Buy a Home Now or Rent First?
The American dream has always involved home ownership. For many individuals, renting is never an option, but it’s important to remember that each has its uses.
You Should Strongly Consider Buying
Take a moment and consider the following idea: You could be buying a home when prices and interest rates are at their lowest in history. A real estate boom could be just around the corner and you could be poised to take full advantage of a wonderful financial opportunity.
First time homeowners should be rejoicing at today’s real estate market. They don’t have a home to sell, so they’re not losing money listing a home in a competitive, down market. They’re ready to take advantage of a mortgage with an incredible interest rate, and should they decide to not move for 5 to 10 years, possibly ride an upturn in a market that’s poised to bounce back very soon.
There are also other wonderful tax benefits to home ownership. You can write off any taxes paid on your primary home and a vacation home, thereby lowering your taxable income and resulting amount due come tax time. You’ll also enjoy the peace of mind of having four walls to call your own, rather than sharing one or two with an obnoxious neighbor.
When Renting is a Great Choice
Renting has unfortunately garnered a bad reputation in years past, but lately these beliefs are beginning to change. There are many circumstances where renting is financially smarter than buying. If you’re one of the lucky few to have made the decision to rent in the past 3-5 years, you avoided an unforeseen depreciation in the market.
Are you on a temporary relocation to a new area? Renting may also be a perfect choice for anyone who doesn’t know how long they’ll be in a particular market. At the end of your lease, you’ll be given the option to renew or you can simply move on to another gorgeous home. Many enjoy renting for this purpose alone; the thrill of moving into a new home every few years often outweighs any opportunity for equity gain.
In a down market, renting definitely has its perks. Today’s real estate market is more volatile than in years past, and many homeowners are making a temporary decision to lease until the market makes a turn into the green.
If you’re looking to buy or rent a home, consider contacting one of our real estate agents at www.GayRealEstate.com to discuss the pros and cons of home ownership in today’s real estate market. We’ll coach you on what makes financial sense to your family in the long run and always be here to guide in you in the future when you’re ready for your next move.
Author Jeff Hammerberg is the Founding CEO of GayRealEstate.com ~ Free Instant Access to the Nation’s Top Gay, Lesbian & Gay Friendly Realtors, offering Free Buyers Assistance, and a Free Competitive Market Analysis to home sellers.