5 Reasons Homeownership Is A Good Financial Investment

Dated: 12/12/2016

Views: 436

5 Reasons Why Homeownership Is a Good Financial Investment | MyKCM

According to a recent report by Trulia, “buying is cheaper than renting in 100 of the largest metro areas by an average of 37.7%.” That may have some thinking about buying a home instead of signing another lease extension, but does that make sense from a financial perspective?

In the report, 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 report listed five reasons why owning a home makes financial sense:

  1. Mortgage payments can be fixed while rents go up.

  2. Equity in your home can be a financial resource later.

  3. You can build wealth without paying capital gains.

  4. A mortgage can act as a forced savings account.

  5. Overall, homeowners can enjoy greater wealth growth than renters.

Bottom Line

Before you sign another lease, let’s get together and discuss all your options.

Want to Advertise on this Site?

Latest Blog Posts

5 Homebuying Acronyms You Need To Know

Some Highlights: Learning the lingo of homebuying is an important part of feeling successful when buying a home. From APR to P&I, you need to know the acronyms that will come up along the way, and

Read More

3 Signs The Housing Market Is On The Rebound

The residential real estate market has been plodding along for most of the year. However, three recent reports show the market may be on the verge of a rebound: 1. Existing Home Sales 

Read More

What Is The Cost Of Waiting Until Next Year To Buy

Some Highlights: The “cost of waiting to buy” is defined as the additional funds necessary to buy a home if prices and interest rates were to increase over a period of time. Freddie

Read More