To buy or not to buy, that is the question.
Whichever path you take ultimately, it’s about making a personal choice. It depends on where you are in life and what you desire… and there are seemingly a ginormous set of factors to be considered when making this decision.
When you boil it all down though, buying a home today makes great sense for many reasons. And taking advantage of the best conditions for purchasing a home in years – a result of moderating home prices and historically low interest rates – is a wise move.
Buying a home now, according to recent key industry reports, is between 23% - 38% cheaper than renting nationwide – depending on the type of mortgage you choose. What’s more, with today’s rising rents, lower down payment requirements, rising home prices and increasing demand for homes, now is a great time to buy.
In addition, you get the chance to build equity (instead of throwing rent down the drain) – plus you gain predictable mortgage payments, mortgage tax deductions, the opportunity to customize your own environment and much more.
Simply, this is a very smart time to buy…which is why our experienced team is ready to dedicate their expertise and serve your personal needs, today – so you can make the choice that’s best for you.
Text or email us, give us a call today or schedule your free no obligation consultation and take control of your future, now!
TOP 3 MYTHS YOUNG HOMEBUYERS AND OTHERS HAVE ABOUT HOME OWNERSHIP
1. It’s less expensive to rent.
Fact: False. Yes, renting may be a better option for you and cheaper is some cases. Truth is, though, there’s a good chance your monthly costs will be lower than they are right now. And unlike rental costs, your monthly principal and interest payments will stay the same for the life of a fixed rate mortgage.
Besides as a homeowner, too, you have the advantage of building equity in your home – which is wealth you can achieve your financial goals and life dreams!
2. It’s better to rent now and not a good time to buy a home.
Fact: False. Mortgage rates for fixed-rate mortgages are at historical lows, creating stable payments and long-term savings for today's homebuyers – and house prices have fallen at a record pace and moderated as a result of the massive market adjustments that have occurred since 2008.
There is also some financial relief for first-time homebuyers through the recently enacted Housing and Economic Recovery Act of 2008. In addition, foreclosures have increased to record levels, leaving lots of housing supply in the market with unequalled demand… and this combination of factors, generally, equals greater affordability, and makes now a good time for many to consider homeownership.
Myth #3: Renting is cheaper because there’s no upkeep.
Whether or not you should rent or buy a home may seem like an apples-to-apples comparison if you look at monthly costs alone. In that case, home ownership often tips the money scale because you pay for maintenance, taxes and homeowner’s insurance on top of your mortgage payment. Long-term costs, however, paint a different picture.
3. Renting is cheaper because there’s no upkeep.
Fact: False. Truth is, if you bought a home today and lived there for seven years, you’d save 38% compared to renting. According to Trulia and other real estate pundits, this is because inflation ultimately works in your favor when you own a home.
Put another way, there’s no need to worry about a rent increase each year. Your monthly costs are fundamentally locked in for as long as you live there. And as your home’s value goes up and your mortgage principal goes down, that’s money in your pocket down-the-road.
On the other hand, rent ebbs and flows with inflation – and research indicates it’s taking up a growing portion of income in many major cities and pockets of the country. According to Zillow, the cost of rent grew twice as quickly as household income between 2000 and 2014 and currently makes up nearly 30% of renter income. That’s over 5% more than many recommend spending on housing costs!