RENTING Vs. BUYING
Should you rent or should you buy a home? The homeownership debate will continue as long as housing is a requirement. For those making the most significant financial commitment and investment of their lives, moving from renter to owner can be intimidating, but it doesn’t have to be.
The current market suggests that today there are many long-term and immediate benefits to take advantage of with homeownership. Home prices are rising in most markets, and in the long run, home values typically enjoy healthy gains. Yearly home appreciation is a benefit that renters will never experience. Real estate tax exemptions and deductibles are helpful as is the ability to borrow against equity for home improvement and to pay for education.
Right now is an optimal time to take the leap from renting to homeownership. Mortgage rates are still historically very low, and mortgages are more accessible now than in the recent past. In an example provided by the National Association of Realtors© (NAR), to purchase a single-family home at the current national median price of $240,900 a buyer making a 5 percent down payment would need an income of $51,661, a 10 percent down payment would require an income of $48,942, and $43,504 would be needed for a 20 percent down payment.
Additionally, home prices continue to rise prompting many to act now. According to the National Association of Realtors® (NAR), the national median existing single-family home price in the third quarter is up 5.2 percent from the third quarter of 2015. Check the included market data here to see if this trend is taking place in the community of most interest to you.
To discover if buying a home is a viable option for you, contact a Coldwell Banker Residential Brokerage affiliated sales professional and they will assist you as you weigh your options.
A real estate professional can provide data on local home prices and sales, and help you analyze the statistics and determine how they affect you. They can also guide you as you search for a home and neighborhood that best meet your needs.
Taking the leap from renting to homeownership can be a tough decision. The guidance and expertise of a Coldwell Banker Residential Brokerage affiliated sales professional can make it much easier.