Whose Mortgage Do You Want to Pay? Yours or Your Landlord’s?
There are some people who haven’t purchased homes because they are uncomfortable taking on the obligation of a mortgage. However, everyone should realize that unless you are living with your parents rent-free, you are paying a mortgage – either yours or your landlord’s.
As Entrepreneur Magazine, a premier source for small business, explained in their article, “12 Practical Steps to Getting Rich”:
“While renting on a temporary basis isn’t terrible, you should most certainly own the roof over your head if you’re serious about your finances. It won’t make you rich overnight, but by renting, you’re paying someone else’s mortgage. In effect, you’re making someone else rich.”
With home prices rising, many renters are concerned about their house-buying power. Mike Fratantoni, Chief Economist at MBA, explained:
“The spring homebuying season is almost upon us, and if rates stay lower, inventory continues to grow, and the job market maintains its strength, we do expect to see a solid spring market.”
As an owner, your mortgage payment is a form of ‘forced savings,’ which allows you to build equity in your home that you can tap into later in life. As a renter, you guarantee the landlord is the person building that equity.
As mentioned before, interest rates are still at historic lows, making it one of the best times to secure a mortgage and make a move into your dream home. Freddie Mac’s latest report shows that rates across the country were at 4.46% last week.
Whether you are looking for a primary residence for the first time or are considering a vacation home on the shore, now may be the time to buy.
To view original article, visit Keeping Current Matters.
“Amid uncertainty, the house-buying power of U.S. consumers can benefit significantly.”
The success of the U.S. residential real estate market, like any other market, is determined by supply and demand.
Regardless of the lack of inventory on the market, the U.S. homeownership rate has climbed to a 6-year high.
Pricing your home correctly will increase the visibility of your listing and drive more buyers your way.
Idaho held on to the top spot of ‘high inbound’ states for the second time since 2017, followed by Washington State.
Rental expenses are beginning to moderate and average wages are increasing, allowing renters to save towards a down payment.