Many first time home buyers want to acquire a home, however are unable to commit to the home-buying process. Why you ask, well because the majority of the time home buyers become afraid. ” what if I lose my job” or “what if I want to move”
Lets take a look at just a few advantages of buying a home:
No Landlord. You are in-charge and do not have to deal with a landlord who might not make repairs or maintain the property as you would like.
The Real Cost of Renting! At $700 per month, with a 6% rental increase per year, you will pay $110,719 over a 10 year period. If the rent is higher, you can count on paying much more and not getting any return or tax benefits at all.
Leverage. Where else can you buy this size of an investment with 0-5-10% down. You can buy a property for a personal residence for as low as zero down or an investment property with 5-10% down, if your credit is good, and watch the investment grow. This, in turn, allows the net investment return to be much higher (than the actual appreciation rate on the value of the property). To follow up on the example earlier, if the property grows at 7% and doubles in value, since the amount invested in buying the property might be only $50,000 (at 10% down payment), the actual return is much higher on $50,000 investment.
Pride in Your Home. It is fun to invite people to “your” home and feel good about it. It also instills confidence in your family, your children and makes them more confident individuals.