ResidentialBusiness

A markup of the bipartisan Housing for the 21st Century Act was passed by a 50-to-1 margin by the House Financial Services Committee earlier this week. View the full article

The average rate on a 30-year U.S. mortgage edged higher this week, though it remains relatively near its low point so far this year. The uptick brings the average long-term mortgage rate to 6.22% from 6.19% last week, mortgage buyer Freddie Mac said Thursday. A year ago, the rate averaged 6.6%. Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners refinancing their home loans, also rose this week. The rate averaged 5.54%, up from 5.44% last week. A year ago, it averaged 5.84%, Freddie Mac said. Mortgage rates are influenced by several factors, from the Federal Reserve’s interest rate policy decisions to bond market investors’ expectations for the economy and inflation. They generally follow the trajectory of the 10-year Treasury yield, which lenders use as a guide to pricing home loans. The 10-year yield was at 4.12% at midday Thursday, slightly higher than it was a week ago. The rise in mortgage rates comes a week after the Federal Reserve cut its main interest rate for the third time this year and indicated another cut may be ahead in 2026. The Fed doesn’t set mortgage rates, so even when it cuts its short-term rates that doesn’t necessarily mean rates on home loans will necessarily decline. That’s what happened last fall after the central bank cut its main rate for the first time in more than four years. Instead of falling, mortgage rates marched higher, eventually cresting above 7% in January this year. At that time, the 10-year Treasury yield was climbing toward 5%. Mortgage rates began declining this summer ahead of the central bank’s September rate cut, its first in a year. The average rate on a 30-year mortgage got as low as 6.17%, the lowest level in more than a year, on Oct. 30. That pullback in rates helped lift sales of previously occupied U.S. homes in October on an annual basis for the fourth straight month. Still, affordability remains a challenge for many aspiring homeowners, especially first-time buyers who don’t have equity from an existing home to put toward a new home purchase. Uncertainty over the economy and job market are also keeping many would-be buyers on the sidelines. The overall decline in mortgage rates this fall has been a boon for homeowners eager to refinance their home loan to a lower rate. Applications for mortgage refinancing loans jumped 14% last week from the previous week, and accounted for about 58% of all home loan applications, according to the Mortgage Bankers Association. Applications for loans to buy a home climbed nearly 5%. Economists generally forecast that the average rate on a 30-year mortgage will remain slightly above 6% next year. “While this is unlikely to deliver the sharp relief some buyers are hoping for, rates are expected to be low enough to help counterbalance continued, but modest, home price growth,” said Anthony Smith, senior economist at Realtor.com. —Alex Veiga, AP business writer View the full article

British oil giant BP just announced a new CEO, marking its fourth chief executive shake-up in the last six years alone. The company named Meg O’Neill, who previously led Australia’s top oil and gas company Woodside Energy for the role. O’Neill will become the first woman to hold the top executive spot at one of the world’s biggest oil companies. She said that she looks forward to working to “accelerate performance” at BP and plans to prioritize shareholder growth and reestablishing BP—now a possible takeover target—as a market leader in the oil and gas industry. O’Neill will take over from Murray Auchincloss, a longtime BP employee who was first appointed as interim CEO in 2023 before being named to the role permanently in January 2024. While Auchincloss will leave the oil giant immediately, O’Neill won’t take the helm until April of next year. “After more than three decades with BP, now is the right time to hand the reins to a new leader,” Auchincloss said in the announcement, adding that he told BP’s chairman that he would be open to stepping down if a different leader could hasten the company’s growth trajectory. “I am confident that BP is now well positioned for significant growth, and I look forward to watching the company’s future progress and success under Meg’s leadership,” he said. BP named Albert Manifold as the new chairman of its board over the summer, tapping the oil and gas outsider who spent the previous 10 years as CEO of the building materials company CRH. That shake-up to the board was one of many recent moves designed to put the company back on track and make BP competitive again with its rivals in the oil and gas industry. Earlier this year, Elliott Investment Management, an activist investor known for dramatically remaking companies in its image, disclosed that it owns a 5% stake in the troubled British energy company. BP’s checkered past While oil and gas peers like Shell and ExxonMobil continue to notch market wins, BP’s share price has floundered. BP remains haunted by its past and still pays around a billion dollars a year in damages for the 2010 Deepwater Horizon explosion, which killed 11 people and triggered a long-term environmental and health catastrophe at the company’s semi-submersible offshore drilling rig in the Gulf of Mexico. BP has changed directions a few times in recent years, but the company’s leadership and timing have yet to impress investors. The company took a significant near 20% stake of Russian oil company Rosneft in 2013, but paid a political price and eventually ate a $25 billion loss when Russia invaded Ukraine in 2022. Under previous CEO Bernard Looney, who stepped into the role in 2020, BP pivoted toward an aggressive plan to reduce emissions and reorient the company toward renewable energy. Less than four years later, Looney was ousted from BP after failing to disclose intimate relationships with employees and an internal investigation determined that he provided “inaccurate and incomplete assurances” about his conduct. This year, BP slashed its green energy promises and announced a retreat back into fossil fuels to please its unhappy shareholders. Then-CEO Auchincloss said that the company went “too far, too fast” in its pivot toward clean energy – a claim that climate experts alarmed about the closing window for a planet-wide emissions intervention would certainly take issue with. View the full article

Experts have compressed their predictions for when artificial general intelligence (AGI)—the type of AI that can equal or exceed human intelligence—will arrive. When predictions were first made in 2023, AGI was expected to arrive in 50 years. Newer estimates say five years. When GPT-5 came out this summer, it demonstrated surprising leaps in reasoning and memory, further accelerating those timelines. Progress is moving faster than anyone anticipated, and what once felt speculative now feels inevitable. Meanwhile, small teams are shipping products that would have required 100-person companies two years ago. The gap between the AGI debaters and the builders (those who are developing AGI systems) isn’t philosophical—it’s economic. While everyone waits for perfect AI, builders are dominating markets with today’s “broken” tools, those that are functioning, albeit with some quirks, that will be worked out as the technology evolves. They aren’t betting on future breakthroughs, they’re betting on momentum. WHAT’S ACTUALLY HAPPENING This wave of adoption isn’t happening in research labs. It’s happening inside companies solving boring, repetitive problems. The shift isn’t about science fiction-level AI. It’s about shipping fast and iterating now. As has been covered in Fast Company: Cursor went from launch to 40,000 customers by letting developers code faster with AI. Glean hit $100 million in annual revenue helping companies search their own documents. These aren’t hypothetical AGI use cases. They’re real businesses built on today’s imperfect AI. And they’re growing because they’re solving problems that already exist—not waiting on capabilities that might. At Fireflies, we process billions of conversations across sales, recruiting, and customer success. Our AI doesn’t just transcribe. It identifies deal risks, surfaces customer objections, and tracks competitive mentions across entire organizations. It’s not flawless, but there isn’t an AI yet that is, but an AI tool that can provide actionable insights today beats a perfect AI that never ships. We’re seeing the same pattern across the board: AI that’s just good enough is already creating leverage. Take “vibe coding” platforms—they let non-programmers create apps simply by describing what they want in natural language without a single line of code. Are these apps perfect? No. Do they work well enough to solve real problems? Absolutely. That means we’re entering a phase where anyone with a problem and a prompt can build a product. THE COMPOUND EFFECT The hardest part of adopting AI? Knowing where to start. Begin with the boring stuff. Find the repetitive task in your workflow that nobody wants to do. Apply today’s AI, and ship when the product or service is 80% good. Then, fix as you go. Most companies think they need a moonshot AI strategy. What they need is a simple use case. The advantage isn’t having the smartest model, it’s in learning the fastest. AI rewards iteration, so the teams that adopt early build intuition, infrastructure, and momentum that compound. Early adoption gives you more than tools—it gives you an internal muscle for how to think with AI. This is what builders do while large companies form AI committees. And every day the builders ship, they get stronger. Every interaction improves their product. Every customer teaches them something new. Every iteration makes switching to their solution more inevitable. By the time AGI arrives (whether that’s 2027 or 2047), these builders will own entire markets. Not because they had better AI, but because they started using what was available. BUILD OR LOSE The world will keep running, but ownership of entire industries will have already changed hands. From companies waiting for perfect AI to builders who shipped with what they had. OpenAI itself proved this path works: They’ve improved their models not through some breakthrough to AGI, but by shipping o1 models that spend more computing power on reasoning at inference time, the moment a model is generating answers in response to a prompt. Messy iteration beats elegant planning. Stop waiting for the perfect model. Stop debating timelines. The builders aren’t waiting for history. They’re making it. Krish Ramineni is CEO and cofounder of Fireflies.ai. View the full article

America’s small businesses are the backbone of our economy. They create two-thirds of new jobs, power innovation, and anchor communities across the country. But that backbone is under real strain. Rising healthcare costs dominate the headlines, but what’s missing from the conversation is how deeply they impact the small businesses that keep our economy running. At Gusto, we see this strain firsthand. Our latest Small Business Jobs Report showed hiring slowed in November as owners continue to navigate higher costs and uncertainty. Rising healthcare premiums aren’t the only challenge, but they’re making it that much harder to grow and hire with confidence. Since 2022, small business health insurance costs have climbed 23% since 2022—far faster than inflation or wage growth. For the smallest employers, those with just two to five employees, the increase is even steeper: up 18%, reaching nearly $8,500 per worker. Looking ahead to 2026, premiums are projected to rise another 9.5%, the sharpest jump in 15 years. Those numbers have real consequences. They show up in delayed hires, scaled-back hours, or founders skipping their own coverage to keep their team insured. SMALL BUSINESSES ARE HOLDING THE LINE Despite the pressure, small businesses are doing everything they can to support their people. More than one in five small employers still offer health insurance. This is a clear reflection of how much they value their teams. That investment pays off. Gusto’s data shows that employees with health coverage are 25% less likely to quit in their first year, and businesses that offer it are 13% more likely to report no difficulty hiring. Healthcare isn’t just a benefit—it’s a competitive advantage and retention tool for these small businesses. That said, it’s also becoming unsustainable. Every year, more small business owners are forced into impossible choices. They can keep offering coverage and absorb higher costs, drop it and risk losing the people who make their business work, or pass more of the expense on to employees, who may already be feeling stretched. A HIDDEN HEADWIND FOR ENTREPRENEURS Entrepreneurship in America is thriving. More people are starting businesses now than at any point in recent history. But rising healthcare costs are creating a new kind of barrier: They make it harder to start, grow, or hire. For many would-be founders, leaving a traditional job means losing access to affordable coverage. That doesn’t always stop them, but it adds risk and limits what they can do once they start. Some stay solo longer than they want to. Others delay hiring. Some take on extra work to cover premiums. In other words, healthcare isn’t necessarily halting entrepreneurship, but it’s most certainly holding it back. It’s keeping too many small business owners from growing to their full potential. HOW SMALL BUSINESSES ARE ADAPTING The good news is that small business owners are incredibly resourceful. They’re rethinking what benefits look like and finding creative ways to offer support. Many are experimenting with level-funded plans, high-deductible options paired with Health Savings Accounts (HSAs), and Health Reimbursement Arrangements that let employees choose coverage that fits their needs. Others are expanding voluntary benefits like dental, vision, or mental health programs that provide real value without breaking the bank. At Gusto, we help small employers find the right mix—because the best benefits strategy isn’t one-size-fits-all. Flexibility and innovation are key. THE SOLUTION: FLEXIBILITY, POLICY, AND INNOVATION Small businesses can’t solve this challenge on their own. The U.S. healthcare system was built around large employers, not the millions of small business owners and self-employed workers who drive today’s economy. It’s time to modernize that system so healthcare is portable, affordable, and built to support entrepreneurship. Congress already has practical solutions within reach. Lawmakers can codify and strengthen Individual Coverage Health Reimbursement Arrangements, which give employers flexibility to help workers buy their own coverage. A temporary tax credit for small businesses offering these plans for the first time would make coverage more affordable and expand access quickly. Congress can also expand HSA eligibility to include Affordable Care Act Bronze and catastrophic plans, giving small employers and their teams the same tax advantages that large companies enjoy. If we want small businesses to keep creating jobs, serving their communities, and fueling our economy, we need to make healthcare affordable for the people behind them. Tomer London is cofounder and chief product officer of Gusto. View the full article

CEO Murray Auchincloss clashed repeatedly with Albert Manifold over strategy before his abrupt departureView the full article

When ChatGPT first launched, it was strictly about dealing with text. You could ask it to write you a poem, to check your code for errors, or to build you a grocery list from a recipe. Fast forward three years, and the app has changed completely—for better or for worse. Not only has ChatGPT's large language model (LLM) improved dramatically from GPT-3.5 to GPT-5.2, but the bot has gone multimodal. It can understand text, but also images, video, and the internet at large. 2025's ChatGPT is hardly the same product as 2022's. One of the many upgrades to ChatGPT over the past three years has been app integrations: You've been able to connect OpenAI's chatbot to ask it to do things on your behalf. You could connect to Expedia to ask ChatGPT for help booking a hotel, Zillow to ask the bot to help you find an apartment, or Canva for help with creating a slide. Whether these integrations are any more useful than simply using the respective app itself is perhaps up to each user, but these integrations exist all the same. Fidji Simo, OpenAI's CEO of applications, announced the integration in a Substack post on Tuesday. Among other updates, like a new image gen model and new writing tools, Simo revealed new app integrations for the chatbot, including OpenTable, Salesforce, Clay, Lovable, and, of course, Apple Music. At the time, details were limited, but now, the integration is officially live. What can you do with Apple Music in ChatGPT?First of all, you don't actually need to subscribe to connect Apple Music to ChatGPT. It's an interesting note, since Apple Music itself requires a paid subscription to access. But with ChatGPT, you can access elements of the services without paying—keyword "elements." Once you connect the services together, you'll be able to search Apple Music for songs, artists, albums, and playlists within ChatGPT. In addition to music discoverability, you can also generate playlists, and listen to clips of songs you find. ChatGPT doesn't specify how long those clips are, but if they base it off of iTunes, it could be anywhere from 30 to 90 seconds. If you thought this integration was all about listening to Apple Music tunes while using ChatGPT, think again: You'll still need Apple Music itself for the listening side of things. Of course, if you have an Apple Music account, the integration is a bit more useful. If so, you'll be able to add songs, albums, and playlists to your Apple Music library that you found or generated from ChatGPT. What are the privacy implications of connecting Apple Music to ChatGPT?Love it or hate it, ChatGPT isn't necessarily designed with user privacy in mind. After all, part of the company's business model is training its LLMs on your ChatGPT interactions—unless you specifically opt out. As such, the idea of connecting your Apple Music subscription to ChatGPT raises some privacy alarm bells in my mind. Apple Music doesn't have the most sensitive user information in your digital portfolio, but it does contain quite a bit of extra data ChatGPT can collect from you. At the top of the Apple music connection tool, OpenAI says, "You're in control." The company is adamant that ChatGPT "always respects" your preferences on training data, and is held to the permissions you've already set. That said, the company also warns that by using apps, you run the risk of falling victim to attack: If hackers decide to attack ChatGPT, your data could get swooped up. You'll also end up sharing data points like your IP address and approximate location, as well as ChatGPT data with Apple Music. (The data sharing goes both ways here.) One benefit here is that ChatGPT doesn't appear to have access to your listening history. While the app can create playlists for you, it can't actually see what you're choosing to listen to in Apple Music itself. I personally don't use ChatGPT, and even if I did, I don't think I'd connect my Apple Music account here. I find the discoverability within the app itself fine for my needs, and when it isn't, the greater internet already helps me find new music. I'm not sure I'd feel the benefits of ChatGPT's intelligence here, especially when it comes with the risk of keeping all my Apple Music data in yet another location. If you're not like me, and you're interested in trying out this integration, you can connect Apple Music to ChatGPT from the latter's app or web app. Head to the sidebar, choose Apps, then find and select "Apple Music." View the full article

At a time when Americans are frustrated and angry over the high cost of living, the government released a report Thursday showing that inflation had cooled unexpectedly in November. But economists quickly warned that last month’s numbers were suspect because they’d been delayed and likely distorted by the 43-day federal shutdown. And most Americans have not felt any let up in the high prices they are paying for food, insurance, utilities, and other basic necessities. The Labor Department reported Thursday that its consumer price index rose 2.7% in November from a year earlier. Yet, year-over-year inflation remains well above the Federal Reserve’s 2% target. Americans, dismayed by high prices, handed big victories to Democrats in local and state elections last month. The inflation report was delayed eight days by the shutdown, which also prevented the Labor Department from compiling overall numbers for consumer prices and core inflation in October and disrupted the usual data-collecting process. Thursday’s report gave investors, businesses, and policymakers their first look at CPI since the September numbers were released on Oct. 24. Consumer prices had risen 3% in September from a year earlier, and forecasters had expected the November CPI to match that year-over-year increase. “It’s likely a bit distorted,’’ said Diane Swonk, chief economist at the tax and consulting firm KPMG. “The good news is that it’s cooling. We’ll take a win when we can get it.’’ Still, Swonk added: “The data is truncated, and we just don’t know how much of it to trust.’’ By disrupting the economy – especially government contracting – the shutdown may have contributed to a cooling in prices, she said. Kay Haigh, global co-head of fixed income and liquidity solutions at Goldman Sachs Asset Management, warned that the November numbers were “noisy … The canceling of the October report makes month-on-month comparisons impossible, for example, while the truncated information-gathering process given the shutdown could have caused systematic biases in the data.” Many economists don’t expect to get a reliable read on inflation until next month when the Labor Department releases CPI numbers for December. Energy prices, driven up by sharply higher fuel oil prices, rose 4.2% in November. Excluding volatile food and energy prices, so-called core inflation rose 2.6%, compared with a 3% year-over-year gain in September and the lowest since March 2021. U.S. inflation remains stubbornly high, partly because of President Donald The President’s decision to impose double-digit taxes on imports from almost every country on earth along with targeted tariffs on specific products like steel, aluminum and autos. The president’s tariffs have so far proved less inflationary than economists feared. But they do put upward pressure on prices and complicate matters at the Fed, which is trying to decide whether to keep cutting its benchmark interest rate to support a sputtering job market or whether to hold off until inflationary pressures ease. The central bank last week decided to reduce the rate for the third time this year, but Fed officials signaled that they expect just one cut in 2026. “The Fed will instead focus on the December CPI released in mid-January, just two weeks before its next meeting, as a more accurate bellwether for inflation,” said Haigh at Goldman Sachs. The President delivered a politically charged speech Wednesday that aired live during prime time on network television, seeking to pin the blame for economic challenges on Democrats. The speech was a rehash of his recent messaging that has so far been unable to calm public anxiety about the rising cost of groceries, housing, utilities and other basic goods. As the holiday season approaches, Americans are dipping into savings, scouring for bargains and feeling like the overall economy is sputtering, a new AP-NORC poll finds. The vast majority of U.S. adults say they’ve noticed higher than usual prices for groceries, electricity and holiday gifts in recent months, according to the survey from The Associated Press-NORC Center for Public Affairs Research. Roughly half of Americans say it’s harder than usual to afford the things they want to give as holiday gifts, and similar numbers are delaying big purchases or cutting back on nonessential purchases more than they would normally. The President has promised an economic boom, yet inflation has stayed elevated and the job market has weakened in the wake of his import taxes. The President’s tariffs are taking a toll on companies like Wolverine Worldwide, which makes footwear brands like Merrell and Saucony. Facing extra tariff costs of $10 million this year and $55 million in 2026, the Rockford, Michigan, company had to increase prices between 5% and 8% on some products in June, and will have to raise prices again next year. It’s put a freeze on hiring and capital investments. The company is getting squeezed even as it diversifies its sourcing network away from China, which now makes less than 10% of its products. During The President’s first term, Wolverine shifted production to Vietnam. Now it’s moving to Bangladesh, Cambodia and Indonesia. The problem isn’t just the cost of the tariffs. It’s the uncertainty caused by the unpredictable way that The President rolls them out. “From a business leader’s perspective, it’s one thing if there’s bad news,” said Wolverine CEO Christopher Hufnagel. “Just tell me what the bad news is, and I’ll go work to try to solve for it. It’s the uncertainty of how it actually plays out that causes so much trouble because then we’re modeling all these different scenarios and it seems like things can change in the middle of the night.” —Paul Wiseman and Anne D’Innocenzio, AP business writers View the full article

Team building games play an essential role in enhancing collaboration among adults in a workplace setting. Activities like the Magic Cane and Electric Fence encourage teamwork and trust, whereas the Barter Puzzle and Blind Drawing focus on communication skills and problem-solving. Each game is designed to build interpersonal relationships and cultivate a supportive environment. Comprehending how these games work can help you implement them effectively in your team. Let’s explore each game in detail. Key Takeaways Magic Cane: Focuses on coordination and communication as participants lower a stick, fostering teamwork and collaboration among varying heights and experiences. The Barter Puzzle: Encourages problem-solving and critical thinking through trading puzzle pieces, emphasizing communication and collaboration for a common goal. Electric Fence: Promotes trust and leadership dynamics as participants cross an imaginary rope, enhancing brainstorming and decision-making within the team. Blind Drawing: Develops effective communication and active listening skills as participants describe objects for an artist to draw, fostering collaboration. Human Knot: Strengthens interpersonal relationships through clear communication, as participants work together to untangle themselves without letting go of each other’s hands. Magic Cane (Helium Stick) The Magic Cane, also referred to as the Helium Stick, is an engaging team-building activity designed for groups of 6 to 14 participants, typically lasting around 15 minutes. In this exercise, your goal is to lower a lightweight stick to the ground while maintaining contact with it, which requires effective coordination and communication. As you participate, you’ll engage in problem-solving, strategizing with your team on how to achieve the objective without losing touch. The game emphasizes the significance of teamwork, as varying heights and individual experiences can affect your group’s approach. After the activity, consider discussing initial reactions and challenges faced, nurturing reflection on collaboration dynamics, which is crucial in many team-building games for adults. The Barter Puzzle Engaging in the Barter Puzzle activity presents a unique opportunity for adult teams to develop their collaboration and negotiation skills. In this team building activity, participants work to complete a jigsaw puzzle using mixed pieces sourced from different teams. Over approximately 20 minutes, groups of 9 to 25 individuals must communicate and collaborate effectively to achieve a common goal. The key lies in strategizing how to trade pieces, which promotes problem-solving and critical thinking in a fun environment. As team members negotiate trades, they elevate their teamwork dynamics. After the activity, follow-up discussions can assess individual roles and reflect on the planning processes utilized, allowing for valuable insights into group behavior and interaction during the puzzle completion. Electric Fence Crossing an imaginary electric fence presents a compelling challenge for teams aiming to improve their collaboration skills. This camp team building activity, suitable for 5-15 participants, lasts about 20 minutes. The objective is for your team to cross over a rope—representing the electric fence—without touching it, all during staying in contact with one another. Key Elements Description Trust Team members must rely on each other’s support Communication Clear dialogue is crucial for strategizing Leadership Dynamics Participants may discover emerging leaders Accomplishment Successfully crossing nurtures a strong team bond This exercise emphasizes brainstorming and reveals team dynamics, enhancing collaboration and decision-making processes. Blind Drawing When teams engage in Blind Drawing, they quickly realize the crucial role of effective communication in achieving their goals. This activity requires participants to verbally describe an object to an artist who draws it without seeing the original, emphasizing clear communication and active listening. Lasting about 25 minutes, Blind Drawing accommodates groups of 4 to 30 people, making it versatile for various team sizes. The game promotes collaboration by challenging teams to convey ideas accurately as they maneuver through potential confusion. Non-verbal cues and descriptive language become vital, enhancing participants’ communication skills. You can likewise incorporate team-building apps to facilitate the activity and analyze outcomes. Follow-up discussions provide insights into communication dynamics and highlight areas for improvement. Reverse Charades Reverse Charades is an engaging team-building activity that encourages collaboration and creativity among participants. In this game, one person guesses a word or phrase as the rest of the team acts it out, promoting teamwork and inclusiveness. Ideal for 4 to 20 participants, it’s perfect for small to medium-sized groups looking to improve their dynamics. Each member contributes to the acting, nurturing engagement and ensuring everyone has a role. Typically completed in about 30 minutes, Reverse Charades requires minimal setup, making it suitable for quick team-building sessions. Additionally, it emphasizes non-verbal communication and coordination, which are essential for strengthening interpersonal relationships. Consider integrating team building software to streamline the organization and tracking of this fun activity. Sneak a Peek Sneak a Peek is an innovative team-building activity that engages participants in a collaborative challenge where they rely solely on verbal communication to recreate an object using designated building materials. This game typically lasts around 20 minutes and accommodates 2 to 20 participants, making it suitable for various group sizes. As you work together, you’ll improve your listening and communication skills, which are essential team introduction ideas for nurturing collaboration. By focusing on clear descriptions and creativity, team members strategize to achieve a common goal, building trust in the process. After the activity, engaging in follow-up discussions helps reflect on challenges faced and strategies employed, reinforcing the significance of effective communication in teamwork. Human Knot The Human Knot is an effective team-building activity that improves team dynamics and problem-solving skills among participants. By forming a circle and intertwining arms, you’ll need to communicate clearly and collaborate closely to untangle yourselves without letting go of each other’s hands. This exercise not only promotes trust but additionally provides valuable insights into your team’s communication strategies, which can enhance collaboration in future tasks. Team Dynamics Improvement When teams engage in the Human Knot activity, they not merely experience a fun challenge but moreover improve their team dynamics. This exercise promotes collaboration and communication skills, making it one of the best competition games to play with friends. Here’s how it benefits team dynamics: Encourages Communication: Participants must articulate their thoughts clearly to strategize untangling. Builds Trust: By relying on each other, team members strengthen their interpersonal relationships. Improves Problem-Solving: Working together to find solutions nurtures a sense of teamwork. Promotes Reflection: Debriefing post-activity allows participants to assess their communication styles and overall dynamics. In just 15 minutes, teams of 6 to 12 can greatly improve their collaborative abilities. Problem-Solving Skills Enhancement Engaging in the Human Knot activity not merely presents a fun challenge, but it furthermore serves as an effective method for enhancing problem-solving skills within a team. This group exercise game requires participants to form a circle, hold hands with non-adjacent teammates, and untangle themselves without breaking their grip. Typically involving 6 to 12 participants, it can be completed in around 15 minutes, making it an efficient use of time. As you navigate this challenge, effective communication and collaboration are vital. You’ll strategize together, demonstrating leadership as you build trust and strengthen interpersonal relationships. In the end, the Human Knot not only nurtures problem-solving skills but also highlights the importance of patience and active listening in a collaborative environment. Frequently Asked Questions What Games Promote Collaboration? To promote collaboration, consider games like Reverse Charades, where one person guesses as others act out words, ensuring full team participation. The Barter Puzzle encourages negotiation as teams work together to complete a mixed jigsaw puzzle. Electric Fence challenges teams to strategize crossing a rope without touching it, emphasizing trust. Moreover, Human Knot requires participants to untangle themselves without letting go of hands, nurturing communication, as Group Storytelling improves creativity and teamwork through collaborative narrative building. What Are Some Team Building Activities for Adults? You can explore several team-building activities for adults. For instance, Electric Fence requires participants to cross a rope without touching it, promoting trust. In “Reverse Charades,” one person guesses as others act out words, enhancing teamwork. “Scavenger Hunts” involve strategic planning to find items within a time limit. “Blind Drawing” emphasizes communication through verbal descriptions. Finally, Marshmallow Tower challenges teams to build the tallest structure using limited materials, encouraging creativity and collaboration. How Can You Increase Collaboration Within Your Team? To increase collaboration within your team, focus on cultivating open communication and comprehension. Schedule regular meetings for brainstorming and feedback, ensuring everyone feels heard. Implement problem-solving activities that require teamwork, such as case studies or collaborative projects. Encourage team members to share their strengths and weaknesses to build trust. Furthermore, consider utilizing diverse perspectives by forming mixed groups, which can improve creativity and lead to more effective solutions. What Games Can You Play With Coworkers on Teams? You can play several engaging games with your coworkers to promote teamwork. For example, “Reverse Charades” encourages collaboration as one person guesses as the team acts out a word. “The Barter Puzzle” requires negotiation skills to complete a jigsaw, enhancing strategic thinking. Furthermore, a “Scavenger Hunt” challenges teams to work together in a competitive setting. For remote teams, consider “Virtual Trivia” or “Online Pictionary” to maintain engagement and inclusivity regardless of location. Conclusion Incorporating team building games like the Magic Cane and Electric Fence can greatly improve collaboration and communication within your team. These activities not just promote problem-solving and trust but likewise strengthen interpersonal relationships. By engaging in games such as Blind Drawing and the Human Knot, participants develop crucial teamwork skills that contribute to a cohesive work environment. Implementing these games regularly can lead to improved workplace dynamics, ensuring your team works effectively in the direction of shared goals. Image via Google Gemini This article, "7 Engaging Team Building Games for Adults to Boost Collaboration" was first published on Small Business Trends View the full article

Team building games play an essential role in enhancing collaboration among adults in a workplace setting. Activities like the Magic Cane and Electric Fence encourage teamwork and trust, whereas the Barter Puzzle and Blind Drawing focus on communication skills and problem-solving. Each game is designed to build interpersonal relationships and cultivate a supportive environment. Comprehending how these games work can help you implement them effectively in your team. Let’s explore each game in detail. Key Takeaways Magic Cane: Focuses on coordination and communication as participants lower a stick, fostering teamwork and collaboration among varying heights and experiences. The Barter Puzzle: Encourages problem-solving and critical thinking through trading puzzle pieces, emphasizing communication and collaboration for a common goal. Electric Fence: Promotes trust and leadership dynamics as participants cross an imaginary rope, enhancing brainstorming and decision-making within the team. Blind Drawing: Develops effective communication and active listening skills as participants describe objects for an artist to draw, fostering collaboration. Human Knot: Strengthens interpersonal relationships through clear communication, as participants work together to untangle themselves without letting go of each other’s hands. Magic Cane (Helium Stick) The Magic Cane, also referred to as the Helium Stick, is an engaging team-building activity designed for groups of 6 to 14 participants, typically lasting around 15 minutes. In this exercise, your goal is to lower a lightweight stick to the ground while maintaining contact with it, which requires effective coordination and communication. As you participate, you’ll engage in problem-solving, strategizing with your team on how to achieve the objective without losing touch. The game emphasizes the significance of teamwork, as varying heights and individual experiences can affect your group’s approach. After the activity, consider discussing initial reactions and challenges faced, nurturing reflection on collaboration dynamics, which is crucial in many team-building games for adults. The Barter Puzzle Engaging in the Barter Puzzle activity presents a unique opportunity for adult teams to develop their collaboration and negotiation skills. In this team building activity, participants work to complete a jigsaw puzzle using mixed pieces sourced from different teams. Over approximately 20 minutes, groups of 9 to 25 individuals must communicate and collaborate effectively to achieve a common goal. The key lies in strategizing how to trade pieces, which promotes problem-solving and critical thinking in a fun environment. As team members negotiate trades, they elevate their teamwork dynamics. After the activity, follow-up discussions can assess individual roles and reflect on the planning processes utilized, allowing for valuable insights into group behavior and interaction during the puzzle completion. Electric Fence Crossing an imaginary electric fence presents a compelling challenge for teams aiming to improve their collaboration skills. This camp team building activity, suitable for 5-15 participants, lasts about 20 minutes. The objective is for your team to cross over a rope—representing the electric fence—without touching it, all during staying in contact with one another. Key Elements Description Trust Team members must rely on each other’s support Communication Clear dialogue is crucial for strategizing Leadership Dynamics Participants may discover emerging leaders Accomplishment Successfully crossing nurtures a strong team bond This exercise emphasizes brainstorming and reveals team dynamics, enhancing collaboration and decision-making processes. Blind Drawing When teams engage in Blind Drawing, they quickly realize the crucial role of effective communication in achieving their goals. This activity requires participants to verbally describe an object to an artist who draws it without seeing the original, emphasizing clear communication and active listening. Lasting about 25 minutes, Blind Drawing accommodates groups of 4 to 30 people, making it versatile for various team sizes. The game promotes collaboration by challenging teams to convey ideas accurately as they maneuver through potential confusion. Non-verbal cues and descriptive language become vital, enhancing participants’ communication skills. You can likewise incorporate team-building apps to facilitate the activity and analyze outcomes. Follow-up discussions provide insights into communication dynamics and highlight areas for improvement. Reverse Charades Reverse Charades is an engaging team-building activity that encourages collaboration and creativity among participants. In this game, one person guesses a word or phrase as the rest of the team acts it out, promoting teamwork and inclusiveness. Ideal for 4 to 20 participants, it’s perfect for small to medium-sized groups looking to improve their dynamics. Each member contributes to the acting, nurturing engagement and ensuring everyone has a role. Typically completed in about 30 minutes, Reverse Charades requires minimal setup, making it suitable for quick team-building sessions. Additionally, it emphasizes non-verbal communication and coordination, which are essential for strengthening interpersonal relationships. Consider integrating team building software to streamline the organization and tracking of this fun activity. Sneak a Peek Sneak a Peek is an innovative team-building activity that engages participants in a collaborative challenge where they rely solely on verbal communication to recreate an object using designated building materials. This game typically lasts around 20 minutes and accommodates 2 to 20 participants, making it suitable for various group sizes. As you work together, you’ll improve your listening and communication skills, which are essential team introduction ideas for nurturing collaboration. By focusing on clear descriptions and creativity, team members strategize to achieve a common goal, building trust in the process. After the activity, engaging in follow-up discussions helps reflect on challenges faced and strategies employed, reinforcing the significance of effective communication in teamwork. Human Knot The Human Knot is an effective team-building activity that improves team dynamics and problem-solving skills among participants. By forming a circle and intertwining arms, you’ll need to communicate clearly and collaborate closely to untangle yourselves without letting go of each other’s hands. This exercise not only promotes trust but additionally provides valuable insights into your team’s communication strategies, which can enhance collaboration in future tasks. Team Dynamics Improvement When teams engage in the Human Knot activity, they not merely experience a fun challenge but moreover improve their team dynamics. This exercise promotes collaboration and communication skills, making it one of the best competition games to play with friends. Here’s how it benefits team dynamics: Encourages Communication: Participants must articulate their thoughts clearly to strategize untangling. Builds Trust: By relying on each other, team members strengthen their interpersonal relationships. Improves Problem-Solving: Working together to find solutions nurtures a sense of teamwork. Promotes Reflection: Debriefing post-activity allows participants to assess their communication styles and overall dynamics. In just 15 minutes, teams of 6 to 12 can greatly improve their collaborative abilities. Problem-Solving Skills Enhancement Engaging in the Human Knot activity not merely presents a fun challenge, but it furthermore serves as an effective method for enhancing problem-solving skills within a team. This group exercise game requires participants to form a circle, hold hands with non-adjacent teammates, and untangle themselves without breaking their grip. Typically involving 6 to 12 participants, it can be completed in around 15 minutes, making it an efficient use of time. As you navigate this challenge, effective communication and collaboration are vital. You’ll strategize together, demonstrating leadership as you build trust and strengthen interpersonal relationships. In the end, the Human Knot not only nurtures problem-solving skills but also highlights the importance of patience and active listening in a collaborative environment. Frequently Asked Questions What Games Promote Collaboration? To promote collaboration, consider games like Reverse Charades, where one person guesses as others act out words, ensuring full team participation. The Barter Puzzle encourages negotiation as teams work together to complete a mixed jigsaw puzzle. Electric Fence challenges teams to strategize crossing a rope without touching it, emphasizing trust. Moreover, Human Knot requires participants to untangle themselves without letting go of hands, nurturing communication, as Group Storytelling improves creativity and teamwork through collaborative narrative building. What Are Some Team Building Activities for Adults? You can explore several team-building activities for adults. For instance, Electric Fence requires participants to cross a rope without touching it, promoting trust. In “Reverse Charades,” one person guesses as others act out words, enhancing teamwork. “Scavenger Hunts” involve strategic planning to find items within a time limit. “Blind Drawing” emphasizes communication through verbal descriptions. Finally, Marshmallow Tower challenges teams to build the tallest structure using limited materials, encouraging creativity and collaboration. How Can You Increase Collaboration Within Your Team? To increase collaboration within your team, focus on cultivating open communication and comprehension. Schedule regular meetings for brainstorming and feedback, ensuring everyone feels heard. Implement problem-solving activities that require teamwork, such as case studies or collaborative projects. Encourage team members to share their strengths and weaknesses to build trust. Furthermore, consider utilizing diverse perspectives by forming mixed groups, which can improve creativity and lead to more effective solutions. What Games Can You Play With Coworkers on Teams? You can play several engaging games with your coworkers to promote teamwork. For example, “Reverse Charades” encourages collaboration as one person guesses as the team acts out a word. “The Barter Puzzle” requires negotiation skills to complete a jigsaw, enhancing strategic thinking. Furthermore, a “Scavenger Hunt” challenges teams to work together in a competitive setting. For remote teams, consider “Virtual Trivia” or “Online Pictionary” to maintain engagement and inclusivity regardless of location. Conclusion Incorporating team building games like the Magic Cane and Electric Fence can greatly improve collaboration and communication within your team. These activities not just promote problem-solving and trust but likewise strengthen interpersonal relationships. By engaging in games such as Blind Drawing and the Human Knot, participants develop crucial teamwork skills that contribute to a cohesive work environment. Implementing these games regularly can lead to improved workplace dynamics, ensuring your team works effectively in the direction of shared goals. Image via Google Gemini This article, "7 Engaging Team Building Games for Adults to Boost Collaboration" was first published on Small Business Trends View the full article

While the 30-year average has hovered near the same level for weeks, the past year brought with it promising trends that may ease affordability next year. View the full article

We may earn a commission from links on this page. As you build your DIY toolkit, you'll quickly discover there's rarely just one version of any given tool. Of course there are Phillips head and slotted screwdrivers, but even hammers—possibly the simplest tool of all—come in a surprising range of varieties designed for different tasks. When it comes to power tools, the differences can be more complex to suss out. Take drills: When starting out on a job, how do you know if you need a standard power drill, a hammer drill, or whatever an "impact driver" is? While you can get pretty far in your home maintenance career without knowing the difference, but there will come a point when using the right tool for the job will make your life a lot easier. If you’ve managed to get through life without knowing the difference between a drill, a hammer drill, and an impact driver, here’s the rundown you need. Drills vs. impact drivers vs. hammer drillsDrills, impact drivers, and hammer drills are all used to drill holes and drive fasteners, but they work in different ways and are well-suited to different tasks: Drills are the easiest to understand, conceptually: Your trusty power drill spins the bit, delivering consistent, constant torque at a variety of speeds. When the motor encounters resistance, it disengages. That means that when your drill hits its limit, there’s not much more it can do to drive a fastener or bore a hole. A standard drill is good at both drilling and boring holes. Impact drivers also spin the bit and provide consistent torque—until the driver hits resistance. Then it adds a rapid, perpendicular, concussive force that temporarily increases the torque beyond what a standard drill can do. If you’ve ever hit something on the side with a hammer to loosen it, or clamped a wrench in place and hit the handle with a hammer to get a stuck bolt moving, that’s what’s going on here, but it's happening dozens of times a second. The impact driver doesn’t have a clutch and will keep working even when it hits resistance. It’s usually pretty loud, and the vibration involved can tire out your hands and arms. As a result, an impact driver isn’t great for drilling—it’s best used to drive fasteners. Hammer drills operate like a standard drill, but when they’re in hammer mode (which you have to select), they deliver a downward-driving force (like a hammer hitting a nail) as opposed to the impact driver’s horizontal force. Hammer drills can operate like a standard drill if you disengage the hammer function—and like a standard drill, the motor will disengage when it hits resistance. A hammer driver in hammer mode is best for boring holes in tough materials, but not driving fasteners. How to choose between a drill, impact driver, and hammer drillKnowing how each of these tools works makes it a little easier to decide when to use one over the other. In general, here’s when to use a drill, impact driver, or hammer drill on your project: Drills are precision tools that are ideal for driving small fasteners like standard screws or boring holes into softer materials, like wood or drywall. It’s an ideal general tool for most small-scale DIY projects, and when you need more control over the driving or drilling action. Impact drivers are best used on denser materials, like very hard woods, or with larger or longer fasteners that require a lot of power to drive home. If you’ve ever tried to drive a long screw with a drill and discovered that it becomes frozen halfway through, that's when an impact driver might be the answer. Hammer drills are best for drilling or fastening in very hard materials like stone, concrete, or brick—in fact, you should avoid using hammer mode on lighter materials, because it can cause damage. But because you can disengage the hammer function on most hammer drills and use them as standard drills, they can be a good multipurpose choice. One final difference: Hammer drills and standard drills use a chuck that can accept a variety of bits, but an impact driver will only work with 1/4-inch hex-shaped bits. Which one you should buy DeWalt Max XR Hammer DRill $244.00 at Amazon $279.00 Save $35.00 Shop Now Shop Now $244.00 at Amazon $279.00 Save $35.00 Since a hammer drill can also be used as a standard drill, it’s the best option if you’re not sure which tool you should get or you want to avoid buying an additional tool for a future project—it gives you both standard drill capabilities and the added power of the hammer action. You can hold off on picking up an impact driver until you tackle a project that actually calls for one. View the full article

Christmas is coming, and our bank accounts are getting, well, obliterated. But luckily, it’s no longer just your quirky aunt who appreciates a good secondhand store: Shopping for gently used items, especially during the holidays, is now on trend. And if you get on board, you might be able to save a bundle by swapping your mall run for a day of thrifting. In recent years, “Thriftmas”—or shopping for Christmas gifts at stores like Good Will, The Salvation Army, Savers, and online platforms that sell used items—has been creeping into the mainstream. And this year is no different. According to global data from online store ThredUp, in 2025, shoppers plan to dedicate nearly 40% of their holiday budgets to secondhand gifts—a pretty significant jump, even from last year alone. And in 2025, the U.S. secondhand market is worth an estimated $56 billion, up 14.3% from in 2024. Why the trend? For starters, Gen Z loves all things vintage, whether it’s Polaroid cameras, a pair of flares, or iPods. So it makes sense that thrifting is gaining traction, especially among younger generations. A new survey from Affirm found that 24% of Gen Zers chose to thrift or DIY their home decor, while 40% blend new with secondhand; and 23% shopped for secondhand clothes while 35% mixed thrifted with new clothing. Of course, it’s not just vintage-loving young people, but escalating financial worries that are driving the trend, too: 85% of shoppers say they expect gifts and other holiday-related items to cost more this year due to The President’s tariffs, per the National Retail Federation. Likewise, 84% of consumers expect to cut back on overall spending due to rising prices and economic pressure, per PwC Holiday Outlook. However, Americans are hooked on gifts. While nearly two-thirds (63%) say they wish their family traditions were less focused on gifts, only one in five are considering giving less. The art of Thriftmas Enter: Thriftmas, which looks a bit different from hitting up Target, Hollister, and Home Goods. And it might take some warming up to, if you’ve never been big on shopping secondhand. However, your wallet will thank you. And popular influencers, who are pretty skilled at breathing new life into old things, are driving the movement with content about how to do Thriftmas right. They make choosing items at the thrift store to give—sometimes along with something homemade like butter or baked goods, or with something new—look like an absolute art. Rebecca Miller, an expert secondhand shopper based in Northeast Ohio, runs the popular Instagram account My Thrifted Abode. Miller tells Fast Company that even though thrifting is majorly on trend in modern times, it’s not new to her. “Thrifting has always been a part of my life,” says Miller. “I grew up in a family where money was tight at times. I remember going to auctions and thrift stores with my mom as a little girl. It’s been a way of life for me for as long as I can remember.” Miller has only been sharing her thrift store finds for two years, but her Instagram already has over 114,000 followers, and there’s a reason why: She’s a talented thrifter who is skilled at teaching her audience how to thrift and gift. And according to her, people are more interested in thrifting because they are fed up with the holiday gift-giving craze and are seeking more sustainable options. “There’s been more of a light shed on the massive overconsumption issue we have,” she says, adding that the sheer amount of items that are bought new, then quickly disposed of is “truly concerning.” She’s not wrong: 11.3 million tons of textile waste end up in landfills yearly in the U.S., accounting for 7.7% of all landfill waste. During the holidays, the waste multiplies exponentially. Retailers say that 25% of returns end up being tossed out, leading to an extra 5.8 billion pounds of landfill waste—merely from returned items, not to mention all of the other holiday trash. A more personal (and very vintage) touch Miller says thrifting can contribute to a holiday season that’s more environmentally friendly, sustainable, and cheaper. But it’s not just about affordability. It’s about a more personal touch that puts genuine thought back into the holidays. “I love giving old things a new life and being a part of that item’s history,” she explains, noting that reimagining how to use old items scratches her “creative itch.” Taking a look at some of the fun and eclectic ways that Miller has styled items, it’s clear that it requires a bit more effort than clicking the “Buy Now” button on Amazon and slapping a bow on it the next day. In a recent video, Miller showed off adorable baskets for kids, with secondhand puzzles, books, and more. “I always thrift gifts for my kids for their birthday and Christmas, and let me tell you, it does not make a difference to them whether they are new items or not!” she wrote in the caption. But it’s likely not just kids who wouldn’t mind a thrifted gift—especially because the items don’t look like the things everyone else has. They’re vintage, unique, and require searching. “It’s such a thrill to walk into a thrift store, full of junk, and never knowing what treasures you’ll find,” says Miller. “There’s nothing like the thrill of the hunt.” While many Americans will still flock to shop the big brands this season, it’s tough to miss that Thriftmas is about to show up in more homes than ever. And with influencers and Gen Z driving the trend, it feels about as welcomed as Santa sliding down the chimney with his bag of tricks. This year, it’s all about Thriftmas—and it’s just as merry. View the full article

Diplomat due to be Britain’s UN envoy is handed key post in Washington after contest to replace Peter MandelsonView the full article

I really like my Pixel 9a, but there’s one glaring issue with my Pixel that stares at me every time I unlock my phone. And it’s the At a Glance widget on top the screen that Google just won’t let me remove. I like a clean lock screen, and eventually, I got so frustrated looking at this totally uncustomizable widget that shows the time and the weather that I gave up and switched to Niagara Launcher. And if you think that this is just my own pickiness, I can confidently say it’s not just me; Reddit is filled with people complaining about this. But seems like after 10 iterations of Pixels, Google is finally letting people get rid of this widget, clearing space for something, anything better than this. The new option will be part of Android 16’s QPR 3 update, which will be out sometime in March 2026. But if you install the beta, you can try it now. How to install Android 16 QPR 3 beta 1Android’s QPR betas are refreshed every quarter, and anyone with a compatible Pixel device can enroll. Visit the Android Beta Program website and enroll your device. Reboot, and you’ll be on the beta channel. It’s really easy to hop on, and it won’t require a factory reset. But getting rid of an installed beta is not so easy. Once you install the latest QPR 3 beta, you’re in for the long haul, at least until Android 16 ships the stable version in March. If something goes wrong, or if you’re facing battery issues, the only way to downgrade would be to wipe your device. So before you start, make sure you have a full backup. How to disable the At A Glance widget in Android 16At a Glance is an interesting idea, but it's rarely helpful. It's supposed to show you relevant information like the weather, your next appointment, alerts, air quality, and even suggestions from fitness apps and delivery updates. But instead, what it shows is unpredictable and pretty barebones, and it takes up valuable screen real estate. Worse, you can't customize it to make it better. I'm excited to get rid of it once and for all. Once you’re running the latest software, it’s quite straightforward. Long press the At a Glance widget and choose the Settings option. Credit: Khamosh Pathak Here, disable the new Show on home screen option below the Use At a Glance toggle. This will disable the home screen widget instantly, but you’ll still have access to it on the lock screen. Disable the Use At a Glance toggle as well to get rid of it from everywhere. Credit: Khamosh Pathak And there you have it. Your home screen is free at last. You can leave the space empty if you wish, or, like me, you can add a big old clock right up there instead. Credit: Khamosh Pathak If you want to bring the At a Glance widget back, tap and hold on an empty part of the home screen and choose Home settings, then tap the Gear icon next to the At a Glance option. From here, you can re-enable the widget using the Show on home screen toggle. View the full article

US congressional Democrats publish another batch of images from late sex offender’s estate View the full article

As the holiday season approaches, small business owners should take note of an exciting opportunity from Facebook: the launch of the Facebook Marketplace Holiday Shop. With a significant uptick in interest from young adults in categories like fashion, collectibles, and electronics, this new feature offers a platform for small businesses to showcase their products while tapping into the growing trend of online holiday shopping. Facebook’s Marketplace Holiday Shop is designed to celebrate the joy of discovering unique and affordable items. The initiative aligns with a larger trend where consumers favor personalized shopping experiences during the holidays. “Every gift tells a story and every connection goes a long way,” Facebook emphasizes, highlighting the importance of the human touch in today’s digital marketplace. One key benefit of this platform is its creator-curated collections, which allow users to group Marketplace listings and invite friends to shop together. This social shopping experience resonates particularly well with younger consumers seeking community in their purchasing decisions. Small business owners could leverage this feature by creating themed collections that reflect their brand identity or seasonal promotions, making it easier for customers to find and purchase gifts. To access the Holiday Shop, users can navigate to the Marketplace tab in the Facebook app and search for “Holiday Shop.” Business owners should ensure their Facebook app is updated to the latest version to avoid missing out on this opportunity. With the platform’s substantial user base, this could lead to increased visibility for small businesses. Facebook’s emphasis on affordability is another boon for small businesses looking to attract budget-conscious consumers. By offering competitive prices and unique items, businesses can stand out amidst a crowded online landscape. Small business owners can reflect on how they can appeal to this market with products that tell a story or resonate emotionally with potential buyers. However, small business owners should also consider some potential challenges. Engaging with a primarily digital platform necessitates a robust online presence; businesses that lack visibility on social media may struggle to attract attention in the Marketplace. Additionally, the increased competition from other sellers could make it challenging for smaller enterprises to achieve the desired visibility unless they utilize effective marketing strategies or leverage existing customer relationships. Furthermore, navigating the recent updates and features of Facebook can be daunting. While the Holiday Shop presents a new chance for sales, ensuring that listings are optimized and compelling will be key to success. Strategies might include high-quality images, descriptive product information, and regular updates to maintain engagement. Another factor to consider is the reliance on Facebook’s algorithms for visibility. Businesses that may not have a robust following might find it harder for their items to be recommended to potential customers, a vital part of the social shopping experience. It’s prudent for small business owners to engage in proactive marketing efforts, such as running promotions or advertisements within Facebook, to elevate their presence. As the global economy continues to shift towards online interactions, the Facebook Marketplace Holiday Shop represents a frontier where small businesses can thrive amid the festive spirit. “To discover something truly special on the Facebook Marketplace Holiday Shop” can indeed become a calling card for many small businesses, inviting creativity and connection in the lead-up to the holidays. For small business owners looking to capitalize on this opportunity, now is the time to explore the options available through the Facebook Marketplace Holiday Shop. The innovative blend of community and commerce may be just the boost needed to make this holiday season a successful one. For full details on the new offering, you can visit Facebook’s press release. Image via Google Gemini This article, "Facebook Launches Holiday Shop to Enhance Marketplace Gift Experience" was first published on Small Business Trends View the full article

As the holiday season approaches, small business owners should take note of an exciting opportunity from Facebook: the launch of the Facebook Marketplace Holiday Shop. With a significant uptick in interest from young adults in categories like fashion, collectibles, and electronics, this new feature offers a platform for small businesses to showcase their products while tapping into the growing trend of online holiday shopping. Facebook’s Marketplace Holiday Shop is designed to celebrate the joy of discovering unique and affordable items. The initiative aligns with a larger trend where consumers favor personalized shopping experiences during the holidays. “Every gift tells a story and every connection goes a long way,” Facebook emphasizes, highlighting the importance of the human touch in today’s digital marketplace. One key benefit of this platform is its creator-curated collections, which allow users to group Marketplace listings and invite friends to shop together. This social shopping experience resonates particularly well with younger consumers seeking community in their purchasing decisions. Small business owners could leverage this feature by creating themed collections that reflect their brand identity or seasonal promotions, making it easier for customers to find and purchase gifts. To access the Holiday Shop, users can navigate to the Marketplace tab in the Facebook app and search for “Holiday Shop.” Business owners should ensure their Facebook app is updated to the latest version to avoid missing out on this opportunity. With the platform’s substantial user base, this could lead to increased visibility for small businesses. Facebook’s emphasis on affordability is another boon for small businesses looking to attract budget-conscious consumers. By offering competitive prices and unique items, businesses can stand out amidst a crowded online landscape. Small business owners can reflect on how they can appeal to this market with products that tell a story or resonate emotionally with potential buyers. However, small business owners should also consider some potential challenges. Engaging with a primarily digital platform necessitates a robust online presence; businesses that lack visibility on social media may struggle to attract attention in the Marketplace. Additionally, the increased competition from other sellers could make it challenging for smaller enterprises to achieve the desired visibility unless they utilize effective marketing strategies or leverage existing customer relationships. Furthermore, navigating the recent updates and features of Facebook can be daunting. While the Holiday Shop presents a new chance for sales, ensuring that listings are optimized and compelling will be key to success. Strategies might include high-quality images, descriptive product information, and regular updates to maintain engagement. Another factor to consider is the reliance on Facebook’s algorithms for visibility. Businesses that may not have a robust following might find it harder for their items to be recommended to potential customers, a vital part of the social shopping experience. It’s prudent for small business owners to engage in proactive marketing efforts, such as running promotions or advertisements within Facebook, to elevate their presence. As the global economy continues to shift towards online interactions, the Facebook Marketplace Holiday Shop represents a frontier where small businesses can thrive amid the festive spirit. “To discover something truly special on the Facebook Marketplace Holiday Shop” can indeed become a calling card for many small businesses, inviting creativity and connection in the lead-up to the holidays. For small business owners looking to capitalize on this opportunity, now is the time to explore the options available through the Facebook Marketplace Holiday Shop. The innovative blend of community and commerce may be just the boost needed to make this holiday season a successful one. For full details on the new offering, you can visit Facebook’s press release. Image via Google Gemini This article, "Facebook Launches Holiday Shop to Enhance Marketplace Gift Experience" was first published on Small Business Trends View the full article

Deal replaces $2.6bn of GDP warrants that had become a ‘serious fiscal risk’ for Kyiv, says finance ministerView the full article

We may earn a commission from links on this page. Deal pricing and availability subject to change after time of publication. Meta has made virtual reality accessible to many more people, offering good VR headsets for much cheaper than the competition. Right now, the 128GB Meta Quest 3S Gorilla Tag Bundle is on sale for $249.99 (originally $299.99) and comes with a $50 Amazon gift card by hitting the "redeem" button or using the code "QUEST3S50" at checkout. This is the lowest price it has been, according to price-tracking tools, and the gift card makes it an even better deal. You can also double the storage with the Meta Quest 3s Batman: Arkham Shadow bundle for $349 (originally $399.99), which comes with a $49.01 Amazon credit. With a $50 gift card Meta Quest 3S Gorilla Tag Bundle (128GB) $249.99 at Amazon $299.99 Save $50.00 Get Deal Get Deal $249.99 at Amazon $299.99 Save $50.00 With a $49.01 Amazon credit Meta Quest 3S 256GB VR Headset With Batman: Arkham Shadow and 3-Month Meta Quest+ $349.00 at Amazon $399.99 Save $50.99 Get Deal Get Deal $349.00 at Amazon $399.99 Save $50.99 SEE -1 MORE The Meta Quest 3 has better graphics, but it costs substantially more (currently $499.99) than the 3S version. Lifehacker staff writer Stephen Johnson tested both VR headsets to decide which of the two is better, and the Meta Quest 3S was his winner—you can read a more in-depth review of the Quest 3S here. There isn't enough of a difference between the two models to justify the additional cost, with the Quest 3S's graphics looking very close to the 3 and running the same games and apps. The Meta Quest 3S has a Snapdragon XR2 Gen 2 processor, 8GB of RAM, a display resolution of 1,832 by 1,920 (per eye), and a refresh rate of 120Hz. Once you put them on, the horizontal field of view is 96 degrees, and the vertical view is 90 degrees. The audio is stereo, which is nice, and the speakers are compatible with 3D spatial audio. When it comes to battery life, expect up to two and a half hours of juice before having to recharge (it takes about two hours for a full charge). What makes the Meta Quest 3S special is how cheap it is to jump into the VR world, with other headsets going for much more (Apple's Vision Pro is still $3,499). The bundle deal and gift cards make these deals even better. Our Best Editor-Vetted Tech Deals Right Now Apple AirPods Pro 3 Noise Cancelling Heart Rate Wireless Earbuds — $199.00 (List Price $249.00) Sony WH-1000XM5 — $248.00 (List Price $399.99) Samsung Galaxy Tab A9+ 10.9" 64GB Wi-Fi Tablet (Graphite) — $139.99 (List Price $219.99) Apple Watch Series 11 [GPS 46mm] Smartwatch with Jet Black Aluminum Case with Black Sport Band - M/L. Sleep Score, Fitness Tracker, Health Monitoring, Always-On Display, Water Resistant — $329.00 (List Price $429.00) Blink Outdoor 4 1080p 3-Camera Kit With Sync Module Core — $74.99 (List Price $189.99) Amazon Fire TV Stick 4K Plus — $29.99 (List Price $49.99) Meta Quest 3 512GB Mixed Reality VR Headset with Controllers — (List Price $499.99 With Code "QUEST50") Deals are selected by our commerce team View the full article

Welcome to AI Decoded, Fast Company’s weekly newsletter that breaks down the most important news in the world of AI. I’m Mark Sullivan, a senior writer at Fast Company, covering emerging tech, AI, and tech policy. This week, I’m focusing on Big AI’s biggest sales pitch—the quest for AGI—and the idea that the industry should focus on more modest and achievable tasks for AI. I also look at Databricks’s new $4 billion-plus funding raise, and at Google’s new Gemini 3 Flash model. Sign up to receive this newsletter every week via email here. And if you have comments on this issue and/or ideas for future ones, drop me a line at sullivan@fastcompany.com, and follow me on X (formerly Twitter) @thesullivan. Yann LeCun calls BS on “artificial general intelligence” Big AI companies like OpenAI and Anthropic like to talk about their bold quest for AGI, or artificial general intelligence. The definition of that grail has proved to be somewhat flexible, but in general it refers to AI systems that are as smart as human beings at a wide array of tasks. AI companies have used this “quest” narrative to win investment, fascinate the tech press, and charm policymakers. Now one of AI’s most important pioneers, Turing Award winner Yann LeCun, is calling the whole concept into question. LeCun, outgoing Meta’s chief AI scientist, argues that even human beings aren’t really generalists. They’re good at some physical tasks, and very good at social interactions, but can easily be defeated at chess by a computer and can’t perform math as fast and accurately as a calculator can. “There are tasks where many other animals are better than we are,” LeCun said on a recent Information Bottleneck webcast. “We think of ourselves as being general, but it’s simply an illusion because all of the problems that we can apprehend are the ones that we can think of—and vice versa,” LeCun said. “So we’re general in all of the problems that we can imagine, but there’s a lot of problems that we cannot imagine. And there are lots of mathematical arguments for this. So this concept of general intelligence is complete BS.” Lots of people in AI and neuroscience disagree with LeCun. Just because humans aren’t the best at all tasks, or tasks we can’t imagine, it doesn’t mean we’re not generalists—especially in comparison to machine savants like calculators, they argue. I don’t know who’s right, but LeCun is making a broader point. He believes that AI labs should focus on specific real-world things that AI can do—things that create value or reduce suffering, perhaps—and bring those solutions to market. LeCun says the transformer-based large language models of today are useful enough to be applied in some valuable ways, but also believes they aren’t likely to achieve the general or human-level intelligence needed to do high-value work tasks now reserved for human brains. In order to navigate real-world complexity like humans do, the AI would need a much-higher-bandwidth training regimen than just words, images, and computer code, LeCun argues, and a different architecture to structure all the data. Notably, The Financial Times reports that LeCun is raising $585 million at a $3-billion valuation for a new AI startup that will look to build “world models”—AI systems capable of learning from images, video, and spatial data, rather than only from text and large language models. Databricks pulls in another $4B+, evaluation rises to $134 billion Data and AI company Databricks raised more than $4 billion in a new Series L funding round led by Insight Partners, Fidelity, and J.P. Morgan Asset Management, with Andreessen Horowitz, BlackRock, and Blackstone kicking in. The company’s valuation rose to $134 billion with the new round. The valuation reflects Databricks’s positioning within the booming market for AI cloud services. For years the company’s primary offering was secure cloud storage for sensitive enterprise data, including data owned by companies in regulated industries such as healthcare and finance. Over the past five years, Databricks has gone deep on developing the AI side of its business. Its value proposition is allowing customers to run their data through powerful AI models hosted within the same secure cloud. More recently, the company has set up a secure platform for developing and deploying autonomous agents that can, for example, assemble complex business intelligence reports based on diverse datasets stored in the Databricks cloud. The company also enables customers to run their data through third-party models from OpenAI and Anthropic, among others, hosting those models natively within the secure cloud. Now Databricks says both its data-warehousing business and its AI business each have revenue run rates of more than $1 billion. The company reported a revenue run rate of $4.8 billion during the third quarter of 2025, representing growth of about 55% from the same period in 2024. Almost exactly a year ago, Databricks raised a massive $10 billion funding round, one of the largest ever for an AI company, and achieved a $62 billion valuation. (The valuation moved up to $100 billion when the company raised a $1 billion round in August.) The San Francisco-based company says it’ll use the new capital to develop new AI-driven applications, fund future acquisitions, support R&D, and pay employees (most likely including expensive AI research talent). With hundreds of customers each contributing more than $1 million in annual revenue, and a high customer retention rate, Databricks is considered a strong IPO candidate. The company may be waiting for the optimal market conditions in which to file. Google releases a Gemini 3 model, “Flash,” for the rest of us Now even people who can’t afford a monthly subscription can enjoy the magic of Google DeepMind’s new Gemini 3 model. Google released the first Gemini 3 model, Pro, in November, but it was available only to paid subscribers. Its new Gemini 3 Flash variant is now the default in the Gemini app, and is available globally in Google Search’s AI Mode. Flash is said to be three times faster at responding than Gemini 2.5 Pro, and almost as good at reasoning as the Gemini 3 Pro model. Flash is designed to be cost-effective, making it a great option for developers and businesses, according to Google. The new model shows some impressive marks on PhD-level reasoning and knowledge benchmarks such as GPQA Diamond (90.4%) and Humanity’s Last Exam (33.7% without tools). Those scores come close to those of larger models including Gemini 3 Pro and OpenAI’s GPT-5.2. Flash also achieved the highest score of any model—81.2%—on the MMMU Pro benchmark, which measures the ability to understand and reason over a mix of text and visual data. When processing at the highest thinking level, Gemini 3 Flash can “modulate” how much it “thinks,” Google says. For more complex questions it’ll spend more time processing the data it collects in its memory to get to an answer. But it also uses 30% fewer tokens (on average) than Gemini 2.5 Pro to complete simpler, everyday tasks. Researchers at Big AI labs have been working hard to make AI models store the (often voluminous) contextual data they collect in memory more efficiently, and use it more effectively. More AI coverage from Fast Company: Every AI founder thinks they want a mega investing round. Trust me, you don’t 5 predictions for AI’s growing role in the media in 2026 DOGE leader at Treasury is looking to buy thousands of ChatGPT licenses Who should pay for the power grid’s race to keep up with data centers? Want exclusive reporting and trend analysis on technology, business innovation, future of work, and design? Sign up for Fast Company Premium. View the full article

One hot new phone of 2025 has no screen, can’t send a text, and needs to be plugged into the wall. But to buyers of the Tin Can, that’s a definite plus. The Tin Can, from a Seattle startup of the same name, grew out of conversations cofounder and CEO Chet Kittleson had with fellow parents about the challenges of enabling kids to connect with friends and relatives without giving them full-fledged cellphones. While children of the 20th century could pick up the house landline to call a grandparent or schedule a sleepover, today’s kids are often left dependent on parents for scheduling playdates and connecting with family until they’re old enough to carry their own smartphones. “Our first social network was a landline, and our kids don’t have that,” Kittleson says. “We’re trying hard to keep them away from cellphones for as long as we can, but we’re not giving them anything in return, and so they’re sort of left in the lurch.” Starting in 2024, Kittleson and his Tin Can cofounders started working on a prototype that would deliver some of the same features of the old-school house phone without actually requiring landline service from the local phone or cable company. The result, which quickly proved a viral hit among Kittleson’s network of parents and kids, is a phone complete with handheld receiver and curly cord that lets kids call, and receive calls and voicemails from, parent-approved numbers. Chet KittlesonGraeme DaviesMax Blumen “It gives them the opportunity to be social and work out play dates without having to come to us and use our phone,” says Chelsea Miller, a Seattle parent of two whose family was quick to adopt the device. Her two children—a 10-year-old daughter and a son about to turn 8—also use the phone to connect with their grandparents, she says. The phones now come in two models. A white model called the Flashback is described by the company as “the phone of 80s childhood,” though it plugs via ethernet cable into a router instead of a wall-mounted phone jack. A second model, simply called the Tin Can, has an appropriately playful cylindrical design, and it only needs Wi-Fi to connect. But as a deliberate design choice backed by early user input, the phone lacks a battery and must be plugged into a power socket, meaning kids can only roam as far as the cord can reach. “A majority of people felt strongly that it should not have a battery,” Kittleson says. “That it needed to be a stationary, plug-in-the-wall phone where a kid was actually focused on their conversation and not running around the house while they were talking.” Kittleson declined to disclose how many phones the company has sold, though he says they’ve shipped the devices to all 50 states and “all across Canada.” The Flashback model is available for $75, and the Tin Can unit is available for preorder at the same price after a $25 discount, though the next batch won’t ship until around early February. Previous batches of the Tin Can phones quickly sold out. The company this week announced a $12-million round of seed funding led by Greylock Partners and including participation from Lateralus Holdings, as well as existing backers. A previous pre-seed round raised another $3.5 million. “In an age defined by digital noise, they’ve created a joyful alternative that redefines how we view modern connection,” says Mike Duboe, general partner at Greylock, in a statement. “We’re excited to support the team during this phase of incredible growth.” Kittleson says the new funds will help the company scale up distribution of the phone and the VoIP network that enables the devices to connect. Currently, calls between Tin Can-powered phones are free—and other Tin Cans can be reached by dialing a special short code in lieu of a full phone number—while calls to other numbers in the U.S. and Canada are included in an optional $9.99 per month plan. The phones have proven hits with kids as well as parents, with new users often making dozens of calls in their first weeks with the devices before tapering off to a more typical calling cadence. “Typically, over the course of a month or so, it starts to level out,” Kittleson says. “And then it becomes a utility where they use it a couple times a day or even a few times a week, and that’s kind of the behavior we want.” Of course, while the phones evoke the landline phones of the late 20th century, today’s kids are still growing up in a world of digital technology, so it’s likely many Tin Can kids will still want access to internet-enabled devices, video games, and social media as they get older. But Tin Can enables parents to limit screen time and internet access without leaving their children entirely unable to speak to friends and family. “I don’t want them to have internet or social media,” Miller says. “But I do want them to be socially connected.” Even some adults have started using the Tin Can, enamored with the device’s simplicity and the fact that it doesn’t receive spam calls, since callers from nonapproved numbers simply get a recorded message saying they’re not authorized to connect. And parents like Kittleson say they also appreciate being able to call a house phone to reach the family when they’re away from the house. While other companies offer kid-friendly cellphones, Kittleson says his company is essentially unique so far in offering a modern take on the house phone. And general-purpose VoIP phones are often more expensive and don’t have kid-friendly features built-in and easy to set up, he says. Of course, most adults can’t ditch their smartphones entirely. Even for getting the Tin Can connected to Wi-Fi and updating the list of permitted numbers and hours where the phone enters do-not-disturb mode, parents use a smartphone app to access their accounts, much like with other connected home electronics. It beats an early system, Kittleson says, where users of the first prototypes texted him personally to add authorized numbers to the company’s database. The devices and features may continue to evolve a bit in the future, but since Tin Can exists to encourage real-world communications and childhood hangouts unmediated by screens or digital games, Kittleson says customers shouldn’t expect a burst of new functionality. “We don’t think this is going to be a feature factory where we’re launching new things all the time,” he says. “That’s sort of by design not what we’re trying to do.” View the full article

When considering commercial construction loans, comprehension of the key factors that influence interest rates is vital. Your creditworthiness can greatly impact the rates lenders offer, as those with higher scores typically receive better terms. Moreover, the size of your loan and the project can affect costs, as larger projects may present more risks. In addition, the loan-to-value ratio, economic conditions, and duration of the loan likewise play critical roles. Let’s explore these factors in detail. Key Takeaways Borrower’s creditworthiness, including credit score and payment history, significantly affects loan terms and interest rates. Loan amount and project size influence perceived risk, with larger loans typically incurring higher interest rates. The loan-to-value (LTV) ratio impacts rates, with lower ratios often leading to better terms for borrowers. Economic conditions, such as inflation and GDP growth, play a crucial role in determining borrowing costs and lender risk. The duration of the loan affects rates, with shorter terms generally offering lower interest due to reduced lender exposure. Borrower’s Creditworthiness In the matter of securing a commercial construction loan, a borrower’s creditworthiness plays a crucial role in determining the interest rates available. If your credit score is 680 or higher, you’re more likely to access favorable commercial construction loan rates, as lenders view you as less risky. A strong credit history, marked by timely payments and low debt-to-income ratios, can help you secure lower construction financing rates, potentially saving you thousands over time. Lenders examine your credit report for negative marks, like late payments or bankruptcy, which can raise borrowing costs. Furthermore, demonstrating consistent cash flow through financial statements further improves your creditworthiness, leading to better loan terms for a construction loan for shopping centers or other projects. Loan Amount and Project Size When considering a commercial construction loan, the loan amount and the size of your project greatly influence the terms and interest rates you’ll encounter. Larger projects often come with higher loan amounts, which can raise perceived risk for lenders, leading to increased construction interest rates. Typically, loan amounts range from $250,000 to $5 million; larger loans may attract more scrutiny regarding your financial stability and repayment capability. Moreover, extensive and complex projects often require more financial backing, which can likewise drive up interest rates. Conversely, if you’re working on a smaller construction project, you might benefit from lower interest rates, as they represent less risk for lenders and require smaller loan amounts compared to larger initiatives. Loan-to-Value Ratio (LTV) Comprehending the Loan-to-Value Ratio (LTV) is fundamental in the context of commercial construction loans, as it directly impacts your financing options and associated costs. The LTV ratio is calculated by dividing the total loan amount by the appraised value of the property, serving as a key metric for evaluating financing risk. Typically, LTV ratios for commercial construction loans range from 70% to 90%. A lower LTV usually indicates less risk for lenders, often resulting in better interest rates. Conversely, an LTV above 80% can lead to higher interest rates or additional collateral requirements. Economic Conditions Economic conditions play a crucial role in determining commercial construction loan rates, as fluctuations in various economic indicators can directly influence borrowing costs. Several factors contribute to this dynamic: Inflation rates: Higher inflation typically leads to increased borrowing costs. Federal Reserve policies: Changes in monetary policy can directly affect interest rates. GDP growth: Strong growth can boost demand for real estate, influencing loan rates. Unemployment rates: Higher unemployment may signal economic instability, prompting lenders to raise rates. Global events: Economic uncertainties can lead lenders to increase rates to mitigate risks. Understanding these factors helps you navigate the intricacies of securing favorable loan rates in commercial construction. Duration of the Loan Grasping the duration of your commercial construction loan is essential, as it greatly impacts both your interest rates and repayment structure. Typically, these loans range from six months to three years. Shorter terms often come with lower interest rates as they reduce risk for lenders. On the other hand, short-term loans (12-36 months) might carry higher rates owing to potential project delays. During construction, you’ll usually pay only interest, which affects your cash flow management. Conversely, longer durations may result in increased interest rates since lenders face greater exposure to risks. Furthermore, shorter terms may require lump-sum payments at the end, influencing the total interest paid throughout the loan’s life. Recognizing these nuances will help you make informed decisions. Frequently Asked Questions What Are the 5 C’s of Commercial Lending? The 5 C’s of commercial lending are Character, Capacity, Capital, Collateral, and Conditions. Character assesses your credit history, showing lenders your reliability. Capacity looks at your cash flow, ensuring you can handle loan payments. Capital represents your equity in the project, where larger down payments reduce risk. Collateral involves assets you pledge, impacting loan terms. Finally, Conditions reflect the economic climate, influencing the overall viability of your project and loan approval. What Impacts Construction Loan Rates? Construction loan rates are impacted by several key factors. Your credit score plays a significant role; scores above 680 typically secure better rates. The loan amount and project size likewise matter, with larger loans often carrying higher rates because of increased risk. Furthermore, the loan-to-value ratio affects your interest; lower ratios typically lead to lower rates. Economic conditions, such as inflation, and the loan duration can further influence the costs associated with borrowing. How Are Commercial Loan Rates Determined? Commercial loan rates are determined by several factors. Your creditworthiness, particularly your credit score, plays a vital role, with scores above 680 typically securing better rates. The loan-to-cost ratio impacts perceived risk, affecting your interest rate. Economic conditions, like inflation and Federal Reserve policies, furthermore influence costs. Moreover, the loan duration matters; short-term loans often have higher rates because of increased perceived risk, whereas the size and complexity of the project further affect rates. What Are the Three Main Factors That Affect Interest Rates? Three main factors that affect interest rates are your creditworthiness, the loan-to-value (LTV) ratio, and economic conditions. If your credit score is high, you’re likely to secure lower rates. A lower LTV ratio signals less risk to lenders, which can likewise lead to better terms. Furthermore, prevailing economic conditions, such as inflation and Federal Reserve policies, greatly influence borrowing costs, with stable economies typically offering more favorable interest rates. Conclusion In summary, comprehending the key factors that influence commercial construction loan rates can empower you to make informed decisions. By focusing on your creditworthiness, project size, LTV ratios, economic conditions, and loan duration, you can navigate the lending environment more effectively. For instance, improving your credit score or opting for a shorter loan term may lead to more favorable interest rates. By considering these elements, you can elevate your chances of securing a beneficial financing solution for your project. Image via Google Gemini This article, "5 Key Factors Influencing Rates for Commercial Construction Loans" was first published on Small Business Trends View the full article

When considering commercial construction loans, comprehension of the key factors that influence interest rates is vital. Your creditworthiness can greatly impact the rates lenders offer, as those with higher scores typically receive better terms. Moreover, the size of your loan and the project can affect costs, as larger projects may present more risks. In addition, the loan-to-value ratio, economic conditions, and duration of the loan likewise play critical roles. Let’s explore these factors in detail. Key Takeaways Borrower’s creditworthiness, including credit score and payment history, significantly affects loan terms and interest rates. Loan amount and project size influence perceived risk, with larger loans typically incurring higher interest rates. The loan-to-value (LTV) ratio impacts rates, with lower ratios often leading to better terms for borrowers. Economic conditions, such as inflation and GDP growth, play a crucial role in determining borrowing costs and lender risk. The duration of the loan affects rates, with shorter terms generally offering lower interest due to reduced lender exposure. Borrower’s Creditworthiness In the matter of securing a commercial construction loan, a borrower’s creditworthiness plays a crucial role in determining the interest rates available. If your credit score is 680 or higher, you’re more likely to access favorable commercial construction loan rates, as lenders view you as less risky. A strong credit history, marked by timely payments and low debt-to-income ratios, can help you secure lower construction financing rates, potentially saving you thousands over time. Lenders examine your credit report for negative marks, like late payments or bankruptcy, which can raise borrowing costs. Furthermore, demonstrating consistent cash flow through financial statements further improves your creditworthiness, leading to better loan terms for a construction loan for shopping centers or other projects. Loan Amount and Project Size When considering a commercial construction loan, the loan amount and the size of your project greatly influence the terms and interest rates you’ll encounter. Larger projects often come with higher loan amounts, which can raise perceived risk for lenders, leading to increased construction interest rates. Typically, loan amounts range from $250,000 to $5 million; larger loans may attract more scrutiny regarding your financial stability and repayment capability. Moreover, extensive and complex projects often require more financial backing, which can likewise drive up interest rates. Conversely, if you’re working on a smaller construction project, you might benefit from lower interest rates, as they represent less risk for lenders and require smaller loan amounts compared to larger initiatives. Loan-to-Value Ratio (LTV) Comprehending the Loan-to-Value Ratio (LTV) is fundamental in the context of commercial construction loans, as it directly impacts your financing options and associated costs. The LTV ratio is calculated by dividing the total loan amount by the appraised value of the property, serving as a key metric for evaluating financing risk. Typically, LTV ratios for commercial construction loans range from 70% to 90%. A lower LTV usually indicates less risk for lenders, often resulting in better interest rates. Conversely, an LTV above 80% can lead to higher interest rates or additional collateral requirements. Economic Conditions Economic conditions play a crucial role in determining commercial construction loan rates, as fluctuations in various economic indicators can directly influence borrowing costs. Several factors contribute to this dynamic: Inflation rates: Higher inflation typically leads to increased borrowing costs. Federal Reserve policies: Changes in monetary policy can directly affect interest rates. GDP growth: Strong growth can boost demand for real estate, influencing loan rates. Unemployment rates: Higher unemployment may signal economic instability, prompting lenders to raise rates. Global events: Economic uncertainties can lead lenders to increase rates to mitigate risks. Understanding these factors helps you navigate the intricacies of securing favorable loan rates in commercial construction. Duration of the Loan Grasping the duration of your commercial construction loan is essential, as it greatly impacts both your interest rates and repayment structure. Typically, these loans range from six months to three years. Shorter terms often come with lower interest rates as they reduce risk for lenders. On the other hand, short-term loans (12-36 months) might carry higher rates owing to potential project delays. During construction, you’ll usually pay only interest, which affects your cash flow management. Conversely, longer durations may result in increased interest rates since lenders face greater exposure to risks. Furthermore, shorter terms may require lump-sum payments at the end, influencing the total interest paid throughout the loan’s life. Recognizing these nuances will help you make informed decisions. Frequently Asked Questions What Are the 5 C’s of Commercial Lending? The 5 C’s of commercial lending are Character, Capacity, Capital, Collateral, and Conditions. Character assesses your credit history, showing lenders your reliability. Capacity looks at your cash flow, ensuring you can handle loan payments. Capital represents your equity in the project, where larger down payments reduce risk. Collateral involves assets you pledge, impacting loan terms. Finally, Conditions reflect the economic climate, influencing the overall viability of your project and loan approval. What Impacts Construction Loan Rates? Construction loan rates are impacted by several key factors. Your credit score plays a significant role; scores above 680 typically secure better rates. The loan amount and project size likewise matter, with larger loans often carrying higher rates because of increased risk. Furthermore, the loan-to-value ratio affects your interest; lower ratios typically lead to lower rates. Economic conditions, such as inflation, and the loan duration can further influence the costs associated with borrowing. How Are Commercial Loan Rates Determined? Commercial loan rates are determined by several factors. Your creditworthiness, particularly your credit score, plays a vital role, with scores above 680 typically securing better rates. The loan-to-cost ratio impacts perceived risk, affecting your interest rate. Economic conditions, like inflation and Federal Reserve policies, furthermore influence costs. Moreover, the loan duration matters; short-term loans often have higher rates because of increased perceived risk, whereas the size and complexity of the project further affect rates. What Are the Three Main Factors That Affect Interest Rates? Three main factors that affect interest rates are your creditworthiness, the loan-to-value (LTV) ratio, and economic conditions. If your credit score is high, you’re likely to secure lower rates. A lower LTV ratio signals less risk to lenders, which can likewise lead to better terms. Furthermore, prevailing economic conditions, such as inflation and Federal Reserve policies, greatly influence borrowing costs, with stable economies typically offering more favorable interest rates. Conclusion In summary, comprehending the key factors that influence commercial construction loan rates can empower you to make informed decisions. By focusing on your creditworthiness, project size, LTV ratios, economic conditions, and loan duration, you can navigate the lending environment more effectively. For instance, improving your credit score or opting for a shorter loan term may lead to more favorable interest rates. By considering these elements, you can elevate your chances of securing a beneficial financing solution for your project. Image via Google Gemini This article, "5 Key Factors Influencing Rates for Commercial Construction Loans" was first published on Small Business Trends View the full article

Combination that would deliver 3,000-lawyer behemoth is latest transatlantic mergerView the full article