Buying a home offers a multitude of advantages — including tax deductions, equity growth, and a personal asset no one can take away from you. Most homeowners feel accomplished whenever they invested in a home they can call their own. With that said, it is an excellent time to look for homes for sale!
The condition of the real estate and mortgage industry today offers favorable circumstances that make it irresistible to switch from renting a property to buying one. If you’re having a hard time deciding, that’s normal. This article will get you into that mindset after the short read.
3 Reasons Why Buying a Home is Better than Renting One
Here are some benefits to buying a home instead of renting one.
1. Rental price escalation
If you find your current monthly rental fee manageable, wait for a couple more years to get the shock of your life. There will come a time that your rent will eat up a considerable chunk of your salary.
There is troubling news that the real estate rental value is rising faster than the median salary of the average American. In the future, paying for a monthly mortgage might be a better option than paying for rent since the prices of each might be close to each other. The only difference is that one option makes the house yours, while the other one benefits another person who gains money by lending their property to you.
2. Homes are a long-term investment
If you continue to rent your home, you’re not paying for owning something. Since you’re merely borrowing the property, you are limited as to what you can do about it. With that said, it is nearly impossible to live in your dream house in a rented property.
Buying among a selection of houses for sale ensures that once you fully paid your mortgage, you can get extra money when you sell your property at a higher price. For rented homes, all the money you pay your landlord gets flushed down the drain without any return on investment. Unlike buying a property, you can even profit from the transaction.
3. Interest rates are historically low
The real estate industry currently sells properties at an interest rate that’s on a historically low value. Although the interest rate might appear like a small value to the untrained eye, it makes a massive difference in your monthly mortgage. A lower interest rate drastically lowers the mortgage price in the process, which collectively saves you money in the long-term.
In a bigger perspective, lower interest rates suggest you could save hundreds of dollars for the whole duration of your mortgage plan. When you consider this benefit versus a monthly rental, buying houses for sale wins by a landslide win.
Conclusion
Rental properties look cheaper at first but are more expensive than buying homes for sale. If you have stored savings for a down payment, it is best to buy one as soon as possible. The benefits of buying a house instead of renting one outweigh the cons greatly.
Are you looking for excellent realtors near you in Davison, MI? Reach out to us to find a house for sale that’s perfect for our needs.