According to a recent report by Trulia, “buying is cheaper than renting in 100 of the largest metro areas by an average of 33.1%.” The report may have some people thinking about buying a home instead of signing another lease extension, but does that make sense from a financial perspective?
Ralph McLaughlin, Trulia’s Chief Economist explains:
“Owning a home is one of the most common ways households build long-term wealth, as it acts like a forced savings account. Instead of paying your landlord, you can pay yourself in the long run through paying down a mortgage on a house.”
The article listed five reasons why owning a home makes financial sense:
- Mortgage payments can be fixed while rents go up.
- Equity in your home can be a financial resource later.
- You can build wealth without paying capital gains.
- A mortgage can act as a forced savings account.
- Overall, homeowners can enjoy greater wealth growth than renters.
Before you sign another lease, let’s get together and discuss all your options. source: Keith Kreis Real Estate News
What To Consider Before Investing in Real Estate
Making a real estate investment is always a great choice, however, people are usually faced with so many questions that they might be potentially deterred from making such an investment. So let’s discuss several factors that you should consider before making such a major decision. When To Buy A House
The Market You’re Buying In
Carefully analyzing the neighborhood your potential property is located in is pivotal. What does the future hold for this city or region and how will it affect your property’s price/value should you decide to sell it? It is also important to keep a close eye on developing area’s nearby, trendy upcoming neighborhoods can significantly affect a potential buyers interest in your property. When To Buy A House
Return On Investment
It’s only wise to invest in a property that will give you a high return on your investment. Do not avoid properties simply because they are need of some renovations, as the flaws will help you buy cheap and sell high after renovating. In fact most seasoned real estate experts will suggest that you had better buy a structure that needs renovations to help maximize potential profits. Continue Reading…
Gallup: Real Estate is Best Long-Term Investment 4 Years Running
Every year, Gallup surveys Americans to determine their choice for the best long-term investment. Respondents are given a choice between real estate, stocks/mutual funds, gold, savings accounts/CDs, or bonds. When To Buy A House
For the fourth year in a row, Real Estate has come out on top as the best long-term investment! This year’s results showed that 34% of Americans chose real estate, followed by stocks at 26%. The full results are shown in the chart below. When To Buy A House
The study makes it a point to draw attention to the contrast of the sentiment over the last four years compared to that of 2011-2012, when gold took the top slot with 34% of the votes. Real estate and stocks took second and third place, respectively, while still in recovery from the Great Recession. When To Buy A House
Real Estate Mogul: Here’s Why You Should Buy
Real Estate mogul, Sean Conlon, host of The Deed: Chicago on CNBC, was recently asked the question, should you buy? Or should you rent a house? When To Buy A House? Read More Below