven by the time millennials exit the workforce, Fairweather added."Will it still attract people? I think so," McBride said. "[But] I wouldn't live there."

Why people are souring on one of the country's hottest housing markets     

<ul class="summary-list"><li>The Texas housing market has cooled after a frenzy of activity during the pandemic.</li><li>Boomtowns like Austin are seeing home prices drop, while fewer people are moving to the state.</li></ul>Texas was not all what it cracked up to be, according to Peter Hoholick, a native Californian who moved to Austin in 2021 on rumors that a cheaper, more laid-back lifestyle was in store.The move fell short of Hoholick's expectations. The <a target="_blank" class="" href="https://www.businessinsider.com/texas-heat-wave-weather-costs-economy-workers-jobs-2023-7">weather</a> was "miserable," with southern humidity and temperatures trailing into the triple-digits during the summer. The <a target="_blank" class="" href="https://www.businessinsider.com/cost-of-living-texas-cities-prices-housing-medical-energy-2023-9">cost of living</a> was comparable to that of California, though the pay, he felt, was lower.The tense, conservative-leaning political climate is what broke him. When Roe v. Wade was overturned, Hoholick made the decision to head back to California. His quality of life has "vastly" improved, he told Business Insider in an interview."I was young and dumb at this point in time," Hoholick said of his brief stay in Texas — around 13 months. "I would never entertain the idea of moving back."He isn't alone. Though some towns still <a target="_blank" class="" href="https://www.businessinsider.com/inside-fastest-growing-city-in-the-us-celina-texas-2024-6">attract a good deal of interstate movers</a>, a growing number of Americans have soured on the Lone Star State, with interest in moving to Texas cooling, while <a target="_blank" class="" href="https://www.businessinsider.com/where-people-are-moving-to-and-moving-from-usps-data-2023-5#1-katy-texas-16">interest in moving out has risen</a>. The shift in attitudes is an indicator for the state's housing market, which boomed during the pandemic.The weather is hot and the political climate too charged for some, but the biggest reason the scramble for Texas may be over is simply because living there is way more expensive than it used to be, real estate experts and realtors in the state told BI.The downbeat feelings are already evident in the state's migration and housing data. While Texas gained 668,000 new residents between 2021 and 2022, it also lost nearly half a million people, with 494,077 people <a target="_blank" href="https://www.businessinsider.com/leaving-texas-political-freedom-property-taxes-housing-costs-2023-11">moving out of state that year</a>, according to the US Census Bureau.That small-scale exodus appears to be taking place in what used to be Texas' most popular boomtowns. Dallas has seen a slight <a target="_blank" class="" href="https://www.census.gov/data/tables/time-series/demo/popest/2020s-total-cities-and-towns.html">population decline</a> over the past several years, with the city losing around 5,000 people from mid-2020 to mid-2023, Census data shows.<a target="_blank" class="" href="https://www.businessinsider.com/austin-home-prices-falling-texas-mortgage-rates-housing-crisis-success-2024-9">Austin</a>, meanwhile, is the fifth most moved-out of city in the US year-to-date, according to an <a target="_blank" href="https://www.pods.com/blog/moving-trends">analysis</a> from the moving firm PODS, with the town <a target="_blank" class="" href="https://mailchi.mp/austintexas.gov/austin-slips-out-of-top-10-list-of-largest-us-cities?e=0a5bb73be8">no longer considered among the top 10 most populous cities</a> in the US.Texas realtors also say it's a much cooler climate for buying and selling a home, thanks to weaker demand. Median home prices in Texas have fallen around 7% from their highs in mid-2022, according to data from Redfin. The decline is an outlier compared to the broader US housing market, which is still prices hovering around record highs.In 2022, homes for sale in Texas were being scooped up in a matter of days, but it's now taking months for sellers to find a buyer, according to James Willoughby, a real estate agent based in Austin.In some instances, Willoughby says he's encouraged sellers to slash prices by 20%-30%. According to Redfin, more than a third of <a target="_blank" href="https://www.redfin.com/state/Texas/housing-market#demand">homes in Texas saw a price drop</a> in August."We had such an avalanche of buyers moving here from elsewhere and not that many people selling. That's how we got into the craziness that we got into several years ago," he said of the Texas housing market during the pandemic, adding that he's seen a "fair amount of people" looking to move out of the state in the past year.William Wheeler, an Amarillo-based real-estate agent, says the number of clients who are looking to move out of Texas is "pretty equal" to the number of clients looking to move in."We have done a lot of price reductions, more price reductions than normal," he added.Price cuts suggest that housing markets like Austin and Dallas are likely approaching a bottom, according to Redfin's chief economist Daryl Fairweather, though she noted that the trend wasn't uniform across the state."The boom cycle's kind of coming to a close," Fairweather said.<h2 id="9d645e44-b331-4da0-b652-00cbb2fbcaea">Waning affordability</h2>When the pandemic struck, Americans <a target="_blank" class="" href="https://www.businessinsider.com/moved-to-texas-pandemic-migration-boom-sunbelt-austin-housing-crisis-2022-1">flocked to Texas</a> in search of cheaper living relative to other metropolitan areas, Fairweather says.While agents say they're seeing prices come down faster than other parts of the country, they're also coming down from a higher peak after the housing feeding frenzy that took place during the pandemic.In March 2020, the median home price in Texas was $253,600, around 20% lower than the national median of $303,577 at that time.Since then, home prices in Texas have shot up 37%, with the median price clocking in at $348,300 in August, Redfin data shows.<a target="_blank" class="" href="https://www.businessinsider.com/florida-housing-market-sales-weather-climate-change-retirement-pandemic-costs-2024-9">Similar to states like Florida</a>, Texas has been in the path of many extreme weather events in recent years, sending home insurance rates skyrocketing. <a target="_blank" class="" href="https://www.lendingtree.com/insurance/state-of-home-insurance/">Premiums in Texas have soared 55%</a> from 2019 through March 2024, with the average homeowner in the state paying $4,647 a year, according to a report from LendingTree."That difference in affordability made it worthwhile for people to move across the whole country and start a new life in Texas. But now, because home prices are so high, it's just not as attractive," Fairweather added.A higher cost of living broadly, combined with a weakening job market, could also be influencing the cooling interest in the state, she said.<a target="_blank" class="" href="https://fred.stlouisfed.org/series/CUURA316SA0">Consumer prices</a> in the Dallas, Fort Worth, and Arlington areas have risen 25% over the last five years, according to the Bureau of Labor Statistics.<a target="_blank" rel="noopener noreferrer" class="" href="https://fred.stlouisfed.org/series/IHLIDXUSTX">Job postings based in Texas</a> on Indeed, meanwhile, have dropped 28% from their highs in 2021.Samuel Cobb, an East Texas resident who's looking to move out of the state, said the cost of living had "blown up" since the pandemic. He and his wife hardly save anything, and are rarely even able to dine out at restaurants anymore, he added."We were no longer able to live there, couldn't get back there, couldn't afford to get jobs there or anything else, so they just pushed us out," he said of Austin. "We are basically struggling to afford to live anywhere at this point."Current and former Texas residents who spoke with BI also frequently cited the <a target="_blank" class="" href="https://www.businessinsider.com/leaving-texas-political-freedom-property-taxes-housing-costs-2023-11">extreme heat and political atmosphere</a> as key motivations to leave. But those issues are minor relative to things like economic growth and housing affordability, Fairweather says, which she described as two of the biggest factors that could determine if the Texas housing market picks back up.Hoholick, though, is fairly certain he'll never return to the state long-term. He recalled turning down a recruiter earlier this year for a job that would double his current salary, though the position was based in Austin."I could not stomach moving back there for any price tag," he said.Cobb, who hasn't moved out of Texas yet, also doesn't see himself coming back once he leaves. His only problem is selling his home, which has been on the market for over two months."We made a decision in August or July to move, and now we're like, now what the crap we're going to do? We want to get there. We're tired of the Texas heat, tired of Texas politics," he said. "So we're definitely feeling stuck right now."

Falling home prices and fed-up residents show the Texas housing boom is slowing

I tried groceries from Walmart's new premium house brand, Bettergoods. They were all under $5 and so good I'd buy them again.

<ul class="summary-list"><li>The condo market looks stuck in Florida and Texas, according to Redfin.</li><li>Condo inventory rose 53% in Florida and 42% in Texas since last year.</li></ul>Housing inventory is piling up in Florida and Texas, in part because homeowners association fees and home insurance costs are scaring away buyers from the condo market, according to Redfin.<a target="_blank" class="" href="https://www.redfin.com/news/condo-supply-rises-florida-texas-2024/">The real estate listings site said</a> the number of available condos had soared in key metros in the two states over the past year, one symptom in an overarching trend of <a target="_blank" class="" href="https://www.businessinsider.com/florida-housing-market-outlook-nightmare-home-prices-mortgage-rates-affordability-2024-7">homebuyers getting cold feet</a> amid high prices and rising costs associated with owning a home. Condo inventory soared 53% year-over-year in Florida in July, per Redfin data, while condo inventory climbed 42% in Texas in the same timeframe. Those increases far exceed the national average, with condo inventory rising 27% nationally in July.Jacksonville, Florida, saw the steepest climb in inventory, with the supply of condos soaring 81% from levels last year. That was followed by Orlando, Florida, and Fort Worth, Texas, where condo supply soared 68% and 65%, respectively, over the last year.Condo buyers have been put off by rising HOA fees and insurance premiums in both states, Redfin said. <a target="_blank" class="" href="https://www.redfin.com/news/hoa-fees-surge-florida-2024/">HOA fees have climbed more than 15% from levels last year</a> in key Florida metros, Redfin found in a previous analysis.Meanwhile, natural disasters in the two states have pushed up insurance premiums. <a target="_blank" href="https://www.businessinsider.com/real-estate-prices-drop-florida-texas-violent-weather-insurance-costs-2024-8">Property insurance costs</a> in Texas and Florida have grown at the fastest pace in 20 years, a Capital Economics report found."The condo market isn't moving," Steven Weiss, a Redfin agent based in Tampa, said in a statement. "It's much more difficult to sell a condo. Buyers are aware we're at somewhat of a tipping point for condos, and that their value may continue to decline as HOA fees rise and people grow more wary of buying in a waterfront building," he added.Condo prices haven't seen a significant decline yet, with the price of condos in Jacksonville and Orlando seeing a mild, single-digit fall over the past year. In some metros, like Fort Worth, prices have actually increased.It's a different story for <a target="_blank" href="https://www.businessinsider.com/falling-home-price-locations-us-housing-market-supply-florida-texas-2024-4">house prices though, which have been pushed lower</a> in both states as supply starts to outweigh demand. More than <a target="_blank" class="" href="https://www.businessinsider.com/falling-home-price-cities-locations-where-housing-market-getting-cheaper-2024-6#:~:text=Four%20major%20US%20metros%20are,both%20with%20a%201.2%25%20drop.">6% of homes nationwide</a> are now seeing price declines, Redfin said in a June report, the fastest pace of price-cuts since 2022

Housing supply is piling up in Florida and Texas as HOA and insurance fees jump, Redfin says

The deadline to file your <keyword id="19948101" type="General" weightage="20" keywordseo="income-tax-returns" source="keywords">income tax returns</keyword> is approaching fast, and Sana is perplexed. All of 23, she's just started earning and working at an MNC, earning Rs 7,00,000 per annum, and can't figure out which <keyword id="20301439" type="General" weightage="20" keywordseo="tax-regime" source="keywords">tax regime</keyword> would work best for her. If you're having the same concerns and can't seem to wrap your head around the <keyword id="19935168" type="General" weightage="20" keywordseo="new-tax-regime" source="keywords">new tax regime</keyword>, here's a ready reckoner for you: When should I choose new tax regime? Think of choosing a tax regime as having to choose a friend in office. The <keyword id="8706677" type="General" weightage="20" keywordseo="old-tax-regime" source="Orion">old tax regime</keyword> is that aged, wise senior who has answers and hacks for everything. Want to get over with a boring project quickly? They will certainly have a trick up their sleeve! On the other hand, the new regime is far more chilled out, lax and is a no-nonsense person who wants nothing to do with long documents and longer meetings. The new regime was introduced in budget 2020 to simplify taxation, and offer lower rate of taxes as compared to the old regime. However, there's a catch. You cannot claim the 70+ exemptions and deductions that help bring down your taxable income and hence, reduce your tax liability. This option is exclusively available under the old tax regime. The main USP of this tax regime? Lower tax rates, and fuss of deductions! Consider this. If your income is within the range of Rs 5,00,000-Rs 12,00,000, and you have no investments, <keyword id="99916" type="General" weightage="20" keywordseo="house-rent-allowance" source="Orion">house rent allowance</keyword> (<keyword id="19944588" type="General" weightage="20" keywordseo="hra" source="keywords">HRA</keyword>), health/life insurance premiums or other such deductions to claim, the new tax regime would obviously make more sense to you, given the significant difference in tax liabilities (just 5% under new regime, and a whopping 20% in old regime for those in the Rs 5-6 lakh bracket!) <div type="image" title="Tax rates under old and new regime" msid="111685908" hostid="261"></div> So, if you're someone who hates complex tax calculations, wants minimal tax deductions, the new regime might just be for you! But remember, there are two conditions under which this new regime will be automatically chosen for calculating your taxes: <ul><li>If you keep procrastinating and don't file your <keyword id="6374875" type="General" weightage="20" keywordseo="ITR" source="Orion">ITR</keyword> till July 31, 2024</li><li>If you do not specifically opt for the old tax regime on your employer's HR portal</li></ul>Also, if you earn less than Rs 3,00,000 per annum, you are completely exempted from paying any tax at all. In the old regime, this basic limit is slightly lower at Rs 2,50,000. Also read: <a href="https://www.businessinsider.in/personal-finance/income-tax/all-you-need-to-know-about-the-new-tax-regime/articleshow/111578840.cms" data-type="tilCustomLink">All you need to know about the new tax regime</a> So, what do I get under this regime? Thanks to a rebate under Section 87A, if you earn up to Rs 7 lakh per annum, your tax liability (and Sana's as well) will effectively be zero. This is limited to Rs 5 lakh under the old regime. While a <keyword id="20429578" type="General" weightage="20" keywordseo="standard-deduction" source="keywords">standard deduction</keyword> of Rs 50,000 is available under both of them (so you can directly deduct Rs 50,000 from your total income before even beginning to calculate your tax liability), there are a lot more deductions and exemptions that this regime DOES NOT allow you to avail: <ul><li>Leave Travel Allowance (LTA)</li><li>House Rent Allowance (HRA) (Comes in handy if you're paying hefty rents in metros)</li><li>Interest on housing loan (on self-occupied property or vacant property)</li><li>Own contribution to NPS (If there's any)</li><li>Interest earned on savings bank A/Cs </li><li>Investments made in ELSS, PPF</li><li>Premiums paid towards life, health insurance policies</li></ul>As for the deductions that are allowed, that makes for a pretty small list: <ul><li>Transport allowances (only if you are specially abled)</li><li>Gifts of up to Rs 50,000</li><li>Employer’s contribution to your NPS account</li><li>Interest paid on home loan only on let-out property</li></ul>But that's the trade-off. You get to pay taxes at low rates, yes, but you also don't get to claim a whole lot other deductions. Notes CA Nitesh Buddhadev, "Which regime is beneficial for you depends upon the allowances and deduction available to you during a relevant financial year. So, if your total income from salary is Rs 10.5 lakh and if the aggregate of any of the deductions / allowances you can claim is less than Rs. 3.15 lakh, you should opt for the new tax regime. If you have not invested in multiple tax-savings scheme, the new regime will work better. So, don't make this decision in any haste. You can choose your tax regime only once in a financial year. And if your income from business or other professions, be even more careful, because this will then become a once in a lifetime choice for you (quite literally!). So, take a good hard look at your finances, and then decide what works best for you!

You Searched For "premium housing" and got 8 results

Budget 2024: Here's what India's elderlies want

Ira Alok Puranik

Here’s how your life insurance plans are set to change

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Half of renters live somewhere they can't afford

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Why people are souring on one of the country's hottest housing markets

Jennifer Sor

Falling home prices and fed-up residents show the Texas housing boom is slowing

Jennifer Sor

I tried groceries from Walmart's new premium house brand, Bettergoods. They were all under $5 and so good I'd buy them again.

Amena Ahmed

Housing supply is piling up in Florida and Texas as HOA and insurance fees jump, Redfin says

Jennifer Sor

Confused about the new tax regime? Here's when you should opt for it

Ira Alok Puranik

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